Digital India Initiatives

Government e-Marketplace (GeM) System


From UPSC perspective, the following things are important :

Prelims level : Government e-Marketplace

Mains level : Not Much

The Government e-Marketplace (GeM) system has resulted in a 10% savings in public procurement costs in five years.

Government e-Marketplace

  • GeM is an online platform for public procurement in India by various Government Departments / Organizations / PSUs.
  • The initiative was launched on August 9, 2016 by the Ministry of Commerce and Industry with the objective to create an open and transparent procurement platform for government buyers.
  • It is owned by GeM SPV (Special Purpose Vehicle) which is a 100 per cent Government-owned, non-profit company under the Ministry of Commerce and Industries
  • GeM aims to enhance transparency, efficiency and speed in public procurement.
  • It provides the tools of e-bidding, reverse e-auction and demand aggregation to facilitate the government users achieve the best value for their money.
  • The purchases through GeM by Government users have been authorized and made mandatory by Ministry of Finance.

Note: The government has made it mandatory for sellers on the Government e-Marketplace (GeM) portal to clarify the country of origin of their goods when registering new products.

Advantages for Buyers

  • Offers rich listing of products for individual categories of Goods/Services
  • Makes available search, compare, select and buy facility
  • Enables buying Goods and Services online, as and when required.
  • Provides transparency and ease of buying
  • Ensures continuous vendor rating system
  • Up-to-date user-friendly dashboard for buying, monitoring supplies and payments
  • Provision of easy return policy

Advantages for Sellers

  • Direct access to all Government departments.
  • One-stop shop for marketing with minimal efforts
  • One-stop shop for bids / reverse auction on products / services
  • New Product Suggestion facility available to Sellers
  • Dynamic pricing: Price can be changed based on market conditions
  • Seller friendly dashboard for selling, and monitoring of supplies and payments
  • Consistent and uniform purchase procedures
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