Govt e-marketplace GeM achieves ₹1.5 lakh crore GMV in FY23 alone
2 min read . Updated: 02 Feb 2023, 10:14 PM IST
Premium- The portal features over 11,000 product categories with more than 29 lakh listed products, as well as over 270 service categories with more than 2.5 lakh service offerings
Government e-Marketplace (GeM), an online platform for public procurement in India, has achieved a staggering ₹1.5 lakh crore of gross merchandise value (GMV) in the financial year 2022-23 (FY23) alone.
Cumulatively, GeM has surpassed the ₹ 3 lakh crore GMV since inception, with the overwhelming support of its stakeholders. The total number of transactions on GeM has also crossed 1.3 crore.
“GeM has over 66,000 government buyer organisations and more than 58 lakh sellers and service providers offering a diverse range of goods and services," the Ministry of Commerce & Industry said.
The portal features over 11,000 product categories with more than 29 lakh listed products, as well as over 270 service categories with more than 2.5 lakh service offerings.
Based on various studies, the minimum savings on the platform are about 10%, which translates into a savings of over ₹ 30,000 crore worth of public money.
GeM was launched on August 9, 2016, by the Ministry of Commerce and Industry with the objective of creating an open and transparent procurement platform for government buyers. The portal has transformed public procurement in India by driving its three pillars, namely, inclusivity, transparency, and efficiency.
In the last 6.5 years, GeM has revolutionized the ecosystem of public procurement in the country through technology, the digitization of processes, the digital integration of all stakeholders, and the use of analytics.
GeM is an example of how digital platforms created with a strategic and clear intent to reinvigorate and reimagine legacy processes can bring about lasting change for the nation as well as the underserved. GeM has been effectively contributing to the government’s commitment of “Minimum Government, Maximum Governance".
The GeM platform enables multiple procurement modes (direct purchase, L1 procurement, bidding, reverse auction, bid followed by reverse auction). GeM has evolved as a trust-based platform and is contactless, paperless, and cashless, where authentication of users is done through API integration with respective domain databases, i.e., Aadhar, PAN, Start Up, GSTN, MCA21, etc.
The marketplace includes policies for automated market adjustments as well as end-to-end digital processes that support a thriving buyer-seller ecosystem.
GeM has recently launched a focused campaign to boost procurement via States. Dedicated nodal officers with a comprehensive data backed roadmap have been identified for select states.
The lessons learnt in these states will be replicated across the country. We have already seen a 55% Y-o-Y increase in the GMV in the States, and their GeM Utilization Ratio (GUR) has also shown considerable improvement.
GeM has successfully integrated with 1.5 lakh+ India Post offices and 5.2+ lakh Village Level Entrepreneurs [VLEs] via the CSCs for last-mile outreach and service delivery.
