Do you know why the Government eMarketplace was established in India? India has been suffering from decentralized procurement for goods and services for a long time. It commonly spends around 20% of GDP on public procurement. The struggle comes when the government has to procure goods in small quantities because they increase the operating cost. The process is also prone to malpractices because it is difficult to monitor those small transactions. Small time suppliers find it difficult to reach potential private buyers and government departments.
To tackle these challenges, the Government of India established Government eMarketplacein 2016. Since its inception, this platform has been eliminating multiple levels of malpractice and muddled decision-making. It has also done away with the manual factor in the procurement process. All of this has dramatically reduced the time taken in public procurement. It has opened many doors for the bidders to attract new buyers. It has made doing business with the government easy. Let’s see how GeM has revolutionized procurement in India.
GeM promotes transparency
By eliminating the manual verifications and approvals, GeM has done a huge favour to all the vendors in India. It has made the process truly transparent. It has completely eliminated the intermediaries. Everything from bid submission from payment release is done on the platform. This works in the bidders favour as they don’t have to follow up constantly for payment of their services. This platform provides good news for the tender providers as well. Government eMarketplace has decreased the delivery time drastically from 30-60 days to 10-15 days. This helps get the work done faster.
GeM is a blessing for MSMEs
Government eMarketplace has been nothing short of a blessing for micro, small and medium enterprises. MSMEs have been able to expand the number of potential suppliers all around the country with the help of GeM. It has opened doors to do business with the government directly without anyone’s intervention. The platform is helping in creation of numerous jobs. It actively promotes entrepreneurship and startups enjoy relaxed regulations to procure goods.It helps them by suggesting new requirements which can cut their research time.
GeM comprises of a huge community
This platform has picked up pace since its inception and today it caters to around 1,38,000 sellers and 27,000 buyers. It covers more than 5,00,000 products and services. The orders that are placed by GeM are valued more than Rs. 11,500 crores annually. In addition to this, many of Indian states have signed Memorandum of Understanding with GeM to use it for commonly used items. This platform is slowly becoming the only solution for procurement of goods and services.
GeMhas set a target to achieve Gross Merchandise Valuewhich is equivalent to 4-5% of India’s GDP. Everyone is getting on the digitization wave and are on their way to growth and success. So when are you taking advantage of it? Contact National Tenders for GeM registration and be a part of the largest growing community now.