New Improved, User-Friendly Govt e-Marketplace (GeM) to Launch in July: Official

Government e-Marketplace (GeM) is planning to introduce an upgraded and more user-friendly
version in July, which will among other things improve the payments system, a senior official said on Tuesday.

"Over three lakh sellers and service providers and 21 lakh products are listed. GeM has generated transactions worth Rs 53,743 crore gross merchandise value from about 40 lakh orders," Joint Secretary and Additional CEO-GeM Deepak Kapoor said at a CII-organised webinar.

The official assured that most concerns of buyers and sellers would be addressed in the latest version GeM 4.0 version.

GeM was set up in August 2016 in order to procure goods and services that are required by the central and state governments.

Govt. E-Marketplace signs an MOU with TReDS platform RXIL and Arteria Technologies

Finance Minister Nirmala Sitharaman emphasised on the importance of GeM and TReDS in the upliftment of the MSME sector during her Budget speech. In light of this, GeM (Government eMarketplace) just signed an MoU with TReDS platform Receivables Exchange of India to take this initiative even further. This is an important and immediate step taken to help see the Feb-01 announcements into fruition.

Mr. Ketan Gaikwad, CEO, RXIL Ltd., said on the occasion, “Close to 53% of transactions on GeM (Govt. E Marketplace) are initiated by MSMEs. Hon’ble FM announced during this year’s union budget to increase the turnover of GeM from the current levels of INR 50,000 crore to INR 3 lakh crore. For the proposed turnover mandate, it is necessary to have the alternate financing mechanism in place, the integration between Trade Receivables Discounting System (TReDS), and GeM as suggested in the UK Sinha Committee report will allow PSUs/Govt. departments to do procurement without blocking their own funds, while ensuring timely payments to MSMEs. The MoU will immensely benefit, MSMEs and CPSEs/PSUs/Govt Departments while achieving the proposed goal of INR 3 lakh crore throughput."

The Economic Survey 2019-2020 stated that currently 57,531 MSME sellers and service providers are registered on the GeM portal. Central PSUs are required to procure at last 25% of their total purchases from MSMEs and PSUs have procured 28.26% of total procurement from MSMEs, crossing the minimum threshold of 25%.

Mr Gaikwad, also added, “TReDS has become a stable payment system with over INR 15,000 crore worth of throughput across the platforms. The Govt. has seen the effectiveness of TReDS in ensuring a stable supply of credit to MSMEs, the MoU is a step in the direction of extending its benefit to a larger universe of MSMEs."

Mr Sriram Kanuri, CEO, Arteria Technologies Pvt. Ltd., remarked on the landmark association as a proud moment. We are excited to extend the expertise and the existing association with TReDs by deploying FinessArt for GeM as well and support the Digital India journey and further the cause for MSME sector. 

Govt Looking at Expanding Scope of Govt e-Marketplace 'GeM'

New Delhi, Aug 21 (PTI) The government is considering to widen the ambit of its procurement portal GeM (Government e-marketplace) by permitting government contractors and private bulk buyers to use the platform for buying goods and services, an official said.

Currently, they are not allowed to procure goods and services from the Government e-marketplace (GeM) platform managed by the Commerce and Industry Ministry. At present, government departments, ministries, public sector units, state governments, and Central Armed Police Forces are allowed to carry out transactions through this portal.

In September last year, IndianWeb2 first reported that GeM will soon provide access to private buyers outside the government and its various entities.

The Commerce Ministry is in the process of preparing a cabinet note for allowing government contractors and private bulk buyers to use the platform, the GeM official said.

Further, there is also a consideration to open the platform for general consumers in the coming years. The portal was launched in August 2016 for online purchases of goods and services by all the central government ministries and departments as well as states.

West Bengal-cadre IAS officer Talleen Kumar was recently appointed as the new chief executive officer of GeM.

According to GeM, 2,66,812 sellers and service providers have registered with the portal so far to sell 11,64,243 products and 15,252 services.

The government has made it mandatory for all the departments and ministries to source goods and services from its e-marketplace.

The move is aimed at bringing in more transparency and streamlining government procurement which runs into lakhs of crores of rupees.

The portal provides a wide ranging products from office stationery to vehicles. Automobiles, computers and office furniture are currently the top product categories.

Services, including transportation, logistics, waste management, web casting and analytical, among others, are listed on the portal.

Public procurement worth Rs 50,000 crore is expected to take place through GeM during 2019-20, up from Rs 33,366 crore currently. PTI RR

Govt E-Marketplace (GeM) Now Open to Startups to Sell Products

Union Minister of Commerce & Industry Suresh Prabhu has launched 'Start-up Runway', an initiative of government’s online procurement portal, Government e-Marketplace (GeM), which will allow startups registered with Start-up India to access GeM platform and sell innovative products and services to government buyers.

Eligible startups can now sell their products on GeM and for same startups are being given exemption from prior experience, prior turnover and Earnest Money Deposit [EMD] stipulations, which is subject to meeting of quality and technical specifications

To recall, in December IndianWeb2 reported that the commerce and industry ministry, along with Department for Promotion of Industry and Internal Trade ( DPIIT, formerly DIPP), is working on a process to enable startups to register and sell products on the Government e-Marketplace (GeM).

The minister also launched SWAYATT, an initiative to promote Start-ups, Women and Youth Advantage Through eTransactions on Government e Marketplace (GeM).

Under GeM's 'Start-up Runway' initiative, government seeks to align certified Start-ups withGovernment procurement orders and contracts, to enable Start-ups in scaling operations from ideation to growth stage in minimal time, and spur hyper-local job-creation and wealth-generation and for achieving socially-inclusive economic growth.

Start-up Runway will enable Start-ups to conduct market trials with government buyers, seek time-bound feedback and gain realistic product, price comparison and market valuation from potential buyers and investors.

How to Start Selling -
Certified Start-ups will register on GeM portal as a seller with their DPIIT number, provide basic description about the performance of their products/services along with the Test Certificates of quality, their functional utility and specify potential user Ministry/ departments where these products can be used.

Ministries and departments will be sensitised proactively through
system generated messages/ alerts in Marketplace about availability of
such innovative products on the portal Potential buyers can evaluate
these products and services with respect to their utility, uniqueness
with respect to design, process and concept, and provide feedback in a
time-bound interval and manner. Innovative products with 3+ ratings on a
rating scale of (1-5) from 3 or more buyers will be accepted for
listing as a regular product or service on GeM

Approximately 1,516 Start-ups are presently registered on GeM with
12,915 products to offer and have received more than 5,000 orders till
date.

GeM Start-up Runway seeks to support technology development, spur
research and innovation by ensuring a conducive policy environment for
industrial diversification and value addition to commodities, and aligns
with Government’s philosophy to turn Job-seekers into job-creators.

GeM Start-up Runway will address goals and objectives under United Nations Sustainable Development Goal 9: Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation.

It may also be recalled that, GeM is also said to be contemplating on allowing private buyers or companies outside government to buy on the government e-marketplace platform in order to help lower the cost of goods and services for governments and raise online transactions with figures of $25 billion.

Source - Orissa Diary

Government e-Market to Allow Startups Sell their Products

The commerce and industry ministry, along with Department of Industrial Policy and Promotion (DIPP), is working on a process to enable startups to register and sell products on the government’s online procurement portal Government e-Marketplace (GeM).

GeM is in the process of developing a proof-of-concept (PoC) corner for startups and will soon be able to onboard startups on the GeM platform.

This will be a launch pad for start-ups in the country to access government market and give them a chance to sell on the GeM platform.

The development comes within a month after Traders' body Confederation of All India Traders (CAIT) has urged the government to launch an e-commerce marketplace portal in partnership with trade associations where small traders, artisans and women entrepreneurs can sell their products in a 'fair and transparent manner'.

Government users will be able to try out the innovative products and services offered by start-ups on a trial basis and give feedback, according to an official statement here on Thursday.

As start-up products and services are innovative, and cannot be compared with similar products and services, a buyer may use them for three months and thereafter they certify that the product is useful and the price is reasonable.

Based on this user certification the product or service will be listed on GeM.

According to an official statement, "As start-up products and services are innovative, and cannot be compared with similar products and services, a buyer may use them for three months and thereafter they certify that the product is useful and the price is reasonable. Based on this user certification the product or service will be listed on GeM."

Earlier in September, GeM also said to be contemplating on allowing private buyers or companies outside government to buy on the government e-marketplace platform in order to help lower the cost of goods and services for governments and raise online transactions with figures of $25 billion.

Currently, GeM has no access to private buyers outside the government and its various entities.

Govt. e-Marketplace (GeM) May Soon Open to Private Buyers; May Also Sell Stakes for Equity

Government e-Marketplace (GeM), the National Public Procurement Portal, which is currently being used ONLY by various government departments/organizations/PSUs, for their online procurement of common use goods & services they require on day to day usage, may soon open for private buyers.

The GeM currently has no access to private buyers outside the government and its various entities. Most state governments now buy requirements such as laptops, car rental services, and medicines for anganwadis using the GeM platform.

However, the government is now contemplating on allowing private buyers or companies outside government to buy on the government e-marketplace platform in order to help lower the cost of goods and services for governments and raise online transactions with figures of $25 billion, said India's commerce minister Suresh Prabhu.

"If somebody else wants to buy on the GeM platform, they will also be allowed to do so. If volume increases, price will also come down and this will benefit both the government and private parties," said Prabhu, while inaugurating the National Mission on GeM in New Delhi for increasing awareness among buyers and sellers.

For registering private buyers on GeM, government is planning to put a system that make sure that buyers make payment in 10 days guaranteed.

The government essentially wants to raise its online transaction over GeM and decrease the cost of goods & services. Currently, GeM records transactions worth $1.5 billion And government is aiming to raise this figure to $25 billion in three years. Amazon India and Flipkart, including Myntra, record online transactions of about $12 billion at present.

"GeM will be doing transactions worth $25 billion in three years and $100 billion in seven to eight years," said the trade minister, Suresh Prabhu.

Surprisingly, the minister also speculated about probable valuation of GeM, which means selling equity of GeM, which is a not-for-profit Section 8 Company registered under the companies Act, 2013. And, this does not allow government to sell its equity in open market. However, in future, if the government wishes to do so then it has to change the nature of the company into a for-profit one.

In April 2017, to replace the public procurement wing called the directorate general of supplies and disposals (DGS&D), Union Cabinet chaired by the PM Narendra Modi had set up the Special Purpose Vehicle (SPV) called as Government e-Marketplace GeM (SPV), which is the owner of GeM platform and builds, operates and maintains GeM platform.

Since its launch in 2016, GeM has recorded more than 725,000 transactions worth more than ₹11,250 crore and established itself as an open, transparent, efficient and inclusive platform providing huge savings to the government.

The portal has nearly 27,000 buyer organizations registered and about 137,000 sellers and service providers offering more than 465,000 products and services for online purchase and contributes to approximately 20-25% average overall savings to the government.

News Sourced from - LiveMint.com