Government procurement of select goods and services is now possible at a one-stop online marketplace — an arrangement aimed at improving transparency and bringing down corruption.

Commerce & Industry Minister Nirmala Sitharaman on Tuesday launched the pilot phase of ‘Government e-Marketplace’ (GeM), an end-to-end procurement system for common use goods and services by government buyers developed by Directorate General of Supplies and Disposals (DGS&D).

“It is a big step towards meeting the dream of the Prime Minister to move to a system with greater transparency and no corruption. Like GST will revolutionise the taxation system, this marketplace will revolutionise government procurement,” said Sitharaman.

While initially only common use items in 26 categories will be placed on the GeM portal, the Centre aims to bring a greater number of goods and services on the e-platform, she said.

The government procures about 161 goods and services from various vendors. As per estimates, the DGS&D buys goods worth₹10,000 crore a year for various departments and ministries.

Items such as computers, office equipment and stationery can be purchased online in the pilot stage. Apart from goods, GeM provides facility for engaging taxi services with multiple options of hiring like spot, daily use, monthly or annually.

Under the new system, a buyer can carry out direct purchase of goods and services up to ₹50,000 and beyond this through price comparison, bidding or reverse auction.

The Department of Expenditure has also issued a directive to all paying authorities to make payments on GeM procurement within a maximum of 10 days. Acceptance or rejection of goods has to be within 10 days of receipt or will be deemed accepted.

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