GeM may allow private players to source from online platform, but only for bulk buying

Our Bureau New Delhi | Updated on November 07, 2019

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Around 40,000 buyer organisations are already registered on the platform

The Central Government is considering opening up the Government e-Marketplace (GeM) for government contractors and private entities but only for bulk buying.

GeM is also working on an online seller and buyer rating mechanism which will allow sellers to avail working capital loans where the cost of capital is linked to the performance and rating of sellers, according to a GeM official.

This will also help buyers to procure from highly rated sellers in critical areas of procurement.

“Allowing government contractors and private entities to procure in bulk from the platform will increase volumes and help the government gain more. At the same time by restricting purchases by private entities to bulk buying, the number of buyers will be manageable and they can be properly verified,” another official explained.

At present, the GeM platform provides online, end to end solution for procurement of commonly used goods and services for all Central Government Departments and State Governments, Public Sector Units and affiliated bodies.

The value of merchandise (gross merchandise value) sold on GeM portal has crossed Rs 36,000 crores, according to CEO Talleen Kumar. Around 40,000 buyer organisations are registered on the procurement portal and there are over 2.95 lakh sellers/service providers on GeM. Average time taken for seller registration has come down from 20 days to 2 days.

GeM is also working with the Rural Development Ministry, State Government Emporia and Development Commission, Handicarfts, to on board self-help groups and artisan clusters on the platform, Kumar said.

Published on November 07, 2019

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