GeM - UPSC Current Affairs

Copyright infringement not intended

Context: The Gross Merchandise Value of the Government e-Marketplace (GeM) surpasses Rs 2 lakh crore in 2022–23.

Government e-Marketplace

About

The Government e-Marketplace (GeM) is an online public procurement platform in India.
The Ministry of Trade and Industry launched the initiative in August 2016 intending to establish an open and transparent procurement platform for government buyers.
GeM SPV (Special Purpose Vehicle), a 100% Government-owned, non-profit business under the Ministry of Commerce and Industry, owns the platform.
GeM is a contactless, paperless, and cashless online marketplace that was established in 2016 to replace the Directorate General of Supply and Disposals (DGS&D).

Objectives

The three fundamental pillars of GeM — Efficient, Transparent, and Inclusiveness — ensure that doing business in the Government e-Marketplace is quick and simple.
It is inclusive since it allows everyone to do business on GeM, is efficient for easy company operations, and is transparent for fair business practices.
The platform aims to increase transparency, efficacy, and speed in public procurement.
It provides a variety of procurement techniques, such as direct purchase, electronic bidding, electronic reverse auction, and direct reverse auction.
The digital platform allows economies of scale, efficient pricing discovery, and best-practice distribution.

Significance

GeM has increased the visibility and transparency of public procurement.
The site has revolutionised Indian public procurement by focusing on its three pillars: inclusivity, usability and openness, and efficiency and cost savings.
According to an impartial World Bank study, the average savings for purchasers in the Government e-Marketplace site are around 9.75% off the median price.
The Government of India has mandated that vendors display the 'country of origin' on items sold through the GeM site.

Present Status of GeM

GeM has an order value of INR 3.50 lakh crores as of February 10, 2023, and has already surpassed 1.5 lakh crores in the current fiscal year.
As of February 10, 2023, GeM has 66,663 Buyer Organizations and 58,93,283 Sellers & Service Providers, of which 8,77,528 are MSME Sellers & Service Providers. It also has around 30,81,000 goods in approximately 11,358 product categories and 278 service categories.

Initiatives taken under GeM

Green Gold Collection

In June 2021, the Union Minister of State for Agriculture and Farmers' Welfare inaugurated a special online page on the GeM site for Bamboo goods and excellent planting materials. The page is known as "The Green Gold Collection."

GeM SAHAY

To assist proprietors in meeting large-scale orders, GeM introduced a Google Playstore App GeM SAHAY in June 2021, which assists proprietors in obtaining loans against their buy orders.

Divyangjan entrepreneur

In June 2021, GeM established the gateway for onboarding particularly abled vendors under its project 'Divyangjan entrepreneurs' as a show of inclusion, its third pillar.

GeM Samvaad

GeM started a two-month countrywide outreach initiative named GeM Samvaad in December 2019 to assist seller onboarding while catering to the specialised specifications and procurement needs of buyers.

SWAYATT Project

GeM launched the SWAYATT project in February 2019 to promote Startups, Women, and Youth Advantage via e-Transactions on the Government e-Marketplace site.

Other important initiatives

On the occasion of World Environment Day 2021, the GeM site created a new product category called "Green Room Air Conditioners."
In June 2021, GeM developed a special page for COVID-19 items, which aided in addressing the emergency needs for oxygen cylinders, concentrators, kits, and so on.
The Unified Procurement System for Goods and Services was released in October 2020, with the integration of the Central Public Procurement Portal (CPPP) with GeM, as well as the functionality of the "GeM Availability Report and Past Transaction Overview" and "custom bids."
GeM Launch In April 2019, Runway was founded to help entrepreneurs market innovative goods and services to government users.
The Union Government established the 'Womaniya on Government e-Marketplace' project in January 2019, which allows women entrepreneurs and Women Self-Help Organizations to sell handicrafts, handloom, and accessories directly to Government departments.

PRACTICE QUESTION

Q. Government e-Marketplace (GeM) is the Initiative of which Ministry?

(A) Ministry of Finance

(B) Ministry of Skill Development and Entrepreneurship

(D) Ministry of Commerce and Industry

Answer: D