The Government e-Marketplace has signed a memorandum of understanding with the Delhi government to facilitate efficient procurement by buyer organisations. GeM now has agreements in place with 30 states and Union territories. The MoU is aimed at harmonising the procurement guidelines and integrating the systems for a seamless experience for the buyers. The agreement was signed by Neeraj Bharati, special secretary, finance, government of NCT of Delhi and Rajeev Kandpal, CFO and joint secretary, GeM.
GeM is a public procurement platform established by the government of India. It allows direct purchase, bidding and reverse auction to facilitate efficient procurement by government departments. It has around 15 lakh products and services under 3,000 categories. The efficiency and transparency offered by the platform has resulted in savings up to 25% for buyer organisations. Currently there are 40,000 buyer organisations and more than 3 lakh sellers and service providers registered on the portal.
There were media reports that the Union government is planning to allow government contractors and private entities to place their bulk orders on GeM. The thinking behind the move is that a larget buyer base will increase the volume of transactions and help the system become more efficient. At present, the platform caters to all central government departments, state governments and PSUs. The reports said GeM was also working on a buyer/seller rating system that will help sellers avail working capital loans.