gem:  Govt e-Marketplace sees FY22 turnover top Rs 1 lakh crore - Times of India

gem: Govt e-Marketplace sees FY22 turnover top Rs 1 lakh crore – Times of India

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NEW DELHI: The procurement via Government eMarketplace (GeM), the Amazon-like platform created by the Centre for government purchases, has seen a massive ramp-up with turnover this year topping Rs 1 lakh crore, the highest during any financial year. Since its launch in August 2016 and March 2021, the platform, pushed by PM Modi, had a cumulative gross merchandise value (GMV) — the value of goods and services sold via the site — of Rs 1 lakh crore, which it has matched during 2021-22 as the items on offer expanded rapidly.
“This is a significant increase from previous years. The GeM platform is especially empowering MSMEs, with 57% of order value coming from MSME sector,” Modi said on his Twitter handle. With each government having to deal with multiple quotes from vendors and procurement being a den of corruption, Modi had himself pushed officers to set up an online platform modelled on the lines of Amazon and Flipkart.
While it was slow to take off, government and PSUs can now buy several products and services at cheaper rates than what is on offer on some of the e-tailing platforms. GeM CEO P K Singh told reporters that the procurement value may cross Rs 1. 5 lakh crore during the next financial year, with the government hoping that GMV would be of the order of Rs 3-4 lakh crore in two years, and Rs 10 lakh crore in six to eight years. With over 40 lakh sellers and 59,000 buyers, GeM is bigger than comparable platforms in South Korea (KONEPS) and Singapore (GeBiz), but the GMV is much lower (see graphic).



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