In FY23, the procurement value stood at ₹2 trillion, surpassing the ₹1.06 trillion in the previous financial year. In FY24, it is estimated to cross ₹3.5 trillion, GeM chief executive P.K. Singh said at a press conference.

Central public sector enterprises (CPSEs) are propelling the GeM marketplace, with procurements of over ₹1 trillion in April-November, marking an increase of 166% from a year earlier, according to an official statement.

Launched in August 2016, the GeM portal facilitates online procurement of goods and services for all central government ministries and departments. At present, the portal comprises 133,549 primary buyers, 205,737 secondary buyers, and 11,897 registered product categories.

According to data from the GeM portal, in FY23, order volumes was at 5,036,510, while order values exceeded ₹2 trillion. During April-November 2023, the portal reported order volumes of 3,717,387, amounting to over ₹2 trillion.

CPSEs’ procurements on the portal constitute almost 63% of GeM’s gross merchandise value (GMV), with 245 CPSEs actively participating. According to the statement, the top five contributors for this fiscal year in value terms include Coal India, National Thermal Power Corp. (NTPC), Steel Authority of India (SAI), Bharat Dynamics, and Bharat Heavy Electricals Ltd (BHEL). As of December 10, NTPC, a subsidiary of the power ministry, awarded orders worth over ₹40,000 crore for mine development and operations services, Singh said

During this period, handling and transport services emerged as the second-highest trending services. CPSEs operating under the coal ministry were the leading procurers, with a cumulative expenditure of ₹30,000 crore, according to the statement.

The portal offers an extensive array of products, spanning from office stationery to vehicles, with major product categories including automobiles, computers, and office furniture. Presently, government departments, ministries, public sector units, state governments, and central armed forces are authorized to carry out transactions through this portal. Additionally, GeM features a range of services, such as transportation, logistics, waste management, webcasting, and analytics.

So far in FY24, substantial procurement orders have been placed by Uttar Pradesh, Gujarat, Maharashtra, Delhi, Madhya Pradesh, Jammu & Kashmir, Odisha, Bihar, Assam, and Uttarakhand. “GeM’s expansion into the services sector has played a pivotal role in driving its accelerated adoption,” Singh said, adding that services sector contribution in procurement rose from 23% in 2021-22 to about 50% so far this fiscal year.

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Published: 14 Dec 2023, 10:10 PM IST