GeM's GMV Doubles In FY24 To Cross The INR 4 Lakh Cr Mark

SUMMARY

A sharp rise in procurement of services on the GeM portal played a key role in the rise in the GMV in FY24

Procurement of services on GeM surged 205% in FY24

Launched in 2016, the GeM portal is a marketplace for the purchases of goods and services by the Centre and the state governments

Procurement of goods and services through Government e-Market (GeM) doubled in the financial year 2023-24 (FY24) to cross the INR 4 Lakh Cr mark, led by a sharp growth in procurement of services.

“The procurement of services through the GeM portal has proved to be a pivotal force behind this staggering gross merchandise value (GMV). Nearly 50% of this GMV has been attributed to the procurement of services, displaying a remarkable surge of 205% in terms of services procured on GeM last financial year,” the commerce ministry said in a statement.

Launched in 2016, the GeM portal is a marketplace for the purchases of goods and services by all central government ministries and departments. In addition, there is a dedicated page on the portal for the procurement of goods and services required for election.

A wide range of products from office stationery to vehicles are listed on the portal. Automobiles, computers and office furniture are some of the major product categories. Under the services segment helicopter services, logistics, waste management, among others, can be availed by the buyers.

The vast repository of services on the GeM portal has also enabled state governments to procure innovative solutions that cater to their needs. The ministry also attributed the increase in GMV to more procurement by state governments.

“In this financial year, highest procuring states like Gujarat, Uttar Pradesh, and Delhi have helped states surpass the earmarked public procurement target of this year,” the statement said.

GeM CEO PK Singh said that nearly 50% of the orders on the portal were awarded to marginalised seller segments such as artisans, weavers, craftsmen, MSEs, especially women-led and SC/STs, SHGs, FPOs and startups.

“Through supportive handholding at every step to help diverse sellers and service providers grow their business on GeM, the platform has given impetus to hyper local economies across regions in India, resulting in job creation and greater incomes,” Singh added.

GeM claims to have a network of 1.5 Lakh+ government buyers and 21 lakh sellers and service providers.

Recently, GeM also partnered with the three-day ‘Startup Mahakumbh’ to help more startups onboard the portal.