GeM to Expand into Work Contracts, Boosting Procurement Scope

The Government e-Marketplace (GeM) is set to include work contracts in its offerings, expanding beyond goods and services to further increase its procurement scope. The proposal will be submitted to the commerce ministry following stakeholder consultations. This move aims to make GeM the premier national procurement platform.

The Government e-Marketplace (GeM) is preparing to expand its scope by including work contracts on its platform, a senior official announced on Thursday.

Originally launched in 2016 for the procurement of goods and services by central government entities, the portal will now widen its reach to include work contracts such as road and building construction and large-scale projects. Currently, these types of contracts are not available on GeM.

Speaking to reporters, GeM CEO P K Singh revealed that they are finalizing consultations with stakeholders, and a proposal will be sent to the commerce ministry for approval. Singh emphasized that the platform is now ready to handle the addition of work contracts, which would significantly enhance procurement capabilities.

Following the global trend, where 90% of public procurement involves work contracts, this move aims to position GeM as the leading national procurement portal. The new feature is expected to roll out gradually and will not be mandatory initially.

Conducting detailed analyses of existing bid documents from various public works departments, GeM envisions crossing Rs 1.24 lakh crore in procurement by the fiscal year's first quarter. This would make it the world's largest procurement platform, surpassing South Korea's KONEPS.

With over 1.5 lakh government buyers and 62 lakh sellers, GeM currently facilitates the procurement of products ranging from office supplies to automobiles and services like logistics and waste management. The inclusion of work contracts will further solidify its comprehensive procurement services.

(With inputs from agencies.)