Here’s an updated 2026-ready overview of procurement types on the Government e‑Marketplace (GeM) portal — tailored for both buyers (purchasers) and vendors (sellers/service-providers) — focusing on how the platform works now, what to expect moving forward, and how to make best use of it. 1. What is GeM and why it matters GeM is India’s government-run online marketplace for procurement of goods and services by central and state ministries, departments, PSUs, autonomous bodies etc. ( Gov e-Marketplace ) It aims to bring efficiency, transparency, and inclusiveness into public procurement. ( Testbook ) For buyers: Ensures standardized process, access to competition, audited trails. For vendors: Opens access to a large marketplace, but also means competition and compliance. 2. Key Procurement Modes on GeM (2026 context) These are the main ways procurements are executed via GeM — both for goods and services. 2.1 Direct / Cart-Based Purchase For items that are s...
(ADVANCE) How to explain GeM (Government e-Marketplace) to newcomers: It's important to start simple, build up gradually, and use relatable examples.
🟦 How to Explain GeM (Advanced Level) to Newcomers
Goal: Make even complex features easy to understand using real-world examples.
🧩 Step 1: Start Simple – A Relatable Analogy
"Imagine Amazon or Flipkart – but it's only for the Government. Ministries, schools, public hospitals, and other government offices buy laptops, printers, furniture, or even services like cleaning and IT support – all through one secure, transparent platform: GeM."
This sets a base understanding. Now, build from here.
🧱 Step 2: Explain Why GeM Exists – The 'Why' Behind It
Before GeM:
Government procurement was slow, involved lots of paperwork.
Prone to favoritism, corruption, and overpricing.
With GeM:
Everything is digital, fast, and trackable.
Saves money for the government.
Provides equal opportunity to MSMEs, startups, female entrepreneurs, and even rural sellers.
🧠 Tip: Use this example:
“A school in Assam can now directly buy laptops from a startup in Bangalore – no middlemen, no commissions.”
🔧 Step 3: Key Functionalities (With Examples)
| Functionality | What it Means | Real-life Example |
|---|---|---|
| Direct Purchase | Buy items under ₹25,000 without bidding. | A local office buys 3 chairs directly. |
| L1 Bidding | Buy based on lowest price (L1). | An IT Dept posts a bid for 100 keyboards. |
| Reverse Auction | Sellers compete to quote lower prices. | Govt hospital buys 50 air purifiers. |
| BOQ (Bill of Quantity) | Used for large or custom requirements. | PWD builds a 10-room school. |
“Reverse auction is like an online auction, but instead of raising prices, sellers keep lowering them to win the deal.”
🔍 Step 4: GeM for Sellers – How They Benefit
Who can become a seller?
Individual entrepreneurs
Startups
MSMEs
Artisans, SHGs, Women-led units
Benefits:
Access to a large government market
Instant online visibility
Timely payments (through PFMS)
🎯 Example:
“A handicraft seller from Rajasthan can now sell handmade décor to a Central Govt ministry in Delhi – with full payment tracking.”
🧑💻 Step 5: Advanced Seller Tools
| Feature | Benefit |
|---|---|
| Catalog Management | Add, edit, and update products/services. |
| Performance Metrics | Track ratings, order fulfillment, delivery times. |
| OEM Uploads | Register as Original Equipment Manufacturer. |
| Brand Listing | Register and protect your product brand. |
| Custom Bidding | Offer tailored quotes for complex tenders. |
🧾 Step 6: Compliance & Legal Side
GFR 2017 (General Financial Rules) guide all procurement.
Mandatory Product Specifications, Delivery Timelines, Service Levels.
Sellers may be blacklisted if they:
Delay delivery repeatedly
Provide fake documents
Fail quality checks
🧠 Clarify like this:
“Just like Amazon can block a seller with bad reviews, GeM too blocks sellers who don’t follow rules.”
📊 Step 7: Real Impact of GeM (Optional Add-On for Training)
| Metric | Data Point (as of 2024–2025) |
|---|---|
| Total Transaction Value | ₹3+ Lakh Crore |
| Number of Sellers | Over 60 Lakh registered sellers |
| MSME Contribution | 57% of total order value |
| Savings to Govt | ₹40,000+ Crore (approx. due to fair pricing) |
🎓 Final Tips for Trainers or Presenters
Use live demo of https://gem.gov.in.
Show a sample bidding process.
Share success stories from real sellers.
Address common myths:
❌ “Only big companies can sell” → ✅ Even SHGs and artisans can register.
❌ “It’s complicated” → ✅ Once you learn it, it’s very smooth.
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