Govt E-Marketplace Aims To Onboard 1 Lakh Startups

2024-09-28 02:09:46

(MENAFN- KNN India) New Delhi, Sep 28 (KNN) The Government e-Marketplace (GeM), India's public procurement platform, has announced plans to incorporate 100,000 startups into its system.

This initiative aims to enable new businesses to participate in eligible government procurement bids, even if they cannot meet standard requirements for turnover and experience.

Ajit B Chavan, Additional Chief Executive Officer, GeM, stated, "Our target is to have all the DPIIT-recognised startups, which either have a product to sell or service to offer to the government, on the GeM platform."

Currently, approximately 26,500 startups recognised by the Department for Promotion of Industry and Internal Trade (DPIIT) are registered as sellers on GeM.

The platform allows government buyers to relax eligibility criteria for startups, including minimum experience, past performance, and financial position.

Since its inception in 2016, GeM has facilitated public procurements exceeding Rs 10 lakh crore, establishing itself as the world's second-largest government procurement platform after South Korea's KONEPS.

Recently, GeM reduced transaction charges, particularly benefiting startups and micro, small, and medium enterprises (MSMEs). Orders valued up to Rs 10 lakh now incur no transaction fees.

Chavan reported that MSEs listed on GeM have fulfilled about 39 per cent of the total order value awarded through the platform. DPIIT-recognised startups have conducted business worth over Rs 29,000 crore via GeM.

The platform has also emerged as a key driver of India's 'Make in India' policy. In the 2020-21 financial year, nearly 39 per cent of bids from central government entities on GeM were earmarked with 'Make in India' preference.

This figure has risen to approximately 81 per cent in the current fiscal year, indicating a significant increase in the adoption of the policy.

As of June 30, 2024, the number of DPIIT-recognised startups exceeded 140,000. GeM's initiatives align with the government's broader goals of supporting domestic businesses, fostering innovation, and enhancing India's global competitiveness.

(KNN Bureau)

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