Government e-Marketplace (GeM) witnesses staggering Rs 1 lakh crore procurement by CPSEs in FY 23-24
Dec 15, 2023
New Delhi [India], December 15 : In a feat of digital procurement, Central Public Sector Enterprises (CPSEs) have achieved a significant milestone by surpassing the Rs 1 lakh crore mark in just 6.5 months of the fiscal year 2023-24.
According to a press release, this outstanding accomplishment reflects a remarkable 166 per cent increase over the same period in the previous year (April to November).
The Government e-marketplace (GeM) has played a pivotal role in facilitating tailored solutions for CPSEs, strategically intervening to accommodate complex procurement requirements.
The consistent rise in the procurement of services by CPSEs is particularly noteworthy, witnessing an increase from approximately RS 37,600 crore in FY 22-23 to around RS 66,550 crore in FY 23-24, covering the period between April and November 2023.
CPSEs' procurement of GeM contributes significantly, representing nearly 63 per cent of the total GeM Gross Merchandise Value (GMV). Over 240 CPSEs actively engage with GeM, with more than RS 2 lakh crore annual GMV recorded in FY 22-23.
In FY 23-24 alone, CPSEs' procurement through GeM is projected to reach RS 2 lakh crore, showcasing a substantial doubling of performance from the previous fiscal year.
Among the top procurers in FY 23-24, CPSEs under the Ministry of Coal, Ministry of Power, Ministry of Steel, and Ministry of Heavy Industries have emerged as leaders.
NTPC Limited, under the Ministry of Power, has notably awarded multiple orders for Mine Development and Operations Services, valued at over RS 40,000 crore.
Handling and Transport Services, the second-highest trending service, have seen significant procurement by CPSEs under the Ministry of Coal, with a total spending of around RS 30,000 crore.
The proactive engagement of 45 CPSEs, registered as sellers on GeM since 2021, underscores their commitment to excellence and support for the public procurement digital ecosystem.
These CPSEs have successfully fulfilled orders totalling nearly RS 23,800 crore, showcasing their embrace of innovation and efficiency.
GeM's growth journey has been further bolstered by the active involvement of CPSEs, with dedicated nodal officers providing seamless support and ensuring successful execution throughout the bid publishing processes.
This collaborative effort highlights the transformative impact of digital procurement in the public sector, with GeM serving as a cornerstone for efficient and transparent procurement practices.
