Why in News
The Government e-Marketplace (GeM) crossed a cumulative Gross Merchandise Value (GMV) of ₹18.4 lakh crore (approximately USD 197 billion) since its launch in August 2016, with FY 2025–26 contributing ₹5 lakh crore+ — the highest single-year GMV in GeM’s history. The milestone was announced by the Ministry of Commerce and Industry in April 2026, reflecting GeM’s transformation into the backbone of India’s public procurement system.
Key Milestones
| Metric | Figure |
|---|---|
| Cumulative GMV (all time) | ₹18.4 lakh crore |
| FY 2025–26 GMV | ₹5 lakh crore+ (record) |
| MSE share of FY26 orders (volume) | 68% |
| MSE share of FY26 orders (GMV) | 47.1% |
| MSEs registered on GeM | 11 lakh+ |
| Women-led MSE orders (FY26) | ₹28,000 crore+ |
| Women-led MSE order growth | 28% YoY |
| State procurement growth (FY26) | 38.3% YoY |
About GeM — Government e-Marketplace
What is GeM?
GeM is India’s national public procurement portal launched in August 2016 under the Ministry of Commerce and Industry, designed to replace fragmented, opaque government purchasing with a unified, transparent digital marketplace.
How It Works
- Government buyers (Central Ministries, PSUs, State departments) register on GeM and post procurement requirements
- Sellers (MSEs, manufacturers, service providers) list products and services
- Reverse auctions and direct purchases — buyers can compare prices, negotiate, and place orders directly
- Mandatory for Central Government ministries above a threshold (DGS&D circular)
GeM vs. Traditional Procurement
| Parameter | Traditional (GeM predecessor) | GeM |
|---|---|---|
| Price discovery | Manual, opaque | Real-time, competitive |
| MSE access | Difficult (agents, middlemen) | Direct registration |
| Delivery tracking | Manual | Digital, end-to-end |
| Payment cycle | 30–90+ days | 10 days target |
| Transparency | Low | High (public dashboards) |
MSE and Women’s Inclusion — Why It Matters
MSE (Micro and Small Enterprises) on GeM
The Public Procurement Policy for MSEs, 2012 mandates that 25% of total Central Government procurement come from MSEs (minimum 4% from SC/ST-owned MSEs). GeM’s digital architecture has made this compliance easier:
- 11 lakh+ MSEs registered (FY26)
- 68% of order volume in FY26 went to MSEs
- Reduces dependence on agents and government tender middlemen
Women Entrepreneurs
- Orders to women-led MSEs: ₹28,000 crore+ in FY26 (28% YoY growth)
- Women Entrepreneurship Platform (WEP) cross-links with GeM
- Aligned with PM Vishwakarma and Stand Up India schemes
GeM’s Role in Digital Public Infrastructure
GeM is considered part of India’s broader Digital Public Infrastructure (DPI) stack alongside UPI, Aadhaar, and ONDC:
| DPI Layer | Platform | Function |
|---|---|---|
| Identity | Aadhaar | Digital ID |
| Payments | UPI | Instant transfers |
| Commerce (private) | ONDC | Open network commerce |
| Procurement (public) | GeM | Government buying |
| Credit linkage | PSB Loans in 59 Minutes | MSME credit |
UPSC Relevance
GS Paper 2 — Governance
- e-Governance and digital transformation of public services
- Transparency and accountability in public procurement
- MSE policy — procurement mandates and implementation
GS Paper 3 — Economy
- Public procurement as fiscal stimulus and MSME support tool
- Ease of Doing Business improvement via digital portals
- India’s export and supply chain resilience role of domestic procurement
Facts Corner
| Item | Fact |
|---|---|
| GeM launch | August 2016 |
| Ministry | Ministry of Commerce and Industry |
| Cumulative GMV | ₹18.4 lakh crore (~USD 197 billion) |
| FY26 GMV (record) | ₹5 lakh crore+ |
| MSE procurement mandate | 25% of Central Govt purchases |
| MSEs registered | 11 lakh+ |
| MSE order share FY26 (volume) | 68% |
| Women-led MSE orders FY26 | ₹28,000 crore+ |
| State procurement growth FY26 | 38.3% YoY |
| GeM’s role in DPI | Alongside UPI, Aadhaar, ONDC |