GeM portal services procurement to reach Rs 1.5 trillion

02 Nov 2023 CW Team

The procurement of services from the Government e-Market (GeM) portal is anticipated to reach Rs 1.5 trillion this fiscal year. This increase is attributed to higher purchases made by various ministries and departments within the government. The GeM portal, established on August 9, 2016, facilitates online acquisitions of goods and services for all central government ministries and departments.

According to GeM CEO P K Singh, the services procurement amount was merely Rs 30.69 billion in 2019-20, but it surged to Rs 659.57 billion in 2022-23. For the current fiscal year, it is anticipated to reach Rs 1.5 trillion. Singh mentioned that prominent buyers of services include Central Public Sector Enterprises (CPSEs) like Coal India, NTPC, and ONGC. Additionally, various states such as Gujarat, Uttar Pradesh, Delhi, Uttarakhand, Punjab, and Nagaland, along with central ministries like coal, power, defence, and finance, are active participants in service procurement.

The primary service categories in demand comprise manpower outsourcing, vehicle hiring, mine development and operations, handling, transport, and other mining services, insurance, IT, and medical services. Notably, subsidiaries of Coal India have placed 175 orders with a total value of Rs 245.58 billion for handling, transport, and other mining activities.

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