Startups and Women Entrepreneurs Benefit From India’s Digital Procurement Push

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The Government e-Marketplace (GeM) has played a pivotal role in making India’s public procurement system more digital, transparent, and inclusive over the years. Launched on August 9, 2016, this technology-driven and data-centric platform has significantly boosted the participation of Micro and Small Enterprises (MSEs), startups, women-led businesses, and Scheduled Caste/Scheduled Tribe (SC/ST) groups in government procurement.

A Major Shift in Public Procurement

GeM was established as a significant, transformative reform. It has replaced the traditional, fragmented procurement system with a digital, unified marketplace. Features such as online onboarding, a transparent bidding system, digital contract management, and end-to-end procurement processes have simplified participation in government procurement. This provides businesses of all sizes—across various regions of the country—the opportunity to engage in government procurement.

Record Growth in Business Participation

One of GeM’s most significant achievements is the partnership with Micro and Small Enterprises (MSEs). While only 2,396 MSEs were registered on the platform in 2016-17, that number has now crossed 11.9 lakh. During the same period, the value of procurement from these enterprises has surged from ₹69 crore to over ₹8.69 lakh crore. Meanwhile, the number of orders has risen from 2,994 to over 2.17 crore.

A Major Platform for Women Entrepreneurs and Artisans

GeM has also empowered women entrepreneurs. The number of women-led businesses on the platform has grown from 268 to over 2.16 lakh. The procurement value associated with them has increased from ₹8 crore to over ₹93,327 crore. Participation by startups has also improved rapidly; while only 88 startups were involved in 2016-17, that figure has now exceeded 40,000. Procurement value has surged from ₹2 crore to ₹61,400 crore.

Impressive Participation from SC/ST Entrepreneurs

Significant growth has been recorded in the participation of entrepreneurs from Scheduled Caste (SC) and Scheduled Tribe (ST) communities via GeM. The number of registered SC/ST MSEs (Micro and Small Enterprises) has risen from 38 to over 66,000, with the procurement value exceeding ₹21,800 crore.

Pivotal Role in the Health Sector

GeM has not limited its role merely to the procurement process; it has also facilitated public service delivery. The platform has assisted in the procurement of over 324 crore vaccine doses and 199 crore syringes. Additionally, it has streamlined the procurement of medical kits, health equipment, and various medical supplies and services.

Leveraging Technology

GeM utilizes AI-based tools, advanced data analytics, digital monitoring, and robust telecom infrastructure to enhance its services. This has improved the procurement experience for buyers, sellers, and consumers alike.

Supporting ‘Atmanirbhar Bharat’ and ‘Viksit Bharat’

GeM serves as a vital link connecting local enterprises with government demand. By providing opportunities for sectors such as plastics, steel, electronics, and rural enterprises to participate in government procurement, it is actively supporting national initiatives like ‘Atmanirbhar Bharat’ (Self-Reliant India) and ‘Viksit Bharat’ (Developed India). GeM CEO P.K. Singh stated that the platform has made significant contributions over the years toward developing an efficient, transparent, and inclusive public procurement system. He noted that GeM has opened up government procurement avenues for local enterprises, thereby expanding economic opportunities and ensuring equitable access to the market.

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