2025/12/24 12:13 pm
India's Micro, Small, and Medium Enterprises (MSME) sector has reached another significant milestone in its digital procurement path. The Government e-Marketplace (GeM) portal, the country's principal online procurement tool, has topped 1.12 million MSME members as of November 2025, enabling them to secure orders worth ₹7.44 lakh crore — accounting for over 44.8% of total transactions.
This result highlights the expanding involvement of MSMEs in India's public procurement ecosystem and reinforces GeM's position as a revolutionary enabler of inclusive, transparent, and technology-driven commerce.
Building a Digital Bridge for MSMEs
The Ministry of Commerce and Industry launched GeM in August 2016 with the goal of providing a one-stop, paperless platform for government procurement. It replaced time-consuming, offline tendering systems with a transparent and competitive digital marketplace, granting MSMEs unprecedented access to government purchasers across India.
GeM has grown into a trustworthy marketplace for both buyers and sellers in less than a decade. MSMEs now serve over 1.6 lakh government buyers with IT peripherals, medical equipment, and furniture, as well as advisory and logistical services, across over 11,000 product categories and 332 service categories.
The platform is run under Rule 149 of the General Financial Rules (GFR) 2017, which mandates government procurement through GeM, assuring complete transparency and efficiency.
Empowering Entrepreneurs Across Sectors
Beyond numbers, the platform's greatest success comes from supporting underrepresented business categories. The Commerce and Industry Ministry reports that over 2 lakh women-owned firms are operating on GeM, fulfilling orders worth ₹78,066 crore. Initiatives such as "Womaniya" have been essential in onboarding and educating female entrepreneurs, connecting them directly to procurement possibilities from ministries, PSUs, and state departments.
Similarly, GeM's SWAYATT initiative promotes "Startups, Women, and Youth Advantage through e-Transactions," with an emphasis on MSMEs, SC/ST entrepreneurs, and startups. Startups have executed orders worth ₹35,950 crore, and impoverished entrepreneurs have dramatically increased their participation in public procurement.
Recent success stories highlight the platform’s diversity:
Forward Auctions: A New Avenue for Growth
In addition to procurement, GeM organizes forward auctions to dispose of government assets like as scrap, e-waste, machinery, and properties. Between December 2021 and November 2025, the portal hosted over 13,000 auctions worth ₹2,200 crore, involving over 23,000 registered bidders.
This digital asset disposal mechanism has quickly gained traction, demonstrating efficiency and transparency across departments. The State Bank of India auctioned 100 EWS flats in Lucknow for ₹34.53 crore, while the National Zoological Park in New Delhi used the GeM auction module to successfully dispose old objects.
Promoting Inclusiveness and Fair Play
GeM is based on three basic principles: openness, fairness, and inclusion. It gives all sellers equal access, regardless of size or region, while removing intermediaries and guaranteeing that procurement decisions are transparent and based on the greatest value, quality, and delivery criteria.
Through ongoing training programs, digital literacy initiatives, and seamless integration with Udyam registration, GeM has made digital government procurement more accessible than ever before to India's MSMEs. Key features including auto-payment within 10 days, reverse e-auction procedures, and real-time analytics have increased seller confidence and competitiveness.
The Road Ahead
GeM's growth mirrors a broader digital transformation in India's economy. The platform's steady expansion, with a target of ₹10 lakh crore in annual order value by 2030, aligns with the government's vision of improving procurement efficiency, speed, and inclusion. Emerging technologies such as AI-driven analytics, blockchain integration, and mobile-first modules have the potential to significantly enhance the platform's capabilities.
With MSMEs now accounting for over 44% of all transactions on GeM, the site is doing more than merely ease procurement; it is democratizing opportunity. It has become a potent emblem of India's Atmanirbhar Bharat goal, which combines policy, technology, and entrepreneurship to drive progress.
As more MSMEs, startups, and women entrepreneurs join its ranks, GeM is reshaping how India buys and small companies thrive.