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GeM to Open Doors for Global Bidders by Year-End, Boosting Competition in Public Procurement

20 May, 2025 106

 

Mumbai, August 11, 2025 — In a move set to reshape India’s public procurement landscape, the Government e-Marketplace (GeM) will soon allow global bidders to participate in tenders, introducing a global tender enquiry feature on its platform before the end of the current financial year.

The policy will enable foreign vendors—particularly those from nations with which India has signed Free Trade Agreements (FTAs)—to bid for government contracts. This is expected to significantly boost competition, improve pricing efficiency, and enhance service quality in public sector procurement.

“The integration of global vendors will not only bring best-in-class products and services but will also ensure Indian buyers get more competitive offers,” said Rajesh Sharma, a senior policy advisor at GeM, who was involved in the policy rollout.

Commerce and Industry Minister Piyush Goyal added, “By welcoming international suppliers, we are reinforcing India’s commitment to transparency, efficiency, and innovation in government procurement. This step will strengthen our global trade partnerships, provide Indian citizens with the highest quality products at the best value, and give Indian businesses an opportunity to benchmark themselves against the best in the world. We envision GeM not only as a procurement platform but as a showcase of India’s competitiveness and technological prowess to the world.”

Why This Matters

  • Elevating Competition: With foreign players in the mix, domestic suppliers will face stronger competition, leading to more competitive pricing.

  • FTA Alignment: The initiative ties directly to India’s FTAs with nations like the UAE and the UK, ensuring procurement policy supports trade diplomacy.

  • Market Transformation: GeM, already a leader in e-procurement, is moving toward becoming a truly global marketplace.

GeM’s Evolution

Launched in 2016, GeM has transformed public procurement by digitizing supplier registration, tender bidding, and contract awarding. With the planned upgrade, the platform will:

  • Facilitate cross-border procurement.

  • Offer multi-currency payment support in the future.

  • Implement stricter compliance and quality checks for foreign vendors.

Future Outlook

The global tender feature will be rolled out in phases, starting with pilot projects in high-value procurement sectors such as infrastructure, defence equipment, renewable energy, and specialized medical technology. Future upgrades will include multi-currency transactions, global logistics support, and advanced vendor verification to ensure compliance and quality.

Since its inception, GeM has grown into one of the world’s largest government procurement portals, clocking over ₹2 lakh crore in transactions last year. This expansion into global participation could push that figure even higher, marking India’s entry into a new era of borderless public procurement.

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