India’s economic growth and global competitiveness rely significantly on domestic manufacturing and technological innovation. Recognizing this, the Government of India launched the Make in India initiative in 2014 to promote manufacturing and transform India into a global hub for production. One of the critical enablers of this mission is the Government e-Marketplace (GeM) Portal, an online procurement platform designed to facilitate transparent, efficient, and inclusive government purchases. When used in tandem, GeM portal registration and Make in India create a synergy that enhances procurement efficiency and uplifts indigenous manufacturing.
This article explores in depth how the GeM portal complements the goals of Make in India, the registration process, benefits for Indian businesses, challenges, government policies promoting local sourcing, and how startups and MSMEs can leverage this opportunity for growth.
1. Understanding the GeM Portal
1.1 What is GeM?
The Government e-Marketplace (GeM) is an online platform established by the Ministry of Commerce and Industry in 2016. It is designed to facilitate the procurement of goods and services required by government departments, organizations, and public sector undertakings (PSUs). The platform offers end-to-end procurement solutions, from vendor registration to payment processing.
1.2 Objectives of GeM
- Transparency in government procurement
- Efficiency and speed in acquisition
- Cost-effectiveness
- Inclusivity by supporting small and medium-sized enterprises (SMEs)
- Encouraging Made in India products and innovation
2. Make in India: A Brief Overview
2.1 What is the Make in India Initiative?
Launched in 2014, Make in India is a flagship program to encourage companies to manufacture their products in India and attract investments in the manufacturing sector. The program aims to increase the manufacturing sector’s contribution to the GDP to 25% and create millions of jobs.
2.2 Core Sectors Covered
- Automobiles
- Textiles
- Electronics
- Defense manufacturing
- Pharmaceuticals
- Renewable energy
- Railways
- Chemical products
2.3 Key Objectives
- Promote innovation
- Enhance skill development
- Protect intellectual property
- Build best-in-class manufacturing infrastructure
3. How GeM Portal Supports Make in India
3.1 Prioritizing Local Vendors
GeM has a built-in preference mechanism that prioritizes products made in India. Vendors must declare the percentage of local content in their products during registration. This ensures that products aligned with the Make in India vision are given better visibility and preference.
3.2 Preference for ‘Class I’ and ‘Class II’ Local Suppliers
Per the Public Procurement (Preference to Make in India) Order, 2017, suppliers are categorized based on their local content:
- Class I Local Supplier: More than 50% local content
- Class II Local Supplier: 20% to 50% local content
GeM ensures that these categories get precedence in bidding processes and direct purchases.
3.3 Filters for Made in India Products
Buyers can use filters to select only Made in India or Class I/II local supplier products and services. This enhances demand for indigenous goods.
4. GeM Registration: Enabling Access to Government Markets
4.1 Who Can Register?
- MSMEs
- Startups
- Corporations
- Cooperative societies
- Sole proprietors
- Manufacturers and service providers
4.2 Registration Process
- Visit the GeM Website: Go to the official GeM registration portal.
- Enter Details: Fill in basic information like name, email, phone number, and date of birth.
- OTP Verification: Enter the OTP received via SMS or email.
- GeM Confirmation: A GeM representative will call to confirm your OTP.
- Complete Registration: After verification, your registration is complete.
- Get GeM ID: Receive your seller ID and login credentials via email.
- Set Up Profile: Log in, set up your profile, and list your products.
- Submit Caution Money: You’ll be notified to submit caution money.
- Select Product Listing: On the dashboard, click Product Listing to add new products or manage your existing ones.
- Choose Product Category: Pick the correct category for your product. This helps government buyers find your product easily.
- Start Selling: Your products are now visible to government buyers, and you can begin receiving orders.
4.3 Benefits of GeM Registration
- Direct access to government buyers
- Equal opportunities for MSMEs
- Quick and transparent payments
- No need for middlemen or agents
- Reduction in marketing costs
- Preference in bidding for local suppliers
5. Advantages for Make in India Manufacturers
5.1 Visibility on a National Platform
GeM offers high visibility to Indian manufacturers. Products labeled under Make in India are highlighted, giving them an edge over imported items.
5.2 Government as a Stable Buyer
With thousands of ministries, departments, and PSUs registered as buyers, the government represents a vast and stable market for local businesses.
5.3 Digital Transformation of Procurement
The digital nature of GeM eliminates paperwork, making it easier for local manufacturers to participate without needing complex logistics or tendering knowledge.
5.4 Integration with Quality Certifications
GeM mandates or encourages integration with BIS, ISO, and other standards. This pushes Indian manufacturers to improve their product quality, which aligns with Make in India’s vision.
6. Special Support for MSMEs and Startups
6.1 Startup Runway and Widened Access
The Startup Runway on GeM enables startups with innovative products to sell directly to the government without prior experience or minimum turnover conditions.
6.2 Relaxed Norms
MSMEs and startups can benefit from:
- Exemption from Earnest Money Deposit (EMD)
- Relaxed turnover and experience criteria
- Faster payment cycles
- Exclusive bidding categories
6.3 Integration with Udyam and DPIIT
GeM is integrated with Udyam and Startup India databases. Registration through these platforms automatically fetches the required data for faster approval.
7. Government Policies Encouraging Domestic Products
7.1 Public Procurement Policy for MSEs
This policy mandates:
- 25% annual procurement from MSEs
- 4% of this from SC/ST entrepreneurs
- 3% from women-led enterprises
7.2 Preference to Make in India Order (2017)
Revised in 2020, the order:
- Mandates local sourcing in several sectors
- Empowers buyers to reject bids from non-local suppliers
- Provides price preference to Class I local suppliers
7.3 Atmanirbhar Bharat and GeM
The Atmanirbhar Bharat Abhiyan pushes for self-reliance. GeM acts as the digital procurement wing to promote Indian innovation and reduce dependency on imports.
8. The Future of GeM and Make in India Collaboration
8.1 Enhanced AI and Data Analytics
Future versions of GeM will integrate AI for smarter procurement and better seller suggestions.
8.2 More Sector-Specific Portals
GeM is likely to branch into sector-specific procurement wings to make the platform more efficient for complex industries like defense or infrastructure.
8.3 Boosting Exports via GeM SAHAY
The upcoming GeM SAHAY feature aims to provide easy access to credit, indirectly helping manufacturers improve production and export capacity.
8.4 Blockchain for Supply Chain Integrity
GeM is experimenting with blockchain integration to ensure product authenticity and secure supply chains, further aligning with Make in India’s quality-focused vision.
Also Read:- Gem portal Product list
Conclusion
The GeM Portal and the Make in India initiative are two powerful instruments of India’s economic growth and self-reliance agenda. Together, they create a perfect match—GeM offers the platform, and Make in India supplies the momentum. For startups, MSMEs, and manufacturers, GeM is not just a government procurement portal; it’s a launchpad to scale operations, improve quality, and become a part of India’s journey toward becoming a manufacturing powerhouse.
Registering on GeM is not just a step toward expanding business—it’s a contribution to nation-building. By leveraging the synergy between GeM and Make in India, domestic businesses can achieve sustained growth, tap into vast markets, and help India become a global production hub.
