What is Government E-marketplace?
It is a national public procurement platform that was launched in
August 2016. Its aim is to facilitate public procurement through a
centralized web portal. If you are looking for business partner, this
might be the best place for you to begin. Since everything happens via
technology and digital processing, there is a heightened degree of
transparency, efficiency and speed. It is an end-to-end solution that
provides buyers and sellers a cashless, paperless and contactless
platform. The tools available on the portal include e-bidding, reverse
e-auction and demand aggregation. More than 3000 orders are placed on
the Government E-Marketplace every day across India. This is a great
portal if you want to find a business
partner to grow your business or to explore new opportunities.
A few words on public procurement
The government needs to procure thousands of goods and services
daily. For this the government is constantly looking for trustworthy
business partners. Various government departments and state-owned
enterprises regularly invite private players to offer their products
and services through various channels. Since a considerable amount of
the GDP and the taxpayer’s money goes into these procurements, it is a
vital component of the economy. This
World Bank blog post says that the Indian government spends an
estimated 20% of its GDP on public procurement. This
LiveMint news report says that the Government E-Marketplace
portal is heading towards performing e-commerce transactions more than
Amazon India and Flipkart put together.
Previously, only big businesses could transact with the government
and accommodate its partnership agreement because smaller transactions
wouldn’t make sense in terms of economy of scale. Even one of the
government departments wanted to find a business partner through some
program, financially it wasn’t viable.
With the “Business to Government” platform, there has been a marked
reduction in lead-time in government procurement. This has enabled
small enterprises and businesses to offer their products and services
to various government departments just like big businesses could do
previously. Small businesses to find the government as a profitable
business partner in case the find it difficult to find a business
partner within their own niche due to competition or lack of funds.
The above World Bank report says that by October 2018, 138,000
sellers had sold approximately 469,000 products and services through
the portal resulting in transactions worth Rs. 115 billion.
Hence, if you’re a small business, and if you feel that you can
provide products and services to government departments, you should
definitely get yourself registered at the Government E-Marketplace portal. Who
knows, maybe you can also get the much-needed business
loan or get the SME finance you have been looking for, for
a long time.
Who are the buyers on the Government E-Marketplace and what
advantages do they have?
All buyers are from the government. So, if you want to find a
business partner through the Government E-marketplace, you will be
working with one of the government representatives. These may include
central government and state government ministries and departments.
Every department, attached and subordinate offices, central and state
autonomous bodies, central and state public sector units and basically
every government body that needs to procure goods and services not
just for carrying out regular government functions, but also for
various construction projects such as airports, railway, roads, ports,
hospitals, stadiums and housing facilities (just to name a few).
The government also intends to allow private companies and businesses
to buy on the Government E-Marketplace which will further expand the
horizon of the portal, bringing more buyers to the small business
sellers. Officers of the rank of joint secretary and equivalent can
purchase through the Government E-Marketplace portal. These officers
can further authorize officers of their choice (from their department)
to use the portal to make the purchases.
Who are the sellers on the Government E-Marketplace and what
advantages do they have?
If you manufacture or provide genuine products and services, you can
become a seller on the Government E-Marketplace. To be able to
register and provide your products and services, you will need to
submit the following documents:
- PAN card
- Aadhaar card
- Mobile number that is linked to the Aadhaar card
- Bank account
- KYC documents
- Cancelled check copy
Once your registration is approved and activated you can list your
products and services on the portal. You can also respond to the
requests placed by various government departments.
As a seller, the advantages that you have on the Government
E-Marketplace portal include -
- Direct access to all government departments and public sector
units looking for products and services to buy.
- One-stop digital facility for bids and reverse auctions on
products and services.
- A seller friendly dashboard for sending and monitoring
transactions and pending requests.
- A clearly defined and uniform purchase procedure without paper contracts.
- You can easily compete with bigger businesses without running the
risk of having to bribe officials or being outbid by unfair means.
- Make new product suggestions to prospective buyers.
- A dynamic pricing based on market conditions.
- Respond immediately to purchase requests.
The benefits of the Government E-Marketplace portal for small
and medium-size businesses
Before the Government E-Marketplace portal the government bidding and
purchase facility was either available to bigger businesses, or those
businesses who had access to the right departments and officials.
The portal has, with a single sweep, democratized the government
procurement process. The entire thing is automated, and most of the
critical decision making happens at the software logic level. Although
the final decision is made by the official on the other side, you get
a fighting chance for every procurement opportunity. Explore various
sections of our website if you need more information on a suitable business
loan partner program in case you want to improve your prospects
in getting more contracts through the Government E-marketplace portal.