Cabinet gives nod for 'e-marketplace' for govt procurement

GeM SPV will provide an end to end online marketplace for central and state government ministries

The Cabinet on Wednesday decided to set up 'Government e-Marketplace' as a national portal for buying goods and services by central and state government entities.

The Union Cabinet, chaired by Prime Minister Narendra Modi, decided to set up a special purpose vehicle to be called 'Government e-Marketplace (GeM SPV) as the National Public Procurement Portion registered under the Companies Act, for providing services required by central and state government organisations.

The GeM SPV shall provide an end to end online marketplace for central and state government ministries/departments, central and state PSUs, autonomous bodies and local bodies for procurement of common use goods and services in a transparent and efficient manner.

It further said that Directorate General of Supplies & Disposal (DGS&D) would be wound up and cease its functions by October 31, 2017.

"In case it is not possible to wind up DGS&D by October 31, 2017, the department may extend the date of closure with proper justification latest up to March 31, 2018," an official statement said.