India’s journey toward becoming a global economic powerhouse is closely tied to the strength of its local industries and manufacturing capabilities. In an era of globalization and intense international competition, building a strong domestic production base is essential for economic stability, job creation, and technological advancement. To support this vision, the Government of India launched the Make in India initiative, encouraging companies to manufacture within the country and reduce dependence on imports.

Complementing this mission is the Government e-Marketplace (GeM) Portal, a digital platform created to transform the way government procurement is carried out. Together, GeM and Make in India form a powerful ecosystem that promotes transparency, supports indigenous industries, and provides fair market access to Indian businesses. While Make in India focuses on boosting production, GeM ensures that locally produced goods and services reach government buyers efficiently.

This article explains how the GeM portal aligns with the objectives of Make in India, the benefits it offers businesses, how MSMEs and startups can use it to drive growth, and how government policies strengthen local sourcing through this platform.

What is GeM?

The Government e-Marketplace (GeM) is an online procurement platform launched in 2016 by the Ministry of Commerce and Industry. It allows government departments, ministries, public sector units (PSUs), and autonomous bodies to purchase goods and services directly from registered sellers.

GeM offers a complete digital solution for procurement, including vendor onboarding, product listing, bidding, order placement, invoicing, and online payments. By eliminating middlemen and manual procedures, GeM ensures faster, more reliable, and cost-effective procurement.

Key Objectives of GeM

The main goals of the GeM portal include:

  • Promoting transparency in government purchases

  • Reducing delays and paperwork

  • Ensuring competitive pricing

  • Encouraging participation from MSMEs and startups

  • Supporting Indian manufacturers and service providers

  • Strengthening trust between buyers and sellers

GeM is not just a procurement portal; it is a national digital marketplace designed to democratize access to government business opportunities.

Make in India: Driving Domestic Production

Overview of the Initiative

The Make in India program was introduced in 2014 to transform India into a global manufacturing hub. The initiative focuses on boosting local production, attracting foreign investments, improving infrastructure, and creating employment opportunities.

The long-term vision of Make in India is to increase the contribution of manufacturing to India’s GDP and make Indian products competitive in both domestic and international markets.

Core Focus Areas

Make in India covers multiple sectors, including:

  • Automobiles and auto components

  • Electronics and IT hardware

  • Textiles and apparel

  • Defence and aerospace

  • Pharmaceuticals and medical devices

  • Renewable energy

  • Railways and heavy engineering

These sectors are critical for building a strong industrial base and reducing import dependency.

Key Goals

The initiative aims to:

  • Encourage innovation and research

  • Enhance skill development

  • Improve manufacturing infrastructure

  • Protect intellectual property

  • Promote entrepreneurship

Together, these goals help build a resilient and self-reliant economy.

How GeM Supports the Make in India Vision

Preference for Local Sellers

One of the strongest features of GeM is its focus on local sourcing. Sellers are required to declare the percentage of local content in their products while registering. This information helps government buyers prioritize Indian-made products.

This mechanism directly supports Make in India by increasing demand for domestic goods and encouraging manufacturers to source materials locally.

Classification of Local Suppliers

Under the Public Procurement (Preference to Make in India) Order, suppliers are categorized as:

  • Class I Local Supplier: More than 50% local content

  • Class II Local Supplier: Between 20% and 50% local content

GeM provides higher visibility and bidding preference to these categories, especially Class I suppliers. This ensures that government funds are spent on strengthening local industries.

Filters for Indian Products

GeM allows buyers to apply filters to view only Made in India products or services. This makes it easier for procurement officers to choose indigenous options, thereby increasing the market share of domestic manufacturers.

GeM Registration: Gateway to Government Markets

Who Can Register?

GeM is open to a wide range of sellers, including:

  • MSMEs and startups

  • Large corporations

  • Manufacturers and traders

  • Service providers

  • Cooperative societies 

  • Sole proprietors

This inclusive approach ensures equal opportunity for businesses of all sizes.

Registration Process

The GeM registration process is fully online and user-friendly:

  1. Visit the official GeM website.

  2. Enter basic details such as name, email, mobile number, and business type.

  3. Verify using OTP.

  4. Complete profile and upload required documents.

  5. Receive seller ID and login credentials.

  6. List products or services.

  7. Submit caution money if applicable.

  8. Start participating in bids and receiving orders.

Once registered, sellers gain access to a nationwide government buyer network.

Benefits of GeM for Indian Businesses

National-Level Visibility

GeM provides a single platform where products are visible to thousands of government buyers across India. This eliminates the need for expensive marketing campaigns and helps even small manufacturers reach large clients.

Government as a Reliable Buyer

The government is one of the largest buyers in the country. Regular procurement ensures stable demand, predictable cash flow, and long-term business relationships.

Reduced Cost of Selling

Since GeM removes intermediaries, businesses save on commissions and agent fees. This allows them to offer competitive pricing and improve profit margins.

Faster and Transparent Payments

Payments on GeM are processed digitally, reducing delays and disputes. This improves liquidity and financial planning for sellers.

Special Advantages for MSMEs and Startups

Startup Runway

The Startup Runway feature on GeM allows innovative startups to sell directly to government buyers without prior experience or turnover requirements. This gives young companies a rare opportunity to scale quickly.

Relaxed Eligibility Norms

MSMEs and startups benefit from:

  • Exemption from Earnest Money Deposit (EMD)

  • Relaxed experience criteria

  • Priority in bidding

  • Faster payment cycles

These incentives reduce entry barriers and encourage entrepreneurship.

Integration with Udyam and Startup India

GeM is connected with the Udyam Registration and Startup India databases. This enables automatic verification, faster onboarding, and easier access to benefits.

Government Policies Promoting Local Procurement

Public Procurement Policy for MSEs

This policy mandates:

  • At least 25% procurement from MSEs

  • 4% from SC/ST-owned enterprises

  • 3% from women-led businesses

GeM helps implement this policy by identifying eligible sellers and prioritizing them.

Preference to Make in India Order

This order allows buyers to reject non-local bids and provide price preference to Indian suppliers. It strengthens domestic manufacturing by ensuring fair competition.

Atmanirbhar Bharat and GeM

Under the Atmanirbhar Bharat Abhiyan, GeM acts as the digital backbone of self-reliance by promoting Indian products, reducing imports, and supporting local innovation.

Future of GeM and Make in India Collaboration

AI and Smart Procurement

GeM plans to integrate artificial intelligence for better demand forecasting, smarter recommendations, and improved user experience.

Sector-Specific Expansion

Future developments may include dedicated portals for sectors like defence, healthcare, and infrastructure, improving efficiency in complex procurement.

GeM SAHAY and Credit Support

The GeM SAHAY initiative aims to provide easy access to credit for sellers, helping them scale production and explore export opportunities.

Blockchain for Supply Chain Transparency

Blockchain technology is being tested to ensure product authenticity, secure transactions, and reliable supply chains.

Also Read:- Gem portal Product list

Conclusion

The GeM Portal and Make in India initiative together form a powerful ecosystem that strengthens India’s domestic production and industrial pride. While Make in India focuses on encouraging manufacturing, GeM provides the digital platform to connect producers with one of the largest buyers in the country—the government.

For MSMEs, startups, and manufacturers, GeM is more than a marketplace. It is a growth engine that offers national visibility, financial stability, and long-term business opportunities. By registering on GeM, businesses not only expand their market reach but also contribute to India’s vision of becoming a self-reliant and globally competitive economy.

In essence, GeM is not just about selling products—it is about building confidence in Indian industries, promoting innovation, and shaping the future of India’s manufacturing success story.