GeM has potential to handle transactions up to $100B per annum, says CEO
Speaking at a webinar organised by ICC, GeM CEO Talleen Kumar said the platform was a part of the ‘Vocal for Local‘ initiative of the Centre. He said,
“The potential of GeM is that the platform can handle transactions worth $100 billion per annum, given the fact that 18 percent to 20 percent of the country’s GDP (Gross Domestic Product) goes into procurement expenses.
Kumar also said the platform has been proved to be effective for sellers as they are able to do business during COVID-19 times. The platform is a move towards transparency and has been appreciated by several other countries, he added.
“The present version of GeM will be upgraded after enhancing the system and a unified procurement system will be put in place,” Kumar said.
According to Kumar, GeM, which was launched in August 2016, has so far handled transactions worth Rs 59,000 crore, processing 4.5 lakh orders.
He said vendors in the country were scattered and GeM would bring them on a single platform, adding that this will also lead to better price discovery. GeM will be integrated with the railway procurement system, which will make the supply chain more efficient. It will use artificial intelligence (AI) and data analytics for evaluation of sellers coming on the platform.
Earlier this month, GeM announced that it was rolling out its advanced version soon, which will be anchored in the unified procurement system to provide a single user flow for government buyers. The new version will have significant enhancements and improvements with multiple features and functionalities for diverse buyers.
Prior to this, GeM had made it mandatory for sellers to mention ‘country of origin’ on products they wish to sell through the platform, a move aimed at promoting Aatmanirbhar Bharat (self-reliant India).
Source: Yourstory
