admin
The Government eMarketplace (GeM), the six-year-old public procurement website, is closing in on e-commerce giants Amazon and Walmart-owned Flipkart in terms of gross merchandise value (GMV).
Prashant Kumar Singh, chief executive officer of GeM, recently said the portal would be the largest e-commerce platform in India by the end of the current financial year, crossing Amazon and Flipkart. Singh pegged the FY23 GMV target for GeM at Rs 2 trillion (around $25 billion).
In FY22, GeM recorded a GMV of $14.2 billion, as against Amazon India’s $17 billion and Flipkart’s $23 billion.
GeM is time-efficient as the turnaround time for award of contract on the platform is significantly lower than state-specific portals.
This has reduced the share of cancelled tenders to single digit in several states.
The portal also saves cost in the range of 8-10 per cent of GMV. If GeM manages to achieve the Rs 2-trillion target by FY23-end, it will save around Rs 20,000 crore to the public exchequer and public sector undertakings.
The average order value per day has witnessed a six-fold jump, and the average number of orders per day has almost doubled in FY23 compared to FY21.
| Platform | FY22 annual GMV ($ bn) |
| GeM | 14.2 |
| Amazon India | 17 |
| Flipkart | 23 |
| *Portal crossed ~1 trillion in GMV on Tuesday in FY23 | |
| *Cumulatively, it has logged over ~3 trillion in GMV since inception | |
| *GeM’s revised GMV target for FY23: ~2 trn (about $25 bn at current exchange rate) | |
| Sources: GeM; Bernstein report; Walmart Publications | |
| State | Turnaround time for award of contract (in days) | % of cancelled tenders | ||
| GeM | State portal | GeM | State portal | |
| Odisha | 34 | 166 | 3% | 22% |
| Assam | 23 | 65 | 9% | 24% |
| Karnataka | 63 | 137 | 6% | 47% |
| Maharashtra | 42 | 95 | 9% | 23% |
| Rajasthan | 23 | 95 | 4% | 24% |
| Tamil Nadu | 34 | 127 | 10% | 12% |
| Source: GeM | ||||
| – | FY20-21 | FY21-22 | FY22-23 |
| Average order value per day (~ crore) | 69 | 292 | 410 |
| Average no.of orders per day | 5,337 | 9,086 | 10,418 |
| Source: GeM | |||
GIPHY App Key not set. Please check settings