GeM Surpasses ₹18.4 Lakh Crore GMV, Emerges as Backbone of India’s Digital Public Procurement Ecosystem

India's Government e Marketplace (GeM) has crossed a major milestone, achieving a cumulative Gross Merchandise Value (GMV) of ₹18.4 lakh crore, including over ₹5 lakh crore in FY 2025–26 alone—underscoring its rapid evolution into one of the world's largest digital public procurement platforms.

The achievement signals not just scale, but a structural transformation in how government procurement is conducted—moving toward a system defined by transparency, data-driven decision-making, and inclusive economic participation.

A Digital Engine Powering Public Procurement

Launched to modernise government purchasing, GeM has grown into a nationwide digital infrastructure that connects buyers across ministries, departments, states and public sector enterprises with suppliers from across the country.

The platform enables:

• Seamless procurement across sectors

• Real-time price discovery and competition

• Direct market access for enterprises of all sizes

• Transparent and auditable public spending

According to GeM CEO Shri Mihir Kumar, the ₹18.4 lakh crore milestone reflects deepening trust among buyers, sellers and institutions in a technology-driven procurement ecosystem.

MSMEs Lead the Growth Story

A defining feature of GeM's success is its strong focus on inclusion—particularly the integration of Micro and Small Enterprises (MSEs) into government supply chains.

In FY 2025–26:

• 68% of total orders were fulfilled by MSEs

• MSEs contributed 47.1% of total GMV

• Over 11 lakh MSEs are registered on the platform

During the year alone:

• MSEs secured 51 lakh+ orders worth ₹2.36 lakh crore

• This represents over 20% growth compared to the previous year

This scale of participation highlights GeM's role in democratising access to government contracts, traditionally dominated by larger firms.

Empowering Women, SC/ST Enterprises and Startups

GeM's inclusive framework is also enabling historically underrepresented groups to participate in public procurement.

Key highlights:

• 2.1 lakh women-led MSEs registered

  • Orders worth ₹28,000 crore+

  • Growth of ~28%

• SC/ST enterprises

  • Orders exceeding ₹6,000 crore

  • Growth of ~28%

• Startups

  • Orders worth ₹19,000 crore+

  • Growth of over 36%

These figures point to a broader structural shift—where public procurement is becoming a tool for social equity, entrepreneurship, and grassroots economic development.

AI and Data Analytics Strengthen Transparency

At the core of GeM's expansion is a robust technology backbone powered by Artificial Intelligence (AI), Machine Learning (ML), and advanced analytics.

Key innovations include:

• ML-based catalogue validation to ensure accuracy and standardisation

• Pre-sanity checks to minimise errors before transactions

• Real-time monitoring systems for transaction oversight

Advanced analytics are also being deployed to detect:

• Abnormal pricing patterns

• Collusive bidding behaviour

• Technical rejection anomalies

• Potential buyer–seller collusion

Additionally, tools like Bid Health Scores provide actionable insights, helping buyers make better procurement decisions while strengthening trust in the system.

States Drive the Next Phase of Growth

After strong adoption by Central Ministries and Public Sector Enterprises, GeM is now witnessing rapid uptake by States and Union Territories.

In FY 2025–26:

• Procurement by States grew by 38.3%

This surge indicates:

• Rising confidence in GeM's transparency and efficiency

• Deeper penetration of digital procurement at regional levels

• Expansion of market access for suppliers across India

Transforming India's Public Economy

GeM's growth reflects a larger shift toward Digital Public Infrastructure (DPI) in governance—where platforms are designed to be scalable, inclusive and data-driven.

By integrating millions of sellers with government demand, GeM is:

• Reducing procurement inefficiencies

• Enhancing fiscal transparency

• Promoting competition and fair pricing

• Driving formalisation of small businesses

Looking Ahead

As India continues to digitise governance systems, GeM is expected to play a central role in shaping the future of public procurement.

With expanding participation, advanced analytics, and a strong inclusion agenda, the platform is not just facilitating transactions—it is redefining how public money is spent, monitored, and leveraged for economic growth.

The ₹18.4 lakh crore milestone is therefore more than a number—it is a signal that India's procurement ecosystem is becoming more transparent, inclusive, and technology-driven than ever before.