GeM Celebrates 8th Incorporation Day With Launch Of AI-Powered Chatbot And Renewed Commitment To Inclusive Growth

On the occasion of its 8th Incorporation Day, the Government e Marketplace (GeM), India’s national public procurement platform, reaffirmed its commitment to driving inclusive growth, digital governance, and economic empowerment.

A major highlight of the celebration was the launch of GeMAI, India’s first generative AI-powered chatbot designed for the public sector.

This marks a significant milestone in enhancing digital public service delivery.

Driving Innovation And Empowering Entrepreneurs

At the event, GeM CEO Mihir Kumar underscored the platform’s dedication to innovation and empowerment.

He explained that GeM’s mission goes beyond procurement, focusing on creating a more accessible, efficient, and equitable marketplace, particularly for micro and small enterprises, startups, weavers, and women-led businesses.

“GeM is not just about procurement; it is about unlocking opportunities for every Indian entrepreneur,” Kumar stated.

Expanding Reach And Boosting Economic Impact

Since its inception, GeM has significantly expanded its reach and impact.

The platform now supports over 1.64 lakh primary buyers and 4.2 lakh active sellers, offering more than 10,000 product categories and 330 services.

Independent studies, including reports by the World Bank and India’s Economic Survey, have highlighted GeM’s effectiveness, with findings suggesting an average cost saving of nearly 10 percent in government procurement through the platform.

Empowering Small Sellers And Entrepreneurs

In line with its mission to support underrepresented groups, GeM has onboarded more than 10 lakh micro and small enterprises, 1.3 lakh artisans and weavers, 1.84 lakh women entrepreneurs, and 31,000 startups.

Kumar highlighted how GeM has redefined public procurement by offering transparent bid dissemination and incorporating diverse stakeholders such as self-help groups and farmer producer organisations.

Reducing Costs And Simplifying Participation

GeM has also streamlined costs for sellers, with 97 percent of transactions now free from transaction charges.

The platform has revised its fee structures, reducing charges by up to 96 percent and capping them at ₹3 lakh for orders exceeding ₹10 crore, down from ₹72.5 lakh previously.

Also Read: Food Processing Sector Boosted By Rs 7,000 Crore Investment, Generating Over 2.5 Lakh Jobs

For small sellers with annual turnovers under ₹1 crore, the caution money deposit has been reduced by 60 percent, with full exemptions for specific categories.

Facilitating Strategic And High-Value Procurements

GeM has played an integral role in several key national procurements, including the acquisition of ₹5,000 crore worth of equipment for the Akash Missile System and ₹5,085 crore in vaccine procurement.

The platform is also facilitating complex services such as drone-as-a-service for AIIMS, GIS and insurance coverage for over 1.3 crore lives, and the wet leasing of chartered flights and CT scanners.

Nationwide Adoption And Seamless Digital Integration

The platform is now operational across all 36 states and union territories, with Uttar Pradesh leading the way in GeM adoption.

In a major push for digital integration, eight states Maharashtra, Manipur, Gujarat, Himachal Pradesh, Assam, Uttarakhand, and Chhattisgarh—have made the use of GeM mandatory.

Successful integrations with Integrated Financial Management Systems (IFMS) have been completed in Assam, Kerala, Odisha, West Bengal, and Delhi, with more planned for Gujarat, Karnataka, and Uttar Pradesh.

Pioneering AI For Enhanced Public Service Delivery

In a landmark step towards digital governance, GeM has introduced GeMAI, a generative AI-powered chatbot that aims to enhance user support.

GeMAI can engage with users via both voice and text in 10 Indian languages, embodying GeM’s vision for inclusive and intelligent service.

Furthermore, the platform has adopted advanced analytics for real-time fraud detection, risk mitigation, and continuous monitoring to ensure transparency and accountability.

As GeM continues to evolve, it remains focused on strengthening its role as a transformative force in India’s public procurement ecosystem, driving economic empowerment and fostering inclusive growth.