In the dynamic landscape of government procurement in India, the Government e-Marketplace (GeM) has emerged as a game-changing platform. Launched in 2016 by the Ministry of Commerce and Industry, GeM is a unified portal to facilitate the procurement of goods and services by government departments, PSUs, and autonomous bodies. With over 1,64,000+ buyers and 10,000+ products, GeM ensures transparency, efficiency, and inclusivity.
However, with great opportunity comes great responsibility. Sellers and service providers must strictly adhere to the GeM Portal Guidelines to remain in good standing. Non-compliance can lead to severe consequences such as suspension, blacklisting, and legal action.
1. Complete and Accurate Seller Registration#
Compliance starts at the registration stage. GeM mandates that every seller or service provider must:
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Register with valid business credentials: This includes PAN, GSTIN, Udyam/MSME Certificate, bank account details, and address proofs.
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Update company profile regularly: If there's a change in address, phone number, product range, or contact person, the seller must promptly update the profile on the GeM portal.
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Aadhaar Authentication of the authorized signatory is compulsory.
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For certain categories, especially in services, vendors must also provide performance certifications and quality accreditations (ISO, BIS, etc.).
2. Product and Service Listing Compliance#
One of the most common reasons for seller warnings or suspensions is inaccurate or misleading listings. Ensure that:
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All product specifications are precise, detailed, and aligned with government procurement norms.
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Upload clear images, technical datasheets, and warranty details where applicable.
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Choose the right category and sub-category for each product or service.
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Pricing must be competitive and inclusive of all taxes, freight, and installation charges (if applicable).
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Sellers must not copy listings from competitors or submit duplicate entries. This is a violation under the Misrepresentation Clause.
3. Follow GFR 144(xi) and Public Procurement Policies#
The General Financial Rules (GFR) 2017, especially Rule 144(xi), is now actively enforced on GeM. This rule restricts procurement from countries sharing a land border with India unless the bidder is registered with the Competent Authority (typically, the DPIIT).
What this means for sellers:
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If your business has any foreign investment or ownership, ensure that it is disclosed transparently.
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Indian subsidiaries of foreign companies must submit appropriate compliance certificates.
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Products from non-compliant countries must be avoided.
Additionally, GeM compliance requires adherence to:
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Make in India policy
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MSME reservation policies
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Preference to Domestic Suppliers (PDS) under DPIIT guidelines
4. Ensure Quality Control and Timely Delivery#
Government buyers expect timely delivery and high quality.
To ensure post-order compliance:
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Ship items within the stipulated delivery period. Sellers can use GeM Logistics or self-arranged shipping but must update tracking info.
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Avoid delivery delays, as they directly impact your Seller Rating and may incur penalty charges.
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Maintain proper packaging and labeling as per the product category norms.
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For service providers, ensure timely deployment of manpower, submission of progress reports, and compliance with SLAs (Service Level Agreements).
5. Upload Correct and Complete Invoices#
After order fulfillment, the invoice must be:
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Uploaded on GeM within the prescribed timeline (usually 10-15 days).
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In accordance with GST rules.
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Carrying the GeM Contract ID, item-wise details, and authorized signature.
6. Be Responsive in Buyer Communications and Disputes#
GeM encourages transparent and timely communication between sellers and buyers.
As a seller, you must:
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Respond to buyer messages, clarifications, or modification requests within 24--48 hours.
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Participate in bid clarification meetings (virtual or physical).
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Use the Incident Reporting module in case of any issues or violations from the buyer's side.
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Never ignore negative feedback; instead, respond professionally with documented proof if needed.
7. Training, Awareness & Compliance Audits#
Regular internal training helps your team stay updated. Conduct:
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Monthly workshops on GeM SOPs
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Quarterly mock audits to evaluate compliance levels
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Continuous monitoring of your Seller Dashboard, Order Status, Ratings, and Pending Actions
8. Avoid Blacklisting Triggers#
The following actions may lead to blacklisting or suspension:
| Action | Consequence |
|---|---|
| Temporary ban (15--60 days) | Non-fulfillment of orders |
| Submission of fake certificates or documents | Permanent debarment |
| False claims about ownership/manufacturing | Legal action and contract cancellation |
| Spamming or multiple listings | Deactivation of catalog |
Conclusion: Compliance = Credibility + Continuity
Ensuring compliance with GeM guidelines is not a one-time effort---it's an ongoing commitment. It involves:
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Staying updated with policy changes
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Fostering internal discipline
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Delivering with integrity
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Communicating with clarity
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Maintaining complete transparency in documentation
For businesses aiming to grow through government contracts, GeM offers unmatched opportunities. But only those who respect the rules and build a trustworthy reputation will thrive.
Struggling with GeM compliance or new to its rules and policies?
Don't worry - our team of experts is here to handle everything for you, so you can focus on what matters most to your business.
Get started on the GeM Portal today - contact us now!
