Terminologies of GeM

Government e-Marketplace (GeM) is the National Public Procurement Portal; an end-to-end online Marketplace for Central and State Government Ministries /Departments, Central & State Public Sector Undertakings (CPSUs & SPSUs),Autonomous institutions and Local bodies, for procurement of common use goods& services.

To understand the working on GeM, it is necessary to understand some terminologies involved in GeM.


Buyer is the Contract placing authority, which includes:

  • Central/ State Government Ministries/ Departments including its attached/ subordinate offices,
  • Central/State Public Sector Units (PSUs)
  • Autonomous Bodies acting through its authorized officer(s) for and on behalf of President of India/Governor of the State /PSU/Autonomous Bodies

for purchase of Goods/Services offered by Sellers on GeM.


Any legal entity such as:

  • firm(s) of Proprietorship
  • Partnership Firm
  • Limited Liability Partnership
  • Private Limited Company
  • Limited company
  • Society registered under Society’s Act
  • Statutory Bodies etc.

registered on GeM to sell its Good(s) / Service(s) to the Buyers registered on GeM


OEM is the owner of the Brand / Trademark of the product being offered or in case of un-registered brand’s products / products with own brand, the actual manufacturer of the final product.

The “Seller on GeM” will be either OEM (Original Equipment Manufacturer) or Seller having authorization to sell products manufactured by the OEM in open market.

In case of Services related to Goods, Service Provider on GeM will be either OEM or Service Provider having authorization to Service products manufactured by that OEM in open market. In respect of other Services, Service Provider on GeM will be any legal entity offering its services.


License means by registering the Seller and by offering Product / Service details on GeM, the Seller grants GeM a non-exclusive, royalty-free, irrevocable, perpetual and fully sub-licensable right to use, reproduce, modify, adapt, publish, translate, distribute, and/or display the content/materials which has been submitted to GeM excluding Aadhaar No.


Contract means the purchase order created / issued by the Buyer on GeM for supply of Goods / Services in electronic form which includes scope of supply, delivery instructions and specifications etc. as ordered by Buyer against such Contract besides the subject GTC, STC/ATC as the case may be.


Direct Purchase enables a buyer to buy products upto Rs. 25,000 without comparison(except automobiles), through any of the available sellers on GeM, meeting the requisite quality, specification and delivery period.


L1 purchase enables direct purchase for order values between Rs. 25,000 and Rs. 5,00,000 by way of comparison between atleast three different OEMs or Service Providers on GeM, who meet the buyers requisite quality, quantity, specifications and delivery period.

GPA (GeM Pool Account)

It is a special purpose bank account (non operative Savings/current Account) opened, operated and controlled exclusively by each NPAE(Non-Public Financial Management System (PFMS) Agencies/Entities) for the purpose of crediting 100% projected value of the contracts/supply orders in to the account and for subsequently making timely payments to the suppliers on successful supply and acceptance of goods & services ordered on GeM against supply orders placed by the NPAE on GeM.


Proprietary Article Certificate filter is used to purchase a particular make or model. This is a certificate signed by a competent authority which the buyer needs to provide.


The Vendor Assessment is a facility, mandatory for OEMs, with certain exemptions.

The Vendor Assessment Policy covers three distinct aspects of vendors that are captured and validated.

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