As per the information was given by MSME Minister Nitin Gadkari in Rajya Sabha, “Central Public Sector Enterprises (CPSEs) has passed the least procurement threshold of 25 % goods and services from MSEs under Public Procurement Policy till November 27 in the present economic year.
The Impact:
28.96 % procurement worth Rs 17,720 crore was delivered by CPSEs serving 65,920 MSEs. The eight-month procurement rate has already traversed FY19’s 26.31 %. Still, the procurement cost from MSEs for FY19 was Rs 40,434 crore that profited 1.27 lakh MSEs.
The 25 % charge by CPSEs, departments and central ministries from MSEs also comprises 4 % from MSEs occupied by SC/ST entrepreneurs and 3 % from women-oriented MSEs. In the present fiscal year so far, as per the Public Procure Policy monitoring gateway MSME Sambandh, the procurement from SC/ST MSEs was 0.51 % at Rs 311 crore serving 2,579 before-mentioned MSEs.
For women-owned MSEs, the procurement stood at 0.41 % at Rs 253 crore benefiting 1,628 MSEs here. The total procurement from CPSEs including MSEs was worth Rs 61,196 crore to date.
Exponential Gains from the introduction of GeM:
Government e-Marketplace (GeM) introduced by the government in August 2016 for purchasing from companies comprising MSEs had served five central ministries save Rs 24.84 crore for the month of October 2019. GeM which has approximately 3 lakh traders comprising 60,000 micro and small sellers (MSE) assist spare Rs 16.47 crore for Ministry of Electronics and Information Technology supported by Rs 7.74 crore for Ministry of Coal, savings for Ministry of Tourism persisted at Rs 46.19 lakh, Rs 14.29 lakh for Ministry of New and Renewable Energy while Drinking water ministry and Sanitation was capable to save Rs 2.80 lakh, GeM tweeted on lately.