Central government buyers follow Rule 149 of the General Financial Rules (GFR) 2017 for GeM purchases. The value limits were raised by an amendment in 2024.
| Purchase value | Mode | What it means for sellers |
|---|---|---|
| Up to ₹50,000 | Direct purchase | Buyer can order from any seller that meets quality, specification and delivery needs. A good catalogue and fair price matter most. |
| ₹50,000 to ₹10 lakh | L1 purchase | Buyer compares offers of at least three manufacturers and orders from the lowest-priced seller. Bidding or RA may also be used. |
| Above ₹10 lakh | Bid / reverse auction | Mandatory online bid or reverse auction. Documents and eligibility decide who qualifies. |
What this means for you
- Small orders come from your catalogue. Keep listings complete and prices competitive.
- Larger orders come from bids. Watch bids in your category daily and keep documents ready.
- State government buyers may follow their own state rules, so limits can differ.
Sources
SoftTender is a private consultancy. We are not affiliated with GeM, CPPP, NSIC or any Government department. Registration on official portals such as GeM is free; we charge only for our assistance service. We do not guarantee that any tender will be awarded.