- Decline in Procurement from MSEs
- 43% decrease in procurement from micro and small enterprises (MSEs) by central public sector enterprises (CPSEs) in FY24.
- Reason for decline: Delays due to elections and a budget presentation delay (July 2024) led to a six-month loss in procurement time.
- What is Procurement?
- Procurement is the action of pure buying that involves sourcing, purchasing, receiving, and ultimately inspecting all the goods and sorts of services necessary for a business to run its operations. This includes basic material to all manner of things in the office such as office supplies and software.
- Public Procurement Policy for MSEs
- The policy, amended in 2012, increased the minimum annual procurement from MSEs from 20% to 25%.
- At least 3% of the 25% procurement should come from women-owned MSEs and 4% from SC/ST entrepreneurs.
- Procurement via GeM Portal
- The Government e-Marketplace (GeM) is a digital platform for the online procurement of goods and services by various government departments, organizations, and public sector units (PSUs)
Public Sector Enterprises (PSUs) are businesses in India that are owned or controlled by the government, either partially or wholly.
