Parliament Question: Self Help Groups Registered on GeM

GOVERNMENT OF INDIA MINISTRY OF COMMERCE AND INDUSTRY DEPARTMENT OF COMMERCE LOK SABHA UNSTARRED QUESTION NO. 3729 ANSWERED ON 11/08/2026 SELF HELP GROUPS REGISTERED ON GeM 3729. SHRI TEJASVI SURYA: Will the Minister of COMMERCE AND INDUSTRY (वाणिज्य एवं उद्योग मंत्री) be pleased to state: (a) the number of MSMEs, start-ups, women entrepreneurs and Self Help Groups (SHGs) registered on the Government e-Marketplace (GeM), category-wise, including the corresponding figures for Karnataka, particularly Bengaluru; (b) whether procurement from MSMEs through GeM has increased during the last five years, if so, the details thereof, including the value and proportion of procurement from MSMEs year-wise; (c) whether GeM has integrated Artificial Intelligence, machine learning and data analytics to improve procurement efficiency, strengthen price discovery and detect fraudulent or irregular procurement practices, if so, the details thereof; (d) the measures taken to prevent cartelisation, bid rigging, fake bidding, collusive practices and other fraudulent activities on the GeM portal; and (e) the number of vendors suspended, debarred or blacklisted from GeM during the last three years, year-wise, place to strengthen vendor verification and procurement integrity along with the principal reasons and safeguards therefor? ANSWER वाणिज्य और उद्योग मंत्रालय में राज्य मंत्री (श्री णिणिन प्रसाद) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI JITIN PRASADA) (a) The number of MSMEs, start-ups, women entrepreneurs and Self Help Groups (SHGs) registered on the Government e-Marketplace (GeM), category-wise, as on 30th July, 2026, is as below: Seller Group All India Karnataka Bengaluru MSMEs 11,75,001 55,053 16,091 Startups 37,758 2,772 1,951 Women Entrepreneurs 2,17,155 10,896 3,052 SHGs 3,784 266 09 (b) Yes, procurement from MSMEs through GeM has increased during the last five years. The details of procurement from MSMEs through GeM during the last five financial years are as under: FY Total Order Value MSME Order Value Proportion of Procurement (₹ in Cr) (₹ in Cr) FY21-22 1,06,597 59,033 0.554 FY22-23 2,01,317 97,332 0.483 FY23-24 4,03,569 1,90,485 0.472 1FY24-25 5,41,602 1,95,976 0.362 FY25-26 5,02,776 2,37,235 0.472 (c) GeM has started utilising AI/ML based analytical models to identify suspicious procurement patterns, including potential buyer-seller collusion, abnormal pricing and repeated participation patterns. These models help in identifying cases pertaining to Order Splitting, suspected Buyer Seller Collusion based on the similar digital footprints, Bidder's qualification ratio, procurement prices vis-a-vis product median prices etc. The cases flagged through these analytical tools are made accessible to the concerned authorities within the buyer organizations for further review and necessary action. (d) GeM tries to leverage upon the Competition Commission of India (CCI) toolkit to identify any suspected cartels, based on the bidder's digital footprints, like IP address, bid pricing, submission timings etc. GeM has established an Incident Management framework under which violations relating to submission of false documents, fraudulent practices, collusive behaviour and other misconduct are examined and appropriate administrative action, including suspension, and other measures as per GeM policies, are regularly taken. (e) The number of sellers suspended during the last three financial years and are as under: FY Incident Raised Seller Suspended 2023-24 1,96,793 72,902 2024-25 1,96,803 62,091 2025-26 1,81,035 55,772 The main reasons for suspension include: • Listing the products/services in wrong category or with wrong specifications. • Unreasonable offer price • Delay in Delivery as per contract • Refuses to supply products/services after placement of contract. GeM has implemented multiple safeguards to strengthen vendor verification and procurement integrity, including the following: • GeM has a fully online vendor registration process. • GeM has deployed advanced analytics tools to detect procurement anomalies such as order splitting, suspicious bidding, abnormal pricing and potential collusion, with flagged cases reflected on primary buyer's dashboards for action. Anti-competitive behaviour or cartel formation is classified as a Severe/Grave deviation under GeM's Incident Management framework, with proven cases attracting suspension of up to 365 days. ***** 2