Overview of GeM registration in Chennai, Tamil Nadu
Public procurement is a method used by state-owned enterprises and government departments to purchase services and goods for their operational needs from private businesses. But, at times there are higher chances of collusion or corruptive practices taking place in the process. Hence, the Govt of India launched the Government E-Marketplace, an e-marketplace for public procurement from private individuals or businesses following the provisions of the Allocation of Business Rules, 1961 on 9 Aug 2016. It facilitates the union/state Government Departments/Ministries to procure goods/services of the highest quality at reasonable prices within the necessary delivery period from 3lakhs+ sellers listed on the portal.
The primary aim of the GeM is to encourage public participation, allow access to small-scale industries & start-ups to large buyers, ensure faster procurement of goods & services, and above all, bring transparency in the public procurement processes through direct purchase or e-bidding for larger orders in a contactless manner through direct purchase by Government/ Ministries /Departments of Central/State Governments from manufacturers/service providers directly with least interaction possible.
The GeM portal completes control and ownership of the marketplace through a Special Purpose Vehicle, a non-profit company formed under the direction & supervision of the Ministry of Commerce, under the Union Government of India. It overlooks the functionalities of the portal.
For the facilitation of smooth transactions between sellers & buyers, the GeM portal offers tools such as reverse e-auction, e-bidding, and demand aggregation to help government users/buyers get the best value for their money. However, to avail of all the benefits of the GEM, one needs to register themselves as a buyer or seller on the online GEM portal in Chennai, Tamil Nadu.
GeM registration in Tamil Nadu
Tamil Nadu is popularly known as the ‘Land of Temples.’ It consists of more than 33,000 ancient and historical temples that are certainly built collectively through the Dravidian style of architecture. The state is located in the southern part of the Indian Peninsula. 26th January is celebrated as the Formation Day of Tamil Nadu. Tamil Nadu is the 10th largest in terms of area and the 6th largest in terms of population. Tamil Nadu shares its boundaries with Puducherry (Indian union territory) in the east, Kerala in the west, and Karnataka and Andhra Pradesh in the North, and also shares an international maritime border with Sri Lanka. This state provides shelter to the Tamil people andthe Tamil language is one of the oldest and longest-existing classical languages in the world. Demographically, this Tamil language is majorly spoken in the state and is also the official language of the state. As per the 2011 census, around 88% of the population of Tamil Nadu is Hinduism.
Tamil Nadu has all flavors of the tourist attraction. This state is a historically privileged home of various ancient and medieval pilgrimage sites. It has gigantic mountains in the Western Ghats, exhilarating waterfalls, flourishing and dense vegetation, enchanting beaches, impressive monuments, several sacred temples imprinted on the sculptures with the blend of the Dravidian Architecture, fabulous wildlife, etc. Tamil Nadu has numerous scenic spots, elegant scenarios, rich cultural heritage spots with a touch of spiritual essence, and unaffected and impressive diversity. Tamil Nadu consists of 5 UNESCO (United Nations Educational, Scientific and Cultural Organization) world heritage sites they are Mamallapuram Monuments, Thanjavur Brihadeeswarar Temple, Gangaikonda Cholapuram Brihadeeswarar Temple, Darasuram Airavatheeswarar Temple, and Nilgiri Mountain Railway.
The climate of Tamil Nadu state has mostly witnessed monsoon fails and thereby, later on, leads to droughts-prone areas when the monsoon failed. Tamil Nadu state consists of a wide range of national parks, wildlife sanctuaries, and biosphere reserves such as – the Sathyamangalam Tiger Reserve (the largest elephant population in India), Gulf of Mannar Biosphere Reserve (specialized in seaweed seagrass, coral reefs, salt marshes, and mangrove forests), Agasthyamala Biosphere Reserve, Anamalai and Mudumalai National Park and many more. The wildlife sanctuaries and biosphere reservesaim to protect the natural habitat and provide a favorable ecosystem for the endangered species. As per the latest survey, India has a human development index of 0.619, in which the contribution of Tamil Nadu state is 0.736 which is the highest among all the states in the country. Tamil Nadu is among the most literate state in India with a literacy rate of 80.33 percent. In the Economy of Tamil Nadu, the contribution of the agriculture sector plays a crucial role. Tamil Nadu is the leading producer of agricultural products and Tamil Nadu is the fifth largest producer of rice in India.
Capital- Chennai
Top Business Ideas in Tamil Nadu
Vanakkam! If you are thinking to start a business in Tamil Nadu? It is the best place to start a business. Here are some of the amazing business ideas in Tamil Nadu. As we know that Tamilnadu is India’s sixth-largest state, it is located at the southernmost tip of the country. It has a rich cultural heritage and mouth-watering South Indian cuisine. The state also has a rich agriculture sector. The Tamil Nadu State exhibits high economic liveliness and with a high Human Development index (with a literacy rate of around 80%), a good infrastructure, highly attractivewhich is the best in Asia, and it is also India’s leading and innovative knowledge hub. This provides a golden opportunity for entrepreneurs and investors to work on unique ideas for their businesses. Let’s check out the top business ideas available in Tamil Nadu: –
Poultry farming business
Poultry farming is one of the most profitable and cost-effectivebusinesses in Tamil Nadu. If you are thinking to start a small-scale business in Tamil Nadu then this is the best niche to start. In spite of the poultry farming appears to be a lucrativebusiness, but still many people fail because of a devoid of proper enterprise knowledge and business idea. Hence to receive the high returns with less small-scale investment, first, it is been strongly recommended to have a fair and standard knowledge of poultry farming business setup before starting the business. Bakery business
In the past few years, it has been witnessed that there is a consistent increase in the demand for bakery products in Tamil Nadu. Starting with the Bakery business is one of the best business ideas at present in Tamil Nadu. If you do like enjoying the baking stuff and have proper knowledge in this field. Then you should start the business with very small capital investment and you can expand it over time by promoting it. You need to provide the best possible stuffto the customer. However, starting a bakery business is getting more popular these days. It is because it needs very less initial investment. If your Bakery products satisfy the customer then sooner or later your business going to generate enough income.
Startup Ecosystem in Tamil Nadu
The Tamil Nadu state has been at the front line of the economic development of our country. Entrepreneurship and technological advancement with innovation has provided the perfect platform for the state. Hence to boost the existing potential of the Tamil Nadu state, the state government has launched a unique startup policy in 2018. The main motto of this policy is to turn Tamil Nadu into a global innovation hub and the most tested and preferred spot for startups and business ideas. However, The policy is valid only for a period of 5 years from 2018 to 2023. The main purpose of the startup and innovation policy of Tamil Nadu is to provide an enabling atmosphere to the investors, and entrepreneurs for the startup in the state. The main objective of this policy is to partner with the different educational institutions and investors to promote the startup ecosystem. They also care to provide incentives and necessary resources to the startups with mentoring and investing guiding mechanisms. They also focus on reducing the existing tax burden on the startups. Apart from this, they have decided to foster the growth of at least 5000 startups in the state.
Salient Features of GeM portal in Chennai, Tamil Nadu
- The GeM portal is a simple, convenient & contact-less marketplace that enables the buyers (Govt departments/Ministries/PSUs) to procure goods & services from the sellers who have registered themselves & listed on the portal in an efficient & transparent manner.
- The GeM online marketplace has disrupted the traditional means of public procurement, and the whole concept rests on these three pillars namely- Inclusion, Usability & Transparency; and Efficiency and Cost Savings.
- With tools like reverse e-auction, e-bidding, and demand aggregation, etc. among others, the GeM portal acts as a one-stop-shop that facilitates easier online e-procurement of consumer goods & services as required by various government sectors and departments.
- Registration as either a buyer or a seller is the prerequisite to accessing the GeM portal in Chennai, Tamil Nadu. Also, it shall be compulsory for every seller to mention the ‘Country of Origin’ during the registration process, which will be displayed later on the portal. With GeM the Government of India aims to extend its support to smaller businesses and start-ups that can provide better products at reasonable prices.
- The GeM portal eliminates the human interface allowing the buyer to search, compare select from the variety of products, and buy in bulk available on the platform which provides for details such as product details, quantities, etc. including all details required for each product. Similarly, the seller could list the products, and keep a check on the supplies, payments, and price changes as per the requirements and changing needs of the market.
- Since the GeM portal is a completely transparent platform, there are no entry barriers or conditions for seller registration on the platform. The parties to a transaction on any particular transaction on the platform are notified of each progress through SMS and e-mail notifications for each transaction that takes place on the platform.
Important terms under the GeM portal in Chennai, Tamil Nadu
i. Buyer – The organizations who are eligible to register as a Buyer and are authorized to procure goods from the GeM portal in Chennai, Tamil Nadu–
- Ministries under Central Government/State Government
- Departments under the State government including its subordinate offices.
- Autonomous bodies registered under Union & State Governments
- Central and State autonomous bodies.
- Public Sector Undertakings (PSUs)
- Local bodies.
However, the buyer’s abovementioned shall be required to authorize Government officers/heads of offices as the primary users on the GeM portal in Chennai, Tamil Nadu, which includes-
- Any officer of Central Government/State government/ Public Sector Units (PSU).
- Autonomous bodies/ Local bodies/ Constitutional Bodies, or Statutory Bodies at the Deputy secretarial level;
- Head of the office at Sub-Centre/ Unit/ Branch.
It is to be noted that these primary users are only responsible for registering their organizations on the GeM portal, but they are prohibited from participating in the process of procurement and can only be a consignee to receive a service/product. They are required to create user accounts for the secondary users, assign them roles and responsibilities and supervise all secondary users’ transactions on the portal. Secondary users will be responsible for procuring supplies of goods/services and related functions like receipt of stores, placing contracts and making seller payments, etc. The secondary user shall be authorized to use the GeM portal in Chennai, Tamil Nadu for such purchases as provided below-
Sum | Manner of Purchase |
Up to Rs. 25000/- | Without any comparison (except automobiles) through the suppliers accessible on the GeM portal those who meet the required specification, quality, and delivery period. |
Rs.25,001- Rs.5,00,000 | L1 purchase by way of direct purchases
through the GeM sellers offering the lowest Price by comparison between at least three different OEMs or service providers on the GeM portal meeting criterion related to the specification, quality, and delivery period. |
Purchases above Rs.5,00,000 | Purchase from the supplier having the lowest price meeting the requisite specification, quality, and delivery period. |
After obtaining bids, the purchases must be made using the reverse auction tool or online bidding provided on the portal (except in the case of automobiles where the applicable limit is Rs. 30Lakh. However, the procuring authorities should certify the reasonability of rates.
ii. Seller – Every seller who wishes to offer his products/services to the buyers on the GeM portal needs to register himself as a listed Seller by making an online application along with the prescribed documents and fees, i.e. commonly known as GeM registration.
In other words, the seller is a legal entity that sells his/her goods or renders services to the buyers registered on the GeM portal in Chennai, Tamil Nadu. Any of the following may be registered as a seller on the GeM portal in Chennai, Tamil Nadu-
- Sole Proprietorship firm.
- Partnership firm.
- Limited Liability Partnership (LLP).
- Private and public limited company.
- Society registered under the Societies Act.
- Statutory bodies.
iii. Original Equipment Manufacturer – Under the GeM portal in Chennai, Tamil Nadu, there are two categories of sellers i.e. OEM (Original Equipment Manufacturer) or an authorized Reseller. While OEM is the actual owner of the trademarked products offered for sale on the portal or such actual manufacturers who do not possess any trademark, whereas reseller is a person/entity having the authorization to sell products manufactured by the OEM in the open market.
Following are the persons who are considered OEMs and can sell products on the GeM portal in Chennai, Tamil Nadu:
- Manufacturers
- Brand owners and third-party manufacturing.
- Importer and authorized sellers.
- Service provider.
- Assemblers
Process of GeM Seller Registration Online in Chennai, Tamil Nadu
Step 1 – Access the GeM portal in Chennai, Tamil Nadu
In the first step of registration, the applicant will be required to access the GeM portal by logging on to (https://gem.gov.in/). On the page, you will find two tabs Seller or Buyer registration, the user will be able to find it right below the “Sign Up” tab, which will redirect him to the page of “terms and conditions” of the website, before, starting the process, go through the module accurately before tapping on the “accept” option.
Step 2- Create a Seller Account on the GeM portal in Chennai, Tamil Nadu
The first step towards seller registration on the GeM portal is by creating an account for the prospective seller. Registration on the GeM portal should be done only by an authorized person (Director of the organization or a key person/proprietor). Sellers can sign up on GeM through the Aadhaar/PAN card of the key person of the organization.
Step 3- Update Organization Profile & Fill up the Form in Chennai, Tamil Nadu
After acceptance of the terms & conditions on the portal, the user will be redirected to the gem seller registration form. During this, the user will be required to fill in details of the applicant as well as his organization in four main sections- PAN validation, Organization details, office location, and bank account details. Further, there are three operational sections i.e. MSE, Start-up, & Tax Assessment, which need to be completed one by one.
- Jot down the name of the organization correctly.
- Now, the user will be required to choose the type of registration as per his comfortability. i.e. Aadhaar or PAN-based registration and further include personal details such as the Name of the applicant or authorized signatory, card number, DoB, address, etc.
- Next, the user will enter his mobile number details which should be in use, and verify the same using OTP. To receive OTP Tap on the “Send OTP” option. Once OTP is received, enter the OTP in the prescribed section & authenticate it. Similarly, the user has to authenticate his email address.
- Once the user authentication is completed, he can create his username along with the password for accessing the GeM portal & completing the process of GeM seller registration.
After the completion of the user profile on the portal, caution money has to be paid by the seller under the turnover of the entity.
Step 4- Seller Assessment on GeM in Chennai, Tamil Nadu
In the next step, the seller needs to apply for seller assessment through the GeM portal to obtain an OEM certificate. Seller Assessment is compulsory for those who wish to participate in public procurement of Q1& Q2 categories of products, which is carried out by the Quality Council of India. Thus, irrespective of the category of products required to be sold on the portal, manufacturers must become OEMs.
Step 5- Listing of the Products/Services to be procured through GeM in Chennai, Tamil Nadu
Subsequently, after registration & assessment, the OEM can list his offerings with his brand under the relevant category of products & services. Vendors can list their products whether or not the trademark is registered or not registered on unbranded products. After listing, the products & services of the sellers/vendors will go on live on the GeM website after the GeM authority approves the listing.
Step 6 – Bid Participation & Appointment of Resellers in Chennai, Tamil Nadu
After listing the products or services to be procured by the buyers on the platform, any registered seller can participate in the tender & submit quotations and accept orders on GeM. OEMs can submit bids either through themselves or through the authorization of resellers to list their products & services after getting approval.
Next, whenever any buyer buys any products, the concerned seller needs to deliver the product to the consignee when an order is received by entering its details on the portal. After the order is delivered, the consignee will inspect the product and issue acceptance or rejection online. If the consignee accepts the order, he/she will generate a Consignee Receipt and Acceptance Certificate (CRAC).
Once the CRAC is issued, the buyer will process the bill & forward the same to the payment authority post which the payment will be received within ten days of the generation of CRAC.
Caution Money is required to be deposited for GeM Registration in Chennai, Tamil Nadu
Caution Money Deposit | Fee |
i. Seller holding an annual turnover lesser than Rs. 1 Crore | Rs. 5,000/- |
ii. Seller holding a turnover above Rs. 1 Crore but lesser than Rs. 10 Crores | Rs. 10,000/- |
iii. Seller holding a turnover more than Crores | Rs. 25,000/- |
Other than this, every seller shall be required to pay a Vendor Assessment Fees which will be equal to Rs. 11,200 + GST |
Documents Required for GeM Registration in Chennai, Tamil Nadu
Like any other process of authorized documentation, the user will be required to prepare & keep ready the following documents while filling the form for seller registration on the GeM portal in Chennai, Tamil Nadu-
- Proof of identification for the primary user (proprietor/ nominated partner or authorized signatory in case of company/LLP) e. Aadhaar, PAN, etc.
- Certificate of Incorporation of the business organization including Udyog Aadhaar, or LLP-associated requirements
- Verification of the Authorised person of the business organization through Income Tax Return)
- Details of – Registered Office, Billing Address, Factory, Warehouse, other Office Premises
- Bank Account details of the business along with the supporting KYC documents;
- Trademark registration certification;
- Details of communication mobile number & email address as per Aadhaar Card
- MSME registration certificate(where applicable)
- NSIC registration certificate (if applicable)
- The latest copy of ITR (along with the details related to business profits or gains)
It is to be noted that during the process of seller profile assessment if any of the documents submitted are found to possess false information, such applicant will be exterminated from the registration procedure.
Benefits of GeM Portal in Chennai, Tamil Nadu
i. Encourages Equal Public Participation in Govt. Tenders– The primary objective behind the launch of GeM is to curb corruptive practices and allow more public participation in Government tenders.
ii. Simple, Convenient & User-Friendly Dashboard- The GeM portal has been designed in a way to simplify end-to-end processes from registration to transaction between sellers & buyers on the platform, which could be completed the conveniently at any place by any applicant in India. Further, with new tools like e-bidding, auction, payment, contract management, etc. the process has been made more effective as well as efficient.
iii. Allows greater benefits for the buyers- The GeM portal also allows several benefits for the buyers including-
- Opportunity to get the best from the variety of offerings available from the sellers at reasonable prices through e-bidding from more than 3Lakh sellers;
- Longer bidding duration between 10-21 days;
- Pin-code-based seller choice for direct purchases;
- Availability of ATC library for the addition of terms and conditions;
iv. Benefits to SMEs & Start-ups– The GeM portal also allows benefits to small-scale industries & start-ups with features such as –
- Allowing Direct purchases up to Rs. ₹25,000
- L1 purchases for sums between ₹25,000 – 5 Lakhs rupees.
- Enables price comparisons and price trends between Multiple Suppliers
- Allows Integrated Payment Systems & notifications to suppliers directly.
v. Complete Online security – The GeM portal safeguards sensitive information related to both parties through its secure platform. It also takes effective measures such as e-verification of documents & e-signed digitally at each stage.
vi. Effective Grievance Redressal Mechanism – GeM portal allows a quick & effective online grievance redressal mechanism between parties online.
vii. Introduction of new features for OEMs- In order to afford more convenience for OEMs, there have been certain new features introduced through the portal which include additional enhanced parameters in the existing report apart from the new chart widgets in agreement with the OEM & MAIT recommendations.
viii. Benefits for Sellers-
- Direct Access To The Largest Buyers In The Country
- PAN (Presence across Nation) India Reach With Minimal Marketing
- Direct Purchase, Bids, And Reverse Auctions
- Dynamic Pricing Based On Market Conditions
- Multi-Lingual Support Desk
Make in India (MII) Certificate for OEMs in Chennai, Tamil Nadu
Through a circular no. P-45021 was notified on 04.06. 2020, the Department of Promotion of Industry & internal trade, under the Government of India declared a ‘Make in India’ certificate to be issued to the sellers in Chennai, Tamil Nadu encouraging the Make in India initiative & promoting the manufacturing and production of goods & services in India and further create employment opportunities & enhance the income of the population. The sellers having the Make in India certificate will be given more preference during L1 (lowest bidding) during receiving bids for the tenders. Additionally, local suppliers holding a Make in India certificate on the GeM will also be given preference under other categories.