Micro and Small Enterprises (MSEs) were the prime recipients of MoD’s orders, driving Aatmanirbharta in Defence
Atmanirbharta has been pursued with singular focus by the MoD and the three services. While doing so, the MSEs have been deliberately supported to ensure we develop a sustainable defence manufacturing eco-system to ultimately produce quality platforms with Indian expertise.
The Ministry of Defence (MoD) crossed the figure of Rs 1 lakh crore Gross Merchandise Value (GMV) of procurement through Government e-Marketplace (GeM) since its inception in 2016.
GeM is an online platform for public procurement in India envisaged by Prime Minister Shri Narendra Modi. This initiative was launched on August 9, 2016 by Ministry of Commerce and Industry with the objective of creating an inclusive, efficient, and transparent platform for the buyers and sellers to carry out procurement activities in a fair and competitive manner.
In the current fiscal, MoD has placed orders worth Rs 46,000 cr approx. on GeM as of 13.2.2024. The order value of MoD in FY 2022-23 was worth Rs 28,732.90 cr, while it amounted to Rs 15,091.30 cr in the FY 2021-22. The significant increase of over sixty percent from the previous financial year is a testament to MoD’s adoption of GeM platform.
More than 19,800 defence buyers from across the country have placed over 5.47 lakh orders on GeM. About 50% of these orders were awarded to Micro and Small Enterprises (MSEs), bolstering India’s economic growth towards ‘Aatmanirbharta’.
The continued focus on GeM would certainly provide higher dividends, and should we ensure adequate business for MSEs, the much-needed development of a thriving eco-system in defence manufacturing would fructify.
Brig SK Chatterji (Retd)
