What India General Financial Rules (GFR) 2017 + Government e-Marketplace (GeM) Procurement Framework requires
The General Financial Rules (GFR) 2017 issued by the Department of Expenditure under the Ministry of Finance, Government of India, are the principal procedural framework governing financial administration of the Union Government including procurement, contracts, financial management, and disposal of assets. The Rules consist of 13 chapters spanning General System of Financial Management (Chapter 2), Revenues and Receipts (Chapter 3), Demands for Grants and Appropriation Accounts (Chapter 4), Establishment Matters (Chapter 5), Procurement of Goods and Services (Chapters 6 and 7 the operative procurement chapters), Inventory Management (Chapter 8), Contract Management (Chapter 9), Grants-in-aid and Loans (Chapter 10), Budget Formulation (Chapter 11), Government Accounts (Chapter 12), and Works (Chapter 13). The procurement provisions in Chapters 6-7 set the methods of procurement (open tender, limited tender, single tender, two-stage bidding), the e-procurement mandate, the preferences for Micro and Small Enterprises (MSME) and for products with local content under Make in India, the rate contracts framework, and the Central Public Procurement Portal (CPPP) publication requirements. The Government e-Marketplace (GeM) launched in August 2016 and operated by the Ministry of Commerce and Industry through GeM SPV is the central online procurement platform mandated for most goods and services procurement by Union government ministries, central public sector enterprises, and most state governments via opt-in. GeM operationalises the GFR 2017 procurement provisions through standardised product catalogues, dynamic pricing, reverse auctions, direct purchase up to defined thresholds, L1 (lowest acceptable) award, and integrated debarment screening. The framework intersects the Public Procurement (Preference to Make in India) Order 2017 (and successor amendments), the MSME procurement preferences under the Public Procurement Policy for Micro and Small Enterprises Order 2012, the Defence Acquisition Procedure (DAP) 2020 for defence procurement, and the Procurement Manual for Goods 2024 issued by the Department of Expenditure as the operative manual for executing GFR procurement provisions.
Pillar: Public Sector & Government Procurement · Authority: Department of Expenditure, Ministry of Finance, Government of India (GFR 2017); GeM Special Purpose Vehicle under Ministry of Commerce and Industry (GeM platform) · Version: 1.0.0 · Last updated:
Primary source: https://doe.gov.in/sites/default/files/2024-09/General%20Financial%20Rules%2C2017_0.pdf
SHA-256 integrity: d2339d405e2cb1f9d05cbaad2752939372429c135acff13be426793c7b6cc856
Primary Citations — 10 traced to source
- General Financial Rules (GFR) 2017 - Department of Expenditure, Ministry of Finance, Government of India - principal procedural framework for Union Government financial administration including procurement
- GFR 2017 Chapter 6 - Procurement of Goods - methods of procurement, e-procurement mandate, preferences
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