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GeM vs CPPP: which government portal should you bid on?

GeM vs CPPP (eprocure.gov.in) compared: what each portal is for, who must use which, registration, fees, EMD and ePBG, evaluation and payment timelines.

Written by the Grovia Tender team, Webzworld · Published 3 November 2026 · 9 min read

Short answer: GeM (gem.gov.in) is the government's online marketplace for goods and services, where buyers purchase directly, compare L1 offers, or run bids and reverse auctions. CPPP (eprocure.gov.in) is the central portal where ministries, departments, PSUs and autonomous bodies publish tenders, and its e-procurement system (GePNIC, built by NIC) receives bids for works, goods and services. Under Rule 149 of the General Financial Rules 2017, central government buyers must use GeM for goods and services available on it; everything else, including most civil works, is tendered and published on CPPP. Most growing suppliers register on both.

What is GeM, and what is CPPP?

GeM (Government e-Marketplace) works like a regulated online store. You register as a seller, list products in a catalogue or offer services in defined categories, and government buyers either order from you directly or invite you into a bid. Documents are standardised, and orders, acceptance and payment are tracked on the portal. Our GeM guide for first-timers walks through it step by step.

CPPP (Central Public Procurement Portal) at eprocure.gov.in has two jobs. First, it is the publication point: GFR Rule 159 requires central ministries, departments, their offices and autonomous bodies to publish tender enquiries, corrigenda and award details there. Second, its e-procurement module (the NIC GePNIC system) is where many of those buyers receive bids online, as GFR Rule 160 requires bids to be received through e-procurement portals. Some PSUs run their own e-procurement systems but still publish on CPPP. Each tender has its own document set, often 50 to 300 pages, rather than a standard GeM template. See CPPP e-procurement step by step.

In short: GeM is where the government shops; CPPP is where the government tenders.

GeM vs CPPP at a glance

GeM (gem.gov.in)CPPP (eprocure.gov.in)
What it isOnline marketplace run by GeM SPVPublication portal plus NIC e-procurement system (GePNIC)
Main useStandard goods and servicesWorks, goods and services, especially customised or high-value
Who buysCentral ministries, departments, PSUs, many states and local bodiesCentral ministries, departments, attached offices, autonomous bodies, many PSUs
How buying happensDirect purchase, L1 comparison, bid, bid followed by reverse auctionOpen, limited or single tender; one-, two- or multi-cover bids; sometimes reverse auction
Rule that drives itGFR 2017 Rule 149 (mandatory for items available on GeM)GFR 2017 Rules 159 and 160 (e-publishing and e-procurement)
RegistrationSeller registration with Aadhaar or PAN-based verification, business PAN, GST, bank detailsOnline bidder enrolment plus Class 3 Digital Signature Certificate
Upfront costsNo registration fee; caution money dispensed with in July 2025; vendor assessment fee for some OEM categoriesEnrolment free; DSC cost; tender fee where the tender asks for one
Charges on winningTransaction charge on orders above ₹10 lakhNone to the portal; contract costs as per the tender
Bid securityEMD if the buyer sets it; MSE and DPIIT start-up exemptions usually offeredEMD or Bid Securing Declaration as per the tender; exemptions per GFR Rule 170
Performance securityePBG, set in the bidPerformance security or PBG, set in the tender
Award basisMostly L1; QCBS for some servicesL1, QCBS or other method stated in the tender
PaymentWithin 10 days of CRAC, with penal interest for delays under GeM rulesAs per contract terms; MSMED Act protection for registered micro and small suppliers

Who must use GeM, and when is CPPP used instead?

GFR 2017 Rule 149 makes procurement through GeM mandatory for central ministries and departments for goods and services that are available on GeM. Within GeM, the rule sets value bands (as amended in 2024 and current in the January 2026 compilation):

  1. Up to ₹50,000: direct purchase from any GeM seller who meets the quality, specification and delivery period.
  2. ₹50,000 to ₹10 lakh: purchase from the L1 seller among at least three different manufacturers or service providers on GeM; the buyer may also use a bid or reverse auction.
  3. Above ₹10 lakh: purchase from L1 after a mandatory online bid or reverse auction on GeM.

These limits apply only to purchases made through GeM, and some categories (such as automobiles) have their own ceilings. When an item or service is not available on GeM, or the requirement is a civil works contract, a customised system, or a complex service, the buyer runs a tender under the other GFR procurement rules, publishes it on CPPP and receives bids through an e-procurement portal. State governments follow their own procurement rules; many use GeM for goods and their state e-procurement portal for works.

How does registration differ?

GeM seller registration is online and has no registration fee:

  1. The authorised person verifies identity (Aadhaar or PAN-based options are offered) and creates the primary account.
  2. You add the business PAN, GST registration, bank account and, for MSEs, the Udyam number.
  3. If you are an OEM in a category that requires it, you complete vendor assessment, which is paid. GeM states that vendor assessment fees for OEMs were reduced substantially from January 2024.
  4. You create your catalogue or select service categories, then respond to orders and bids.

CPPP bidder enrolment is also free, but the bid itself is signed digitally:

  1. Buy a Class 3 Digital Signature Certificate from a licensed certifying authority. Some tenders ask for separate signing and encryption certificates.
  2. Use "Online Bidder Enrolment" on the e-procurement module, create your login and register the DSC.
  3. Search tenders, download the documents, and submit through the system before the deadline.

Your document set (PAN, GST, Udyam, turnover certificates, work orders, completion certificates) is the same for both portals. Our tender documents checklist lists what to keep ready.

What does each portal cost? Is there still GeM caution money?

GeM caution money no longer applies to new sellers. GeM states that the caution money deposit requirement for onboarding was dispensed with in July 2025. Older guides that quote caution money slabs are out of date.

GeM transaction charges are paid by the seller on orders. Under the schedule announced in September 2024 (effective from 9 August 2024):

Order valueTransaction charge
Up to ₹10 lakhNil
Above ₹10 lakh up to ₹10 crore0.30% of the total order value
Above ₹10 croreFlat ₹3 lakh

CPPP charges bidders nothing for enrolment or bidding. Your costs are the DSC, any tender document fee the specific tender asks for, and EMD where applicable. These are set tender by tender and are stated in the notice.

How do EMD and ePBG work on each portal?

EMD (Earnest Money Deposit), or bid security, protects the buyer if you withdraw your bid. Under GFR Rule 170, it is ordinarily 2% to 5% of the estimated value, and buyers may accept a Bid Securing Declaration instead, under which a bidder who backs out can be suspended from that buyer's tenders for a stated period. Micro and Small Enterprises, DPIIT-recognised start-ups and suppliers registered with the buyer are exempt from bid security under the same rule. On GeM the buyer chooses in the bid whether EMD applies, and the MSE and start-up exemptions appear as lines in the bid document. On CPPP the amount and accepted forms are in the tender. Full detail is in our guide to EMD in tenders, and the policy behind the exemptions is in MSME benefits in government tenders.

Performance security is what you give after winning. On GeM it is an ePBG (electronic performance bank guarantee) at the percentage stated in the bid. On CPPP tenders it is a performance security or PBG at the percentage the tender sets, held until your obligations, including warranty, are complete.

How are bids evaluated?

On both portals, the technical stage is where most bids fail. A missing certificate or an unsigned declaration ends the bid before price is looked at; our list of rejection reasons covers the common ones.

When do you get paid?

On GeM, the Department of Expenditure set a payment timeline in 2020: buyers must pay within 10 days of the Consignee Receipt and Acceptance Certificate (CRAC), and delays beyond that attract penal interest at 1% per month, pro-rated.

On CPPP tenders, payment follows the contract's own payment terms (for example, a percentage on delivery and the balance on installation or acceptance, or monthly running bills for works). If you are a registered micro or small enterprise, the MSMED Act limits the agreed payment period to 45 days from acceptance, with interest for delay. Read the payment clause before you price, because a long payment cycle is a real cost.

Which portal should you choose?

Your businessStart withWhy
Standard products (IT hardware, furniture, consumables)GeMCentral buyers must use GeM for these
Standard services (security, housekeeping, vehicle hire, manpower)GeMMost of these services are catalogued on GeM
Civil, electrical or mechanical worksCPPP and state portalsWorks are mostly tendered, not catalogued
Customised equipment, systems integration, consultancyCPPP, PSU portals and GeM bidsDepends on whether the buyer can find it on GeM
A mix of the aboveBothThe same documents serve both portals

If you are just starting, how to find government tenders in India explains where else tenders appear, and what is an e-tender explains the vocabulary.

How Grovia Tender does this

Grovia Tender treats a GeM bid and a CPPP tender the same way. Set up your Company DNA once, upload the bid or tender document (or open a notice from discovery), and you get eligibility with evidence per criterion from your own documents, a Win Potential score and a Go/No-Go with plain-English reasons, and a risk register that names the EMD, LD, PBG or ePBG and payment clauses behind the risk. Get bid-ready lists the proofs your open tenders ask for that are missing, ranked by how many tenders each one unlocks.

AI drafts of the technical response are traceable to your documents, and customer data is never used to train models. Grovia Tender never submits, signs or prices on its own: you approve the numbers and submit on GeM or CPPP yourself. Plans: Free ₹0, Pro ₹3,999/month, Business ₹14,999/month, pay-per-bid from ₹1,999 (GST extra). See features, how it works and pricing.

Frequently asked questions

What is the difference between GeM and CPPP? GeM (gem.gov.in) is an online marketplace where government buyers purchase goods and services directly, by L1 comparison, by bid or by reverse auction. CPPP (eprocure.gov.in) is the portal where central government bodies publish tenders and, through its e-procurement system, receive bids for works, goods and services.

Is GeM mandatory for government purchases? For central ministries and departments, yes, for goods and services that are available on GeM. Rule 149 of the General Financial Rules 2017 makes GeM procurement mandatory for such items; items not available on GeM are bought through other procurement methods, usually a tender published on CPPP.

Do I still have to pay caution money on GeM? No. According to GeM, the caution money deposit for seller onboarding was dispensed with in July 2025. Vendor assessment fees for some OEM categories and transaction charges on larger orders still apply, so check the GeM portal for the current schedule.

Do I need a Digital Signature Certificate for CPPP? Yes. To bid through the CPPP e-procurement system you enrol online as a bidder and register a Class 3 Digital Signature Certificate, which you use to sign and encrypt your bid. Enrolment itself is free; the certificate is bought from a licensed certifying authority.

Which portal should a new supplier register on first? If you sell standard goods or services that buyers can find in a catalogue, start with GeM. If you do civil works, engineering, or customised supply and services, register on CPPP and the state e-procurement portals of the states you serve. Many firms end up on both.

Whichever portal the tender is on, check it before you spend on EMD: create a free Grovia Tender account and upload it.

Frequently asked questions

Sources

Competitor details reflect their public pages on the dates cited and can change; we correct errors on request at info@groviatender.com.

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