A Study on Making Public Procurement Effective, Efficient and Transparent by Incorporating Artificial Intelligence (AI) Techniques in Government e-Marketplace (GeM)

Public procurement plays a vital role in ensuring accountability, transparency, and efficiency in government expenditure. The Government e-Marketplace (GeM) has emerged as a digital platform to streamline procurement processes in India by promoting competitive bidding, transparency, and inclusivity. However, challenges such as quality assurance, vendor credibility, process delays, and data management still hinder its full potential. This study explores how Artificial Intelligence (AI) techniques can be integrated into GeM to address these limitations and transform procurement into a more effective, efficient, and transparent system. The paper examines AI applications such as predictive analytics for demand forecasting, natural language processing for automated tender evaluation, machine learning for fraud detection and vendor risk assessment, and chatbots for grievance redressal and buyer–seller support. By analyzing global best practices and identifying potential AI-driven solutions, the study highlights how intelligent automation can enhance decision-making, reduce human bias, ensure compliance, and improve stakeholder trust. The findings suggest that incorporating AI into GeM can significantly strengthen the public procurement ecosystem by improving efficiency, minimizing risks, and ensuring greater transparency in government transactions.