One more shock to Chinese companies, even in government procurement now only encourages indigenous

New delhi date. 23 June 2020, Tuesday

Amid ongoing tensions on the India-China border, the central government has taken another drastic step. The Central Government has made it mandatory to display 'Country of Origin' for products sold on the e-commerce portal GeM (Government e Marketplace) available for all government purchases. It is learned that the decision will hurt Chinese companies.

According to experts involved in the whole matter, the central government has made it mandatory for all its suppliers to indicate the country of origin of the product. At the same time, the government, without naming China, has pointed out that indigenous products should be preferred in any government procurement.

Chinese companies will suffer direct losses

Another official said that the departments and offices of the Central and State Governments take the products and services they need through this e-commerce portal. These include items including furniture, stationery, crockery, sanitizer masks and PPE kits.

There are about 17 lakh products on this portal. If indigenous goods are given priority in this government procurement, the Chinese companies will have to bear the direct loss. Once the new decision is implemented, the supplier will be able to offer only Make in India items in the government portal.