When participating in high-value IT, security, or electronics tenders on the Government e-Marketplace (GeM), bidders are frequently confronted with two complex hurdles: obtaining the Manufacturer Authorization Form (MAF) or OEM authorization code, and successfully claiming Earnest Money Deposit (EMD) exemptions.
Decoding the OEM Authorization Code
Under GeM guidelines, buyers can mandate that sellers submit a valid MAF or OEM authorization code. This prevents the supply of counterfeit, grey-market, or non-compliant equipment. Sellers must request this code from the OEM through the portal or via official channels, linking the OEM's catalog to the reseller's account.
Failure to provide this code or uploading a fake or generic MAF is one of the top reasons for immediate technical rejection. Always request authorization codes from your OEM partners at least 7 days before the bid submission deadline.
EMD Exemptions for MSMEs and Startups
Earnest Money Deposit (EMD) is a security deposit (typically 2% to 5% of the tender value) to ensure that bidders do not withdraw their bids during the evaluation period. However, under the Public Procurement Policy, Micro and Small Enterprises (MSEs) and registered Startups are exempted from paying EMD.
To successfully claim this exemption on the GeM portal, you must:
- Upload a valid Udyam Registration Certificate matching the exact NIC codes for the services or goods being procured.
- Ensure your startup is recognized by DPIIT (Department for Promotion of Industry and Internal Trade).
- Submit a signed Bid Securing Declaration in place of the physical EMD.
Automated Compliance Auditing
With HexaBid's Smart Vault, you can verify your MSE registration against the tender's requirements. The AI automatically scans your NIC codes to guarantee they cover the tender scope, preventing disqualification due to mismatched registration categories.