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Para 1.10 - MSE Procurement Policy | KartavyaDesk

Non-Consultancy Manual

Original Rule Text

7. Policy Implementation: a) A Review Committee has been constituted under the Chairmanship of the Secretary, Ministry of MSME, to monitor and review the Public Procurement Policy for MSEs. M/o MSME will review and/or modify the composition of the Committee as and when required. This Committee will, inter alia, review the list of 358 items reserved for exclusive purchase from MSEs on a continuous basis, consider requests from Central Government Departments CPSEs for exemption from 25 (twenty-five) per cent target on a case-to-case basis and monitor achievements under the Policy. b) To monitor the progress of procurement by Central Government Ministries/ Departments and CPSEs from MSEs, the Ministry of MSME launched the MSME ‘Sambandh’14 Portal on 8th December 2017 for uploading procurement details by all CPSEs on a monthly and an annual basis, which the Ministry regularly monitors. c) To redress the grievances of MSEs related to non-compliance with the policy, a Grievance cell named “CHAMPION Portal” has been set up in the Ministry of MSME. d) Clarifications: The office of the Development Commissioner (Micro, Small & Medium Enterprises) issued an FAQ15 on the Public Procurement Policy for MSE Order, 2012, which is in Annexure 13.

What This Means

Para 1.10 of the Manual for Procurement of Non-Consultancy Services outlines the mechanisms for implementing and monitoring the Public Procurement Policy for Micro and Small Enterprises (MSEs). Essentially, it establishes a system to ensure that government departments and Central Public Sector Enterprises (CPSEs) actively procure goods and services from MSEs, contributing to their growth and development. The rule emphasizes review committees, monitoring portals, and grievance redressal mechanisms to achieve this goal. This policy affects all Central Government Ministries/Departments and CPSEs, as well as the MSEs that seek to participate in government procurement processes.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Key Points

  • A Review Committee, chaired by the Secretary of the Ministry of MSME, monitors and reviews the Public Procurement Policy for MSEs.
  • The MSME 'Sambandh' Portal is used by CPSEs to upload procurement details from MSEs on a monthly and annual basis for monitoring.
  • The 'CHAMPION Portal' serves as a grievance cell for MSEs facing issues related to non-compliance with the procurement policy.
  • The Development Commissioner (Micro, Small & Medium Enterprises) provides clarifications on the Public Procurement Policy for MSE Order, 2012, through FAQs.

Practical Example

The Department of Telecommunications (DoT) needs to procure 500 units of network cables. According to the Public Procurement Policy for MSEs, DoT is obligated to procure at least 25% of this requirement from MSEs. DoT uses the MSME Sambandh portal to identify eligible MSE suppliers. After the tender process, 'Cable Solutions Pvt. Ltd.', an MSE, wins the contract to supply 150 units of network cables. If 'Cable Solutions Pvt. Ltd.' faces payment delays or any other issues related to the contract, they can lodge a grievance through the CHAMPION portal, which will be addressed by the Ministry of MSME.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Frequently Asked Questions

What is the purpose of the Review Committee mentioned in Para 1.10?
The Review Committee, chaired by the Secretary, Ministry of MSME, is responsible for monitoring and reviewing the Public Procurement Policy for MSEs, including the list of items reserved for exclusive purchase from MSEs.
What is the MSME Sambandh Portal used for?
The MSME Sambandh Portal is used by CPSEs to upload details of their procurement from MSEs on a monthly and annual basis. This data is then monitored by the Ministry of MSME to track progress under the Public Procurement Policy.
Where can MSEs report grievances related to non-compliance with the Public Procurement Policy?
MSEs can report grievances through the CHAMPION Portal, which is a grievance cell set up in the Ministry of MSME to address issues related to non-compliance with the policy.
How can I get clarifications on the Public Procurement Policy for MSE Order, 2012?
The office of the Development Commissioner (Micro, Small & Medium Enterprises) has issued FAQs on the Public Procurement Policy for MSE Order, 2012. These FAQs are available for reference.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Test Your Knowledge

Question 1 of 3

Who chairs the Review Committee constituted to monitor and review the Public Procurement Policy for MSEs, as per Para 1.10 of the Manual for Procurement of Non-Consultancy Services?

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