Government Procurement Agreement India: An Overview

India is one of the largest economies in the world with a population of over 1.3 billion people. The Indian government is the largest buyer of goods and services in the country. To ensure transparency and fairness in the procurement process, the Indian government has adopted various policies and procedures. One such policy is the Government Procurement Agreement (GPA). In this article, we will discuss the Government Procurement Agreement India and its impact.

What is the Government Procurement Agreement (GPA)?

The Government Procurement Agreement is a plurilateral agreement within the framework of the World Trade Organization (WTO). It aims to ensure that signatory countries provide fair and open access to their government procurement markets. The GPA covers the procurement of goods, services, and construction services by government entities at all levels (federal, state, and local). It also includes procurement by public utilities, including water and electricity.

India and the Government Procurement Agreement

India became a signatory to the GPA in September 2020. With this, India has committed to opening up its public procurement market to foreign bidders. This move is expected to provide greater transparency and fair competition in the procurement process. Indian companies, too, will be able to participate in government procurement processes in other GPA member countries.

Impact of the Government Procurement Agreement on India

The Government Procurement Agreement is expected to have a significant impact on India. It will help Indian companies gain access to government procurement markets of other member countries, which will lead to increased exports and job opportunities. It will also help in increasing foreign investment in India. The agreement will ensure that the procurement process is transparent and fair, which will help in reducing corruption.

However, there are concerns regarding the impact of GPA on India`s domestic industry. The agreement may lead to increased competition from foreign companies, which may adversely affect small and medium-sized enterprises (SMEs). To address this concern, India has negotiated a special safeguard provision that allows it to take measures to protect its SMEs.


The Government Procurement Agreement India is a step towards creating a level playing field in government procurement. It will provide fair access to foreign companies in India`s procurement market and vice versa. It will also help in increasing transparency and reducing corruption in the procurement process. However, India needs to address concerns regarding the impact of the agreement on its domestic industry. With proper implementation, the Government Procurement Agreement has the potential to boost India`s economy and create employment opportunities.