Exemption & Compliance⏱️ 6 min read📅 Updated: 4 Sept 2026
💬Share on WhatsAppMake in India (MII) Certificate for GeM: Class-I vs Class-II Local Supplier
A practical guide to the Public Procurement (Preference to Make in India) Order. Learn how to calculate local content and avoid false declaration penalties.
The Public Procurement (Preference to Make in India) Order Issued under the Department for Promotion of Industry and Internal Trade (DPIIT), the **Make in India (MII) Order** grants substantial purchase preference to local manufacturers to promote domestic manufacturing and value addition.
Classification of Suppliers under MII | Category | Minimum Local Content | Eligibility | |---|---|---| | **Class-I Local Supplier** | **≥ 50%** local content | Full purchase preference in tenders and eligible for tenders with local preference restriction. | | **Class-II Local Supplier** | **≥ 20% but < 50%** | Can participate in tenders without local preference, but does not receive L1 + 20% margin preference. | | **Non-Local Supplier** | **< 20%** | Prohibited from participating in domestic tenders under ₹200 Crores (Global Tender Enquiry threshold). |
How is Local Content Calculated? `Local Content % = [(Total Value of the Item excluding taxes) - (Imported Value including customs)] / [Total Value excluding taxes] * 100`
Items manufactured in India using imported raw components can still qualify if the domestic value addition (assembly, testing, R&D, tooling) exceeds 50%.
When is a CA Certificate Mandatory? - **Tender value up to ₹10 Crores**: Self-certification signed by the authorized signatory declaring local content percentage and manufacturing location. - **Tender value exceeding ₹10 Crores**: Statutory auditor certificate or a practicing Chartered Accountant / Cost Accountant certificate is legally mandatory.
📋 Make in India Self-Declaration Format (Under ₹10 Cr)
Print on company letterhead. Must be signed and stamped.
Date: [Date] To: [Buyer Designation & Department Name] [Government of India / State Entity] Sub: Local Content Self-Declaration under Public Procurement (Preference to Make in India) Order Ref: GeM Bid No: [Enter Bid Number, e.g. GEM/2026/B/XXXXXX] Dear Sir/Madam, In accordance with the Public Procurement (Preference to Make in India) Order issued by DPIIT, Government of India: 1. I/We hereby certify that [Item Name / Description] offered by us meets the mandatory local content requirement. 2. The percentage of local content for the offered product is: [Enter percentage, e.g. 65%]. 3. On the basis of the above local content, our firm qualifies as a: [Class-I Local Supplier (≥50%) / Class-II Local Supplier (≥20% to <50%)]. 4. The location(s) at which local value addition is made: Factory / Facility Address: [Enter full factory/plant address in India] 5. I/We understand that false declarations violate the Integrity Pact and will lead to debarment and forfeiture of bid security under GFR Rule 175(1)(i)(h). Name: ___________________________ Designation: ____________________ Firm Name: ______________________ GSTIN: __________________________ Seal & Signature: _______________
Frequently Asked Questions
Can an imported product relabeled in India claim Make in India?
Strictly No. Packaging, labeling, repackaging, simple assembly, and minor testing do not constitute value addition. False declaration is a criminal offense under GFR and leads to blacklisting.
What is the MII Purchase Preference margin?
In divisible tenders, Class-I suppliers within L1 + 20% are given the opportunity to match L1 to win 50% of the total tender quantity.
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