The Union Cabinet on Wednesday approved the setting up a state-run e-Marketplace Special Purpose Vehicle (SPV) as the National Public Procurement Portal under the Companies Act, said an official statement.
"The Union Cabinet, chaired by Prime Minister Narendra Modi, approved the setting up of the Portal for the procurement of goods and services by the central and state government organisations," it said.
The portal will provide an online marketplace for central and state government ministries, departments, central and state-run enterprises, local bodies and autonomous institutions to procure goods & services.
"The Directorate General of Supplies and Disposal (DGS&D) shall be wound up and cease its functions by October 31, 2017 or March 31, 2018," added the statement.