Definition
L1 is the technically qualified seller with the lowest evaluated price. Only sellers who pass technical evaluation are ranked, so a cheaper bid that fails on documents is never L1. Depending on the bid, L1 is decided on total value, item-wise or group-wise, and after a reverse auction if one is held. Purchase-preference rules can let other sellers match the L1 price for part of the quantity.
In simple words
L1 matlab 'Lowest 1' — qualify karne walon mein sabse kam rate wala.
Related terms
Guides on this topic
This is a general explanation. Confirm exact limits, percentages and timelines in the bid document and on gem.gov.in.
Find GeM tenders that fit your business
Daily WhatsApp alerts for your category, with an eligibility check on every tender. Try it free for 7 days.