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Bid validity on GeM and what to do when asked to extend it

What bid validity means in a GeM bid, why buyers ask sellers to extend it, how accepting or declining affects you, and how to price for a long validity period.

What bid validity is

Bid validity is the period, counted in days from the bid end date, during which your offer stays open and binding. The bid document states it. Within this period you cannot withdraw or change your offer, and the buyer is expected to complete evaluation and award. Your EMD, if you paid one, is security for exactly this promise.

Why it matters for your price

If validity is long, the price you quote today may have to hold for months. Raw material, currency or wage changes during that time are your risk. Before quoting, look at the validity period together with the delivery period and decide whether your price leaves enough room. This matters most for commodities, imported items and manpower contracts where wages are revised during the year.

When the buyer asks for an extension

Evaluation can run longer than planned — many sellers, representations, internal approvals. When that happens, the buyer asks the sellers still in the race to extend their bid validity. The request appears on GeM with a date by which you must respond.

Accept or decline?

  • ✓Accepting keeps you in the race on the same price and terms; you cannot use the extension to change your price
  • ✓Declining generally takes you out of the bid; under normal terms you are not penalised for declining a request to extend, but read the bid terms
  • ✓Not responding by the deadline is usually treated as declining, so do not ignore the request
  • ✓If you accept, check that any bank guarantee given as EMD remains valid for the extended period, as the bid requires

What you must not do within validity

Withdrawing your offer, changing the price or refusing the contract after being declared L1 within the validity period can lead to forfeiture of EMD or other action under GeM's terms — including, for sellers exempted from EMD, consequences stated in their bid-securing declaration. If you genuinely cannot honour a bid, raise it with the buyer immediately rather than going silent.

Keep track of validity across bids

If you bid often, keep a simple list of open bids with end date, validity end and EMD status. It tells you which prices you are bound by, which bank guarantees are still blocked, and which bids to chase for a result.

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Frequently asked questions

What is bid validity in a GeM bid?

It is the number of days from the bid end date for which your offer remains open and cannot be withdrawn or changed. The bid document states it.

Can I change my price when extending bid validity?

No. An extension keeps your existing offer open on the same price and terms.

What happens if I do not extend bid validity?

You generally drop out of that bid. Declining an extension request is normally not penalised, but read the bid terms, and respond before the deadline.

Is bid validity the same as the bid end date?

No. The end date is the last time to submit; bid validity is the period after that during which your offer stays binding.

Does my EMD need to cover the extended validity?

If your EMD is a bank guarantee, the bid usually requires it to remain valid beyond the bid validity. When you accept an extension, extend the guarantee as the bid requires.

Related guides

Rules change. Always confirm the details in the bid document and on gem.gov.in before you bid. · Updated 2026-11-02

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