Auto CRAC Days

Auto CRAC Days is the Government e-Marketplace's seller protection mechanism that automatically issues a Consignee Receipt and Acceptance Certificate (CRAC) on behalf of the buyer if the designated consignee fails to accept or raise a rejection within the specified number of days after confirmed delivery.

What are Auto CRAC Days?

On GeM, payment to a seller is triggered by the CRAC, the buyer's formal acceptance of delivered goods. In practice, government consignees sometimes delay issuing the CRAC due to administrative backlogs, staff absence, or oversight, leaving sellers with delivered goods but no payment. Auto CRAC Days resolves this: GeM's system sets a countdown (typically 10 days after delivery confirmation) within which the consignee must either accept (issue CRAC) or reject the delivery. If neither action is taken before the countdown expires, the platform automatically generates a system CRAC, treating the goods as accepted.

The delivery confirmation date that starts the Auto CRAC countdown is based on the consignee updating the delivery status on GeM or on the seller updating dispatch and delivery confirmation. Once the auto-generated CRAC is issued, payment processing begins just as it would with a manually issued CRAC. The consignee cannot subsequently raise a rejection complaint against goods covered by an auto CRAC, except through GeM's escalation mechanism.

Auto CRAC Days varies by product category on GeM, for standard goods it is typically 10 working days; for perishables or time-sensitive items it may be shorter. The mechanism was introduced to address a systemic problem where GeM sellers were delivering goods but waiting 30-60+ days for payment due to inactive consignees.

Why Auto CRAC Days matters for Indian government suppliers

Auto CRAC Days is one of the most important payment protection features on GeM for sellers. It creates a hard deadline for buyer acceptance and prevents indefinite payment delays from inactive consignees. Sellers should confirm delivery dates accurately on the GeM portal, as the Auto CRAC countdown begins from the delivery confirmation date. Accurate delivery updates ensure the protection mechanism activates on time.

Example

A stationery supplier delivers 2,000 notebooks to a central ministry under a GeM purchase order worth Rs 1.8 lakh. They update delivery confirmation on GeM on the day of delivery. The ministry's consignee is away on leave and does not log in to issue the CRAC. The Auto CRAC countdown (10 working days) begins from the delivery confirmation date. On day 11, the GeM system automatically issues the CRAC, recording the goods as accepted. Payment processing begins the same day, and the supplier receives the amount within 5 working days via PFMS (Public Financial Management System) linked to GeM.

Frequently Asked Questions

What is the standard Auto CRAC period on GeM?

GeM's default Auto CRAC period is typically 10 working days from delivery confirmation, but this may vary by product category or order type. Sellers can find the applicable Auto CRAC days for their specific order in the order details section of the GeM seller portal. GeM updates these parameters periodically, so checking current portal settings is recommended.

Can a consignee contest an auto-generated CRAC?

Yes, but only within a limited period and through GeM's dispute resolution mechanism. If a consignee believes goods were delivered late, damaged, or not as per specifications, they must raise the issue through GeM's grievance or quality complaint process even after an auto CRAC has been issued. Arbitrary rejection after auto CRAC is subject to escalation and review.

Does Auto CRAC apply on PSU portals and state portals as well?

Auto CRAC is a GeM-specific feature. PSU portals and state e-procurement portals have their own acceptance and payment workflows, which may not include an equivalent automatic acceptance mechanism. On non-GeM contracts, sellers experiencing delayed acceptance should refer to the contract's payment terms and applicable GFR rules governing payment timelines.

What happens if goods are genuinely rejected before the Auto CRAC countdown expires?

If the consignee raises a valid rejection (wrong specification, damaged goods, short quantity) within the Auto CRAC waiting period, the rejection is registered on GeM and the Auto CRAC countdown stops. The seller must resolve the issue, replace the goods, provide a refund, or dispute the rejection through GeM's resolution process, before payment is released.