(MENAFN- KNN India) New Delhi, Oct 27 (KNN) India's rapid expansion of Quality Control Orders (QCOs)-from 106 products in 2014 to 672 today-has triggered growing concern among industries and trade partners.

While the government says the move aims to curb substandard imports and promote domestic manufacturing, industry leaders and analysts warn that the current pace and design of QCO implementation could disrupt supply chains, inflate costs, and slow industrial growth.

QCOs, issued under the Bureau of Indian Standards (BIS) Act, 2016, mandate that certain products meet Indian standards and obtain BIS certification before being manufactured, imported, or sold. They now cover a wide range of sectors including metals, textiles, chemicals, and electronics.

A study by the Centre for Social and Economic Progress (CSEP), Decoding India's Quality Control Orders, found that nearly 48% of QCOs target intermediary goods, such as polycarbonates and specialty materials crucial for automotive and electronics manufacturing.

The study shows that imports of such goods fall 13% in the year following a QCO, but exports decline 13% by the second year-indicating that poorly timed restrictions may hinder competitiveness rather than enhance it.

Experts argue that premature enforcement in sectors with limited domestic capacity-like polycarbonates-risks raising input costs and delaying production in high-growth industries.

Smaller manufacturers, especially MSMEs, face added pressure due to high certification costs and limited testing facilities, leading to fears of market concentration by large firms.

Analysts are calling for a calibrated QCO framework, with phased implementation, mutual recognition of credible international standards, and decentralised certification to reduce delays.

Without reform, they warn, India could appear an unpredictable trade partner at a time when it seeks to become a reliable hub in global value chains.

(KNN Bureau)

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