GTRI Urges DPIIT to Provide Clear Guidelines on New Quality Certification Reform
The Global Trade Research Initiative (GTRI) has called upon the Department for Promotion of Industry and Internal Trade (DPIIT) to release comprehensive operational guidelines for the newly notified Transition Facilitation (Quality Control) Order, 2026. While the reform aims to streamline compliance, experts warn that without transparency and structured timelines, the new mechanism could create fresh administrative bottlenecks for manufacturers.
Addressing the BIS Certification Bottleneck
The Indian government recently notified the Transition Facilitation (Quality Control) Order, 2026, to provide an alternative compliance pathway for 10 critical Quality Control Orders (QCOs). These orders cover a wide range of essential products, including toys, footwear, furniture, air conditioners, compressors, personal protective equipment, hinges, and various household electrical safety products.
The primary goal of this reform is to address the significant delays industries face when seeking mandatory Bureau of Indian Standards (BIS) certification. Currently, the lengthy process of BIS factory inspections has been a major operational hurdle for both domestic and international players. The new mechanism seeks to ease this dependence by shifting the approval process to an inter-ministerial Implementation Committee.
The Risks of a "QCO Plus" System
GTRI Founder Ajay Srivastava has raised concerns that the new framework might inadvertently replace technical hurdles with administrative ones. Because the proposed Implementation Committee—comprising representatives from BIS, the Department of Commerce, Consumer Affairs, and the DGFT—will evaluate applications based on broader criteria, the system is evolving into what Srivastava calls a "QCO Plus" regime.
Unlike traditional technical conformity checks, this new committee will consider factors such as localization, supply-chain development, and broader industrial policy. This shift means that market access may no longer depend solely on product quality but also on a company's alignment with India's industrial and investment commitments.
Calls for Transparency and Digital Integration
To ensure the success of this reform, GTRI has proposed several critical measures to prevent uncertainty:
- Detailed Operational Framework: DPIIT must specify clear eligibility criteria, documentation requirements, and evaluation methodologies.
- Time-Bound Approvals: A fully digital application and tracking system should be implemented, with a mandate to process applications within a 60-to-90-day window.
- Inclusivity and Appeals: There is a pressing need for a formal mechanism to appeal or review rejected applications to build industry confidence.
Furthermore, GTRI pointed out a potential limitation in the current eligibility rules: only companies incorporated under the Companies Act, 2013, can apply. This restriction may discourage many overseas manufacturers who do not have a locally registered representative company in India.
Key Takeaways
- New Compliance Pathway: The reform provides an alternative to BIS inspections for 10 key product categories, including electronics, furniture, and footwear.
- Shift in Evaluation Criteria: The approval process is moving from purely technical standards to a "QCO Plus" model that considers localization and industrial policy.
- Need for Speed and Clarity: Experts emphasize that success depends on the DPIIT issuing transparent, time-bound guidelines and a digital tracking system to avoid new regulatory delays.
