The research proposed a ‘forward-looking’ QCO framework with rigorous pre-enrolment assessments, calibrated transition periods, adequate national testing capacity and stronger alignment with industry preparedness.
“It is critical that where sufficient domestic production capacity does not exist, the framework provides exemptions or alternative routes for specialized inputs such as raw materials, intermediates, spare parts and quantities required for R&D,” the study said.
MSMEs often lack the capital to set up internal testing facilities or quickly adapt to new certification requirements. “Transition periods that are too short can also lead to production delays, supply disruptions and rising inventory costs, inadvertently placing a burden on the companies that need to support QCOs,” the report said.
QCOs are regulatory measures issued by the government, mainly under the BIS Act, 2016, to mandate that specific products comply with Indian standards. They prohibit the import or domestic sale of goods that do not meet standards, and require products to bear the BIS quality mark
The observations from the study are important in the context of recent suggestions by a panel headed by Niti Aayog member Rajiv Gauba, which proposes scrapping 27 existing QCOs covering critical industrial inputs such as plastics, polymers, base metals, footwear and electronic components to ease pressure on manufacturers. It also proposed suspending QCOs for 112 products and postponing upcoming orders.
Referring to the government’s decision to withdraw or suspend QCOs for various sectors such as chemicals, plastics, textiles, non-ferrous metals and steel following the Niti Aayog report, the survey said the government recognized the importance of a balanced and adaptive approach. “This balanced approach will enable QCOs to strengthen India’s manufacturing capabilities without imposing unnecessary burdens, ensuring that quality regulation remains a strategic factor for long-term economic growth,” the report said.
The study highlighted the toy sector as a QCO success story of the introduction of regulation, accompanied by improved compliance and a reduction in the circulation of sub-standard products.
“In addition to quality, consumer and workplace safety also provide an equally compelling justification for mandatory standards. QCOs on products ranging from electrical appliances to helmets are essential for protecting public welfare and maintaining market confidence,” the study said.
This regulatory enforcement should be further supported by improved supervision, expanded testing infrastructure and digitalized certification processes, it added.
Published on January 29, 2026
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