In a move hailed as a significant boost for industry and a step towards ease of doing business, the Indian government has withdrawn several Bureau of Indian Standards (BIS) Quality Control Orders (QCOs) in recent weeks. These withdrawals, made under Section 16 of the Bureau of Indian Standards Act, 2016, and after consultation with the BIS, impact key sectors including chemicals, textiles, and petrochemicals. The government has stated that these decisions were made "in the public interest".
Key QCO Withdrawals
The Ministry of Chemicals and Fertilizers has been at the forefront of these regulatory changes. Notifications issued in October 2025 rescinded QCOs for six industrial chemicals: Lauric Acid, Acid Oil, Palm Fatty Acids, Rice Bran Fatty Acids, Coconut Fatty Acids, and Hydrogenated Rice Bran Fatty Acids. These orders, initially issued in April 2022, mandated BIS certification for these chemicals.
Additionally, QCOs for Acrylonitrile, Maleic Anhydride, and Styrene (Vinyl Benzene) have also been withdrawn. Furthermore, in a major shift for the textile and polyester value chain, multiple QCOs covering polyester intermediates, feedstocks, fibers, yarns, and several industrial polymers were withdrawn, effective November 12, 2025. This includes materials like Terephthalic Acid (PTA), Ethylene Glycol (EG), Polyester Staple Fiber (PSF), Fully Drawn Yarn (FDY), Partially Oriented Yarn (POY), Polypropylene (PP), Polyvinyl Chloride (PVC), Ethylene-Vinyl Acetate (EVA), and Acrylonitrile Butadiene Styrene (ABS). Earlier in July 2025, the government also withdrew QCOs for Acetic Acid, Methanol, and Aniline.
Impact on Industry
The withdrawal of these QCOs has several significant implications for manufacturers, importers, and traders:
- Reduced Compliance Burden: Companies are no longer required to obtain BIS certification or the ISI mark for the production, import, or sale of the affected chemicals and materials. This is expected to particularly benefit small and medium enterprises (SMEs) by easing compliance requirements and reducing operational costs.
- Simplified Regulations: The move aims to streamline regulatory compliance and support industrial flexibility. The chemical industry, in particular, has long faced complex regulatory frameworks, and the removal of mandatory BIS standards is expected to simplify processes and boost ease of doing business.
- Enhanced Competitiveness: The withdrawal of QCOs is expected to ease compliance pressure across the textile and petrochemical sectors, which had warned that the orders were hurting their global competitiveness. By aligning with international standards, products manufactured in India can be more competitive in global markets.
- Supply Chain Flexibility: Without mandatory certification, companies can source raw materials more efficiently, enhancing supply chain flexibility.
Government Rationale and Future Outlook
The government's decision to withdraw these QCOs was based on stakeholder feedback and market assessment, which indicated that continued enforcement was no longer necessary at this stage. The move reflects a commitment to simplifying regulations, promoting industrial growth, and fostering a business-friendly environment.
While the BIS certification is no longer mandatory, producers are still expected to maintain product quality and safety as per other applicable industrial and environmental regulations. It is also important to note that the government reserves the right to reinstate the QCOs at any time, without prior notice. Therefore, companies currently holding a BIS license may want to consider maintaining it.
Conclusion
The withdrawal of these BIS Quality Control Orders represents a landmark step towards improving the ease of doing business and promoting industrial growth in India. By reducing the compliance burden and simplifying regulations, the government aims to create a more competitive and efficient manufacturing sector. While quality and safety remain paramount, this move signals a shift towards a more flexible and market-driven approach to regulation.
