The India SME Discussion board organised a high-level dialogue this week below the theme ‘Bharat High quality Mission: Enabling MSMEs for World Competitiveness’. The occasion introduced collectively MSME stakeholders, business associations, and policymakers to collectively advocate for reforms within the QCO implementation course of.
Vinod Kumar, President of the India SME Discussion board, pressured the necessity for a extra balanced and inclusive regulatory strategy. He emphasised that almost 97% of India’s enterprises are micro and small companies, that are disproportionately affected by the present QCO regime.
“We’ve got reached some extent the place home producers, particularly MSMEs, are below intense regulatory scrutiny for parts and inputs, whereas completed items proceed to enter India with minimal checks at ports,” he mentioned, noting that this asymmetry creates a critical drawback for native producers.
Kumar identified that the abrupt QCO imposition on uncooked supplies and parts has disrupted provide chains, elevated manufacturing prices, and decreased entry to important inputs throughout sectors like electronics, meals processing, and textiles.
“Our entrepreneurs wish to comply and produce high-quality items. However with out satisfactory testing infrastructure or entry to global-standard labs, compliance turns into each costly and time-consuming,” he mentioned. In some circumstances, an MSME in Pune is required to ship samples to Bhopal simply to check electrical parts—such a spot hinders enterprise and progress, he defined.Notably, the Indian authorities is implementing high quality management orders (QCOs) throughout varied industries to boost product high quality and security. At the moment, the federal government of India doesn’t have a single, unified timeline for imposing QCOs throughout all industries. As an alternative, every QCO is issued by the related ministry or regulator for particular merchandise or sectors, and the enforcement date is explicitly said in every order. For instance, the QCO for sure electrical home equipment has been prolonged to March 19, 2026, with additional extensions for small and micro enterprises. Within the chemical substances sector, deadlines have additionally been adjusted via amendments, typically offering as much as a six-month extension. Different merchandise, like hinges, have particular implementation dates listed of their respective QCO.ISF President, in his tackle, additionally flagged disparities between on-line and offline sellers, noting that e-commerce sellers usually face stricter compliance necessities, whereas offline sellers can bypass scrutiny. Moreover, widespread lack of expertise and the proliferation of fraudulent certification brokers additional complicate compliance for trustworthy companies. “There are circumstances the place MSMEs have been duped by consultants issuing faux certifications that maintain no authorized worth. A strong mechanism is required to confirm certifications and forestall misuse,” Kumar mentioned.
He known as for a phased roll-out of QCOs, particularly for micro-enterprises and present inventories, in addition to exemptions and monetary assist for the smallest companies. Aligning Indian requirements with globally accepted certifications, he mentioned, would streamline exports and scale back redundant testing.
“Compliance shouldn’t be a barrier to progress. If an MSME holds a CE mark or equal world certification, that must be adequate. We shouldn’t want duplicative and dear processes to fulfill India-specific necessities,” he added.
Citing the Prime Minister’s imaginative and prescient of “Zero Defect, Zero Impact”, Kumar emphasised the necessity for inclusive and pragmatic policymaking that empowers MSMEs quite than constraining them. “We want a nationwide high quality ecosystem that’s collaborative, bringing collectively policymakers, certification our bodies, marketplaces, and MSMEs. Our purpose is to construct a framework that allows, not penalises,” he mentioned.
To that finish, the India SME Discussion board plans to run nationwide outreach programmes and certification camps to assist 1.2 to 1.5 million MSMEs receive high quality certifications by the top of the 12 months.
Authorities’s perspective
Keynote speaker Nidhi Khare, Secretary, Division of Shopper Affairs, emphasised the necessity for a correct understanding of the intent behind QCOs and urged MSMEs to view them constructively. “There’s a must appropriately interpret the aim of QCOs. No matter fears MSMEs have should be addressed. Companies should adapt logically and progressively, and the place the federal government’s assist is required to vary processes, that will probably be offered,” she mentioned.
Khare additionally underlined that India’s strict stance towards substandard imports is attracting capital, expertise, and jobs, making it important for MSMEs to align with high quality norms. To assist this transition, she mentioned the federal government is investing Rs 78 crore via BIS to increase testing infrastructure nationwide. “QCOs are usually not simply regulatory instruments; they’re enablers of export progress and manufacturing excellence,” she added.
Khare highlighted the significance of roadmaps for every sector coated below QCOs and urged business gamers to maintain the related authorities knowledgeable of their implementation challenges.
Trade huge issues
Saurabh Arora, President of the state department of the Indian Pharmaceutical Affiliation, flagged regulatory overlaps affecting the pharmaceutical and cosmetics industries. He famous that whereas the Medicine and Cosmetics Act already mandates strong requirements, notably via the Indian Pharmacopoeia, current QCOs have created confusion and imposed twin compliance necessities. “Elements regulated below stricter pharmacopoeial requirements at the moment are additionally topic to BIS QCOs with extra lenient norms, creating pointless problems,” Arora mentioned. A pharmacopoeia is an official, legally binding guide that units requirements for the standard, id, purity, and energy of medicines, together with lively pharmaceutical components, excipients, and completed pharmaceutical merchandise.
Suggesting an answer, Arora known as for clearer exemptions for pharma-grade inputs and the creation of category-specific requirements for cosmetics. “Testing a face serum below lotion requirements results in inaccurate outcomes. The federal government should develop vertical product requirements or guarantee applicable horizontal benchmarks,” he mentioned.
He additional urged recognition of present pharma-grade requirements below the Medicine and Cosmetics Act to keep away from twin compliance and known as for better coordination between BIS and sector regulators. “Compliance should be significant. It ought to assist business progress whereas sustaining high quality and security,” he pressured.
Jaideep N Malaviya, Founder-Secretary Normal of the Photo voltaic Thermal Federation of India, lauded the QCOs launched for photo voltaic water heating methods on April 14, however flagged main implementation points.
He mentioned regional BIS workplaces stay unaware of up to date product buildings and testing tips. “There’s a disconnect between policy-level updates and on-ground implementation. Portals replicate outdated info, resulting in confusion throughout testing,” he highlighted.
Malaviya urged BIS to undertake a supportive strategy in the course of the transition interval and keep away from penalising firms making an attempt to conform. “Regardless of QCOs being in impact, most shoppers are unaware of the brand new requirements. This info vacuum is exploited by fly-by-night operators promoting substandard merchandise,” he mentioned.
One of many key classes featured Ramaswami Lakshman, Director of Rising Markets, FBA at Amazon. He mentioned digitisation has the facility to degree the taking part in subject for MSMEs. We’re dedicated to serving to Indian sellers, particularly from tier II and III cities—navigate compliance, enhance high quality, and attain prospects domestically and globally. Over 12 million MSMEs have already been digitised via our initiatives,” he mentioned, including programmes, such because the Bharat High quality Mission, are important for shaping coverage frameworks that unlock the potential of small companies.
The occasion concluded with the submission of an in depth coverage suggestion file to the Ministry of Shopper Affairs, Ministry of MSME, Bureau of Indian Requirements (BIS), and the Division for Promotion of Trade and Inside Commerce (DPIIT). The important thing proposals included a phased implementation of QCOs, improved entry to testing infrastructure, harmonisation with world certification norms and monetary and capacity-building assist for small companies.
