India tells WTO it has withdrawn 49 quality control orders since July

Of these, while 47 QCOs have been formally rescinded, one has been suspended, and one has been deferred.

The rollback follows the recommendation of the high-level committee on non-financial regulatory reforms, chaired by Niti Aayog member and former cabinet secretary Rajiv Gauba.

Its first report focused on reducing regulatory and compliance burdens on businesses, especially micro, small, and medium enterprises (MSMEs), including issues such as decriminalization of laws and the ease of doing business.

The second report specifically addressed QCOs, examining their impact on the industry and recommending rationalization and phased implementation.

Mint reported on 13 December 2024 that the government was considering provisions that would enable the domestic industry to bypass certain QCOs or seek additional time.

The withdrawals span multiple ministries, with the department of chemicals and petrochemicals accounting for the bulk of the rollbacks, having rescinded 38 QCOs covering 39 products. This is followed by seven QCOs withdrawn by the mining ministry, and two by the textiles ministry, according to the WTO document reviewed by the Mint.

Also, the steel ministry has suspended one QCO amendment covering 55 steel products, and the heavy industries ministry has deferred one QCO on electrical equipment covering eight products.

The committee presented to different ministries in October, recommended rationalizing or phasing the rollout of several QCOs, especially for raw materials used by MSMEs.

It flagged concerns around testing infrastructure, short implementation windows, and the risk of supply disruptions if large volumes of industrial intermediates were suddenly brought under strict compliance.

The Niti Aayog panel argued that while quality regulation is essential, intermediate goods require a more calibrated approach than final consumer products. It suggested prioritizing sectors where safety is directly affected and allowing industry a predictable transition path for other categories.

Easing compliance pressures

The withdrawal process began on 23 July 2025, when three QCOs—covering acetic acid, aniline, and methanol—were rescinded by the department of chemicals and petrochemicals, Mint reported on 24 July.

These chemicals are critical inputs for sectors such as pharmaceuticals, textiles, dyes and intermediates, paints, adhesives, and agrochemicals. These QCOs, originally issued in August 2019, mandated that manufacturers and importers of these chemicals obtain Bureau of Indian Standards (BIS) certification to sell their products in the Indian market.

In October 2025, a total of nine QCOs were withdrawn. Of these, six QCOs covering fatty acids and acid oil were rescinded on 22 October, followed by three QCOs on acrylonitrile, maleic anhydride, and styrene on 24 October 2025.

The largest rollback occurred in November 2025, when 35 QCOs were withdrawn across multiple ministries. This included 14 QCOs on polymers and polyester yarns on 12 November, seven QCOs on metals by the ministry of mines on 13 November, one QCO on viscose staple fibre on 18 November, six QCOs on chemicals and dyes on 20 November, one QCO suspending enforcement for 55 steel products on 20 November, and six QCOs on aromatics and solvents on 28 November 2025, according to India’s submission to the WTO.

In December 2025, one QCO on viscose rayon cut staple spun yarn was withdrawn on 15 December. One QCO covering 55 steel products had its enforcement suspended on 20 November, while a QCO on electrical equipment was deferred on 6 November.

A senior government official maintained that the action does not dilute its emphasis on quality but represents a shift towards a more phased and sector-specific approach, with revised or updated QCOs likely to be reintroduced once domestic capacity and international alignment improve.

Industry representatives said the rollback would ease immediate compliance pressures on smaller firms, particularly those dependent on intermediate inputs, while allowing the government time to recalibrate the sequencing of quality norms.

“This review was necessary as several quality control orders were rolled out faster than the industry’s ability to comply, especially for MSMEs. Sequencing standards with testing capacity and supplier readiness is critical to avoid supply disruptions and cost pressures," said Vinod Kumar, president of the India SME Forum.

“This correction was long overdue, but the manner of execution risks recreating the same mistakes. After 2017, India moved too quickly in imposing over 700 QCOs without adequate preparation. It is now moving just as abruptly in withdrawing around a quarter of them, without sufficient consultation or transition time for affected industries. What began as regulatory overreach could now turn into regulatory instability," said Ajay Srivastava, co-founder, Global Trade Research Initiative (GTRI).