Government should withdraw mandatory quality control norms on steel fasteners: GTRI
Economic think tank the Global Trade Research Initiative (GTRI) has said that the government should withdraw the mandatory quality control norms on steel fasteners, as their implementation will severely disrupt industrial supply chains and create unnecessary regulatory bottlenecks.
GTRI said the Bureau of Indian Standards (BIS) certification process mandated under the quality control order (QCO) has not approved any foreign or domestic manufacturers, which will halt imports of essential fasteners from March 20. It noted that thousands of small manufacturers producing nuts and bolts may struggle to obtain BIS certification, potentially leading to factory shutdowns and job losses. BIS approval of foreign manufacturers is a necessary condition for imports as steel fasteners have been notified under the quality control order issued by the Department for Promotion of Industry and Internal Trade (DPIIT). The QCO was notified in September 2024 and is set to come into effect from March 20.
It said the QCO mandates BIS certification for domestic as well as foreign manufacturers. BIS has not yet approved any foreign or domestic manufacturer under the QCO scheme, creating uncertainty and supply chain bottlenecks. As the March 20 deadline approaches, businesses reliant on imported fasteners are bracing for operational challenges that could hinder production and growth in India's manufacturing sector. While India produces standard fasteners, it relies on imports for high-end fasteners, which will now be unavailable, affecting critical applications.
