Quality Control Order [UPSC Notes]

A surge has been seen in quality control orders (QCO) on Chinese products by the Indian government. In this context, in this article, we discuss what are quality control orders, why are they imposed and what are the effects of the rise in QCOs on Chinese goods for the Indian economy. This topic is relevant for the IAS exam economy segment.

What are Quality Control Orders?

Quality Control Orders (QCOs) are issued to guarantee that consumers can get high-quality products on the market.

• The purpose of quality control orders (QCO) is to prevent the import of low-quality and inexpensive goods and to guarantee that clients receive high-quality goods.
• By using the authority granted by Section 16 of the Bureau of Indian Standards Act, 2016, various Ministries/Departments of the Government of India issue Quality Control Orders (QCOs) to guarantee that consumers can access high-quality products.
• For the implementation of the provisions of QCO, BIS acts as the Certification Authority. BIS also acts as the Enforcement Authority for the products specified in the QCO. 

Quality Control Orders in News

• A surge has been seen in quality control orders (QCO) on Chinese products by the Indian government.
• India has imposed mandatory certification on many Chinese products for which QCOs have been issued. 
• The announcements of hundreds of QCOs now require customs officials to block products not compliant with Indian standards prescribed by the Bureau of Indian Standards (BIS).
• All these measures could dwindle the imports of Chinese goods in India, posing problems for the Indian industry.

Chinese Imports to India

• In 2022–2023, India’s exports to China decreased by roughly 28% while its imports increased by 4.16%.
• Chemicals, electrical and mechanical equipment, auto parts, active pharmaceutical ingredients (APIs), and medical supplies were among India’s top imports from China.

Source: Livemint

Concerns with increased QCOs on Chinese products

• Numerous industries that rely on Chinese imports may experience challenges as a result of the import delays for Chinese goods. 
• Chinese exporters have started to retaliate. They claim that the cost of certification prevents them from pursuing it.
• It must be added that even the industry is not prepared as most industries don’t have a policy team.

Impact of Quality Control Orders 

• India has experienced a rise in QCOs as part of efforts to reduce imports of subpar goods, particularly from China, and support indigenous manufacturing. 
• Toys, machinery safety gear, pressure cookers, air conditioners, and chemicals have already been subjected to mandatory certification. 
• Even the World Trade Organisation (WTO) members resisted, arguing that the implementation of QCOs could be justified  only by concerns for national security, health, safety, or the environment. 

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