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DPIIT Notifies New Order to Boost Quality, Supply Chains, Industry Compliance

DPIIT has notified the Transition Facilitation Order, 2026, to strengthen India's quality ecosystem and industrial competitiveness. The order introduces an alternative risk-based compliance mechanism for a smooth transition while maintaining quality standards. It allows domestic industry to source from manufacturers holding BIS Scheme II licenses instead of the ISI Mark Scheme. The reform aims to support technological modernisation, reduce compliance bottlenecks, and enhance India's integration with global supply chains.

DPIIT notifies quality control order to bolster supply chains, facilitate industry compliance

New Delhi, June 25

In a significant step towards strengthening India's quality ecosystem and enhancing industrial competitiveness, the Centre's Department for Promotion of Industry and Internal Trade has notified the Transition Facilitation Order, 2026, which rolls out a framework aimed at balancing regulatory compliance with innovation, technological advancement and supply chain resilience.

"The transition facilitation order enables a flexible sourcing framework for industry while upholding quality standards. The Union government is working to build a robust quality ecosystem by ensuring the availability of safe, reliable and standards-compliant products. As part of this effort, DPIIT has notified Quality Control Orders (QCOs) for critical products to safeguard consumer interests, improve product reliability and enhance the competitiveness of domestic industry through standardisation and improved manufacturing practices," according to an official statement issued on Thursday.

"Building upon this objective, the Transition Facilitation (Quality Control) Order, 2026, introduces an alternative risk-based compliance mechanism to facilitate a smooth transition for industry while maintaining quality assurance and consumer protection," the statement said.

The order enables domestic industry to procure supplies from manufacturers holding licences under Scheme II of Schedule II of the Bureau of Indian Standards (Conformity Assessment) Regulations, 2018, instead of Scheme I (ISI Mark Scheme) of BIS.

Permissions under the mechanism will be granted based on technical capability, demonstrated compliance history and commitment towards technology advancement or adoption, development of design and research capabilities, innovation and strengthening domestic supply chain capabilities.

The order also extends its benefits to manufacturers that have demonstrated consistent adherence to QCO requirements over a continuous period of three years without any default.

The provision recognises sustained compliance with quality requirements and encourages continued adherence to prescribed standards.

"The reform seeks to facilitate industry compliance while maintaining quality standards. By providing an alternative compliance mechanism, the order is expected to support technological modernisation, innovation and the strengthening of India's manufacturing ecosystem," the statement said.

"The initiative is expected to strengthen domestic value chains, promote technology advancement, reduce compliance bottlenecks and enhance India's integration with global supply chains, while reinforcing consumer confidence in the quality and safety of products available in the Indian market," the statement added.

— IANS

Reader Comments

Priya S

Good initiative but I hope the 'risk-based compliance mechanism' doesn't become a loophole for substandard products. We've seen this before - 'ease of doing business' sometimes becomes 'ease of cutting corners'. The three-year track record requirement is sensible, but need strict monitoring. Otherwise consumer safety suffers. ⚠️

R Rohit L (from Bengaluru) As someone in the electronics supply chain, this is huge! The flexibility to source from Scheme II licensees will reduce our dependency on imported components. We can now buy quality-certified parts from domestic suppliers without the ISI mark burden. This actually strengthens Atmanirbhar Bharat in a practical way. Kudos to DPIIT! 💪 A Aditya G (a quality engineer) The idea of rewarding consistent compliance is commendable. But I'm slightly skeptical about the 'technical capability' assessment - who decides that? BIS or private agencies? Past experience with self-certification in other sectors wasn't always rosy. Let's hope the implementation is robust. Quality is not negotiable, especially for critical products. N Neha E (from Delhi) Great to see India moving towards a mature quality ecosystem! The 'alternative compliance mechanism' reminds me of EU's CE marking approach - risk-based and innovation-friendly. If implemented well, this could make Indian products globally competitive. Also, less red tape means more time for R&D. Win-win! 🌟 S Siddharth J (supply chain professional) This is exactly the kind of reform we needed for supply chain resilience. The ability to source from multiple BIS-certified suppliers (Scheme I or II) will We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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