Inter-ministerial group setup to assess Quality Control Orders

New Delhi: The government has setup an Inter Ministerial Group (IMG) to assess the Quality Control Orders (QCO) proposed by various ministries and examine the possibility of graded standards or exempting Indian manufacturers who meet a de minimis standard from the requirement of obtaining BIS licenses or third party certification. Ministries and departments need to obtain the recommendations of the IMG before notifying any QCO.

The group comprises senior officials of the ministries of finance, commerce and industry, consumer affairs, and Bureau of Indian Standards (BIS), among others.

The group has been formed amid differences of views on the content and need for QCOs and aims to promote a

“Whole of Government” approach, the Cabinet Secretariat said in an office memorandum.

In cases of unfair trade practices, the IMG may assess whether the problem is generic and cross-cutting or country specific.

“Implementation of such QCOs often has consequences for sectors handled by other ministries. There are also instances of differences of views on the content of/need for QCOs,” the Cabinet Secretariat said.

As per the memorandum, any proposal for a QCO would have to be referred to the IMG of to assess and evaluate the proposal, apart from the consultation with BIS.

The Terms of Reference of the IMG include evaluation of QCOs and making recommendations, examining requests from ministries and departments for reconsideration, review or modification of existing QCOs.

“In cases of unfair trade practices, it may assess whether the problem is generic and cross-cutting or country specific,” it said., adding that the IMG may use quantitative criteria such as a scoring methodology of
restrictiveness, and qualitative criteria based on relative merits/demerits.

Besides having special regard for the interests of Indian MSMEs, the IMG may explore or examine the possibility of graded standards, specifying different quality levels for the same product, alternate ways of implementing QCOs such as exempting
Indian manufacturers who meet a 'de minimis' standard from the requirement of obtaining BIS licenses, self certification and third party certification etc.

Further, in case the QCO imposes standards that are not aligned with international standards, there should be a strong justification which should be recorded, keeping in mind the costs which may arise to exporters and others from such differential.