DPIIT Introduces Transition Facilitation (Quality Control) Order, 2026 for Products Covered Under BIS QCOs

The Department for Promotion of Industry and Internal Trade (DPIIT), under the Ministry of Commerce and Industry, has notified the Transition Facilitation (Quality Control) Order, 2026 through Gazette Notification S.O. 3417(E) dated 25 June 2026. The Order has been issued under the Bureau of Indian Standards (BIS) Act, 2016 and came into effect immediately upon its publication in the Official Gazette.

The newly introduced Order establishes a structured transition mechanism for manufacturers and companies dealing with products covered under specified Quality Control Orders (QCOs). It enables eligible companies to obtain permission from DPIIT to supply products conforming to Indian Standards under a regulated framework while ensuring continued compliance with BIS requirements.

Objective of the Transition Facilitation Order, 2026

The primary objective of the Transition Facilitation (Quality Control) Order, 2026 is to facilitate the implementation of selected Quality Control Orders without compromising product quality, consumer safety, or regulatory compliance.

Under this framework -

• Products must comply with the applicable Indian Standards.
• Goods can be supplied only under a BIS licence issued under Scheme-II of the BIS (Conformity Assessment) Regulations, 2018.
• Permission is granted only to eligible companies approved by DPIIT.
• BIS will continue market surveillance to verify ongoing compliance with applicable Indian Standards.

Who Can Apply?

The Order specifies that permission may be granted only to -

• Companies incorporated under the Companies Act, 2013.
• Applicants successfully assessed by an Implementation Committee constituted under the Order.

The Implementation Committee will evaluate applicants based on several factors, including -

• Technical capability
• Manufacturing and design controls
• Quality assurance systems
• Compliance history
• Supply chain management
• Commitment to strengthening manufacturing capabilities in India
• Research & Development and technological advancement

Application Timeline

Applications for permission under the Transition Facilitation (Quality Control) Order, 2026 will be accepted for 24 months from the date the Order came into force. DPIIT will separately issue detailed guidelines covering:

• Application procedure
• Required documentation
• Required documentation
• Eligibility criteria
• Monitoring requirements
• Compliance obligations

Validity of the Order

The Transition Facilitation Order will remain in force for five years from the date of commencement unless extended by the Central Government through a fresh Gazette notification.

Permissions granted during this period will continue to remain valid for their approved duration unless suspended, modified, or withdrawn due to non-compliance.

How Could the Transition Facilitation Order Impact Chinese and Other Foreign Manufacturers?

The Transition Facilitation (Quality Control) Order, 2026 does not provide a country-specific exemption for Chinese or other foreign manufacturers. Instead, it creates a conditional facilitation mechanism for eligible companies incorporated in India, which may source specified products from BIS-licensed foreign manufacturing facilities.
Chinese and other foreign manufacturers can therefore be involved as suppliers identified by an eligible Indian applicant. The application may include details such as the foreign manufacturer, manufacturing location, supplying country, applicable Indian Standard, and relationship with the applicant.
However, the Order does not remove BIS compliance requirements. Products must continue to conform to applicable Indian Standards, while BIS licensing and Standard Mark requirements remain applicable under the prescribed mechanism.Key points include:

• No blanket exemption based on the manufacturer's country.
• The applicant must be an eligible Indian company.
• Foreign manufacturing facilities can be identified as suppliers.
• Products must comply with applicable Indian Standards.
• DPIIT permission is subject to specified conditions.
• Permission may be suspended or withdrawn for non-compliance.

Products Covered Under the Order

The Transition Facilitation (Quality Control) Order, 2026 currently applies to products covered under the following Quality Control Orders -

Industry Impact

The notification provides a clear regulatory pathway for manufacturers operating under mandatory BIS Quality Control Orders. Instead of disrupting supply chains, the Order introduces a controlled transition framework while maintaining mandatory compliance with Indian Standards.

Manufacturers seeking permission must demonstrate strong compliance practices, technical competence, and a proven commitment to quality management. The introduction of an Implementation Committee also strengthens transparency and risk-based assessment in granting permissions.

For industries manufacturing products covered under the listed QCOs, the Order represents an important regulatory development that supports ease of doing business while safeguarding consumer safety and product quality.

How Companies Can Prepare for DPIIT Transition Facilitation Under the 2026 Order

Companies considering the Transition Facilitation mechanism should first determine whether they can meet the eligibility and documentation requirements prescribed by DPIIT. The process involves more than simply having a BIS-certified foreign supplier.

1. Determine Which Eligibility Route Applies

The DPIIT Guidelines provide three routes for an applicant:

• Developing supply-chain capability directly in India

• Developing supply-chain capability through a contract manufacturing arrangement

• Demonstrating successful implementation of applicable QCO requirements for at least three continuous years without default

For the first two routes, the applicant must also demonstrate activities relating to technology adoption or advancement, design capabilities, or research and development.

2. Prepare Product and Import Details

Applicants should prepare precise information about the products for which permission is sought. The Guidelines require details such as:

• Product name

• Applicable Indian Standard

• Concerned QCO

• Specific 8-digit ITC-HS code

• Proposed quantity

• Foreign manufacturer's name and address

• Supplying country

• Whether the supplier is a parent, holding, group or contract manufacturer

These details form part of the application information reviewed by the Implementation Committee.

3. Establish Control Over the Supply Chain

The assessment is not limited to the existence of a BIS licence. DPIIT may consider the applicant's technical capability, experience, control over design, specifications and production processes, compliance record, and plans for strengthening supply-chain capabilities in India.

Therefore, applicants should be able to clearly demonstrate how quality will be controlled from the manufacturing source through the Indian supply chain.

4. Document Technology, Design or R&D Plans

Where the application is based on developing supply-chain capability, the applicant must provide details of the proposed activities, locations, investment and implementation plan.

The Guidelines also require a plan for technology adoption or advancement, design capabilities, or research and development, along with milestones and timelines where applicable.

5. Verify the Foreign Manufacturing Arrangement

The application specifically requires details of the foreign manufacturing facility from which the goods will be supplied. Where parent, holding or group-company credentials are relied upon, additional supporting documents may be required, including audited financial statements, factory registration or equivalent industrial licence, evidence of technical capability and a Board-authorised declaration.

6. Be Ready for Continuing Compliance

Permission under the Order is not unconditional. DPIIT may specify the permitted products, quantity limits, validity period, milestones, manufacturers and reporting requirements.

Approved applicants must also cooperate with market surveillance, submit an annual compliance report certified by a practising Chartered Accountant, and provide consignment and BIS licence-related information on a quarterly basis as specified.

7. Understand the Risk of Non-Compliance

The permission can be reviewed, suspended or withdrawn if there is material misrepresentation, non-conformity with Indian Standards, adverse surveillance findings or failure to meet committed milestones. Therefore, companies should treat the Transition Facilitation mechanism as a structured compliance framework rather than a blanket relaxation of BIS requirements.

Conclusion

The Transition Facilitation (Quality Control) Order, 2026 marks a significant step by DPIIT towards streamlining the implementation of mandatory BIS Quality Control Orders. By introducing a structured permission mechanism, robust eligibility assessment, and continuous BIS surveillance, the Government aims to ensure uninterrupted industrial operations without diluting product safety and quality standards. Companies manufacturing products covered under the notified QCOs should carefully review the new provisions and prepare for compliance with the application requirements issued by DPIIT.