Govt urged to freeze stainless steel quality order

Only five stainless steel manufacturing plants have got BIS certification since the government order was issued in June, MSSMA said

Companies using stainless steel as an input have urged the government to defer the Stainless Steel Products Quality Control Order by a year. The order forces all user industries, including utensil manufacturers to purchase only Bureau of Indian Standards (BIS) certified raw materials.

In a letter to the Union Steel Ministry, the Metal & Stainless Steel Merchants Association (MSSMA) says only five stainless steel manufacturing plants have got BIS certification since the government order was issued in June.

"Implementation now of the quality product order, with most international stainless steel mills not getting BIS certification, would lead to severe shortage of raw materials and lead the country into a crisis. Shortage of raw materials will lead to several other consequences, including downfall of industrial output. Hence, the quality control order needs to be deferred at least for 12 months," said Jitendra Shah, president, MSSMA.

One global and four domestic makers of stainless steel (including two of Jindal Steel) have got the certification. At present, says the Association, there is no BIS-standard steel in the market. Without deferring the order for quite a while, various downstream industries would come to a halt.