Set up digital verification system before issuing QCOs to curb fraud: GTRI

The Global Trade Research Initiative claimed that India is facing a growing problem of sub-standard imports falsely claiming to have BIS certification

The government should set up a centralised digital verification system before issuing new Quality Control Orders (QCOs) with an aim to prevent fraud and ensure the integrity of certification processes, think tank GTRI said on Monday.

QCO's are issued to contain imports of low-quality products and protect consumers.

The Global Trade Research Initiative (GTRI) claimed that India is facing a growing problem of sub-standard imports falsely claiming to have Bureau of Indian Standards (BIS) certification.

These low-quality products enter the market with fake BIS labels, misleading consumers and bypassing safety and quality regulations, GTRI Founder Ajay Srivastava said.

This issue is widespread in sectors like electronics, toys, construction materials, machinery, and consumer goods, all of which require BIS certification, he said.

He said that the government before issuing QCOs for new products must set up an online system to prevent fraud and ensure integrity of the BIS certification and QCO schemes.

Stronger enforcement, stricter checks at ports, and severe penalties for offenders are needed to curb this rising threat.

"India also needs a centralised digital verification system where licensed foreign manufacturers register and upload details of all BIS-certified shipments. This would allow customs officials to verify shipments in real time before clearing imports," Srivastava said, adding integrating this system with ICEGATE (Indian Customs Electronic Commerce Gateway) would ensure seamless verification.

He added that India must act quickly to implement stronger digital verification and improve coordination between BIS, customs, and manufacturers.

"This will help curb fraud, protect consumers from substandard goods, and ensure fair competition," he added.