The Department for Promotion of Industry and Internal Trade (DPIIT) has notified the Transition Facilitation (Quality Control) Order, 2026, introducing a risk-based compliance framework that offers greater flexibility to manufacturers while maintaining strict quality standards. The reform aims to reduce compliance hurdles, encourage innovation, strengthen domestic supply chains, and improve India’s global manufacturing competitiveness.
Key Highlights
- DPIIT notifies Transition Facilitation (Quality Control) Order, 2026.
- Introduces a risk-based compliance mechanism for manufacturers.
- Rewards companies with consistent quality compliance over three years.
- Expected to strengthen domestic manufacturing and global supply chain integration.
India has taken another important step towards building a stronger, more competitive manufacturing ecosystem with the notification of the Transition Facilitation (Quality Control) Order, 2026 by the Department for Promotion of Industry and Internal Trade (DPIIT). The new framework is designed to make compliance easier for industries without compromising the country’s commitment to high-quality manufacturing standards and consumer safety.
The government said the order introduces a risk-based compliance mechanism that offers manufacturers greater flexibility in sourcing products while ensuring that quality benchmarks remain intact. The initiative reflects the Centre’s broader vision of making India a globally competitive manufacturing hub supported by robust quality standards and efficient supply chains.
Under the new framework, domestic manufacturers can source products from suppliers licensed under Scheme II of Schedule II of the Bureau of Indian Standards (Conformity Assessment) Regulations, 2018, instead of depending solely on the traditional Scheme I (ISI Mark Scheme). This alternative compliance route is expected to simplify procurement while preserving product quality and regulatory oversight.
Permissions under the order will be granted after evaluating a manufacturer’s technical capability, compliance history, commitment to technology adoption, innovation, research and development, and contribution to strengthening India’s domestic supply chains. The government believes that encouraging innovation alongside compliance will help industries modernise faster and become more globally competitive.
In a significant incentive for businesses, the order also recognises manufacturers that have maintained continuous compliance with Quality Control Orders (QCOs) for three years without any default. These companies will receive the benefits of the new transition mechanism, encouraging industries to maintain high standards over the long term.
According to the government, the reform is expected to reduce compliance bottlenecks, promote technological advancement, support research-driven manufacturing, and strengthen India’s industrial ecosystem. It also aligns with the country’s strategy of building resilient domestic value chains while improving integration with global supply networks.
Industry stakeholders are expected to benefit from a more predictable regulatory environment that balances ease of doing business with consumer protection. At the same time, consumers will continue to receive safe, reliable, and standards-compliant products, reinforcing confidence in goods manufactured and sold in India.
With manufacturing playing a central role in India’s economic growth strategy, the Transition Facilitation (Quality Control) Order, 2026 is expected to become an important policy tool for improving productivity, supporting innovation, and positioning India as a trusted global manufacturing destination.
Conclusion
The Transition Facilitation (Quality Control) Order, 2026 reflects the government’s commitment to creating a modern, innovation-driven manufacturing ecosystem while ensuring that product quality and consumer safety remain uncompromised. By combining regulatory flexibility with strict quality assurance, the reform is expected to strengthen India’s industrial competitiveness, enhance domestic supply chains, and support the country’s ambition of becoming a global manufacturing powerhouse.
Frequently Asked Questions (FAQs)
1. What is the Transition Facilitation (Quality Control) Order, 2026 ?
It is a new DPIIT notification introducing a risk-based compliance framework that provides manufacturers with greater sourcing flexibility while maintaining quality standards.
2. Why has DPIIT introduced this order ?
The objective is to reduce compliance challenges, encourage innovation, strengthen domestic manufacturing, and improve India’s competitiveness in global supply chains.
3. Which manufacturers are eligible under the new framework?
Manufacturers with strong technical capabilities, proven compliance records, innovation initiatives, and those maintaining three years of uninterrupted QCO compliance can benefit.
4. How will consumers benefit?
Consumers will continue to receive safe, reliable, and quality-certified products while industries gain greater operational flexibility.
5. How does this support India’s manufacturing sector ?
The policy encourages technology adoption, research and development, resilient supply chains, and ease of doing business, making Indian manufacturing more globally competitive.
