Footwear industry seeks QCO extension

New Delhi: Industry players and exporters of footwear have urged the government to immediately extend the implementation of the quality control order (QCO) by 12 months as the businesses are not yet prepared to follow the norms. According to the 'Footwear Made from Leather and Other Materials (Quality Control) Order, 2022', which will come into force from July 1, manufacturers have to modify their processes to comply with the new standards. This includes establishing testing laboratories, obtaining BIS licenses, and adhering to the rules for issuing the ISI mark.

Economic think tank GTRI said that these changes require time and investment, and most manufacturers may be unable to meet the timelines. Global Trade Research Initiative (GTRI) co-founder Ajay Srivastava said there is a need for the government to provide clarity on the selling of existing stock. “QCO provides no guidelines on using existing stock post application of QCO. Leather is a long-lasting item; many retailers store shoes for 2-3 years. Since it will be difficult to segregate inventory, the QCO may be applied to retailers after 12-24 months,” he suggested in a report.

An industry expert too said that the government should exempt footwear above a certain price band from this quality order. "In India, the average price of imported footwear is around $10 per pair. This is based on the import data of last three years. It is therefore logical to assume that CIF (cost, insurance, freight) price per pair of majority of footwear imported in India is well below $20 per pair.