India's Trade Overview

INDIA'S TRADE POLICY

QUALITY & STANDARDS

The government has an institutional mechanism in place to deal with quality complaints and crack down on erring exporters who do not meet the parameters of quality & standards. Following complaints may be considered:

(a) Complaints received from foreign buyers in respect of poor quality of the products supplied by exporters from India;

(b) Complaints of importers against foreign suppliers in respect of quality of the products supplied; and

(c) Complaints of unethical commercial dealings categorized mainly as non-supply/partial supply of goods after confirmation of order; supplying goods other than the ones as agreed upon; non-payment; non-adherence to delivery schedules, etc.

Following are basic obligations for exporters:

• On the importation into, or exportation out of, any customs ports of any goods, whether liable to duty or not, the owner of these goods shall in the Bill of Entry or the Shipping Bill or any other documents prescribed, state the value, quality and description of such goods to the best of his knowledge and belief and in case of exportation of goods, certify that the quality and specification of the goods as stated in those documents, are in accordance with the terms of the export contract entered into with the buyer or consignee and shall subscribe a declaration of the truth of such statement at the foot of such a Bill of Entry or Shipping Bill or any other documents. Violation of this provision renders the exporter liable for penal action.

• Exporters must conform to the standards for specified export commodities under the Compulsory Quality Control & Pre-shipment Inspection prior to their export. Penal action can be taken under the Export (Quality Control & Inspection) Act, 1963 as amended in 1984, against exporters who do not conform to these standards and/ or provisions of the Act as laid down for such products.

Erring exporters are liable for action under the Foreign Trade (Development and Regulation) Act, 1992, as amended and under Foreign Trade (Regulation) Rules, 1993. 

Boosting Standards of Made in India

Indian products have faced quality issues due to the presence of traces of pesticides, pathogens, illegal dyes, etc. The government is endeavouring to upgrade quality and infrastructure to help companies move towards higher quality standards and protect Indian consumers from sub-standard imports. This will involve establishing more globally accredited testing laboratories, enhancing capacity of Indian testing laboratories and Mutual Recognition Agreements (MRA) with partner countries. Moreover, the government is organising Standards Conclaves regularly to raise awareness on the importance of producing quality products in the country. The 12th Regional Standards Conclave was held in Orissa in February 2019.

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