New Delhi, July 25 -- India's increasing use of Quality Control Orders (QCOs) on industrial products has led to higher manufacturing costs and supply chain disruptions, particularly affecting smaller firms, according to a study by the Centre for Social and Economic Progress (CSEP).

QCOs mandate that products comply with standards set by the Bureau of Indian Standards (BIS) before being sold in India. While intended to ensure quality and safety, the study found that their rapid expansion-especially on intermediate goods-has added compliance burdens for both domestic manufacturers and importers.

Impact on Supply Chains

The report highlighted that mandatory standards on inputs have created bottlenecks across manufacturing supply chains. M...