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India's footwear sector is also governed by the two landmark Quality Control Orders (QCOs) notified by the Department for Promotion of Industry and Internal Trade (DPIIT) under the Bureau of Indian Standards (BIS) Act, 2016:
On August 1, 2024, both QCOs took effect, requiring all importers and manufacturers to obtain BIS certification (ISI Mark) to sell covered footwear in India.
From formal leather shoes and sports footwear to mass-market rubber chappals and PVC sandals, the listed categories collectively account for the vast bulk of footwear marketed in India. The QCO framework applies to:
The June 2026 amendment to both footwear QCOs introduced two significant changes:
1. Extension of old stock clearance deadline from 31 July 2026 to 31 July 2027: The original stock clearance provision (introduced by S.O. 3700(E) dated 30 August 2024) allowed manufacturers and importers who had declared old uncertified stock to BIS under Section 18(4) of the BIS Act to sell that stock until 31 July 2026. The 2026 amendment extends this deadline by one full year to 31 July 2027.
2. Special exemption for R&D imports: A new rule from the Ministry of Commerce and Industry permits importers to import shoes without BIS certification only for R&D purposes, subject to:
Key Dates and Implementation Timeline
| Milestone | Date |
| Footwear QCOs came into force (both orders) | 1 August 2024 |
| Original old stock clearance deadline | 30 June 2025 |
| First extension of old stock clearance | 31 July 2026 (S.O. 3700(E), August 2024) |
| Second extension (2026 Amendment) | 31 July 2027 |
| R&D import exemption effective | From the date of the 2026 amendment notification (June 2026) |
| Deadline for new BIS licence applications for manufacturers already in the market | Ongoing ASAP for uncertified manufacturers |
| Latest deadline for mandatory BIS certification (new production) | Effective from 1 August 2024 (no extension for new production) |
The extension of the Footwear Quality Control Order (QCO) compliance deadline was driven by a combination of industry, operational, and regulatory factors. Below are a few key reasons that influenced the government's decision to provide the additional time for compliance:
1. Scale and Complexity of India's Footwear Industry
The breadth and diversity of India's footwear industry are among the main causes of the extension. In addition to a huge network of MSMEs, cottage industries, and unofficial producers dispersed around significant footwear clusters, the sector is made up of thousands of organized manufacturers. It was quite difficult to certify so many units in the initial time frame since BIS certification under Scheme-I required factory inspections, product testing, paperwork review, and license approval. The extension gives BIS and manufacturers more time to successfully finish the certification procedure.
2. Existing Inventory Across the Supply Chain
At the time the Quality Control Order (QCO) came into force, manufacturers, importers, wholesalers, and retailers were holding substantial inventories of footwear that had been legally produced or imported before the implementation date. Requiring immediate compliance could have resulted in large-scale inventory losses, supply chain disruptions, and shortages of affordable footwear products. The extension allows the businesses to liquidate existing stock while transitioning to BIS-certified products gradually.
3. MSME and Informal Sector Readiness Challenges
Small and medium-sized businesses make up a sizable section of India's footwear manufacturing sector, and they frequently have inadequate infrastructure for regulatory compliance and quality control. To comprehend the BIS standards, modernize production procedures, carry out product testing, and receive certification, many firms need more time. The expansion acknowledges these real-world difficulties and facilitates a more seamless shift to compliance without unduly burdening smaller companies financially.
4. Testing and Certification Capacity Constraints
Another major obstacle has been the availability of testing facilities recognized by BIS. Due to several quality control programs across industries, testing facilities have seen a rise in demand, which has caused manufacturers seeking certification to have to wait longer. For shoe makers nationwide, the extended schedule offers a chance to increase testing capacity, eliminate bottlenecks, and enhance access to certification services.
5. Industry Feedback and Stakeholder Consultations
The government's participatory approach to implementing the regulations is reflected in the extension. Concerns about certification schedules, inventory control, compliance expenses, and infrastructure constraints were brought up by trade associations and industry associations. The government chose a more realistic implementation schedule that strikes a balance between quality goals and industrial readiness after taking these arguments into account.
6. Encouraging Research, Development, and Innovation
The amendment also includes concerns about research and development efforts in the footwear industry. To create cutting-edge products, manufacturers are depending more and more on imported prototypes, sample materials, and new technology. For such limited-quantity R&D imports, requiring BIS certification resulted in needless compliance obstacles. It is anticipated that the implementation of an exemption for legitimate R&D will promote innovation, quicken product development, and encourage the use of cutting-edge materials and manufacturing techniques.
The extension of the compliance deadline and the introduction of the R&D exemption will have varying implications across the footwear value chain. While the amendment provides operational relief to businesses holding existing inventory, it also reinforces the need for long-term compliance with BIS certification requirements.
1. Domestic Footwear Manufacturers
The longer time frame for stock clearance will be very advantageous to domestic producers. Companies can sell their uncertified inventory until July 31, 2027, if they reported it to BIS before August 1, 2024. This will help businesses better manage their inventory and prevent financial losses from forced liquidation.
The certification requirements for new production are not, however, lessened by the extension. Before being sold in the Indian market, every footwear produced after August 1, 2024, must continue to adhere to the relevant BIS requirements and have the ISI mark. As a result, manufacturers should keep working toward BIS certification and bolster their quality control procedures. The extra time gives MSMEs the chance to modernize facilities, enhance quality control procedures, and finish the certification process with assistance from government and industry initiatives.
2. Footwear Importers
The longer time frame for selling current stock will help importers with declared pre-August 2024 inventory, lowering the risk of inventory losses and related business difficulties. However, the modification does not change the compliance requirements for new imports, which still need to adhere to the relevant BIS certification standards.
The R&D exemption, which allows the import of product samples, prototype footwear, material swatches, and restricted test quantities for research, development, and product assessment reasons without incurring complete certification requirements, is a significant advantage for importers. It is anticipated that this will encourage product development and innovation throughout the industry.
3. Retailers and Distributors
Distributors, wholesalers, and retailers with reported inventory have more time to liquidate their current stock without worrying about legal or regulatory ramifications. The expansion offers more freedom in inventory management and assists companies in avoiding aggressive pricing tactics that may have a detrimental impact on profitability.
Also, distribution networks and organized retail chains can now match their transition plans with the updated schedule, guaranteeing a more seamless transition to fully BIS-certified product portfolios while coordinating the certification milestones with their supplier base.
4. Footwear Exporters
For footwear exporters, the amendment reduces compliance pressures associated with managing both domestic and export-oriented production lines. Manufacturers serving multiple markets can benefit from additional flexibility in inventory management while continuing to align domestic products with BIS requirements.
The R&D exemption is particularly beneficial for exporters developing new products and materials, as it allows access to imported samples and technologies without creating unnecessary certification hurdles during the product development phase.
5. E-Commerce Marketplaces
Online marketplaces are essential for guaranteeing adherence to the Footwear QCO. The extended deadline gives the platforms more time to enhance compliance monitoring systems, fortify seller verification procedures, and enable a seamless transition to BIS-certified footwear listings.
Additionally, the amendment lowers the possibility of enforcement proceedings pertaining to declared heritage stock. In accordance with the updated regulatory timeframe, it allows marketplaces to update seller onboarding, product verification, and compliance frameworks.
For Manufacturers
Phase 1 (Now- December 2026): Certification Priority
Phase 2 (January- July 2027): Old Stock Liquidation
For Importers
| Benefit | Description |
| 12 More Months for Inventory Clearance | Declaring old stock can be sold until July 2027, preventing massive write-offs and preserving working capital |
| No Forced Discounting | Retailers can liquidate old stock at normal prices over 12 months instead of panic discounting before July 2026 |
| R&D Freedom | Designers and product developers can import material samples and prototypes without going through the full FMCS, accelerating innovation |
| Manufacturing Investment Planning | More time for MSME units to invest in quality upgrades, testing equipment, and process improvements without a cash crunch |
| Export Pipeline Continuity | Dual-market manufacturers are not distracted from export commitments by the domestic compliance crisis |
| Legal Clarity | A clear cut-off date (July 2027) and a stock declaration framework eliminate ambiguity in enforcement |
| Benefit | Description |
| Sector-Wide Quality Improvement | By July 2027, the entire industry will have had 3 years (since August 2024) to transition, enabling more thorough, genuine quality upgrades |
| BIS Lab and Infrastructure Scale-Up | An extended timeline allows BIS to expand testing infrastructure, reducing future backlogs |
| Cluster Development | Industry clusters can implement collective certification programmes, cluster-level testing, and shared quality infrastructure during the extension |
| Consumer Confidence Building | Gradual market transition means consumers begin associating the ISI mark with genuine quality assurance rather than a regulatory checkbox |
| Reason | Explanation |
| Scale of the Challenge | 4,500+ formal units + hundreds of thousands of informal producers cannot all be certified in 2 years, the extension acknowledges this honestly |
| Proportionality | Forcing July 2026 clearance would have been disproportionately harsh on MSMEs and retailers who had no means to accelerate certification |
| Preserving Affordable Footwear Supply | Sudden market disruption would have reduced the availability of low-cost footwear for bottom-of-the-pyramid consumers |
| Supporting "Make in India" | The goal of QCOs is to improve Indian manufacturing, not to destroy small producers. Extensions give domestic producers time to upgrade while still keeping importers under the same transition obligation |
| Consistent Pattern | Multiple other QCOs (textiles, furniture, electrical appliances, machinery) have also received extensions footwear extension is part of a calibrated, pragmatic approach |
| R&D Exemption is Progressive | Adding R&D import exemption shows nuanced policymaking strict on commercial sales, flexible on innovation |
| Concern | Context |
| Repeated Extensions Signal Weak Enforcement | This is the second extension for old stock clearance (June 2025 → July 2026 → July 2027). Repeated deferrals may reduce the credibility of future QCO deadlines |
| Delay in Consumer Protection | Every month of extension is a month in which substandard, uncertified footwear continues to be sold, potentially harming consumers who buy unsafe or poor-quality products |
| Unfair Advantage for Non-Compliant Players | Manufacturers who have obtained BIS certification are competing against uncertified players who are still selling old stock. The extension prolongs this unfair competition |
Balanced verdict: The extension is a correct and pragmatic decision given the ground realities of India's footwear sector. However, it must be the last extension; further deferrals would permanently undermine the QCO's quality assurance objective and unfairly penalise the many manufacturers who have invested in BIS certification on schedule.
1. Quality Improvements Over Extended Timeline
2. Consumer Satisfaction
This means ISI-marked footwear is tested to perform - not just labelled.
The QCO ensures these life-critical products actually meet specified protections.
3. Environmental Improvements
4. Ethical Practices in the Industry
This improves their access to formal credit, government schemes, and export opportunities.
1. BIS Certification Services (Highest Priority for Corpseed)- The extended timeline creates a well-defined, time-bound compliance window:
| Service | Target Clients | Revenue Potential in rupees |
| BIS Scheme I (ISI Mark) for domestic manufacturers | Small and mid-sized footwear manufacturers across the Agra, Kanpur, Chennai, and Kolkata clusters | 75,000- ₹2,50,000 per unit |
| BIS FMCS Scheme II for foreign manufacturers | Chinese, Vietnamese, Bangladeshi, and Italian footwear OEMs exporting to India | ₹1,50,000 – ₹5,00,000 per manufacturer |
| BIS licence renewal and surveillance support | All existing certified manufacturers | ₹40,000 – ₹1,00,000 per year |
| Old stock declaration advisory and BIS Section 18(4) compliance | Manufacturers/importers holding declared stock until July 2027 | ₹30,000 – ₹75,000 per engagement |
| R&D import exemption documentation | Footwear brands and designers importing samples | ₹25,000 – ₹50,000 per engagement |
| Authorised Indian Representative (AIR) services | Foreign manufacturers | ₹1,50,000 – ₹3,00,000 per year |
2. Lab Testing Coordination and Sample Management
3. Quality Management and Factory Preparation Services
4. E-Commerce Seller Compliance Packages
5. Footwear Brand Consulting and Market Entry
Given the July 2027 final deadline, the next 12 months represent the peak conversion window for BIS footwear certification services. The urgency is real, but manageable every MSME manufacturer and importer still operating without BIS certification on their new production is in technical violation today and needs help. The right message for Corpseed is:
"The government has given you until July 2027 for old stock, but your new production already needs BIS certification. Don't wait. Start now, complete before the rush."
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