India rescinds QCO on VSF to boost textile sector growth

In a major step to improve raw material accessibility and foster growth in the textile industry, the Ministry of Textiles has decided to rescind the QCO for VSF, following consultations with the Bureau of Indian Standards (BIS) and key industry stakeholders, the Ministry of Textiles said in a statement.

This decision directly addresses persistent industry concerns about supply constraints and higher costs and demonstrates the government’s commitment to improving the ease of doing business for textile manufacturers, exporters and MSMEs.

The Ministry said in a notification issued yesterday, “In exercise of the powers conferred by section 16 of the Bureau of Indian Standards Act, 2016 (11 of 2016), the Central Government is of the opinion that it is necessary so to do in the public interest, after consulting the Bureau of Indian Standards, hereby rescinds the notification of the Government of India in the Ministry of Textiles No. S.O. 6143(E) dated December 29, 2022, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii) dated December 29, 2022, relating to Viscose Staple Fibres with immediate effect, except as respects things done or omitted to be done before such rescission.”

This policy move comes at a crucial time as India’s textile sector pursues its ambitious Vision 2030—aiming to boost domestic consumption and achieve $100 billion in exports while expanding the total textiles and apparel market to $350 billion.

Removal of the QCO on VSF is expected to ensure seamless access to quality raw material, enhance global competitiveness and drive industry-led growth to support these national goals.

The Ministry will continue to engage with stakeholders, prioritising evidence-based policies to sustain momentum in domestic manufacturing, exports and job creation—paving the way for India’s emergence as a leading global textile hub.

ALCHEMPro News Desk (KUL)