Daijiworld Media Network – New Delhi
New Delhi, Nov 19: In a major boost to India’s textile value chain, the Union Government has withdrawn the Quality Control Order (QCO) for Viscose Staple Fibre (VSF) with immediate effect, ensuring easier access to raw materials for manufacturers across the country. The decision comes after extensive consultations with the Bureau of Indian Standards (BIS) and key industry bodies, the Ministry of Textiles said on Tuesday.
The move follows last week’s withdrawal of QCO for polyester yarn and fibres, reflecting the Centre’s efforts to reduce compliance burden and address long-standing concerns over supply shortages and high input costs.
“This decision directly responds to persistent industry concerns about supply constraints and higher costs. It reinforces the government’s commitment to improving ease of doing business for textile manufacturers, exporters, and MSMEs,” the Ministry said in its statement.
QCOs mandate that certain products meet specified Indian standards and obtain BIS certification before manufacture, sale, or import. The removal of these limits on VSF is expected to streamline availability of quality raw materials, enhance global competitiveness, and support sector-led expansion.
The policy shift comes at a crucial juncture as the textile industry pursues the ambitious Vision 2030—targeting $100 billion in exports and a total market size of $350 billion, backed by increased domestic consumption and strengthened global presence.
Further boosting the sector, the Ministry announced that 17 new applicants have been approved in Round 3 of the Production Linked Incentive (PLI) Scheme for textiles.
These companies have collectively committed ?2,374 crore in investments, with projects expected to generate projected sales of ?12,893 crore and create employment for 22,646 people in the coming years.
The PLI scheme—launched in September 2021 with an outlay of ?10,683 crore—aims to expand India’s capacity in MMF (man-made fibre) apparel, fabrics, and technical textiles, enabling the sector to scale up, compete globally, and generate substantial employment.
So far, 74 applicants have been approved under the first two rounds, with fresh amendments introduced recently to increase industry participation. The online application portal will remain open until December 31, 2025, allowing more companies to apply. The Ministry confirmed that the list of newly approved firms will be released in January next year.