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Since a majority of players currently import the potable water bottles in copper, stainless steel and aluminium, they may need to set up their own manufacturing units in India. “The BIS order regarding compulsory use of the standard marks may lead to accelerated sector formalisation and create competitive advantages for larger and compliant players,” the ICICI report added.
The Court rejected the argument that the decision was aimed at and would lead to monopolisation by Reliance, which manufactures linear low density polyethylene.
While all stakeholders say the quality control order is beneficial for the industry, manufacturers say the implementation is trampling over the unorganised players.
A QCO bars manufacturers, importers and distributors from storing or selling a product without a Standard Mark, except under licence from the Bureau of Indian Standards (BIS).
Bodies representing large footwear retailers also want their existing inventory — procured or manufactured before the quality control orders (QCO) — to be exempt from the mandatory qualiity certification.