In a bid to safeguard domestic industry and ensure quality compliance, the government is planning to tighten regulations on the import of substandard steel. The proposed move focuses on amending advance authorisation norms to prevent the entry of non-BIS (Bureau of Indian Standards) compliant steel into the Indian market, especially through export-oriented units (EOUs) and under duty-free schemes.
Currently, certain steel products are allowed into the country without import duties under advance authorisation schemes meant to support export production. However, concerns have been raised that some of this imported steel does not meet Indian quality standards, thereby undercutting local manufacturers and posing risks to end users across infrastructure, automotive, and construction sectors.
The proposed changes aim to ensure that all imported steel, even under export-linked exemptions, conforms to BIS certification norms. This would align import regulations with the broader quality control order (QCO) regime already being enforced by the Ministry of Steel and the Bureau of Indian Standards. Authorities believe that stricter oversight will reduce the misuse of trade exemptions and prevent inferior products from undermining the competitiveness of Indian steelmakers.
Industry stakeholders have welcomed the initiative, stating that the move would promote a level playing field and reinforce the country’s push for high-quality, globally competitive steel production. Some exporters, however, have expressed concerns about potential delays and increased compliance burdens, especially for companies’ dependent on niche grades of steel not produced locally.
The government is expected to conduct stakeholder consultations before finalising the amendments. If implemented effectively, the revised norms could improve quality assurance, protect domestic investments, and further India’s vision of becoming a global manufacturing hub under the ‘Make in India’ initiative.
