Textile exporters importing certain varieties of polyester fibre or yarn covered under the mandatory Quality Control Order (QCO) through the Advance Authorisation scheme will now have 18 months to fulfil their export obligations.
The Central Government announced on Thursday that the obligation period for exports linked to imports subjected to mandatory QCO by the Department of Chemicals and Petrochemicals has been extended from six months to 18 months.
Sanjay K. Jain, chairman of the expert committee on textiles of the Indian Chamber of Commerce, said the decision would provide significant relief to exporters. He noted that the extension would allow them to access cheaper raw materials while having sufficient time to meet export obligations, thereby strengthening their competitiveness in global markets.
The extension is expected to provide relief to exporters by allowing them to import cheaper raw materials—particularly polyester yarn—without having to comply with mandatory Quality Control Orders (QCOs). By easing raw material supply constraints, the policy change will enable manufacturers to better manage production costs while giving them more time to meet export requirements.
Industry observers believe the move will reduce immediate pressure on exporters struggling with the steep US tariff and help maintain competitiveness in global markets. The decision also underscores the government’s efforts to safeguard the textile and garment industry, which is heavily reliant on export revenues.
