BIS fee concessions for MSMEs may continue till 2028

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Synopsis

The government is considering a three-year extension of BIS certification fee concessions for MSMEs, easing compliance costs and encouraging quality adherence.

Summary

To support India’s micro, small, and medium enterprises (MSMEs), the government is likely to extend fee concessions under the Bureau of Indian Standards (BIS) for another three years. Initially set to expire in March 2025, these concessions aim to lower the cost of compliance and boost quality manufacturing among MSMEs. The scheme was introduced to help smaller businesses meet mandatory quality norms without being burdened by high certification expenses.

Government officials are reportedly in talks with stakeholders to finalise the extension, which may be announced in the upcoming Budget session. The current exemption includes full or partial waivers of application and processing fees for BIS certification. This is especially relevant as more product categories are being brought under compulsory BIS certification through Quality Control Orders (QCOs).

With the MSME sector contributing significantly to India’s GDP, exports, and employment, policymakers see the fee waiver as an important enabler for formalisation and market competitiveness. According to BIS, nearly 13,000 MSMEs had availed these fee benefits by the end of 2024, reflecting a growing interest in certification.

The proposed extension also aligns with the government’s broader agenda of ‘ease of doing business’ and the formalisation of the informal sector. As MSMEs move towards global markets and digital platforms, adherence to recognised quality standards like BIS becomes not just a regulatory need but a competitive advantage.

If approved, the move will offer predictable cost relief for thousands of MSMEs, while also strengthening India’s quality assurance ecosystem.