Footwear Makers Urge Government for More Time to Implement BIS Order
Introduction: Footwear manufacturers in the state are seeking an extension from the government to comply with a recent order issued by the Bureau of Indian Standards (BIS). The order requires footwear products to adhere to BIS norms, ensuring quality and discouraging cheap imports. However, the industry, comprising over 400 micro, small, and medium-scale enterprises, is concerned that rushing the implementation without adequate preparation may lead to job losses, negatively impact smaller units, and result in significant financial losses.
Challenges Faced by the Industry: The BIS order, which mandates adherence to norms for 24 footwear items, has set a deadline of July 1, 2023. Subsequently, a BIS license will be compulsory for manufacturing, importing, or selling products falling under quality control orders. While the industry appreciates the government’s initiative, manufacturers believe that implementing these requirements across a wide range of products in such a short time frame is impractical. Additionally, the sector faces difficulties due to its significant presence in the unorganized segment, lacking financial resources compared to larger companies.
Implications for the Footwear Sector: The State Small Industries Association President, A. Nizaruddin, warns that this situation could cause a major crisis, crippling the sector. V.K.C. Razak of the Footwear Manufacturers’ Association emphasizes that the footwear industry is the country’s second-largest employment provider, with approximately 75% of units operating in the unorganized sector. Manufacturers fear that the rush to meet the BIS norms could lead to substantial job losses and adversely affect small and micro-scale units.
Appeal for Exemptions and Postponements: In a letter addressed to the authorities, footwear makers highlight that the sector has ambitious plans to employ around six million people by 2030. With India producing billions of footwear pairs annually, manufacturers argue that it is impractical to implement BIS norms by July 1 for a vast array of products. They further contend that the BIS has not considered the diverse range of raw materials used in footwear production, with products ranging in price from ₹100 to ₹10,000. They propose complete exemption for micro-units from BIS compliance, a minimum two-year postponement for small-scale units, effective from January 1, 2026, and a minimum one-year delay for medium-scale units.
Concerns About Product Recall: The footwear makers also express concerns about the feasibility of recalling products already sold on the market. Given the distribution channels and the presence of unsold inventory with manufacturers, they argue that the recall of these products may not be a practical solution.
Future of the Footwear Industry: The footwear industry plays a crucial role in employment generation, with projections estimating a rise from the current three billion pairs of footwear produced annually to six billion by 2030. Footwear manufacturers believe that with the requested exemptions and postponements, they can continue contributing to the country’s economic growth while ensuring adherence to quality standards.
Conclusion: The footwear industry in the state appeals for more time to comply with the BIS order, citing concerns over job losses, the fate of smaller units, and substantial financial losses. While supporting the need for quality control, manufacturers emphasize the practical challenges in implementing the order within the given timeframe. They propose exemptions for micro-units and extended deadlines for small and medium-scale units. The authorities are urged to consider these concerns to safeguard the industry’s growth and employment opportunities while maintaining quality standards in the long run.
