Countries slapping tariffs and duties on each other is common practice and is subject to complex geopolitical dynamics. But India recently has been stepping up its game by circumventing the need to slap tariffs to protect its domestic industries. Here is where BIS ( Bureau of Indian Standards) comes in. A government body with a mandate to ensure a quality ecosystem & thwart sub par quality in the Indian economy. The mandate aside, it actually is being used to keep cheap imports, especially Chinese, out of the country.
Some headlines of the last few months to illustrate :
Sudden enforcement of BIS certifications on sectors heavily relying on imports and exporters facing everlasting unusual delays and rejections in certificate issuances seems less like a co-incidence and more like a red tape war. Nevertheless, considering that BIS certification can now prove to be a significant moat for Indian players in some sectors, it may throw up some opportunities to look at.
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