SGCCI Seeks Removal Of QCO On Textile Machinery To Boost Growth
The Southern Gujarat Chamber of Commerce and Industry (SGCCI) has formally appealed to the central government to remove the Quality Control Order (QCO) from textile machinery, citing its potential to hinder the growth and technological advancement of the textile sector.
In a high-level meeting held in New Delhi, SGCCI Vice President Ashok Jirawala and former President Ashish Gujarati submitted the proposal to Union Minister for Heavy Industries H.D. Kumaraswamy and Joint Secretary Vijay Mittal. The meeting also saw participation from key stakeholders, including representatives of FICCI, ASSOCHAM, the Gujarat Chamber of Commerce and Industry (GCCI), and Arvind Mills—all of whom supported the call for QCO removal.
The SGCCI delegation underscored that India’s textile market, currently valued at USD 165 billion, is projected to reach USD 350 billion by 2030. To meet this ambitious target, the industry will require around 4.5 lakh high-speed weaving machines, demanding an estimated investment of USD 15 billion. A list of critical textile machines that are not manufactured in India—and thus essential for import—was also submitted to the ministry.
Highlighting the fast-paced innovation in textile technologies, Jirawala noted that embroidery machinery, in particular, undergoes upgrades every 2–3 years. As many of these machines are not produced domestically, Indian entrepreneurs rely heavily on imports. He urged that embroidery machines be excluded from QCO provisions to support industry competitiveness.
GCCI representatives raised additional concerns, pointing out that many entrepreneurs have already opened Letters of Credit (LCs) and placed orders for machinery overseas. If these machines arrive after the QCO enforcement date of August 28, 2025, and the regulation remains unchanged, they risk being held up at ports—leading to heavy financial losses. There are also fears that banks may withhold funding due to regulatory uncertainty, potentially stalling investment and industrial growth.
In response, Minister Kumaraswamy and Joint Secretary Mittal assured the delegation that the concerns of the user industry would be taken into account. They also confirmed that the Ministry of Textiles would initiate consultations with all stakeholders before arriving at a final decision.
