The Steel Import Mandate: How the CBIC’s QCO for Steel is Reshaping Mumbai’s Manufacturing and Import Landscape
“Is your business ready for the new quality control mandate on steel imports? The CBIC’s latest directive is now in effect, impacting every step of the customs clearance process for Mumbai importers.”
A new era of quality control has dawned on India’s steel import sector and Mumbai, as a major gateway for global trade, is at the epicentre of this transformation. The Central Board of Indirect Taxes & Customs (CBIC) has issued a game-changing directive. Instruction No. 16/2025-Customs, dated June 18, 2025. This mandate, which came into effect for shipments with a Bill of Lading dated on or after June 16, 2025 requires imported steel and steel products to conform to specific Indian Standards (IS). For businesses in Mumbai, from the bustling industrial hubs of Panvel and Thane East to the city’s core, this is a critical actionable development that demands immediate attention.
The core of the new policy is the Steel and Steel Products (Quality Control) Order (QCO), which is designed to ensure that only quality steel is available in the Indian market. The directive is not merely about a final product; it extends to the input materials used in manufacturing. For an importer, this means that even if a finished steel product has a Bureau of Indian Standards (BIS) certification, the raw materials used to create it must also be BIS-compliant. This is a significant shift, creating a new layer of scrutiny at every stage of the import process.
For those involved in customs clearance Mumbai, this mandate introduces a new level of complexity. The process is no longer just about duty payments and basic documentation. Now, Customs officers are tasked with ensuring adherence to the QCO, requiring importers to furnish additional documents, including valid BIS certifications and in some cases, proof that the input materials also meet Indian standards. This has a direct impact on the speed and efficiency of the customs clearance Mumbai process, with the potential for delays and even outright rejection of consignments that fail to comply.
Mumbai manufacturing units that depend on imported steel as a raw material are particularly affected. This directive means they must now work even more closely with their international suppliers to ensure that the entire supply chain is compliant with the new rules. From a strategic perspective, this may necessitate a reassessment of sourcing strategies and a closer collaboration with seasoned Import Export Customs Clearing Agents who are well-versed in the intricate details of the new regulations.
The CBIC’s instruction is a clear signal of the government’s commitment to quality and “Make in India” While it presents a challenge, it also creates an opportunity for businesses to build more robust and transparent supply chains. To navigate this new landscape successfully, Mumbai-based businesses must be proactive. They need to understand the specific Indian Standards applicable to their products, ensure their foreign suppliers have the necessary BIS certifications and partner with experienced customs agents who can expertly guide them through the enhanced clearance procedures. Staying informed and prepared is no longer an option—it’s a necessity for continued success in Mumbai’s evolving import-export environment.