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QCO Enforcement Extension Secured for Fuji Electric

Client: Fuji Electric Co., Ltd. (Japan & India Operations)

Mandated through: Ernst & Young (EY India)

Industry: Commercial Dispensing Appliances and Vending Machines

Applicable Standard: IS 302-2-75

Service Line: Policy Advocacy & Government Interface

Executive Summary

When a Quality Control Order mandating IS 302-2-75 compliance became fully enforceable with no further extensions permitted, Fuji Electric faced detained shipments worth millions, halted customs clearance, and imminent supply chain disruption. OMEGA QMS secured a government policy reversal within less than 4 weeks, releasing all consignments and preventing catastrophic business loss through strategic policy advocacy, multi-level government engagement, and diplomatic coordination.

<4 Weeks
Crisis Resolution Timeline
$M+
Shipments Released from Detention
Zero
Supply Chain Interruption
100%
Customer Project Continuity

The Challenge

A Quality Control Order (QCO) mandating compliance with IS 302-2-75 for Commercial Dispensing Appliances and Vending Machines was issued with a 6-month implementation window, followed by a final 6-month extension with explicit government communication that no further extensions would be granted.

Once the QCO became fully effective and enforceable, Fuji Electric faced an immediate regulatory crisis:

Critical Business Impact
  • No BIS License: Fuji Electric had not yet obtained the mandatory BIS license under IS 302-2-75
  • Port Detentions: Imported consignments worth millions of dollars were detained at Indian ports
  • Customs Blockage: Customs clearance could not be undertaken under the enforced QCO
  • Warehouse Paralysis: Goods already in warehouses could neither be stored further nor sold in the market
  • Supply Chain Crisis: OEM supply schedules and commercial rollouts were on the brink of disruption
  • Financial Escalation: Significant demurrage and contractual liabilities were building rapidly
  • Reputational Risk: High risk of damage to customer confidence and market credibility
The Stakes

An urgent Government intervention was essential to restore supply chain movement and prevent substantial business loss. With the government's explicit stance of "no further extensions," the situation required extraordinary policy advocacy capabilities.

Our Approach

OMEGA QMS activated its Policy Advocacy & Government Interface division to lead an accelerated crisis-resolution effort, leveraging deep regulatory expertise and high-level government relationships:

1. Regulatory Gap and Impact Analysis
Conducted comprehensive analysis centered on non-availability of BIS license, quantifying business impact, and identifying regulatory pathways for relief.
2. Technical and Legal Submissions
Prepared and filed comprehensive technical and legal submissions addressing compliance status, business impact, and justification for extension.
3. Multi-Level Government Engagement
Frequent and escalated engagement with decision-making bodies including:
  • Ministry of Commerce & Industry
  • Bureau of Indian Standards (BIS)
  • Relevant technical committees for electrical safety
4. Diplomatic Support Coordination
Aligned diplomatic support through:
  • Embassy of Japan, New Delhi
  • Honourable Ambassador of Japan
This multi-channel approach amplified the urgency and credibility of the request.
5. Intensive Follow-ups and Continuous Monitoring
Maintained continuous monitoring and intensive follow-ups to fast-track the relief process through bureaucratic channels.

Outcome

Successful Policy Reversal
  • Extension Granted: Enforcement of the QCO under IS 302-2-75 was successfully extended again, despite prior refusal stance and explicit "no further extensions" communication
  • Consignments Released: All detained consignments were released, clearing port backlogs immediately
  • Market Access Restored: Warehoused goods were permitted for commercial distribution
  • Zero Interruption: Customers experienced zero interruption in ongoing projects and supplies
  • Compliance Window: Fuji Electric gained valuable time to complete BIS licensing without business disruption
  • Enhanced Credibility: OMEGA QMS strengthened its reputation as a trusted advisor for mission-critical regulatory matters

Impact for Fuji Electric

Impact AreaResult Delivered
Market AccessProtected and maintained without interruption across all customer segments
Regulatory RiskCompletely averted through successful policy intervention at Ministry level
Supply Chain StabilityFully restored within compressed timeline, enabling normal operations
Financial ImpactPrevented millions in demurrage, penalties, and contractual liabilities
Customer RelationshipsPreserved trust and continuity with zero project delays
Compliance TimelineSecured adequate runway to complete BIS licensing process properly
Resolution Timeline

Less than 4 Weeks - A fully enforced regulatory barrier was resolved within less than 4 weeks

Why OMEGA QMS

This case study demonstrates the unique capabilities that make OMEGA QMS the preferred partner for mission-critical regulatory interventions:

  • Deep Regulatory Competency: In-depth expertise in navigating BIS licensing, QCO enforcement, and policy frameworks
  • Government Advocacy Network: Senior Government advocacy network with direct influence at policy decision-making level
  • High-Stakes Execution: Proven ability to deliver critical outcomes under compressed timelines and maximum pressure
  • Global MNC Partner: Trusted partner to Fortune 500 and multinational corporations operating in India

Facing a Similar Regulatory Crisis?

Our Policy Advocacy & Government Interface division specializes in resolving mission-critical compliance challenges for multinational corporations. Whether you're facing QCO enforcement issues, detained shipments, or need urgent government intervention, we can help.

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