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Gujarat High Court Stays Removal Of Quality Control Orders On FDY And POY

• By  Textile Excellence
• May 06, 2026

In a significant development, the Gujarat High Court has stayed the Central Government’s rollback of the Quality Control Orders (QCOs) for Fully Drawn Yarn (FDY) and Partially Oriented Yarn (POY), directing that the QCOs “shall continue to remain in force” until further hearing on a lawsuit filed by Sumeet Industries Ltd.

The single-judge bench of Justice Hemant M. Prachchhk passed the stay on the effect of the government notifications S.O. 5134(E) and S.O. 5135(E) that had withdrawn the QCOs on 12 November 2025. The order was passed on 4 May 2026 and the court issued a notice returnable 3 July 2026. This means that the Govt.’s Quality Control Orders, 2023 shall continue to remain in force pending final disposal.

The petition was filed by Sumeet Industries Limited against the Union of India, and senior counsel Shalin Mehta and others appeared for the petitioner. Downstream synthetic textile manufacturers and the Union Govt. are likely to challenge the interim order before a division bench.

The QCOs for FDY and POY has protected the domestic manufacturers from cheaper and low-quality imports. However, downstream consumers have advocated for the removal of the QCOs, citing higher local price, limited availability of the products, and reduced competitiveness in export markets. The consumers of FDY and POY have benefited from price reduction after the removal of the QCOs but the war in West Asia has reversed the situation, leading to volatile raw material and yarn prices.

The Gujarat High Court has stayed the Central Government’s rollback of the Quality Control Orders (QCOs) for Fully Drawn Yarn (FDY) and Partially Oriented Yarn (POY), directing that the QCOs “shall continue to remain in force” until further hearing on a lawsuit filed by Sumeet Industries Ltd.