India’s methanol market faces looming BIS measures

Methanol market participants are eyeing the looming imposition of stricter quality control measures in India, that some fear could add more administrative hassle for importers.

The Bureau of Indian Standards (BIS) is slated to impose new quality control standards for methanol imports on 3 February, and all suppliers need to ensure that exports to India comply with the required stipulations.

However, market participants say that there is a high likelihood that the date of implementation will be delayed. Movement restriction measures amid the Covid-19 pandemic have impeded travel, making it difficult for traders to ensure that production specifications of imports comply with the new standards.

Still, when the new measures are eventually implemented, they are unlikely to have a major impact on import trade to the country. India has few alternatives to importing supplies, having little methanol production facilities of its own.

While import volumes are unlikely to be impacted, some market participants lamented the possibility of having to deal with the hassle of additional administrative arrangements, once the new measures have been implemented.

By Leanne Tan