With reference to the 'Quality Council of India (QCI)', consider the following statements: 1. QCI was set up jointly by the Government of India and the Indian Industry. 2. Chairman of QCI is appointed by the Prime Minister on the recommendations of the industry to the Government. Which of the above statements is/are correct?

Updated 11 Apr 2026 · From UPSC Prelims GS Paper I 2017, Q66

Contents14
UPSC Prelims GS2017Indian Economy
  1. A1 only
  2. B2 only
  3. CBoth 1 and 2
  4. DNeither 1 nor 2
Show answer

Answer: (C) Both 1 and 2

Both statements are correct.

Statement 1 is correct:

The Quality Council of India (QCI) was set up jointly by the Government of India and the Indian Industry, represented by three premier industry associations:

  • ASSOCHAM (Associated Chambers of Commerce and Industry of India)
  • CII (Confederation of Indian Industry)
  • FICCI (Federation of Indian Chambers of Commerce and Industry).

QCI was established in 1997 to establish and operate a national accreditation structure and promote quality through the National Quality Campaign. The Department of Industrial Policy and Promotion (DIPP), Ministry of Commerce and Industry, serves as the nodal ministry for QCI.

Statement 2 is correct:

The Chairman of QCI is appointed by the Prime Minister on the recommendations of the industry to the Government. This unique governance structure — where the PM appoints the chairman based on industry recommendation — reflects the joint government-industry nature of QCI. It ensures that QCI remains independent and has credibility with both government and private sector stakeholders.

QCI operates through its constituent boards:

  • National Accreditation Board for Certification Bodies (NABCB)
  • National Accreditation Board for Testing and Calibration Laboratories (NABL)
  • National Accreditation Board for Hospitals and Healthcare Providers (NABH)
  • National Accreditation Board for Education and Training (NABET).

So both statements are correct.

Why this was asked

QCI is India's national accreditation body that certifies testing labs, hospitals, and certification agencies across the country.

QCI has a unique public-private structure where government and industry associations jointly control it, with the PM appointing the chairman based on industry recommendations.

The question tests knowledge of QCI's governance model, which differs from typical government bodies by giving industry a formal role in leadership selection.

Quality Council of India (QCI)

Indian Economy Quality Council of India QCI Government of India Indian Industry

Quality Council of India (QCI): Structure, Governance & Functions

Must know

QCI established in 1997 jointly by Government of India and Indian Industry

Chairman appointed by PM on industry recommendations

Good to know

Four constituent boards: NABCB, NABL, NABH, NABET

DIPP, Ministry of Commerce serves as nodal ministry

What is QCI

Quality Council of India (QCI) is a unique public-private partnership established in 1997 to create India's national accreditation infrastructure. It operates as an independent body to promote quality standards across sectors through certification and accreditation services.

QCI Structure & Governance

Aspect

Details

Significance

Establishment

1997 - Joint initiative

Government-industry collaboration model

Industry Partners

ASSOCHAM, CII, FICCI

Represents major industry associations

Chairman Selection

PM appoints on industry recommendation

Ensures independence and credibility

Nodal Ministry

DIPP, Ministry of Commerce

Government oversight and coordination

Legal Status

Independent statutory body

Autonomous operations with accountability

QCI Constituent Boards

# Quality Council of India (QCI)
## NABCB
- National Accreditation Board
- Certification Bodies
- Management Systems
- Product Certification
## NABL
- Testing Laboratories
- Calibration Laboratories
- Medical Testing
- Reference Materials
## NABH
- Hospital Accreditation
- Healthcare Providers
- Blood Banks
- AYUSH Standards
## NABET
- Education & Training
- Skill Development
- Professional Bodies
- Assessment Standards

Key Functions

Operates National Quality Campaign to promote quality consciousness

Provides accreditation services across healthcare, education, testing, and certification

Develops quality standards aligned with international best practices

Facilitates mutual recognition agreements with international accreditation bodies

Supports Make in India initiative through quality infrastructure

Question Analysis

This question tests knowledge of QCI's unique government-industry partnership model and its distinctive governance structure. Both statements highlight QCI's hybrid nature - joint establishment and industry-recommended leadership.

Exam traps

Trap: Assuming QCI is purely government body - it's joint government-industry initiative

Trap: Confusing chairman selection - PM appoints but on industry recommendation

Trap: Missing the three industry partners - ASSOCHAM, CII, FICCI specifically

Don't confuse QCI with Bureau of Indian Standards (BIS) - different roles and governance

Government-Industry Partnership Models

Indian Economy jointly Government of India Indian Industry

Government-Industry Partnership Models in India

Must know

Joint governance ensures both public accountability and industry expertise

QCI model - industry recommends, government appoints leadership

Good to know

Three major industry bodies: ASSOCHAM, CII, FICCI represent private sector

Partnership Rationale

Government-industry partnerships combine public policy objectives with private sector efficiency. These models ensure regulatory credibility while leveraging industry expertise and stakeholder buy-in.

Key Partnership Models

Institution

Government Role

Industry Role

Governance Model

Quality Council of India

Policy framework, nodal ministry

Standards expertise, recommendations

PM appoints on industry recommendation

Indian Banks Association

Regulatory oversight (RBI)

Self-regulation, best practices

Industry-led with regulatory guidance

Advertising Standards Council

Consumer protection mandate

Self-regulation of advertising

Industry self-regulation model

Export-Import Bank

Government ownership

Trade finance expertise

Government-owned, commercially operated

Success Factors

Clear role demarcation between government policy and industry implementation

Balanced representation from major industry associations (ASSOCHAM, CII, FICCI)

Independent leadership appointed through transparent process

Accountability mechanisms to both government and industry stakeholders

Technical expertise from industry combined with public interest mandate

Exam traps

Don't assume all partnerships follow same governance model - each has unique structure

Remember three industry associations - ASSOCHAM, CII, FICCI (not just 'industry')

Partnership doesn't mean equal control - roles vary by institution and mandate

Major Industry Associations in India

Indian Economy ASSOCHAM CII FICCI Indian Industry

Major Industry Associations: ASSOCHAM, CII & FICCI

Must know

Three apex chambers: ASSOCHAM, CII, FICCI represent Indian industry

Policy advocacy and government liaison are primary functions

Good to know

QCI partnership demonstrates their collective industry representation

Three Apex Industry Bodies

Association

Full Name

Established

Key Focus

Membership

FICCI

Federation of Indian Chambers of Commerce & Industry

1927

Oldest, broad-based representation

Large corporates, SMEs, trade bodies

CII

Confederation of Indian Industry

1895 (as EIM)

Industry development, technology

Manufacturing, services, MNCs

ASSOCHAM

Associated Chambers of Commerce & Industry

1920

Trade, commerce, services

Regional chambers, corporates

Collective Functions

Policy advocacy - represent industry views to government on economic policies

Standards development - participate in quality, safety, and technical standards

International engagement - facilitate trade missions and global partnerships

Skill development - collaborate on workforce training and education initiatives

Research and analysis - publish industry reports and economic surveys

QCI Connection

These three associations jointly partnered with Government of India to establish QCI in 1997. This collaboration demonstrates their collective representativeness of Indian industry and their role in institutional governance beyond just lobbying.

Exam traps

Don't confuse establishment dates - FICCI (1927), ASSOCHAM (1920), CII (1895 as EIM)

Remember all three together founded QCI - not individual association effort

FICCI is oldest chamber, CII oldest organization (different histories)

These are apex bodies - represent multiple regional chambers and companies