NEW DELHI, Oct 12: The Indian Ministry of External Affairs (MEA) has barred BLS International Services Ltd from bidding on any new tenders issued by Indian Missions abroad for the next two years. The order, issued Friday, applies to all embassies, consulates, and diplomatic posts worldwide. BLS attributed the move to ongoing court cases and applicant complaints but provided no specific details.

Following the announcement, BLS shares plunged up to 11% on Monday before settling at ₹299 by 1:20 pm, reflecting investor concerns over the potential impact on future contracts. The company clarified that existing agreements with Indian Missions will remain in force, ensuring uninterrupted visa, passport, and biometric services for Indians overseas. Indian Missions contributed about 12% of BLS’s consolidated revenue in Q1 FY26.

BLS said it is reviewing the MEA’s decision and may pursue legal action, describing the development as procedural and expressing confidence in finding a “constructive resolution.” Despite the setback, the firm reported a 44% year-on-year revenue rise in Q1 FY26 and recently secured a ₹2,055 crore order from the Unique Identification Authority of India to operate Aadhaar Seva Kendras.

The MEA’s ban, reportedly linked to service complaints and pending litigation, is seen by analysts as a reputational challenge that could affect bidding credibility in government and global markets. However, BLS’s diversified international portfolio—including contracts in the US, UAE, Spain, Slovakia, Hungary, Poland, Portugal, and recent acquisitions of iDATA and Citizenship Invest—may limit financial fallout.

While new tenders during the restriction period will go to other vendors, NRIs and Indian travellers will see no disruption in current services. The company’s performance in maintaining service quality and expanding overseas operations will be key to navigating the two-year ban.