According to the DGFT (Directorate General of foreign trade) on Thursday 3rd August restricted the imports of certain laptops and computers under HSN 8471 also with immediate effect.
According to the notification, it says that DGFT restricted imports of laptops, all-in-one computers, tablets and ultra-small form factor computers and servers. Also, these electronics can be imported only against only a valid license which is meant for all restricted imports. It is also clearly stated that it does not bar imports of the said items under the baggage rule.
The decision on India’s licensing requirements for imports of such electronic devices, laptops and personal computers will surely ensure security for the citizen and adding this decision was definitely in compliance with the requirements of WTO (World trade organization).
According to the government, the import license requirement has exempted for purchase of even single laptops, tablets, one PCs and it also includes cases as units are brought from the online websites.
They have also exempted licensing of imports up to 20 pieces each of these and in cases where these are imported for a specific and important reason which includes research and development, repairing, testing and benchmarking. The exemption is also included for said electronic which majorly serves as an essential part of capital goods, this was said according to the notification received.
This latest notification from DGFT is surely going to be a benefit for the system and is like a push to the local manufacturing in the respect of ’Aatmanirbhar India) and according to Navkendar Singh who is the associate vice president of IDC India the main motive of this rule implementation is to push the local manufacturers of India forward and give them a chance to live in a better government.
Even though the ecosystem isn’t ready yet for an assembly of such a great magnitude as vendor ship is close to 2 million notebooks every quarter with an important rate of ¾ of the total. One can see that almost the entire volume of premium notebooks is set to be imported. According to him, the timing is not perfect as the PC market has been struggling in the past 2-3 quarters which will further dampen their market sentiment.
Thus, India has been trying to push all the local manufacturers by giving production-linked incentives in over two dozen sectors which do include digital electronics and has extended the deadline for the companies to apply for its $2 billion manufacturing incentive scheme which is aimed to attract big-ticket investment in IT hardware manufacturing.