India Lifts Restrictions on Laptop Imports
India has decided not to impose restrictions on laptop imports, withdrawing its earlier plan to curb imports after criticism. Indian Commerce Minister Sunil Barthwal announced the change on Friday.
India had planned to introduce import rules on August 3 to ensure the safety of hardware and systems, but faced criticism from the industry and the US government, they delayed the plan by three months. This plan would have affected companies such as Apple, Dell, Samsung and HP.
The change does not mean that importing laptops will return to the old way. The government, represented by Director General of Foreign Trade Santosh Kumar Sarangi, is in discussion with experts in the field to create a new code.
This new plan is expected to be announced by the end of this month.
Import rules for laptop computer manufacturers 1.11. from were going to limit their scope to imported products and brands had to register with the import department to get permission to import their products.
These changes would have forced companies to reduce their imports, which could have put a huge strain on product demand and forced retailers to raise laptop prices.
In fact, the India Cellular and Electronics Association (ICEA) wrote to the IT ministry in August asking the government to reconsider its decision on the import license requirement and quota.
The letter stated that an overarching factor that should be considered “to avoid disruption of the supply chain until domestic production increases” is that “a reduction in supply or even a reference will lead to hoarding and market distortion”.
This, in turn, can increase consumer prices, “which adversely affects not only key stakeholders like students, but also those who are at the growing core of the digital economy, i.e. start-ups, IT and ITES companies, BPOs”.
(with input from agencies)