Tech giants such as Apple, Dell and HP want India to extend by a year the deadline for the licences needed to ship in computers and related items following the government's move to slap import curbs on laptops, computers, tablets and other electronic devices, a report has said.
The Centre imposed a licensing requirement to put a check on information technology (IT) hardware coming in with in-built security loopholes that may endanger sensitive personal and enterprise data, several reports said after the curbs were announced. The move is also likely to cut imports from countries like China.
A day after it announced the curbs, the government on August 4 deferred the implementation of the decision to November 1 amid concerns that limited supplies cut push up prices.
On August 8, top executives of several tech companies met senior ministry of electronics and information technology (MeitY) officials. They conveyed to the government that companies needed time to set up manufacturing units in India, the Economic Times reported.
Moneycontrol couldn't verify the report independently.
“The companies need reasonable time to set up manufacturing. We are also unsure about the process for licensing, and the data needed from us. So, we will need this time,” the financial daily quoted one of the industry executives present at the meeting as saying.
Also Read: Apple, Samsung halt India laptop imports after sudden curbs
“For clearance of import consignments with effect from November 1, 2023, a valid licence for restricted imports is required,” the Directorate General of Foreign Trade (DGFT) said. At present, these imports are allowed freely.
As internet penetration grows, the possibility of citizens being exposed to harm and criminality has also gone up, with cybersecurity incidents seeing a spike.
As an IT and services hub, India’s import of items being put under restrictions was worth $8.8 billion in 2022-23 compared to the overall merchandise import bill of over $700 billion.
Also Read: Laptop, PC import restrictions will lead to near-term price hikes, industry disruption: Experts
The August 8 meeting was attended by large hardware companies and lobby groups Manufacturing Association of IT Hardware (MAIT) and the India Cellular and Electronics Association (ICEA).
The government said that the restrictions were not to restrain or ban imports but to reduce them and find ways of promoting exports by enhancing domestic manufacturing capabilities, the ET reported officials as saying.
Also Read: India Restricts Laptop, Tablet Import | Here's Why
The IT ministry might ask foreign original equipment manufacturers (OEM) to give an estimate of how many units of top-end electronic products they were planning to import over the next year, especially after November 1.
“The idea is to understand the volumes and then look at the best possible ways for these imports to flow smoothly into India,” the report quoted a source as saying.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
