The Indian government imposed restrictions on the import of laptops, tablets, servers and other Personal Computers (PCs), the media reported on Thursday. The Centre has imposed the restriction, in an attempt to give a push to local manufacturing, says a report by news agency Reuters.
“Their import would be allowed against a valid licence for restricted imports,” said a notice issued by the Ministry of Commerce and Industry, Department of Commerce, Government of India.
In April-June, electronics imports, which include laptops, tablets and personal computers, was $19.7 billion, up 6.25 per cent year-on-year. Electronics imports range between 7 per cent to 10 per cent of the country’s total merchandise imports, the Reuters report added.
According to the notice issued by the Centre: “Exemption from Import Licencing requirements is provided for Import of 1 All-in-one Personal Computer, or Ultra small form factor Computer, including those purchased from e-commerce portals, through post or courier. Imports shall be subject to payment of duty as applicable.”
“The move’s spirit is to push manufacturing to India. It’s not a nudge, it’s a push,” Ali Akhtar Jafri, former director general at electronics industry body MAIT, was quoted as saying by Reuters.
In a bid to increase local production, India has been providing incentives to companies in recent years. The initiative has successfully given way to a number of prominent smartphone manufacturers to locally assemble/manufacture their devices in India. India is currently increasingly piquing the interest of semiconductor manufacturers and chip makers.
Earlier this week, Key Apple iPhone supplier and the world’s biggest contract manufacturer Foxconn announced it is mulling to invest $600 million, or roughly Rs 4,955 crore in India. Taiwan’s Foxconn will invest in the Southern Indian state of Karnataka for chip equipment manufacturing and casing components for iPhones. Foxconn’s investment is expected to generate roughly 12,000 jobs. Some $350 million, or roughly Rs 2,890 crore will go towards setting up the Apple iPhone component facility, while Foxconn will tie up with Applied Materials in a $250 million, or roughly Rs 2,064 crore project to make chip-making tools.