Govt puts curb on import of laptop, tablets & personal computers

The move is in sync with the government's initiatives to boost manufacturing in India and BJP-led government's ‘Make In India’ programme and restrain imports from China

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Curb on import of laptops

New Delhi: The Central government has put on immediate curb on import of laptops, tablets, ultra-slim form factor computers and personal computers falling under HSN 8741 category. Import of restricted items will be allowed only against a valid license.

The restriction, however, will not be applicable to imports under baggage rules, according to a notification issued by the Directorate General of Foreign Trade (DGFT), the ministry of commerce and industries (MoCI), government of India.

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In April-June, electronics imports, which include laptops, tablets and personal computers, was $19.7 billion, up 6.25% year-on-year. Electronics imports range between 7% to 10% of the country’s total merchandise imports. Laptops, tablets and personal computers compose about 1.5% of the country’s total annual imports and nearly half of those are bought from China, according to government data. “The move’s spirit is to push manufacturing to India. It’s not a nudge, it’s a push,” said Ali Akhtar Jafri, former director general at electronics industry body MAIT.

“Exemption from import licensing is allowed for one laptop, tablet, all-in-one Personal Computer or Ultra small form factor Computer, including those purchased from e-commerce portals, through post or courier, subject to applicable duty payment,” said the DGFT notification.

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Every passenger who enters or leaves India has to go through some custom checks, which are also referred as baggage rules. “Exemption from import licence is provided for up to 20 such items per consignment for the purpose of R&D (research and development), testing, benchmarking and evaluation, repair and re-export, and product development purposes,” said an official of the MoCI.

“Given imports shall be allowed subject to the condition that the imported goods shall be used for the stated purposes only and will not be sold. Further, after the intended purpose, the products would either be destroyed beyond use or re-exported,” said the notification.

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The items that are being re-imported after being repaired abroad, licence for Restricted Imports of such goods will not be needed, the government clarified. Moreover, the notice adds that, “Laptops, Tablets, All-in-one Personal Computers and Ultra small factor Computers and Servers which are an essential part of a Capital Good shall be exempted from the import licencing requirements.”

Officials said that the move is in sync with the government’s initiatives to boost manufacturing in India and BJP-led government’s ‘Make In India’ programme and restrain imports from China. The curbs on import will give a boost to local manufacturers of electronic products such as laptops, computers, etc.

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Major foreign players in Indian market in the laptops, computers segment are – Dell, Acer, Samsung, Panasonic, Apple, Lenovo and HP.