SUMMARY
The US tech giants and trade bodies have urged President Joe Biden to "use every available forum" to push the Indian government to reconsider the new regulations
One day after the announcement of import restrictions, the DGFT extended the deadline for acquiring a valid licence for restricted imports until October 31st
The DGFT has also developed a portal for traders in the tech ecosystem to facilitate the online application process for the licence
Weeks after the Indian government imposed restrictions on the import of laptops, tablets, and personal computers falling under the HSN 8741 category, several US-based tech giants, including Apple, Intel, Google, and Dell, have reached out to the US government. They have urged the US President, Joe Biden, to intervene and utilise all available channels to persuade India to reconsider these restrictions.
On August 15, eight US-based trade bodies including Consumer Technology Association, Information Technology Industry Council, Semiconductor Industry Association, the United States Council among others urged the US Trade Representative and the US Secretary of Commerce to look into the matter and ask the Indian government to ensure that consistency is maintained in case of such measures on international trade obligations and commitments, the Economic Times reported.
Earlier this month, the Indian government’s Directorate General of Foreign Trade (DGFT) notified that exemption from import licensing is provided for up to 20 items per consignment for R&D, testing, benchmarking and evaluation, repair and return, and product development purposes.
The notification read, “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,” the notification added further.”
A day after the announcement of import restrictions, the DGFT extended the deadline till 31 October for acquiring a valid licence for restricted imports. The tech majors like Apple, Dell, HP, Acer, among others have also sought an extension of nine months to a year on the deadline for the new regulations on the import of laptops, tablets, PCs, to be effective.
Defending the move, MoS Rajeev Chandrasekhar said that the move aims at ensuring that only trusted electronic devices and parts are circulated in the Indian tech ecosystem. The move is also expected to push the domestic production of electronic goods, reducing the country’s dependence on imports.
On the part of DGFT, a portal has been created for the traders in the tech ecosystem to roll out the online application process for the licences. If details are filled properly, the DGFT will issue the licence in 3-4 days.
Reports suggest that since the announcement, as many as 44 hardware manufacturers have applied for manufacturing in India under the production-linked incentive (PLI) scheme.
