Government Considering Delay in Enforcing Import License Requirement for Laptops, PCs, and Tablets

• ByStartupStory     |    August 5, 2023

In a surprising turn, government sources indicate a potential delay of at least one month in the enforcement of the order mandating licenses for the import of laptops, PCs, and tablets. This decision comes after the announcement caught the industry off guard, prompting officials to take action. This extension is anticipated to offer relief to concerned companies.

 The Directorate General of Foreign Trade (DGFT) is expected to issue a notification for the timeline extension, according to insiders from the IT Ministry. The move is expected to offer a breather to companies, who have been on tenterhooks following Thursday’s order. DGFT will soon issue a notification on timeline extension, IT Ministry sources said. In a post on ‘X’ social media platform (earlier known as Twitter), Minister of State for Electronics and IT Rajeev Chandrasekhar said: “There will be a transition period for this to be put into effect, which will be notified soon”. Meanwhile, IT Ministry sources indicated that implementation timelines will be extended by at least a month, which means players will have more time in hand to apply for a license if they wish to import these products.

Sources affirm that the license application process if accurately completed, will lead to swift clearance. This reassures that shipments in transit will encounter no immediate issues at ports. The government remains committed to aiding the industry in the clearance of shipments in transit. Some companies have already sought online licenses post the order.

The government’s imposition of import restrictions on laptops, tablets, and specific computer types, effective immediately, aims to bolster security and domestic manufacturing. This action will also reduce inbound shipments from nations like China and Korea, urging importers to seek governmental permission or licenses for these imports.

Government sources emphasize that the move to restrict imports is driven by security concerns, allowing closer scrutiny of the origin of products. Additionally, this decision is set to stimulate domestic manufacturing, especially given India’s strategic focus on electronics manufacturing for future growth and its endeavor to attract global investments.

Under the PLI 2.0 IT hardware scheme, 44 companies have registered, and two have already filed applications by July 31, 2023. Application submissions are open until August 30, 2023. Notably, companies, including HP, have already embraced the PLI scheme.

Furthermore, insiders indicate that licenses can be obtained for a year, and companies can apply multiple times. The DGFT has developed an online portal for companies and traders to apply for licenses. IT Ministry sources underline that amplifying domestic production will subsequently lead to reduced hardware costs for consumers.

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