The Indian government has changed the licensing requirements for imported laptops and computers

 The Indian government has changed the licensing requirements for imported laptops and computers

According to the source, the revisions were made in response to the issues brought up by industry stakeholders. It claimed that the policy has undergone some "tweaking" and that importers now had access to an end-to-end online system.

On Thursday, the Center modified the onerous license requirements for importing IT hardware items including laptops and desktops and established an online authorization mechanism for importers of these devices. Director General of Foreign Trade (DGFT) Santosh Kumar Saranagi told reporters in New Delhi the fact that the new licensing or authorisation administration, which will go into effect with right away, is primarily intended to monitor imports of these goods in order to ensure that they originated from "trusted" sources.

A "tweaking" of the policy has been undertaken in response to sector players' concerns, and an end-to-end online system has been made available to importers, he said. He said that the technique will make it anonymous and contactless and eliminate the need for importers to provide their information.

So far, what has happened?

In order to increase local production and reduce imports from nations like China, the government stated on August 4 that an importer would require a license for the import of certain items beginning on November 1.

In order to maintain India's reliable supply chain, the new licensing regime is applicable to laptops, personal computers (which incorporates tablet computers), microcomputers, big or mainframe computers, and some data processing units. The DGFT said that there would be no limitations on quantity, value, or nation going forward when an importer applied for authorization for imports using the system.

The new system is being developed in collaboration with the Department of Revenue, and the basic license will be given automatically after a 10-minute application procedure.

What would happen to the disallowed entity listings for companies?

The "denied entity list" of businesses will not be granted authorizations. According to Saranagi, these lists include companies that have not met their export responsibilities or have defaulted on them by taking advantage of programs like advance authorization and Export Promotion Capital Goods (EPCG) or having DRI (Directorate of Revenue Intelligence) charges against them.

Companies who want to import used or refurbished products are also not permitted to request for this authorization since the normal operating procedure differs for such imports. Although an online system has been set up, Sarangi said that "there is no change in that" and that these IT hardware devices are still "under the restricted" category.

S Krishnan, secretary of the Ministry of Electronics and Information Technology, stated during the media briefing that the new approach was introduced after significant industry engagement. He said that there is no lack of these products in the nation and that increasing production would actually assist to bring down costs. The exercise's goal is to stimulate local manufacture of electronic goods.

Under the production-linked incentive (PLI) plan for large-scale electronic manufacturing, applications for a number of enterprises have been granted.

The import authorization is still in effect as of THIS date. 

Until September 2024, the import authorization will still be in effect.

on the eventualities occurring after September 2024, Krishnan said that the government will examine the facts, consult with business leaders, and then make decisions on how to proceed. The DGFT responded that a clarification had been given to put the new online authorization mechanism for these imports into operation and that the government would not be withdrawing the notice from August.

Additionally, Sarangi made it clear that importers would not need to register with them in order to get authorization.