India imposes curbs on import of laptops, tablets and computers

India has announced immediate restrictions on the import of laptops, tablets, and personal computers. This move, according to an official notice, is aimed at promoting local manufacturing in the technology sector.

The Ministry of Commerce on Thursday (3 August) said that the import of laptops, tablets, and computers has been prohibited with immediate effect by the federal government, and that the import would only be permitted with a current licence for limited imports.

"Import of Laptops, Tablets, All-in-One Personal Computers, and Ultra Small Form Factor Computers and Servers falling under HSN 8741 shall be 'Restricted' and their import would be allowed against a valid Licence for Restricted Imports," the notification stated. It stated that the ban would not apply to imports covered by the baggage regulations. According to the previous policy, the import of the aforementioned commodities was free.

A notice from the Directorate General of Foreign Trade states that buyers must request authorization to import laptops, tablets, all-in-one PCs, ultra-small computers, and servers with immediate effect. The government stated without going into further detail that some PC models that are referred to as "capital goods" may be excluded.

The restriction comes on top of long-standing measures, such as high tariffs, intended to discourage the purchase of foreign electronics. As businesses aim to diversify their supply chains outside China, Prime Minister Narendra Modi's administration has proposed a 170 billion rupee ($2.1 billion) financial incentive scheme to entice manufacturers of laptops, tablets, and other electronics to the South Asian nation.

It aims to take advantage of India's need for servers, tablets, and laptops while also making that nation a hub for electronic exports. Laptops and tablets account for a fraction of India's annual import of electronics of more than $60 billion. This new restriction will impact a multitude of key tech companies who have marked their territory in the Indian market. These include Dell, Acer, Samsung, LG Electronics, Apple, Lenovo, and HP Inc. Notably, a large chunk of these imports originate from countries like China.