Licence for importing laptops, tablets to be issued online in two days via DGFT-prepared portal

A day after the notification by the Ministry of Commerce and Industry stating the import of laptops, tablets, all-in-one personal computers, and ultra-small form factor computers and servers falling under HSN 8741 to be ‘restricted’, sources at the Ministry of Electronics and IT confirmed there would be a transition period that will be put into effect. Contrary to the reports suggesting a delay in the import licence orders, sources at the Ministry confirmed that the transition period will be notified soon by the government.

In lieu of a smooth transition under the new notification, the Directorate General of Foreign Trade (DGFT) has prepared a portal, and companies/traders can apply online for a license. It is expected that DGFT will issue a licence within 1-2 days, if details are filled in properly. The ministry will also extend all support to the industry for clearance of shipments in transit, if any.

It has been clarified by the ministry that companies/traders can import IT Hardware like Laptops, Tablets, All-in-one Personal Computers, and Ultra small form factor Computers and Servers (IT devices) after obtaining a licence. There is no ban on imports.

The decision by the government is to further support the Production Linked Incentive 2.0 for IT Hardware, and is unlikely to impact the industry. The PLI Scheme 2.0 for IT Hardware is expected to enhance the hardware manufacturing ecosystem. The policy announcement is a positive move, as it seeks to restrict certain electronics imports and enforce licenses for restricted items, promoting domestic production and self-reliance.

According to the ministry, “India has sufficient capacity and capability for manufacturing of IT hardware devices."  The scheme is expected to lead to total production of about Rs 3,29,000 crore, bring an additional investment in electronics manufacturing to the tune of Rs 2,740 crore and creation of 75,000 additional direct jobs. So, it is expected that this scheme will create economy of scale and IT hardware devices will become more cheaper towards the end of the tenure of the scheme.

As of July 31, 2013, under PLI 2.0 IT Hardware Scheme, 44 companies have already been registered and 2 companies filed their application on the scheme portal. Applications can be submitted till August 30, 2023.