Govt Plans To Regulate Laptop Imports To Push Make In India Vision


Mohul Ghosh

Mohul Ghosh

Oct 21, 2024


India is planning to implement restrictions on the import of laptops, tablets, and personal computers starting January 2025, as part of a broader strategy to promote domestic manufacturing. This move aims to reduce dependence on Chinese imports and ensure that devices entering the country meet minimum quality standards. The government will replace the current free-registration system with an import authorization process, requiring importers to obtain prior approval.

Push for Domestic Manufacturing

According to reports from government sources, the new restrictions are designed to encourage global companies like Apple to increase local production within India. India’s current Import Management System (IMS) for IT hardware products—including laptops, tablets, and personal computers—was extended until December 31, 2024, and starting January 1, 2025, importers will be required to apply for new authorizations under a revised system.

The IMS, which was launched in November 2023, was introduced to monitor imports, promote local manufacturing, and create a trusted supply chain. Given the increasing concerns over cybersecurity and data protection, the Indian government is placing a strong emphasis on sourcing electronics and communication devices from “trusted sources.” In line with these efforts, India will also implement mandatory testing for “essential security parameters” for all CCTV cameras starting in April 2025.

Minimum Quality Standards

One of the major aspects of the proposed import restrictions is the introduction of minimum quality standards under a ‘compulsory registration order’ for laptops, notebooks, and tablets. This aims to prevent the influx of low-quality devices. “We are working on such restrictions because global treaties prevent us from using tariffs to control imports of laptops and tablets,” a government official stated. Therefore, India is focusing on non-tariff measures to manage imports more effectively.

Impact on IT Hardware Market

The proposed restrictions are expected to significantly impact India’s IT hardware market, which is currently valued at around $20 billion. Of this, approximately $5 billion comes from domestic production, while two-thirds of the country’s demand is met through imports, largely from China. Major players in the market include HP, Dell, Apple, Lenovo, and Samsung. If the new rules come into effect, these companies may have to increase local manufacturing to maintain their market presence in India.

The Indian government had considered similar restrictions in the past but withdrew them following pushback from companies and lobbying efforts from the United States. However, over the past year, the government has closely monitored import trends and is now determined to implement stricter measures.

Current Laptop Registration System

Under the current system, importers can bring in devices after completing an automated online registration. However, the proposed changes will require prior approval for all imports, effectively controlling the flow of IT hardware into the country. While the government has given the industry time to adapt to these changes, it remains open to consultations with stakeholders and may delay the implementation if necessary.

The government is also considering consultations to ensure that the policy aligns with the needs of the industry while achieving its goal of boosting domestic manufacturing and ensuring product quality.

India’s strategy to limit imports is part of a larger vision to develop a self-reliant IT hardware sector and promote secure, high-quality devices for its growing market.

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Mohul Ghosh
Mohul Ghosh
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