These Are Reasons Why Government Postponed Decision To Ban Import Of Laptops, PCs, Tablets

The Government of India has postponed the implementation of the decision banning the import of laptops, personal computers and tablets.

Earlier, by issuing a notification on Thursday, the import of these items was banned with immediate effect. It was said that companies will now need a license for this.

In the new notification, the Directorate General of Foreign Trade (DGFT) has said that this order will come into effect from 1 November 2023.

In fact, the order to suddenly ban the import of seven items including laptops, personal computers and tablets, led to a sharp reaction from the industry.

Huge demand for these items during Diwali

All the stakeholders related to IT hardware said that the government suddenly issued the notification when there is a huge demand for these items during Diwali. In such a situation, the business of the companies will be badly affected.

The Manufacturers Association for Information Technology had sent an e-mail to the Directorate General of Foreign Trade demanding extension of time for licensing.

Alarmed by the government's notification, several original equipment manufacturers Apple, Samsung and HP had stopped the import of laptops and tablets with immediate effect.

Industry sources say that perhaps due to all-round criticism of this decision, the government has stopped the implementation of the order for the time being.

Companies will have to speed up local manufacturing

The implementation of this decision has stopped for the time being. But this can have a huge impact on the business of companies like Apple, Dell, Lenovo, Hewlett Packard and Samsung.

They now have to speed up local manufacturing so that they can meet the demand for their products in India.

Due to this step of the government, there is a possibility of a huge increase in the prices of these items in the domestic market.

Demand has increased significantly

During the last three years (especially during the Covid epidemic), the demand for items like laptops, personal computers and tablets has increased significantly in the country. But with the increase in demand, their prices have also increased.

In the notification issued by the Directorate General of Foreign Trade, no reason was given for the restrictions on the import of these items.

But it was said that the government currently wants to stop the import of these items citing security reasons.

Of the seven items whose imports have been stopped, including laptops, personal computers and tablets, 58 per cent come from China.

During the financial year 2022-23, their import in India was 8.8 billion dollars. Of this, China's share alone was $5.1 billion.