Government overhauls import rules for laptops, computers with online authorisation

The government has made adjustments to the import regulations for IT hardware, including laptops and computers, and introduced an online authorisation system for importers. The new licencing system, effective immediately, aims to monitor imports and ensure they come from trusted sources. It has been streamlined based on feedback from industry stakeholders and offers a hassle-free, contactless, and faceless process for importers.

The government previously announced that importers would need a licence starting from November 1, with the goal of promoting domestic manufacturing and reducing imports from countries like China. The new licencing rules cover laptops, personal computers (including tablets), microcomputers, large computers, and specific data processing machines.

Unrestricted import authorisation

Importers can now apply for authorisation without restrictions on quantity, value, or source country. The application process, managed by the Department of Revenue, takes about 10 minutes and results in an automated licence issuance. Companies on the "denied entity list" will not be granted authorisation, and those interested in importing second-hand or refurbished items must follow different procedures.

While an online system is now in place, IT hardware products remain in the restricted category. This move was made after extensive consultations with the industry to encourage domestic electronic goods manufacturing and stabilise prices, according to S Krishnan, Secretary of the Ministry of Electronics and Information Technology.

PLI scheme success

Under the production-linked incentive (PLI) scheme, several companies have already had their applications approved for large-scale electronic manufacturing. The import authorisations will be valid until September 2024, and future decisions will be made based on data and industry interactions.

The government will not withdraw the August notification but has issued clarifications to implement the new online authorisation system for imports. Importers do not need to register with the authorities to seek authorisation.

(With PTI Inputs)