PC manufacturers meet MeitY officials on import curbs
They urge government to rethink its decision on import licensing requirements accompanied by a quota
image for illustrative purpose
New Delhi As PC and laptop makers urge the government to rethink its decision on import licensing requirements accompanied by a quota, the industry stakeholders have met Ministry of Electronics and Information Technology (MeitY) officials to seek solutions on the matter.
The meeting discussed proposed changes, like linking the import of IT hardware to the local manufacturing of a company value and its export value of electronic items, according to sources.
The meeting on Friday was called to give suggestions on how the proposed import management system should work and get the stakeholders’ feedback.
Another meeting is likely to happen again next week to continue discussions on the issue.
Last month, the India Cellular and Electronics Association (ICEA) wrote to the IT Ministry, requesting the government to rethink its decision on import licensing requirement accompanied by a quota, which was extended by 3 months until October 31, fearing that this may lead to price rise in consumer electronics products as companies are not yet prepared for manufacturing PCs, laptops and servers domestically at scale. The letter said that an overarching factor that should be taken into consideration in "avoiding supply chain disruption till domestic production ramps up" is that any “reduction in supplies or even an indication will lead to hoarding and market distortion”.
This, in turn, can push up consumer prices, “which will adversely impact not just key stakeholders such as students, but also those who are the core of growing the digital economy, i.e. start-ups, IT and ITES firms, BPOs”.
The industry seeks at least nine-month breather after the PLI for IT Hardware was launched.
