India bans import of PCs, laptops in bid to push local manufacturing
Indian Commerce Ministry says importers will require a licence to import laptops, tablets, PC and other electronic devices
August 04, 2023
To boost local manufacturing in the tech sector, the Narendra Modi-led government in India has imposed restrictions on the import of computers and laptops, reported CNN.
Indian Ministry of Commerce and Industry in a notification stated that importers will require a license to import laptops, tablets, personal computers and other electronic devices into the country. As per the media outlet, India had no restrictions on the import of such items before.
CNN stated that there was no reason given for the change in the rules but believes that it is part of Modi’s “Make in India” campaign, which is an attempt to boost local manufacturing to create more jobs.
As per Reuters, India’s electronic imports were at $19.7 billion in the April to June period, up 6.25% from the same period in 2022.
CNN said that India’s decision comes at a time when companies are starting to move out of China to secure crucial supply chains.
Organisation for Economic Co-operation and Development’s data shows that India’s working-age population is expected to hit 1 billion in the next decade. The large and young labour force makes the country a better option for global companies seeking alternative manufacturing hubs to China.
Earlier this year, India’s commerce minister Piyush Goyal claimed tech giant Apple was manufacturing between 5% and 7% of its products in India.
“If I am not mistaken, they are targeting to go up to 25% of their manufacturing,” he said at an event in January.
In June, US chipmaker Micron (MICR) announced it would establish a new factory in the Indian state of Gujarat. Back then it was labelled as India’s first semiconductor assembly and test manufacturing facility.
As per CNN, the company stated that Micron will invest close to $825 million and create “up to 5,000 new direct Micron jobs and 15,000 community jobs over the next several years.”.
The media outlet also stated that the world’s largest contract electronics maker and Apple supplier Foxconn is considering expanding its manufacturing operations in India.
