India introduces new regulations that ban the import of computers, laptops and tablets. Electronic equipment imported from abroad can be sold only after obtaining a special license.
According to the Indian Express daily, the Indian government issued a communiqué banning, with immediate effect, the importation of computers, laptops and tablets into the country. The communiqué did not specify the reason for the new regulation, but according to Reuters, it is an attempt to promote and stimulate local production of electronic equipment.
No import of computers
According to Reuters, the value of electronic equipment imports to India in the period from April to June amounted to USD 19.7 billion. In annual terms, imports increased by 6.25%.
According to data provided by the Indian authorities, laptops, tablets and personal computers account for about 1.5 percent. of India’s total annual imports, almost half of which come from China.
“The purpose of this move is to move production to India. It’s not a nudge, it’s a push,” Ali Akhtar Jafri, former CEO of the MAIT manufacturers association, told Reuters, commenting on the decision announced by the Indian government.
India is gaining momentum
The Indian economy has been gaining momentum recently. The country buys cheap energy resources from Russia, which, after the withdrawal of Western customers, has to find new ones, so it is ready to significantly reduce prices. In addition, production in India is cheap, and companies are not required to provide social security for workers.
“It seems that this one of the poorest countries in the world (GDP per capita eight times lower than in Poland and five times lower than in China) has its unique opportunity, and at the expense of rich Europe,” sums up Business Insider.