Govt Open To Giving More Time To Global Firms For Local Manufacturing Of Laptops, PCs: Report

The global manufacturers are said to have sought up to 12 months to set up manufacturing facilities in India.

In a bid to encourage Apple, HP, Dell and other global companies, the government is ready to extend the timeline needed to set up local manufacturing facilities in the country, the media has reported. This comes days after the government imposed restrictions on the import of laptops, tablets, servers and other Personal Computers (PCs), in an attempt to give a push to local manufacturing. The manufacturers are said to have sought up to 12 months to set up manufacturing facilities in India.

The Centre is open to allowing more time for global manufacturers to set up their factories within the country if it is satisfied with plans submitted by them, says a report by ET Telecom. The Centre may be expecting a clear, graded and detailed roadmap from the foreign companies, on Make In India plans, pertaining to products such as servers, PCs and laptops, the report added, citing a senior government official.

The Centre is also open to relaxing the licensing norms for importing items such as small form factor computers and tabs, provided the companies give satisfactory plans. It is constantly in touch with the companies to find out the requirements and timelines for India production, the report further noted.

India has been providing incentives to companies in recent years, in an attempt to increase local manufacturing in the country. The government's initiative has successfully given way to a number of prominent smartphone manufacturers to locally assemble/manufacture their devices in India. This is also increasingly piquing the interest of semiconductor manufacturers and chip makers in the country.

Earlier this month, the Indian government imposed restrictions on the import of laptops, tablets, servers and other Personal Computers (PCs). "Their import would be allowed against a valid licence for restricted imports," said a notice issued by the Ministry of Commerce and Industry, Department of Commerce, Government of India.

According to the notice issued by the Centre: “Exemption from Import Licencing requirements is provided for Import of 1 All-in-one Personal Computer, or Ultra small form factor Computer, including those purchased from e-commerce portals, through post or courier. Imports shall be subject to payment of duty as applicable." 

The restriction shall not be applicable to imports under baggage rules, it added.

It should be noted that leading laptop and PC maker HP manufactures its HP EliteBooks, ProBooks and mouses in India. Dell signed an agreement last year to expand its notebook production in the country under the PLI scheme. Lenovo, on the other hand, has a PC manufacturing facility in Puducherry. It also locally assembles its tabs in partnership with Wingtech Technology in Andhra Pradesh.