Recently government imposed a ban on laptops, tablets, all-in-one personal computers, ultra-small form factor computers, and servers with immediate effect. Brands like Apple, Dell, and Samsung have huge market shares in laptops and tablets in India and would now need to boost local manufacturing. Before this announcement, India allowed laptops and tablets imports freely.
This new regulation mandates a special license for these products. It might affect a little in the short-term but in the long-term, it will boost the Make in India initiative and encourage local manufacturing.
In the April to June period, India imported electronics such as laptops, tablets, and personal computers, amounting to $19.7 billion - an increase of 6.25 percent compared to the previous year. These imports make up about 1.5 percent of the country's total annual imports, with China being the source of almost half of them, as per government data. It is noteworthy that a significant number of Apple's iPads and Dell's laptops are imported into India, rather than being produced domestically.
Likewise, this Laptops and tablets imports restriction has raised the hopes of local manufacturers companies like Dixon Technologies have already taken a good jump in the share market.
Positive Views of IT Channel Partner on this Restriction
In an exclusive chat with DQ channels PCAIT president and Director, of Unistal Systems Pvt. Ltd., Alok Gupta said, " This restriction will boost Make in India companies. Most of the big brands have manufacturing in India except the premium models. They have to take import licenses or set up manufacturing for these models in India. Moreover, Many refurbished laptops are coming to India and a definite dent in this business and this will further boost Indian manufacturers."
Overall, IT channel partners have taken this news positively. This move will boost the morale of domestic markets. Abhishek Gupta, Associate Director, of Park Network Pvt. Ltd., stated, "This is a good decision from the government side. It will promote brands to manufacture or assemble their laptops and tablets locally in India. Several Chinese brands export their 5-10 years of used laptops to India, which hampers the quality of products. They are dumping their low-quality products in the Indian markets. With this ban, they would fear to sell their products without proper licensing. Consequently, this move will help the Make in India initiative and boost the growth of our economy.”