Import Ban On Laptops, PCs, Tablets Rolled Back: But Is India Bringing Back “License Raj”?

The Government of India has essentially delayed its drastic decision of banning all pre-assembled computing devices. However, the administration may be reintroducing the dreaded "License Raj".

The Indian government shocked the country earlier this week when it banned all imports of laptops, tablets, and all pre-assembled computers, including compact, Small Form Factor (SFF), and all-in-one PCs. However, the central administration has now indicated that it is postponing the decision by three months. Let's take a look at the latest developments and how they could impact Indian consumers and computer users.

Importers Given Three Months As Partial Reversal Of Import Ban On Pre-Assembled Computers

The Indian Government has reportedly softened its stand in regards to outright banning all pre-assembled laptops, desktops, tablets, and other computing devices. The central administration has essentially retracted its decision, but only partially.

The current central government has postponed the ban it had imposed on the import of laptops, tablets, and personal computers. It is offering a transition period of about three months for all importers, distributors, and computer brands, a notification from the government stated:

"Import consignments can be cleared till October 31 without a license and a government permit would be required for clearance of import from November 1."

Essentially, the Indian Government is proposing a new licensing regime for imports of laptops, tablets, and personal computers. In other words, businesses and manufacturers will need an import license to import pre-assembled computers in India.

Deputy IT and Electronics Minister Rajeev Chandrasekhar has assured the government would be prompt in issuing licenses and not create supply gaps in the market. The government will issue licenses for companies to import laptops and tablets within two days.

Import Licenses can be applied for and even obtained online. Businesses will have to submit information on consignment origin, number of pieces, and past import history.

Why Is The Indian Government Mandating Import License For Pre-Assembled PCs?

Recently, the Indian Government completely banned all imports of pre-assembled PCs. These include laptops, tablets, compact PCs, Small Form Factor (SFF) PCs, and even all-in-one PCs.

Needless to say, this sent shockwaves not only among businesses, brands, distributors, and resellers but also among consumers. After all, this decision would invariably cause prices of pre-assembled PCs, laptops, tablets, and other computing devices to skyrocket.

However, it appears that the India Government may have reconsidered its decision. This could be because it takes a long time to setup up assembly plants, logistics, and reliable supply chains.

The Indian Government appears to have rolled back the ban but is now insisting that importers declare their consignments. Chandrasekhar assured the move is aimed to "ensure trusted hardware and systems" and reduce dependence on imports.