February 25, 2022
Certain necessary shipments such as the flat panel displays and the camera modules were held up by the customs since 9th February.
Handset factories have been told to clear these in order to avoid suspension of the production within the next couple of days.
These goods that are now categorized as ‘free’ goods will not require approval from DGFT for import reasons.
‘Restricted’ goods however, will require permission or a license from the authorities for being imported into the country.
The import of certain components like the Flat panel displays and the camera modules have changed their status to ‘free’ from ‘restricted’ with immediate effect. This will help smartphone manufacturers in large scale local manufacturing, as per the Directorate General of Foreign Trade (DGFT)
As per DGFT, industries were notified on 9th February indicating the change of status, this also meant that certain necessary shipments such as the flat panel displays and the camera modules were held up by the customs since 9th February. Handset factories have been told to clear these in order to avoid suspension of the production within the next couple of days. ICEA represents top smartphone makers such as Apple, Oppo, Vivo, Xiaomi, Lava and contract manufacturers like Foxconn and Flex.
These goods that are now categorized as ‘free’ goods will not require approval from DGFT for import reasons. ‘Restricted’ goods however, will require permission or a license from the authorities for being imported into the country.
The industry was already concerned due to supply-chain and component shortage issues, which have also resulted in increased prices and canceled launches of some smartphones in the market. In a previous letter to the ministry of electronics & information technology (MeitY), The ICEA, secretary Ajay Prakash Sawhney, stated that the February 9 notice was issued without any consultation, or prior information to the industry.