Government tells IT firms seeking deferral of import licensing regime to submit local production plan
The HinduThe Centre has countered the IT hardware industry’s request to defer the new import licensing norms by 9-12 months, asking the players to submit a plan to ramp up domestic production in phases. Domestic players that The Hindu Businessline spoke with said that the Centre expects hardware companies to value-add in the local manufacturing of computers and other devices by nearly 80% in the next few years. These IT companies asked the government to defer the import curb by 9-12 months to give them time to ramp up domestic production and understand the licensing process. “Just like during the formulation of the mobile production-linked incentive scheme, the government has asked for a detailed production plan from the IT players, setting out the exact timeline and scale at which domestic manufacturing can be ramped up,” an executive working at an IT hardware firm explained.