Indira Gandhi Resurrects. TV Sets Import Licensing Returns

·      Move to give Boost to 'Make in India'

·      Govt Puts Import Restrictions on Colour Television

·      High Customs Duty of 20 percent and 18/28 percent IGST

·      Big Demand for Negative List Licences for Stock and Sale Expected

 

India on Thursday imposed restrictions on the import of colour television sets, bringing back curbs it had lifted almost two decades ago, in a measure to encourage domestic production.

Imports of TVs in certain categories will now require a licence from the government. “Import policy of colour television sets was amended from ‘free’ to ‘restricted’,” the Directorate General of Foreign Trade (DGFT) said in a notification dated 30 July, 2020. Separate procedure for the grant of licence will be issued.

The curbs are applicable to TV sets included in the ‘other colour’ category that covers LCD TVs among the goods. There is no restriction on monochrome TVs.

The total imports under the restricted category in fiscal 2020 were $781 million. Of these, Vietnam and China accounted for $428.37 million and $292.48 million, respectively.

India has a Free Trade Agreement (FTA) with the Asean bloc that includes Vietnam. Electronics goods from China are suspected to be routed to India through the Southeast Asian country. Industry executives said the move would help stop indiscriminate import of TV sets from China and other countries like Thailand and Malaysia through the FTA route.

India had relaxed quantitative restrictions on the import of 1,429 items including TV sets in 2000 and 2001 under WTO pressure.

At present, around 35% of TV sets sold in the country are imported.

Goods in transit of some 800 crores will be affected. Those with irrevocable LCs can be cleared under protection to past commitments (Para 1.05 of FTP. Others should be cleared under fresh licences covering goods in transit position will be cleared only after issue of Trade Notice.

 

[Notification No.22/2015-2020 dated 30 July 2020]

Effect of the Notification: Import policy of colour television sets under HS code 8528 7211 to 8528 7219 is amended from 'Free' to 'Restricted'.

Subject: Amendment in import policy of items under Exim Code 8528 72 of Chapter 85 of ITC (HS), 2017, Schedule - I (Import Policy).

S.O. 1: In exercise of powers conferred by Section 3 of FT (D&R) Act, 1992, read with paragraph 1.02 and 2.01 of the Foreign Trade Policy, 2015-2020, as amended from time to time, the Central Government hereby amends the Import Policy of items under EXIM Code 8528 72 of chapter 85 of ITC (HS), 2017, Schedule- I (Import Policy).

Exim Code

Item Description

Present Policy

Revised Policy

8528 72

Other, colour:

 

 

8528 72 11

Television set of screen size upto 36 cm

Free

Restricted

8528 72 12

Television set of screen size exceeding 36 cm but not exceeding 54 cm

Free

Restricted

8528 72 13

Television set of screen size exceeding 54 cm but not exceeding 68 cm

Free

Restricted

8528 72 14

Television set of screen size exceeding 68 cm but not exceeding 74 cm

Free

Restricted

8528 72 15

Television set of screen size exceeding 74 cm but no exceeding 87 cm

Free

Restricted

8528 72 16

Television set of screen size exceeding 87 cm but not exceeding 105 cm

Free

Restricted

8528 72 17

Television set of screen size exceeding 105 cm

Free

Restricted

8528 72 18

Liquid crystal display television set of screen size below 63 cm

Free

Restricted

8528 72 19

Other

Free

Restricted

Actual user condition would not be applicable for importers applying for an authorization to import the goods 'Restricted' in this Notification. The procedure for grant of license will be separately issued by DGFT.

This issues with the approval of Minister of Commerce & Industry.

(File No.01/89/180/39/AM-13/PC-2(A)/Vol.II/E-2261)