New Delhi: The Indian Government has taken a crucial step to boost the trade sector in the Import-Export Category by announcing the permission to import of used goods for repair and refurbishing but with a condition that the imported items need to be exported. Experts opine that the move will bring more business and jobs in a variety of fields and may even entice smartphone make Apple to do more business in the Indian market.
The change in the policy comes at a time when the United States and its biggest trade ally China are on the brink of a war on trade. Recently, President of United States, Donald Trump announced plans to impose tariffs on up to $60 billion worth of Chinese goods.
China too had its plans amid US plans to impose such duties and came up with a proposal to impose additional duties of up to $3 billion of U.S. imports, with the main aim to give response to Washington’s import tariffs on steel and aluminum.
The sparring has cast a spotlight on U.S. firms such as Apple, which get their products assembled in China to export them to other countries. Electrical goods and tech gadgets are the largest category for U.S. import items from China.
“Trump’s trade war with China could be a win for India,” said Neil Shah, partner at tech research firm Counterpoint.
China is currently considered to be among the destinations for repair and refurbishment work of electronic devices.
The approval comes with a condition that the waste generated during the process of repairing and refurbishing of the imported items to be treated in line with local laws which includes health, safety and environment norms, a government order issued on Wednesday said.
The country wants waste generated during the repair and refurbishing of the imported items to be treated in line with local laws including health, safety and environment norms, a government order issued on Wednesday said.
The policy newly introduced over import of used goods, can help smartphone makers such as Apple to cut cost as they already fighting the rising prices of manufacturing and labor in China. China is the biggest producer for the smartphone company, Apple.
“(The policy change) will give someone like Apple an opportunity to tap India’s cheap talent for repairing phones and could potentially turn India into a global export hub for refurbished devices,” said Mr Shah.
The company, Apple, has been in talks with the Central Government for months, which seeks tax breaks and incentives to expand its operations inside the country.
Apple did not immediately respond upon a request for comment.
This move will usher a change in the import industry to cater to the jobs needs of the unemployed in the country.
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