The Ministry of Commerce & Industry’s Directorate General of Foreign Trade (DGFT) has released Policy Circular No. 06/2023-24 on October 19, 2023, addressing the implementation of Import Management Systems for IT Hardware. This circular provides important clarifications following DGFT Notification No. 23/2023 dated 03rd August 2023, Notification No. 26/2023 dated 4th August 2023, and No. 38/2023 dated October 19, 2023, which restricted the import of specific IT hardware.

Government of India
Ministry of Commerce & Industry
Department of Commerce
Directorate General of Foreign Trade
Vanijya Bhawan, New Delhi

Policy Circular No. 06/2023-24-DGFT| Dated: 19th October 2023

To
1. All Customs Commissionerate(s)
2. Members of Trade & Industry

Subject: Implementation of Import Management Systems for IT Hardware -reg.

Attention is drawn to DGFT Notification No. 23/2023 dated 03rd August 2023 read with Notification No. 26/2023 dated 4th August 2023 and Notification No. 38/2023 dated 19th October 2023 whereby Import of certain specified IT Hardware was ‘Restricted’. In this regard, the following clarifications are provided:

i. Reference SEZ Rule 27 and Para 6.01(d) of the FTP 2023, SEZ units and EOUs/EHTP/STPI/BTP are not required to obtain a ‘restricted import authorisation’ for import of IT hardware restricted vide Notification No. 23/2023 dated 03rd August 2023. The given exemption is allowed only for the captive consumption of the concerned importing unit(s).

ii. There are no import restrictions on spares, parts, assemblies, sub-assemblies, components, and other inputs necessary for the IT hardware devices as specified under Notification No. 23/2023 dated 03rd August 2023.

iii. Notified IT hardware items essential for Capital Goods are exempt from import licensing requirements. For instance, laptops/tablets accompanying machinery such as MRI machines, CNC machines, Unmanned Arial Vehicles (UAVs), etc., are examples of allowed exemptions. However, if servers or laptops etc. themselves are the primary capital goods, this exemption does not apply.

iv. The importers are allowed to apply for multiple authorisations. The authorisations issued shall be valid upto 30th September 2024. Subsequent to the issuance of an Import Authorisation, the quantity(s) as mentioned on a valid Import Authorisation may also be amended at any point, subject to the overall value of the import authorisation remaining unchanged. The application for amendment may be filed online on the DGFT Website (https://dgft.gov.in)

This is issued with the approval of Competent Authority.

(Md. Moin Afaque)
Deputy Director General of Foreign Trade
Email: ddg1import-dgft

(Issued from F.No.01/89/180/39/AM-13/PC-2[A]/E-2261)

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