Daily Analysis 25 September 2024

-> Government forms panel to develop repairability index for mobiles and electronics -> Govt extends import regime for IT hardware products till December 31

Government forms panel to develop repairability index for mobiles and electronics


Introduction

A committee chaired by the Department of Consumer Affairs (DoCA) is working on developing a Repairability Index, which aims to provide consumers with transparent information on the repairability of products. This initiative is part of a broader effort to promote sustainability within the technology industry and to encourage informed purchasing decisions.

Objectives

The main objectives of the Repairability Index include:

  1. Transparency: Providing clear information to consumers about product repairability.
  2. Longevity: Encouraging longer product life cycles through improved access to repair information.
  3. Sustainability: Supporting sustainable consumption practices by enabling consumers to make more mindful purchasing decisions.
  4. Access to Repairs: Ensuring easy access to spare parts and repair tools.

Key Developments

  1. National Workshop on Right to Repair: Held on August 29, this event convened various industry stakeholders to form a consensus on the framework for the Repairability Index.
  2. Framework Elements: The framework will evaluate product components, design for longevity, and accessibility to repair tools and spare parts.
  3. Comprehensive Report Deadline: The committee, which includes representatives from the Ministry of Electronics and Information Technology (MeitY) and Ministry of Micro, Small and Medium Enterprises (MSME), is expected to submit a comprehensive report by November 15.

Proposed Repair Ecosystem

The Repair Ecosystem, a core part of the Repairability Index, includes:

  • Comprehensive Repair Information: Full access to product repair details.
  • Accessible Spare Parts: Easy availability of parts needed for repairs.
  • Affordable Tools: Ensuring the economic feasibility of repair tools for consumers.
  • Modular Product Design: Designs that allow for easier repairability and part replacement.


Source: https://www.indiatvnews.com/technology/news/government-forms-panel-to-develop-repairability-index-for-mobiles-and-electronics-2024-09-24-953835


Question: What is repairability Index?


Govt extends import regime for IT hardware products till December 31


Introduction

The Centre has extended the import management system for laptops and other IT hardware products for three additional months, from September 30 to December 31, 2024. This move is part of a broader initiative to promote domestic manufacturing and reduce dependence on foreign imports, particularly from China.

Background

The import management system was first introduced on November 1, 2023, aiming to strengthen local production of electronics and create a reliable supply chain for IT products. Initially, the government had planned to issue licenses for the import of IT hardware. However, due to concerns raised by companies and trade partners, a revised, contactless online system for import permits was introduced.

Key Developments

  1. System Extension: Importers will need to apply for fresh approvals for imports starting January 1, 2025, based on new guidelines expected to be announced soon.
  2. Scope: The system covers laptops, tablets, personal computers, and servers.
  3. Impact: The delay in domestic manufacturing readiness has led to the system's extension. Experts believe this measure will encourage global tech companies to establish manufacturing operations in India.

Industry Concerns

  • Clarity Needed: Stakeholders from the IT industry have called for more transparency and a robust consultation process before implementing the new import authorization scheme.
  • Global Trade Implications: The restriction on imports is expected to push tech giants like Apple, Dell, and HP, which currently manufacture in China, to set up facilities in India.


Source: https://www.business-standard.com/economy/news/govt-extends-import-regime-for-it-hardware-products-till-december-31-124092401065_1.html


Question: What are the import restrictions on IT hardware?

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