Macro Moves

Import restrictions on Chinese colour TV sets

Created on 05 Aug 2020

Wraps up in 3 Min

Read by 4k people

Updated on 08 Sep 2020

We know it's an auspicious day today, and you may have watched the live telecast of Ramjanmbhoomi Bhoomipujan from Ayodhya. There's a fair chance that you would have watched it on a Chinese color TV, maybe a Xiaomi, TCL or OnePlus. Just in case you were thinking of buying a new TV in the near future and witnessing the telecast of such events, it's quite probable that your TV won't be a Chinese brand. Or, even if it is, it would have been manufactured in India. 

India's government is giving a solid push to the ''Atmanirbhar Bharat' campaign with its policies. Earlier, the import of tyres was banned, apps were banned, and restrictions were imposed on various categories of goods. And, the heat doesn't seem to go away as now, a restriction has been imposed on import of finished color TV sets from China. So, this is not exactly an import ban but, if a company wishes to import TVs from China, it will have to get a No Objection certificate from the Directorate General of Foreign Trade (DGFT). Read on to find out more about this decision.

What Does This Mean?

Actually, nine categories of color TV sets, including LCDs, have been brought under the purview. DGFT recently disclosed the information. As you may know, Chinese TV brands have a lion's share in the Indian television market. So, it is for sure that brands like Xiaomi, TCL, OnePlus and others are going to be impacted. It is good to support the ''Atmanirbhar Bharat' campaign and aim at a self-reliant India in the future. This decision to impose a restriction is in the same direction. But, are we ready for the possible consequences?

When we say consequences, we mean that in the future we may see higher rates of TVs. We are not at all, saying that the decision is bad or good. We'reWe're just saying that our own infrastructure should be developed enough to support the Atmanirbhar Bharat initiative. The world is looking for alternatives to China, and with better infrastructure, we might become the next China for the world as well. And, maybe we have taken the first baby-step in that direction. 

The Indian government's current policy requires foreign manufacturers to produce their stuff in India or at least assemble their products in India. This will surely benefit us as an economy, and also, if we're able to learn properly (technological know-how through knowledge sharing) from the established brands, we will farewell. Coming back to Chinese manufacturers, they are now moving towards setting up their manufacturing units in India. In fact, Xiaomi, which already has a unit in India, is emphasizing on scaling up production. If this happens, other brands may follow suit as well.

On the whole, you would agree that we purchase Chinese brands just because they are pocket-friendly and provide value for money. If similar stuff can be produced by Indian companies and distributed at competitive rates, we might not even require Chinese brands. However, if Chinese companies set up their units here and contribute to our economy, we may not mind it as well. But for now, our government is giving a stringent message to Chinese businesses, which is also the need of the hour.

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Deb P Samaddar

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