4 Stocks to Watch Out for as India Restricts Computer & Laptop Imports

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laptops, tablets, and personal computers. According to the notice, from 1 November 2023, the import of these restricted items would now require a valid license. The new law implies that laptop and computer giants like Apple, Dell, Lenovo etc., cannot simply manufacture their products elsewhere and sell them in India.

They are now required to manufacture in the country to tap into the burgeoning Indian market. This move, driven by security concerns and domestic manufacturing goals, aligns well with the government's Atmanirbhar Bharat initiative. From the production-linked incentive scheme (PLI), specifically for large scale electronics manufacturing, to the NLP policy, to a comprehensive effort to enhance the logistics ecosystem in India, the government is leaving no stone unturned.

And the shifting global supply chain dynamics are giving this a much-needed impetus. This gradual shift towards India and other countries (Vietnam, Thailand) as a global supply chain hub, is not a new approach. It comes from a global business strategy referred to as the China-plus-one strategy.

The term is not new and was coined way back in 2013. According to the China-plus-one strategy, companies must avoid investing only in China. Instead, they must aim to diversify their businesses to alternative destinations.

While the dire need for diversification was felt before, it only came to fruition after the pandemic. The Covid-19 pandemic caused several bottlenecks in global supply chains, leading to a new wave of diversification in supply routes and manufacturing hubs away from China. India being the front-runner is strategically positioning itself to make the most of this opportunity.