SECOND-HAND GOODS IMPORT - ECONOMY
News:
FTP opens doors for some second-hand
goods imports
What's
in the news?
●
India's new Foreign Trade Policy (FTP) has
adopted a fresh approach to the import of second-hand goods, making it possible
to re-export old items after repairing
them in the country.
Key takeaways:
●
It also paves the way for the import of used electronics and IT goods,
albeit with certain restrictions.
New
FTP:
●
The import policy for second-hand goods in
the FTP 2023 outlines a new category of unrestricted
imports for goods brought into the country for the purpose of repair,
refurbishing, re-conditioning or re-engineering, with an intent to re-export
them.
●
Such imports will be conditional upon
importers ensuring that any waste generated during the repair or refurbishing
process is treated as per domestic laws and environmental, safety and health
norms.
●
The import of second-hand air
conditioners, desktop and laptop computers, their refurbished spares as well as
diesel generators will continue in the ‘restricted’ imports category that
requires prior authorisation.
Significance:
●
It will encourage reconditioning and refurbishment activities for re-exports.
●
It would also enhance effective control
and regulation in relation to the import of such goods and prevent unwarranted
importation of such second-hand electronic goods into India proving detrimental
to the indigenous markets.
Go
back to basics:
Re-exports
and Re-imports:
●
Re-exports
are exports of foreign goods in the same state as previously imported - they
are to be included in the country's exports.
●
Re-imports
are goods imported in the same state as previously exported.