Government alert regarding Chinese goods
The government aims to keep a close eye on the goods that are part of the Internet of Things (IoT). There is a fear that companies and agencies across India’s northern border may get important data from these devices. In such a situation, after discovering flaws in the security system of surveillance cameras, the government has now made it mandatory to check the cameras. For this, necessary certificate will have to be obtained from the prescribed lab. Apart from this, some specific parts will also have to undergo certification by agencies. Only after that Indian or other manufacturers will be able to use them.
Preparation to bring ‘System on a Chip’ under investigation
The ‘System on a Chip’ or SoC is also under scrutiny. It is an integrated circuit (IC) that contains most of the components of an electronic system on a single chip. A source said that our aim is to create a reliable supply chain for electronic goods as we do not want any weak link. Which foreign companies can take advantage of. Especially when there is a hostile neighborhood around us.
This is the plan of the central government
The government was earlier trying to stop imports from China by erecting a tariff wall, but now it has started emphasizing on technical standards. This is because there are limitations on the government imposing tariffs under the WTO’s IT Agreement-I (ITAI). Additionally, Chinese companies produce cheaper equipment and can capture the market even by overcoming the high tariff wall.
Just as the mandatory standards for CCTV were first implemented for government procurement and then implemented in the retail market as well. Similarly, the same strategy can be adopted in other areas also. This will give Indian sellers time to prepare for the change and develop the necessary supply chains to ensure compliance with standards.
Last year, the PC and laptop industry had protested against government control on imports. Their argument was that this would reduce supply and increase prices, which would affect consumers. However, the government believes that bringing changes gradually would be more beneficial.