Imports of second hand goods is not simple in the business world. If you want to import any of the second-hand products in the market for the business purpose then you have to get approval from the particular state government of India.
The government has stated that importing used or refurbished electronics and IT goods without first registering with the Bureau of Indian Standards (BIS) is forbidden.
Imports of these commodities are permitted under the Electronics and IT Goods (Requirement of Compulsory Registration) Order 2012, which requires registration with the BIS or a particular exemption letter from the Ministry of IT and Electronics.
It stated that if the importer does not register and comply with BIS labeling standards, the commodities will be re-exported by the importer; otherwise, customs authorities will damage the goods and dispose of them as scrap.
Imports Of Second Hand Goods (new and used, whether refurbished, repaired, or reconditioned) are prohibited unless they are registered with BIS and comply with the labeling requirements published by BIS, as amended from time to time, or on a specific exemption letter from the ministry of IT and electronics for a specific consignment,” the directorate general of foreign trade (DGFT) stated in a notification.
Ministry Of IT & BIS Approval For Imports Of Second Hand Goods
The ministry of IT and electronics has also been strict, stating that any refurbished or used electronic goods that do not have a valid BIS registration will be re-exported by the importer if customs do not deform the goods and dispose of them as scrap.
In addition, the notification modifies the Foreign Trade Policy section on “Second-hand Capital Goods.”
Desktop computers, refurbished electronic parts of personal computers, including laptops, and all electronic and IT goods notified by the Electronics and Information Technology Goods (Requirement of Compulsory Registration) Order, 2012 , will henceforth be allowed subject to authorization.
India’s market for refurbished phones climbed by 14 % to 14 lakh units in 2018 , despite the fact that global sales of such devices decreased for the first time in 2018 .
While Apple has a sizable portion of this market, its overall market share in India is negligible and declining. According to Forbes, the company’s market share in India dropped to under 1 % last year from around 2 % in 2017 . Refurbished phones are available on Amazon, Flipkart, and Snapdeal.
Categories Of Second Hand Electronic Goods To Imports Of Second Hand Goods
- Used Electronic Items: If someone sells their electronic goods directly to some second-hand consumer without yan change then it will be considered a second-hand electronic product. Because they have not been checked and the vendor cannot risk issuing a long warranty, second-hand products frequently come with on or a short guarantee. End-users frequently sell used devices platforms like eBay.
- Outdated Electronic Items: India created more than 01 lakh tones for e-waste in 2019-20, up from 7 lakh tons in 2017-18, according to the Central Pollution Control Board (CPCB). In contrast, since 2017-18, the e-waste dismantlers capacity has remained unchanged at 7.82 lakh tonnes.
- Refurbished: Refurbished items are thoroughly checked for quality and operation, with parts replaced or repaired as needed. The gadget is then cleaned and the data is removed. The software has been upgraded to the most recent version. New accessories are frequently offered as well, but the most significant change is the guarantee. Refurbished devices often come with a three-month warranty, but are refurbished. Store products come with up to a three-year warranty.
Guidelines On Imports Of Second Hand Goods Electronics
The Directorate General of Foreign Trade (DGFT) has issued a notification prohibiting the import of used or refurbished electronics and IT goods that have not been registered with the Bureau of Indian Standards (BIS).
Imported goods will be re-exported by the importer if the importer fails to register and comply with BIS labeling rules; otherwise, customs officers will distort the products and dispose of them as scrap.
Imports of these commodities are permitted under the Electronics and IT Goods (Requirement of Compulsory Registration) Order 2012, which requires registration with the BIS or a particular exemption letter from the Ministry of IT and Electronics.
The country’s electronics imports grew to USD 5 5.6 billion in 2 0 1 8 -1 9 from USD 5 1.5 billion in 2017 -18, according to a report. “Imports of goods (new and used, whether refurbished, repaired, or reconditioned) are prohibited unless they are registered with BIS and comply with the labeling requirements published by BIS, as amended from time to time, specific exemption letter from the ministry of IT and electronics for a specific consignment,” the DGFT notification continued.
Requirements For Importing Second-Hand Electronic Goods In India BIS Registration
BIS Certification is a way to provide the customer with a third-party guarantee of product reliability, safety, and quality. The government of India has made BIS certification mandatory for several products in view of public health & safety. BIS CRS certification is issued in India by the Bureau of Indian Standards. BIS has been successfully promoting and maintaining international standards in the country since 1987. The Bureau of Indian Standards is engaged in various activities like standard formulation, product certification, system certification, hallmarking, laboratory services, registration schemes,s and others.
MOEF No-Objection Certificate
Importers of electrical and electronic equipment, spare parts, tools, and other items must obtain an NOC from the Ministry of Environment and Forests (MOEF) before customs clearance to confirm their end use and whether they constitute e-waste or not. The nature and type of commodities, as well as the remaining life of the equipment, must be declared in accordance with the recommendations of the Customs Circular on HAZARDOUS WASTE (Management, Handling, and Transportation Boundary) Rules, 2008. The importer will receive NOC from MOEF after the submission of the acceptable report to MOEF. Clearance is initiated by the customs authority based on this NOC.
Restricted Imports Of Second Hand Goods
There are certain types of Second Hand Goods under the Restricted category for imports which are either banned or restricted by the Government for import into the country. The country has added second-hand goods other than the capital goods under the Restricted Category. Importers have to get authorization from the Directorate General Of Foreign Trade before shipping the Products under the Restricted Category.
The said Products under the import category have to be imported only after the approval of the Directorate General of Foreign Trade. The said products marked as Restricted products have to be first approved by the Directorate General before being added to the shipping stage.
If the said products are shipped which are under the Category of Restricted Products without obtaining Authorization from the Directorate General Of Foreign Trade, such products would be seized by the Customs Department and may either be reexported or may be destroyed upon such seizure.