Government puts curbs on import of power tillers, its components

The government has imposed curbs on import of power tillers and its components, a move which could discourage inbound shipments of these products.

Agencies
The government on Thursday tightened the import policy for power tillers and its components, and placed their imports in the restricted category from free earlier. Power tiller is an agricultural-machinery used for soil preparation. Its components include engine, transmission, chassis and rotavator.

“Import policy of power tillers and its components is amended from free to restricted," the Directorate General of Foreign Trade (DGFT) said in a notification.

DGFT also detailed the procedure for giving import licenses, as per which, the cumulative value of authorisation issued to any firm/all firms in a year would not be exceeding 10% of the value of power tillers imported during the past year (2019-20) by that company. The cap of 10% would also be applicable for components of power tillers.


“Only manufacturers are eligible for applying for an import authorisation for import of power tillers or its components. The applicant should have satisfactory and proven infrastructure for training, post sales service and spare parts,” DGFT said.

The applicant should have been in the business for at least three years and should have sold a minimum of 100 power tillers in the past 3 years, according to the DGFT
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