India markets open in 3 hours 40 minutes

    +612.60 (+1.24%)
  • Nifty 50

    +184.95 (+1.24%)
  • Dow

    -267.13 (-0.78%)
  • Nasdaq

    -75.41 (-0.56%)

    -63,598.50 (-2.00%)
  • CMC Crypto 200

    -55.63 (-4.44%)
  • Hang Seng

    +399.72 (+1.42%)
  • Nikkei

    +582.01 (+2.09%)

    +0.0626 (+0.07%)

    +0.1050 (+0.10%)

    +0.0200 (+0.10%)

    -0.0020 (-0.13%)

    +0.0130 (+0.02%)

Curbs on public procurement from neighbours welcome; India should be ready for aftermath: IEEMA

·2-min read

Mumbai, Jul 25 (PTI) Welcoming the government's decision to impose restriction on bidders from countries sharing land border with India, industry body IEEMA said the country should however be prepared for the consequences and cost of such a move at least in the short run.

IEEMA is the apex body of electricals and electronics manufacturers.

Amid border row with China, the government on Thursday imposed restrictions on public procurement from China and other countries with common border.

The government has amended the General Financial Rules 2017 to enable imposition of restrictions on bidders from countries which share land border with India on grounds of defence of India, or matters directly or indirectly related to that including national security, according to an official statement.

The Department of Expenditure has, under the said rules, issued a detailed order.

“Indian electrical equipment industry has the capacity, ability and cost competitiveness to effectively service and meet the need of not only Indian industry but also enhance its exports. And if we as a nation are to be serious about taking on China in our own home market, then all of us including manufacturers, importers, retailers, consumers and the government, need to commit to this,' IEEMA President RK Chugh said in a statement on Friday.

He further noted that the country needs to be prepared for both the consequences and cost of such a move at least in short run. 'From medium term onwards, we will start seeing enormous benefits out of full Make in India efforts,' Chugh said.

IEEMA also assured full support on behalf of its members to meet the requirements of the country.

India shares land border with seven countries namely China, Pakistan, Bhutan, Myanmar, Afghanistan, Nepal and Bangladesh.

As per the order issued on Thursday, any bidder from such countries sharing land border with India will be eligible to bid in any procurement whether of goods, services (including consultancy services and non-consultancy services) or works (including turnkey projects) only if the bidder is registered with the competent authority.

The competent authority will be the Registration Committee constituted by the Department for Promotion of Industry and Internal Trade (DPIIT).

Political and security clearance from the Ministries of External Affairs and Home Affairs will be mandatory. PTI PSK ANU ANU