Domestic notebook producers are warning that rising imports, aided by favourable trade agreements and tax policies, are threatening local industry margins and fair competition, prompting calls for urgent safeguard measures.
India’s notebook makers are warning that a sharp rise in imports is eroding their margins and distorting competition at a time when domestic costs have risen. According to Ministry of Commerce data cited by The Hindu BusinessLine, notebook imports reached ₹22.36 crore in January-June 2026, more than five times the ₹3.65 crore recorded in the same period a year earlier. Industry executives say the pressure has intensified after notebooks moved to a nil GST rate under GST 2.0, which they argue has left local manufacturers unable to claim input tax credit on taxes paid for raw materials and other inputs.
The All India Notebook Manufacturers Association says the tax shift has created a structural disadvantage for Indian producers. Abhinav Jain, a member of the association, told The Hindu BusinessLine that manufacturers are not seeking insulation from competition but a fairer tax regime. The group argues that embedded input taxes are now being built into production costs, while imported notebooks can land in India with a lighter tax burden.
Domestic producers say the problem is compounded by the tariff treatment available to some suppliers from ASEAN countries. Under the ASEAN Free Trade Agreement, eligible notebook imports can enter without Basic Customs Duty, and with GST at nil there is no IGST on imports. That, industry players say, gives overseas manufacturers a lower landed cost and enough headroom to undercut Indian rivals on price.
To counter the imbalance, the industry has urged the government to consider an urgent safeguard or compensatory import duty of 9 per cent to 10 per cent on notebooks classified as exercise books. The call comes against a wider backdrop of import dependence in several Indian manufacturing segments. The New Indian Express recently reported that India’s electronics imports were far ahead of exports in the latest fiscal year, with industry groups pressing for higher local value addition and dedicated manufacturing clusters to reduce reliance on overseas supply.
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