Delays in customs clearance hurt Chinese brands’ India plans: Report

Delays in customs approvals at Indian ports have disrupted the manufacturing and sales plans of Chinese smartphone makers such as Xiaomi, Oppo, Vivo, Realme and OnePlus.

Companies were forced to reduce bulk import orders of phones and parts from China, The Economic times reported.

Shipments from other countries are also going through extra scrutiny, which has impacted companies such as Dyson, Bosch and Siemens, the report added.

Moneycontrol could not independently verify the report.

Electronics and appliance maker told the paper that since imports were stalled, it hurt production last week for three to four days. The backlog due to the delay at customs caused shortages and disrupted production, the report said.

The delays in approvals has also impacted Indian companies such as Bajaj Electricals, which imports 15 percent of its components from China. “At a time when appliances are showing positive growth in June, the sudden blockage of materials from China has disrupted plans,” Bajaj Electricals Chairman Shekhar Bajaj told.

Customs officers at Kolkata port are still examining Chinese consignments manually, though the time taken has reduced to two days, the report said.

“Certain bills filed after June 30 are still going through 100 percent checks, but that selection is at random,” Chennai Customs Brokers Association Vice President Zahir Hussain told the publication.