New Delhi:
India has imposed restrictions on merchants from nations that share borders for reasons of defense and national security. The move is expected to affect Chinese companies and is in line with economic retaliation after the June 15 clash with Chinese troops in Ladakh that ended in fatalities. There have been reports that Chinese troops have yet to move from parts of Ladakh despite an agreement that the two sides will go to their permanent locations to ease tension in the area.
A government statement said that bidders from a nation that shares a land border with India will be eligible to bid on any acquisition “only if they are registered with the Competent Authority.”
“The Competent Authority for registration will be the Registration Committee constituted by the Department for the Promotion of Industry and Internal Trade (DPIIT). The political and security authorization of the Ministries of Foreign and Internal Affairs, respectively, will be mandatory” , the statement read.
The order will apply to any acquisition: goods or services (including consulting services and non-consulting services) or works (including turnkey projects), the government said.
Exceptions have been made in limited cases, including the purchase of medical supplies to contain the global COVID-19 pandemic through December 31.
“By a separate Order, countries to which the Government of India extends lines of credit or provides development assistance have been exempted from the prior registration requirement,” the government said.
Following the June 15 clash in the Galwan Valley of Ladakh, in which 20 soldiers were killed in the line of duty, a call to boycott Chinese goods by the body of merchants from all over India: the All-Confederation Merchants from India or CAIT.
Shortly thereafter, the government made the “Country of Origin” mention mandatory for sellers to list their products on the government’s electronic marketplace. In late June, the government blocked a series of applications with Chinese links that included the popular browser TikTok and UC.
Earlier this month, China and India began the withdrawal process, withdrawing troops from the Current Line of Control, the de facto border between the two nations.
On Wednesday, government sources told NDTV that China has not withdrawn troops from all areas where it had entered Ladakh near the Current Line of Control in May. Chinese troops are still present in the Plains region of Depsang, Gogra and the Finger region along Lake Pangong, where India and China had begun a mutual retreat creating a buffer zone between the two sides.
The Chinese “are not fulfilling their commitment to disconnect at the friction points in eastern Ladakh and are not backing down on terms agreed to during multiple rounds of talks at the government and army levels and higher-level intervention such as that carried out by the Se I would need a national security adviser a couple of weeks ago to keep moving forward, “sources quoted from ANI reported.
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