New Delhi, Jul 16 (PTI) The government has imposed curbs on import of power tillers and its components, a move which could discourage inbound shipments of these products.

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

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Putting a product under a "restricted" category means the importer would have to seek a license from the DGFT for the imports.

The tiller is an agri-machinery used for soil preparation. The components of power tillers include engine, transmission, chassis and rotavator.

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In a public notice, the directorate has laid out a procedure for giving import licenses.

It said that the cumulative value of authorisation issued to any firm/all firms in a year would not be exceeding 10 per cent of the value of power tillers imported during the past year (2019-20) by that company.

The cap of 10 per cent would also be applicable for components of power tillers.

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, it said.

"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," it added.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)