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Tightened Regulations for Business Travelers to India

2.21.2010 -

The Indian Government recently issued new guidance in light of what they considered to be abuse of business visas to India. In particular, individuals were entering India on business visas to participate in work related activities.  While this was not authorized, it had been permitted for many years.

 

As a result in the increased scrutiny of the business visa by the Indian government, Indian Consulates have become much more stringent in issuing business visas.  Unfortunately, the initial informal announcement by the Indian government resulted in inconsistent implementation by Indian Consulates and ultimately confusion to business travelers as to when a business visa was appropriate.

 

One point of confusion was related to the 60 day gap rule for visitors to India.  Specifically, there must be a 60 day gap between visits to India for tourism.  If an individual is required to travel to India multiple times within the 60 day window, prior permission must be obtained from an Indian Consulate.  It has been reported that this rule has been mistakenly applied to business visa holders.  In response to the confusion, on January 1, 2010, the Ministry of External Affairs in India clarified that the mandatory 60-day wait time between visits does not apply to foreigners holding business or employment visas. 

 

To limit the confusion and possible denial of admission into India for business, a business trip should be clearly defined (i.e. nature of company, position of the employee, length of stay, purpose of visit, frequency of visits).  Additionally, a letter should be provided describing the details of the visit and it should be made clear that the employee will only participate in permissible activities, which include:

  • Establishing an industrial or business venture or to explore possibilities to set up an industrial/ business venture in India.
  • Purchasing or selling industrial or commercial products or consumer durables.
  • Attending technical meetings, board meetings, general meetings for providing business services support.
  • Consultations or participation in exhibitions or trade fairs.
  • Transacting business with suppliers or potential suppliers, evaluating or monitoring quality, providing specifications and/or placing orders relating to goods or services procured from India.
  • Visiting for a short duration as an expert or specialist in connection with an ongoing project for monitoring the progress of the work, conducting meetings with Indian customer or providing high level technical guidance.
  • Visiting for pre-sales or post-sales activities not involving the actual execution of a project.
  • Training of employees from a multi-national company in regional hubs located in India.

 

If you have any questions on visas for India or permissible activities while in India on a business visa, please contact our office for further information.

Szabo, Zelnick & Erickson

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