Setting at rest the confusion over a recent directive that all foreign nationals holding business visas and working on projects in India have to return to their home countries post their visa period or by October 31, 2009 whichever earlier, the ministry of home affairs has issued a clarification demarking business and employment visas.
While the ‘business visa’ will be granted to a foreign national who wants to visit India to establish an Industrial /business venture or to explore possibilities to set up an industrial / business venture. Or who want to purchase/sell industrial products in India .The ‘employment visa’ will be given to skilled and qualified foreigners desiring to come to India for purpose of employment.
The strictures by the Indian government are being seen as a move to stop the entry of hundreds of low skilled Chinese workers into the country.
The fact that business and employment visas can be issued from the country of domicile of the foreigner provided that the period of permanent residence in that country is for more than two years has come as a big relief. This is a relaxation of the earlier announcement that an application has to be made from the country of origin only.
Foreign experts on a visit of short duration in connection with an ongoing project to monitor the progress of the work or to conduct short meetings with customers will be eligible for business visas, while foreigners who come to India on short visits to customer locations to repair any plant or machinery as part of warranty or maintenance contracts will be eligible for employment visas. Amitabh Singh, partner at global consultancy Ernst & Young, said that the earlier circulars has failed to dwell in detail business circulars had failed to dwell in the detail business and work-related activities, and hence confusion prevailed over which visa was needed to certain activities.
“For instance, we were not sure about those who would be coming to India to attend board meetings and whether they would require an employment or business visa. Similarly, if a hotel brought in an international chef. The category was not clear either,” he said .The latest clarifications, posted as an update in the Frequently Asked Questions section, has cleared the air.
“We’ll be able to advise our clients about the correct category of visas that they will require for their employees In fact, we had asked the government for these clarifications and welcome the details that have been released,” he said.
Even as the government’s move to issue the clarifications is being welcomed by industry, legal exerts feel that there are still a few loopholes left to be explained/”While the IT sourcing companies are relieved about the clarification which states that foreign trainees of MNCs coming for in-house training are eligible for business visas, there’s still come to India on work require employment visa, exclude those legal professionals who come here for marketing related activities says Mumbai-based immigration lawyer Poorvi Chothani, of law firm Law Quest.
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