
Despite being the fastest growing telecom market in the world, domestic manufacturers account for only 12% of the total equipment required in a network. Now, in a boost to domestic firms, the Telecom
Regulatory Authority of India (TRAI) has come out with a policy to boost home production. TRA
I has
recommended mandating mobile companies to source 80 per cent of equipment from domestic manufacturers, a R3,000-crore Telecom Manufacturing Fund (TMF) and subsidy to offer equity capital for all domestic manufacturers that have sales of less than R1,000 crore.
The regulator has also proposed limiting excise duty and VAT (value-added tax) on indigenously...