Telecom Equipment Makers to Soon Receive Incentives for Local Production: Report

While many players are now focusing on producing within India, there's still an issue with the components being imported. To deliver a high-quality product, the companies still have to import the components.

Highlights

  • To boost local production, the government had come up with the Production Linked Incentive (PLI) scheme for telecom equipment makers.
  • The telecom equipment makers are set to receive Rs 400 crore worth of incentives from the government for increasing local production.
  • One or two companies have already received the incentives.

Follow Us

telecom equipment makers to soon receive incentives

To boost local production, the government had come up with the Production Linked Incentive (PLI) scheme for telecom equipment makers. Now, the telecom equipment makers are set to receive Rs 400 crore worth of incentives from the government for increasing local production. As India becomes more self-reliant, the need for imports from other nations will go down. According to a Deccan Chronicle report, one or two companies have already received the incentives. Other major players are set to receive it too in a week or so.




The report, quoting a source privy to the development, said that the government is continuously monitoring the manufacturing of all the telecom equipment makers. Some companies had approached the govt to help them with their local manufacturing. Thus, the govt has decided to reward them with Rs 400 crore worth of incentives to boost local production. This will ensure that the companies involved in supplying telecom gear don't have to engage in heavy imports.

Read More - India Ranked 18th in Fastest Median Download Speed, Thanks to 5G

Components Still Being Imported

While many players are now focusing on producing within India, there's still an issue with the components being imported. To deliver a high-quality product, the companies still have to import the components. This needs to change to ensure a completely self-reliant production ecosystem in India which will ensure national security.

Read More - India Updates KYC Norms for Issuing Mobile SIMs to Nepal and Bhutan Citizens

The Indian government needs to provide some support for building components locally too. Reliance Jio, Bharti Airtel, and Vodafone Idea have been too reliant on foreign telecom gear vendors to roll out their network services. This should change in the future if Indian suppliers can deliver high-quality equipment at competitive prices to the telcos.

The PLI scheme for the manufacturing of telecom gear in India was kicked off by the central govt in 2021 with a total outlay of Rs 12,195 crore.

Reported By

Tanuja is a passionate technology and telecom buff who has been following the telecom industry for several years now.

Recent Comments

rahul_yadav :

I don't think every tower gonna use 1W power because they install tower and maintain distance as per previous EMF…

Jio Delivered Fastest 5G SA Speeds Globally in Q4 2024:…

Shivraj Roy :

I think the only reason why Jio hasn’t enabled MMwave 5G Is either bandwidth limitations or they just want to…

Reliance Jio Migrated 5G FWA to Dedicated Network Slice; Europe…

Shivraj Roy :

This is exactly why we need VI 5G and BSNL 5G I don’t think Jio is making any investments on…

Jio Delivered Fastest 5G SA Speeds Globally in Q4 2024:…

TheAndroidFreak :

Don't expect anything from Jio unless Vi and BSNL gets strengthen. Because Airtel is not unlimited and their 5G sucks…

Jio Delivered Fastest 5G SA Speeds Globally in Q4 2024:…

Load More
Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments