TEMA seeks grant of infrastructure status to domestic manufacturing companies complying with PMA

By January 19th, 2016 AT 5:19 PM

With the budget round the corner, Telecom Equipment Manufacturers Association of India (TEMA) today demanded grant of infrastructure status to the domestic telecom equipment manufacturing companies complying with PMA (Preferential Manufacturing Access) provisions that will help the industry to take benefits of the incentives given to the infrastructure sector.


It also proposed to extend Income Tax Act Section 35 AD benefits to domestic telecom equipment manufacturing companies which are complying with the PMA provisions, to encourage electronics and telecom equipment manufacturing in the country.

TEMA further said to introduce 5% cess on user of telecom services (service providers) to create a corpus for supporting R&D for technology development in telecom sector. In last year’s budget, the Government had levied duties on non-ITA products in the last Union Budget (FY 2014-15), where some of the telecom products have been brought under the duty regime.

There are many telecom /ICT products which are being imported into the country under ‘OTHERS’ category at zero duty. The products falling under this category and are outside the scope of original ITA list, may suitably be reviewed and may be brought under the duty regime of about 25%.

Read more on:

Having over six years of experience in business journalism, Krishna has a knack for writing on telecom and IT. She believes that tryst with technology is the best thing that has ever happened to mankind. Krishna is a telecom analyst

Inline Feedbacks
View all comments

Recent Posts

BSNL Offering 3GB Daily Data for 40 Days Under Rs 250 With This Prepaid Plan

Bharat Sanchar Nigam Limited or BSNL is known for its affordable offerings in the prepaid segment. We have seen BSNL...

5G: How Harmful Will It Be for Humans and Other Living Organisms?

A lot of people are concerned about the use of 5G technology for connectivity. This is because a common presumption...

BSNL New Google Bundle for Broadband and Bharat Fiber Users

Bharat Sanchar Nigam Limited (BSNL) until now provided users with a Google Bundle offer who opted for broadband plans with...