The Telecom Zone recommends abolishing the basic customs tariff on the import of certain telecom equipment, which is important for building infrastructure for 4G and 5G wireless services. Telecom operators in India have urged the finance ministry to reduce central tariffs on licensing and spectrum usage charges.
Cellular Operators Association of India (COAI), represented by the Ministry of Finance in December to list expectations from the region’s budget, telecoms such as antennas, optical transport equipment / networks, IP radios, long-lasting 20% ​​import tariff development (LTE) products and switches to cost-effectiveness of telcos Fly Reliance Jio Infocomm Limited, Bharti Airtel Limited and Vodafone Idea Limited are members of COAI.
Montek Singh Ahluwalia – Budget Deficit, GDP Growth, Covid Vaccination Needed at Financial Cost
COAI General Director S.P. Kochhar says this is disrupting the cost-effectiveness of the telecom sector and has a negative impact on the sector’s finances. Telecom equipment must be exempt from BCD (Basic Customs). Kochhar said the tariff on imports of 4G / 5G equipment and network related products should be zero until “high quality” equipment is produced locally at affordable prices in India.
Currently, India imports 85% of its telecommunications equipment. The rollout of 5G services requires a dense network of large optical fiber and mobile towers, costing telecom operators tens of billions, and government tariffs and other tariffs could further increase costs. Therefore, the government needs to pay special attention to this area in the budget.
.
