GOVERNMENT OF INDIA
Ministry of Communications and Information Technology
DEPARTMENT OF TELECOMMUNICATIONS
UNSTARRED QUESTION NO. 3920
TO BE ANSWERED ON MAY 11, 2012
Domestic Manufacturing in Telecom Sector
3920. SHRI RAJEEV CHANDRASEKHAR:
Will the Minister of COMMUNICATIONS AND INFORMATION TECHNOLOGY be pleased to state:
(a) Whether it is a fact that the draft National Telecom Policy (NTP 2012) envisages meeting 80 percent of the Indian telecom sector's demand through domestic manufacturing with a value addition of 65 per cent by the year 2020;
(b) If so, how will foreign manufacturers qualify in case they already have domestic units;
(c) Whether specifying such quotas borders upon preferential treatment to domestic manufacturers; and
(d) Whether this will violate any of India’s WTO commitments?
THE MINISTER OF STATE IN THE MINISTRY OF COMMUNICATIONS AND
(SHRI MILIND DEORA)
(a) The draft National Telecom Policy (NTP) 2011 was placed in the public domain for wider public consultation on 10.10.2011 which contains under objectives, inter-alia, following provisions:
(i) “Promote the domestic production of telecommunication equipment to meet 80% Indian telecom sector demand through domestic manufacturing with a value addition of 65% by the year 2020.
(ii) Provide preferential market access for domestically manufactured telecommunication products including mobile devices, SIM cards with enhanced features etc. with special emphasis on Indian products for which IPRs reside in India to address strategic and security concerns of the Government, consistent with international commitments.”
(b) To (d) Inputs have been received from various stakeholders on draft NTP 2011 including domestic and foreign manufacturers. The final decision regarding NTP has not yet been taken.