The Central Government has notified its policy for giving privileged market access to telecom products manufactured in India.
All Government departments and agencies under its control will have to buy between 50 per cent and 100 per cent of the total requirement from local manufacturers depending on the type of equipment. Private operators have not been included in this notification. The policy will address the security concerns from the imported products and the huge import bills. Security agencies have repeatedly raised concerns about possible spyware and malware embedded into imported products, especially those coming from China.This apart, the government has set targets for value addition for each of the products ‘Made in India’. As per the notified policy, “All the telecom products, which do not meet the minimum value addition criterion for that year, shall be treated as imported telecom products and dealt accordingly”. With this, technology companies will not only have to set up a factory in India, but also add value here instead of just assembling products. This would need an ecosystem of component suppliers to also set up units in India.Also, a separate policy is being made for procurement by private players.