Graded import duty structure for telecom components on the cards

Kolkata: India plans to levy customs duties in a graded manner on telecom components to discourage imports and build a robust domestic supply chain as it aims to transform the country into a fully integrated global telecom gear manufacturing hub.

The Department of Telecommunications (DoT) is examining a proposal to impose an initial 10% import duty from January and raise it further to 15% by October next year on packaging items, antennae, WiFi switches, plastic/metal housing items, wires/cables, USB ports/connectors, power adaptors and other electrical/mechanical items, among telecom components, said officials aware of the matter. The import duties on these parts and timelines for their implementation are being considered under the government’s Phased Manufacturing Programme (PMP) to drive local production and enhance value addition, the officials said.