Medium and small enterprises (MSMEs) are building some “excellent” products and the government is looking to improve the production linked incentive (PLI) scheme, said a top official at Department of Telecommunications (DoT).

The government is seeking the views and inputs from MSMEs for the new, better scheme, said Telecom Secretary Neeraj Mittal on Monday at an event.

“We also need to build a telecom component ecosystem in India...How the MSMEs who are doing and making excellent products also are able to compete with big companies in orders, which are not only placed by public sector units, but also private telecom players,” Mittal said at the International Business Expo - Bharat Telecom 2024.

The start-up ecosystem will be a driver and enabler of employment, technology and manufacturing, going forward, he said.

The telecom component ecosystem must develop in India, he said adding that “it is not good enough to bring sub-systems and assemble them here and bring efficiencies in the low-value addition part.”

“I will be happy when MSMEs are able to compete, not just in tenders of BharatNet, which is a government procurement project, but of private sector rollouts which are happening,” Mittal added.

Exports up

Meanwhile, the Indian telecom sector’s exports, including products and services grew by 35 per cent in 2023 and India attracted $8 billion of foreign direct investment, said N Ganapathy Subramaniam, Chairman, Telecom Equipment and Services Export Promotion Council (TEPC), said.

“Our telecom sector continues to do well. A number of start-ups, MSMEs and OEMs (original equipment manufacturers) have emerged in the last decade. Our exports from the telecom sector through its products and services have grown by 35 per cent in 2023, a remarkable achievement in a market where the economic situation in the outside world is not that great,” Subramaniam, who is also the Chief Operating Officer (COO) and Executive Director at Tata Consultancy Services (TCS), said.

Talking about Bharat 6G Vision document (Bharat 6G Alliance), he said that India should account for 30 per cent of overall contributions to the development of 6G standards, and at least 10 per cent of patents filed for 6G technology should come from India.

“The Alliance is working very closely with TSDSI (Telecommunications Standards Development Society, India), TEC (Telecommunication Engineering Centre), and other bodies, industry as well as academia. I am confident that our leadership aspiration for 6G technology will become a reality soon,” he added.

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