Prime Minister Manmohan Singh by expressing concern over the imports of telecom equipment said, large imports of telecom equipment is a matter of concern in the light of India's strategic and security interests.
He said, ‘while telecommunication networks could be set up with imported equipment, it becomes a concern when a large telecom network in a country like ours requires continuous large imports. Keeping in view the growth potential for the manufacture of telecom equipment in our country and our strategic and security interests, there is an urgent need to give impetus to domestic research and development and manufacturing in the telecom sector.’
'A thriving telecom manufacturing industry would have a large positive impact on many other elements of the electronics manufacturing value chain, apart from generating other benefits like additional employment,' Singh added.
Prime Minister further said that the government is committed to doing all it can to ensure successes on the future of telecom sector. 'We will work closely with all stakeholders to build upon what we have achieved. I would like to take this opportunity to assure all of you that our government will continue to formulate forward looking policies that will encourage further growth of the telecom sector.’
Singh is hopeful of achieving the objective of connecting all village panchayats by broadband in coming two years. Recently, the government has approved a scheme for setting up of a National Optical Fibre Network (NOFN).
The cost of the initial phase of this scheme is estimated at Rs 20,000 crore. An equal amount is also envisaged to be invested by the private sector to complement the NOFN infrastructure by providing access services to the individual users. The scheme is expected to generate a variety of benefits to the rural people like better access to education, better access to health and provision for agricultural services.
On the industry’s concern about the new telecom policy, Singh said, 'I am aware of some concerns of the telecom industry regarding government policies in the telecom sector. I wish to reassure industry of the government's full commitment to sustaining growth, creativity and enterprise in this vitally important sector of our economy.'
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