Lawstreet Journal

Wary of China and Huawei, BSNL And MTNL Apply For Abrogation Of Tender For 4G Upgrade

Lawstreet Journal 2 Jul 2020 11:34pm

Image courtesy: Lawstreet Journal Business Wary of China and Huawei, BSNL And MTNL Apply For Abrogation Of Tender For 4G Upgrade

Despite the friction on the border between India and China, the latter appears to be on the Indian government's receiving end of economic salvos. Since the ban slapped on 59 Chinese Applications, state-run telecommunications firms — BSNL and MTNL — have scrapped their planned 4 G upgrade tenders.

The cancelation of the tender comes after BSNL and MTNL have been nudged by the telecom ministry to stop 4 G telecoms equipment from Chinese equipment manufacturers – Huawei and ZTE.

The Telecom Department (DOT) nudge was soon accompanied by a formation of a 6-member panel that was charged with reworking the terms of the tender. The group, embodied by BSNL and MTNL, is likely to come forward with its recommendations this week.

Fresh tenders are likely to be issued after a 6-member-panel has submitted the recommendations. 

Fresh tenders are likely to include conditions barring Chinese players like Huawei and ZTE, based on the panel recommendations. The new tender conditions are also likely to focus on India 's telecommunications gear manufacturers to boost "Make in India".

This will be the latest in a long line of economic offensives undertaken by the Indian government if Chinese telecom equipment suppliers were to be stripped of the final tender conditions. Following the stand-off in Galwan Valley, India has tried using economic means to respond to Chinese aggression. The government had passed temporary orders on 29th June 2020, citing threats to national sovereignty and stability, ordering 59 Chinese apps for a ban.

Meanwhile, on consignment arriving from China, Customs imposed tight restrictions… Continue Reading...

Tagged: Telecom Regulatory Authority of India  
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