India’s telecom and network equipment (TANE) sector has significant growth potential, but heavy dependence on imports, particularly from China, highlights the need for stronger policy support to expand domestic manufacturing and exports, according to a NITI Aayog report.
The report highlighted that the sector could help advance the National Telecom Policy 2025 (NTP-25) goals of universal connectivity, doubling its contribution to GDP and achieving $1 trillion in exports by 2030. However, large trade imbalances underline the need for targeted policy intervention.
India’s TANE exports stood at only $0.6-1 billion annually during 2020-24, accounting for 0.2-0.3% of the country’s total exports. In comparison, annual imports were much higher at $4-5 billion, representing 0.7-1.1% of total imports. More than 80% of imports of critical components, including 4G/5G antennas and signal processors, are sourced from China, the report said.
Also read: TRAI takes action against 1.83 Lakh telecom resources to curb unsolicited commercial communications
