Govt slashes telecom testing fees by up to 95% to boost local manufacturing

Union Minister for Communications Jyotiraditya Scindia on August 7 announced a significant reduction in telecom equipment certification fees, a move aimed at easing compliance burdens and promoting domestic manufacturing. The announcement comes as part of the government’s broader push towards enhancing the ease of doing business and building a self-reliant digital infrastructure.

In a post on X (formerly Twitter), Scindia said, “Telecom testing made cheaper with certification fees slashed by up to 95% across over 50 categories… boosting compliance, accelerating Ease of Doing Business, strengthening trust for a self-reliant #DigitalIndia.”

The reduced fees will benefit manufacturers and importers of a wide array of telecom equipment, including WiFi and 5G gear, routers, satellite communication systems, smart meters, and optical fiber cables. The move is expected to not only lower entry barriers for new players but also encourage existing companies to scale their operations in India, Scindia added.

Industry insiders have welcomed the step, calling it a “timely and much-needed relief” that could potentially accelerate the rollout of 5G and advanced connectivity solutions across the country.

India Inc faces new challenges amid tariffs

The announcement comes amid rising global trade tensions, as US President Donald Trump has imposed steeper tariffs on Indian goods over New Delhi's continued purchase of Russian oil, opening a new front in his trade wars hours before another wave of duties takes effect. The additional 25% tariff on Indian goods, coming into place in three weeks, stacks atop a separate 25% duty entering into force today, taking the level to 50 percent for many products.

Indian exporters, especially in the telecom and electronics sectors, are closely watching the developments. While some firms see an opportunity to fill supply chain gaps left by Chinese manufacturers, others warn that the proposed tariffs could disrupt existing contracts and margins.