Ericsson is in favour of following and supporting India?s manufacturing policy, which aims to promote local manufacturing of telecom equipment in the country.
The Sweden-based telecom vendor is in favour of adhering to the country?s the proposed manufacturing policy given that all players get a level playing field.
India?s manufacturing policy proposes to give preferential access to indigenous manufacturers. Under the new manufacturing policy, operators will be mandated to buy 30 per cent of their network equipment from companies which have a production unit located within India. Additionally, the policy prescribes 65 per cent value addition domestically by the manufacturers.
Ericsson is of the view that every country would like to promote local manufacturing, so it sees no reason to oppose a similar move from India. In fact, it already has a manufacturing unit in India and thus, has no issues in following value addition prescribed by the Indian government.
Ericsson is the first foreign telecom equipment vendor to support India?s manufacturing policy. Foreign vendors along with European Commission have been opposing the policy on the grounds that it violates the international trade agreements.
