TRAI cuts telecoms charges, call tariffs may fall

NEW DELHI Tue Mar 10, 2009 9:35am IST

An Indian man talks on a mobile phone as he carries his belongings over his shoulders near a hoarding promoting mobile telephones in New Delhi in this January 20, 2004 file photo. REUTERS/B Mathur  AH/TW

An Indian man talks on a mobile phone as he carries his belongings over his shoulders near a hoarding promoting mobile telephones in New Delhi in this January 20, 2004 file photo.

Credit: Reuters/B Mathur AH/TW

Related Topics

NEW DELHI (Reuters) - The Telecoms Regulatory Authority of India will from April 1 cut by a third the termination charge firms pay each other for domestic calls while increasing the rate for incoming international calls, pressuring firms to lower call tariffs.

TRAI said in a statement telecom companies will pay a termination charge of 20 paise (less than half a US cent) per minute, compared with 30 paise at present.

India has 11 telecoms firms providing fixed-line and mobile services. The firm from which a call originates pays a termination charge to the called network.

International calls made to India will attract a termination charge of 40 paise per minute from April 1, higher than 30 paise a minute now, the TRAI said.

"The Authority expects that the service providers would pass on this benefit in the form of lower tariff for outgoing international calls," it said in the statement.

The regulator said termination charges for third-generation (3G) voice calls would be the same as those for 2G calls.

In India, only state-run telecoms Bharat Sanchar Nigam and Mahanagar Telephone Nigam have started 3G services. Others are waiting for an auction of 3G spectrum, to be conducted later this year.

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Pricing Controls

REUTERS SHOWCASE

India-China Relations

India-China Relations

India says to defend China border after standoff ahead of Xi visit.  Full Article 

Importing Iron Ore

Importing Iron Ore

As mining curbs bite, India offers market to glut-hit iron ore.  Full Article 

Lower Output

Lower Output

IOC cuts refinery output as rains hit fuel demand - source.  Full Article 

Drug Approval

Drug Approval

Epirus, Ranbaxy win India approval for arthritis drug copy.  Full Article 

Farming and Technology

Farming and Technology

Climate smart farmers get tech savvy to save India's bread basket.  Full Article 

Rajan Speaks

Rajan Speaks

RBI chief Rajan says limiting reliance on foreign debt.  Full Article 

India-Vietnam Ties

India-Vietnam Ties

India tightens Vietnam defence, oil ties ahead of China Xi's visit.  Full Article 

Debt & Equity Deal

Debt & Equity Deal

KKR to lend $175 million to GMR Infrastructure - source.  Full Article 

Preparing for IPO

Preparing for IPO

Alibaba boosts IPO as demand strengthens.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage