Telecom equipment import down 28 percent
KATHMANDU, SEP 16 -
Although the number of telecom subscribers increased by around 48 percent, the last fiscal year saw a decline in the import of telecom equipment. Import of telecom equipment declined by 28.67 percent in 2010-11 compared to previous year.
The country’s five telecom operators imported equipment worth Rs 4.36 billion in the last fiscal year against Rs 6.12 billion in 2009-10. STM Telecom made no imports last year.
According to Nepal Telecommunication Authority (NTA), except Nepal Telecom, import bills of other four operators declined last year. The decline in the import is understandable as almost all operators have already installed the basic infrastructures for their service, according to NTA.
With aggressive expansion plan, Ncell tops the chart in terms of equipment import in 2010-11 although its import is less than the previous year. Ncell imported telecom equipment worth Rs 2.07 billion in the last fiscal year. However, Nepal Telecom imported equipments worth Rs 2.05 billion in last fiscal year, up from Rs 1.85 billion of 2009-10.
The NTA statistics show substantial decline in the import by United Telecom, Nepal Satellite Telecom and Smart Telecom. United imported equipment worth Rs 28.41 billion in 2010-11—down from Rs 167.90 million of 2009-10.
Of the total amount spent for the import of telecom equipment last year, an estimated 80 percent was for the expansion of mobile telephony. “Around 80-90 percent of the total amount of the import goes for base transcriber stations and related equipment,” said NTA official.
“Telecom operators normally import equipment for network upgrading, replacement and expansion,” said Amar Sthapit, deputy director at the authority. He added that such equipment include base transcriber station structures, microwaves, power equipments, mobile switching centre and base station centre.
As per the Nepal Telecommunication Act 1997, an operator, who is required to import necessary equipment from abroad, has to get recommendation from the authority to get foreign exchange facility from the communication ministry.
With both Ncell and Nepal Telecom planning aggressive subscriber expansion drive, telecom equipment import is expected to rise this year. Nepal Telecom has already called a global tender worth Rs 20 billion to add 10 million GSM lines while Ncell is planning to cover over 90 percent of the country’s population within 2011.
Operator >> FY 2009-10 >> FY 2010-11
Although the number of telecom subscribers increased by around 48 percent, the last fiscal year saw a decline in the import of telecom equipment. Import of telecom equipment declined by 28.67 percent in 2010-11 compared to previous year.
The country’s five telecom operators imported equipment worth Rs 4.36 billion in the last fiscal year against Rs 6.12 billion in 2009-10. STM Telecom made no imports last year.
According to Nepal Telecommunication Authority (NTA), except Nepal Telecom, import bills of other four operators declined last year. The decline in the import is understandable as almost all operators have already installed the basic infrastructures for their service, according to NTA.
With aggressive expansion plan, Ncell tops the chart in terms of equipment import in 2010-11 although its import is less than the previous year. Ncell imported telecom equipment worth Rs 2.07 billion in the last fiscal year. However, Nepal Telecom imported equipments worth Rs 2.05 billion in last fiscal year, up from Rs 1.85 billion of 2009-10.
The NTA statistics show substantial decline in the import by United Telecom, Nepal Satellite Telecom and Smart Telecom. United imported equipment worth Rs 28.41 billion in 2010-11—down from Rs 167.90 million of 2009-10.
Of the total amount spent for the import of telecom equipment last year, an estimated 80 percent was for the expansion of mobile telephony. “Around 80-90 percent of the total amount of the import goes for base transcriber stations and related equipment,” said NTA official.
“Telecom operators normally import equipment for network upgrading, replacement and expansion,” said Amar Sthapit, deputy director at the authority. He added that such equipment include base transcriber station structures, microwaves, power equipments, mobile switching centre and base station centre.
As per the Nepal Telecommunication Act 1997, an operator, who is required to import necessary equipment from abroad, has to get recommendation from the authority to get foreign exchange facility from the communication ministry.
With both Ncell and Nepal Telecom planning aggressive subscriber expansion drive, telecom equipment import is expected to rise this year. Nepal Telecom has already called a global tender worth Rs 20 billion to add 10 million GSM lines while Ncell is planning to cover over 90 percent of the country’s population within 2011.
Import of Telecom equipment
Operator >> FY 2009-10 >> FY 2010-11
-
Nepal Telecom >> Rs 1.85 billion >> Rs 2.05 billion
-
Ncell >> Rs 2.92 billion >> Rs 2.07 billion
-
United Telecom >> Rs 167.90 million >> Rs 28.41 million
-
Nepal Satellite >> Rs 995.10 million >> Rs 71.38 million
-
Smart Telecom >> Rs 163.32 million >> Rs 140.25 million
-
STM Telecom >> Rs 17.22 billion >> —
