Cabinet clears extension of ITI quota for procurement by BSNL, MTNL, BBNL

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The Cabinet on November eight authorised continuation of quota for state-owned ITI in procurement made by three Telecom corporations — BSNL, MTNL and BBNL.

“Provision of procurement quota from BSNL, MTNL and BBNL will provide further boost to the order book of ITI and help in improving its financial health,” an official assertion mentioned.

The Cabinet Committee on Economic Affairs (CCEA) authorised the Telecom division’s proposal to proceed the reservation quota coverage for ITI by reserving 30 p.c of the procurement orders positioned by BSNL (Bharat Sanchar Nigam), MTNL (Mahanagar Telephone Nigam) and BBNL (Bharat Broadband Network) for the merchandise manufactured by the state owned Telecom tools maker.

The procurement quota may even embrace 20 p.c of the orders for the turnkey initiatives (like GSM community roll-out, Wi-Fi of BSNL and MTNL and BharatInternet challenge community roll-out of BBNL), the assertion mentioned.

“The aforesaid policy measures shall remain in force for a period of three years with effect from the date of approval of CCEA. The policy shall again be reviewed considering the financial health of ITI after the expiry of this period,” the assertion added.

The transfer may assist in producing extra job alternatives within the firm notably within the subject of new Telecom applied sciences, it added.

In order to allow ITI to outlive within the aggressive setting of Telecom manufacturing, BSNL and MTNL have been extending reservation quota of 30 p.c to ITI.

The validity of reservation profit prolonged to ITI had expired on May 31, 2018.

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