Cabinet extends ITI Ltd’s quota for procurement by BSNL, MTNL
The Union Cabinet on Thursday prolonged the procurement quota of government-owned phone gear maker ITI Ltd for procurements made by the general public sector corporations of BSNL, MTNL and Bharat Broadband Network Ltd (BBNL) for three years.
“BSNL, MTNL and BBNL would be requested to extend the benefit of procurement quota to ITI for a period of three years,” the Communications Ministry assertion stated.
According to the assertion, the cupboard determined “to continue the Reservation Quota policy for ITI Ltd by reserving 30 per cent of the procurement orders placed by BSNL, MTNL and BBNL for ITI for the products manufactured by it”.
It additionally authorized reservation for these outsourced gadgets in which there’s a minimal 12 per cent worth addition by ITI throughout 2018-19 and 16 per cent worth addition in 2019-20 and 20 per cent worth addition in 2020-21, the assertion stated.
“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,” it stated.
The cupboard additionally authorized reservation of 20 per cent of the orders for the turnkey tasks like GSM community roll-out, WiFi and others of BSNL, MTNL and the BharatInternet undertaking of BBNL.
The validity of reservation profit prolonged to ITI expired on May 31, 2018.-IANS