Mobile phones in India have lowest fares in the world

Emerging Markets Economy, Apr 8, 2003

For each cellphone marketed in India, in China they sell 24, thanks to low interconnection fees and usage charges. In contrast, higher operative costs are a major depressant for the sector in India.

According to PTI, Manoj Kohli, CEO of Escotel, said "There are over 8 million cellphone subscribers in the country today and are expected to rise to 10 million by the end of the year, however, the potential is much more and the market remains largely unexploited".

This is despite the fact that cellular telephony tariffs in India are the lowest in the world, according to a review of tariff statistics by International Telecom Union. "Such low tariffs are being offered by Indian operators despite prohibitive regulatory costs, which are among the highest in the world," says Kohli. - (EMEconomy.com)