Voxtel for duty free import of VoIP phones

NEW DELHI, INDIA: UK-based Voxtel Telecom Pvt. Ltd. has sought support from operators and Internet service providers for reduction of import duty from government in order to make VoIP phones affordable for the Indian market.

Commenting on the 30 percent import duty levied by the Indian government on these products, Sat Murthi, sales director, Voxtel, said the government should allow duty free for imports of these products to boost the VoIP business.

“We are closely in talks with operators and service providers to seek government's cooperation in encouraging the VoIP market in India,” Murthi said.

The company is already in the advanced stage of discussion with Mahanagar Telephone Nigam Limited (MTNL). MTNL has recently launched VoIP service for its subscribers in Delhi and Mumbai.

Sat Murthi, sales director, Voxtel Telecom said that once the market for VoIP phones increase, the prices of the products would come down.

“Our main target will be both the PSUs -- BSNL and MTNL, and private service providers, which are offering VoIP services for customers. We are planning to offer customized products for the Indian market, which will differ from operator to operator," Murthi said.

Voxtel plans to invest $5 million in its brand building and expansion of its retail network in India. The company plans to appoint 75 distributors and 7,000 dealers by the end of 2008. “To further accelerate the marketing operations, we have already entered into strategic tie-ups with major retail chains and telecom operators across the country,” Murthi added.

The company has also launched GPS based personal navigation devices.

Voxtel is a fully owned subsidiary of Binatone Electronics International Ltd (BEIL). BEIL is the second largest producer of digital cordless phones.