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Extension of Pro Tem Certification Scheme Could Boost India’s Telecom MSME Sector

  • News article
  • 28 February 2026
  • European Innovation Council and SMEs Executive Agency
  • 1 min read

India’s telecom equipment sector could see the addition of 800 to 1,200 new micro and small enterprises (MSMEs) following the government’s decision to extend the Pro Tem Certification Scheme, a move expected to significantly reduce certification costs for manufacturers.

The extension is anticipated to lower entry barriers for smaller players, encouraging innovation and strengthening domestic participation in the telecom equipment ecosystem. By easing compliance costs, the scheme could enable a wave of new entrants and support India’s broader ambitions to expand local manufacturing capacity in critical technology sectors.

However, the policy shift has also raised concerns among some international vendors. Critics argue that while the extension may stimulate growth among MSMEs, it could potentially dilute the original security objectives of the certification framework. There are also warnings that the scheme could be used as a delaying mechanism affecting larger global suppliers operating in the Indian market.

As India continues to develop its telecom infrastructure and promote domestic industry participation, the extended Pro Tem Certification Scheme represents both an opportunity for sectoral expansion and a test of balancing market access, security considerations, and fair competition.

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Publication date
28 February 2026
Author
European Innovation Council and SMEs Executive Agency