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Indian telecom operators have urged TRAI to raise international call termination charges to at least ₹5 per minute from 65 paise.
Why Are Telecom Operators Seeking Higher Charges?
Telecom service providers, represented by the Cellular Operators Association of India (COAI), have requested separate consultations on revising international termination charges (ITC), citing financial disparities between Indian and overseas operators.
ITC is the fee paid by a foreign telecom carrier to an Indian operator when an international call terminates on its network. The industry body argued that the rupee’s depreciation over the past year has reduced earnings from international termination charges, which are settled in US dollars with overseas operators.
According to telecom executives, Indian carriers receive between 35 and 65 paise per minute for incoming international calls, while foreign operators charge between ₹3 and ₹3.5 per minute for calls originating from India. Operators believe the difference requires regulatory intervention, particularly because incoming international call volumes are substantially higher than outgoing traffic.
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What Changes Have Operators Proposed?
COAI has sought an increase in the international termination charge ceiling to at least ₹5 per minute, compared with the existing ceiling of 65 paise.
In a June 2026 letter to TRAI, the association argued that higher charges would bring Indian rates closer to international benchmarks and ensure fair compensation for Indian telecom networks. The association also proposed a time-bound increase over the next two to three years to align domestic charges with global levels.
Private telecom operators and public-sector BSNL have supported the demand. All have sought a ceiling of at least ₹4 per minute, with some requesting ₹5 per minute or alignment with international rates.
What Is TRAI’s Current Position?
TRAI last revised international termination charges in 2020, increasing the rate from a fixed 30 paise per minute to the existing range of 35 to 65 paise. The regulator began consultations on the broader termination charge framework in November 2025 but has yet to issue recommendations.
Telecom operators argue that international termination charges should be considered separately because the ITC regime is neither dependent on nor linked to the broader framework under review. Industry representatives have reiterated their demands during recent meetings with TRAI and submitted written representations over several months.
Will Higher Charges Affect Consumers?
Telecom companies maintain that increasing international termination charges would not impose additional financial burdens on Indian consumers. They argue that receiving international calls is free for Indian subscribers, while the charges are paid exclusively by the originating foreign carrier or its intermediary.
Operators have also linked the existing low charges to fraudulent international calls targeting Indian consumers, claiming that the current regime increases financial scam risks and undermines confidence in telecom services. Industry representatives further argue that the disparity causes revenue losses for Indian carriers and reduces government revenue.
They have cited China, the United Kingdom, South Korea and Vietnam as countries that have increased international termination charges by at least two to three times over the past five years.
TRAI has not yet announced a decision on the proposed revision.
