NEW DELHI [India], December 30 (ANI): The Telecom Regulatory Authority of India (TRAI) on Tuesday released recommendations for a regulatory framework governing the sale and use of foreign telecom service providers’ SIM and eSIM cards in machine-to-machine (M2M) and Internet of Things (IoT) devices intended exclusively for export.
The recommendations follow a request from the Department of Telecommunications (DoT), which sought TRAI’s guidance on terms and conditions for issuing and renewing no-objection certificates (NOCs) for the import and sale of foreign SIM/eSIM cards used in export-bound M2M and IoT devices.
To address this regulatory gap in the rapidly growing sector, TRAI proposed a light-touch authorisation regime under the Telecommunications Act, 2023. The framework introduces a new category called the “International M2M SIM Service Authorisation”, enabling Indian entities to legally procure and use foreign SIM/eSIM cards in devices manufactured for overseas markets.
Under the recommendations, the authorisation process will be fully online, featuring digitally signed, auto-generated approvals. Any company registered under the Indian Companies Act will be eligible to apply. TRAI proposed zero entry fee, zero authorisation fee, and no minimum equity, net worth, or bank guarantee requirements. Applicants will only pay a processing fee of Rs 5,000, with authorisation valid for 10 years.
Recognising the need for testing and quality assurance, TRAI also recommended that foreign SIM/eSIM cards be allowed to remain active in India for up to six months. The regulator noted that manufacturers of smart meters, connected vehicles, industrial sensors, and other IoT-enabled equipment often need foreign SIMs to ensure seamless connectivity in destination countries.
TRAI further advised the DoT to coordinate with other central ministries, including Finance and Commerce, to create a harmonised framework covering both the import of foreign SIM/eSIM cards for export-oriented devices and the export of Indian SIM/eSIM cards for devices destined for overseas markets.
The proposed framework is expected to support the Make in India initiative by boosting domestic manufacturing for global markets and enhancing the international competitiveness of Indian IoT and M2M products.
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