SAO PAULO, Brazil-The Telecommunications and Electronics Consortium for Latin America and the U.S. Government both have filed comments with Anatel in Brazil regarding Anatel’s proposed rules on equipment purchases by telecom operators.
In a letter to Anatel, the U.S Government said, “These proposed requirements that telecommunication service providers buy and contract for Brazilian-made telecom equipment and services when price and other factors are ‘equivalent’ to imported equipment would be difficult to implement and liable to abuse.”
TEC-LA and Telecommunication Industry Association representatives shared many of the same sentiments in their letter to Anatel, commenting, “Government-sanctioned rules which require private companies to artificially distort their normal business operations will drive manufacturers and suppliers to other countries, increase the cost of goods procured within the country, and limit the number of new products and services which can efficiently be brought to market.”
The United States also noted the proposed regulations threatened to violate principles in the General Agreement on Tariffs and Trade, among other international trade agreements.
As an alternative to the proposed rules, TEC-LA and TIA in their letter suggest Anatel establish guidelines or “best practices” that telecommunications companies can follow that allow them to make exceptions when commercial and technical reasons mandate.