The Indian government has set state-owned mobile operator BSNL a target of achieving a 30 percent market share in the country within the next five years, according to a report by India’s Hindu Business Line. India’s Communications and IT Minister, Mr A Raja, made the comments at a meeting of the heads of BSNL’s circles this week. “Since the Government has fixed a target of 500 million telephone connections by 2010 and 750 million connections by 2012, BSNL should play a pivotal role in achieving the national target,” Raja said.

According to the report, BSNL’s current market share is only 18.4 percent (36.6 million subscribers), compared to the 32 percent controlled by market-leader Bharti Airtel (64 million subscribers). However, the report adds that BSNL’s market share has actually slipped recently due to network capacity problems and a reported delay in procuring new network equipment. Earlier this month the operator issued a tender potentially worth over US$6.5 billion for the supply of 93 million GSM lines.