Ahmedabad

This paper presents the current status of Information and Communication Technology (ICT) in rural India in terms of access to telephony, Internet and other electronic media. The access is poor and would require huge investment to cover large parts of rural India which have no access to communications facilities. The paper proposes a framework which would require a micro level analysis of the rural areas. The paper argues that a uniform approach such as improving a universal service obligation as a part of granting regional licenses may not be workable for a large country like India. Rural areas with significant economic activity would have to be treated differently from remote and economically backward regions. A proactive policy is needed which encourages investment in infrastructure for rural areas. The nature of encouragement for different regions would have to be based on the cost of providing access; the potential for earning revenue and the institutions which can deliver a valuable service in rural areas. Finally, a case study from the context of co-operative dairy movement is presented which illustrates how rural communities can benefit from ICT (Computing and Internet access). Such communities are willing to invest in ICT, provided that real value is delivered. Lessons are drawn from the case study to understand how the information culture can be successfully spread to rural areas. Access to ICT by Rural Areas is Poor As of March 2000 there were only 3.7 million lines in rural areas. This means that the tele density was around 0.33 per thousand. The current status of village level access is provided in table 1. The table indicates that of the six hundred thousand villages only 55 % had a telephone. Extension of coverage to 25 % of the uncovered villages is being targeted in the plans for the coming year It is unlikely that this planned commitment would be met. Even in the urban areas the private service providers have not been able to meet their commitments. Six licenses for providing basic services in Gujarat, Madhy