Tata Indicom, the telecom service provider, slashed fixed line to fixed line charges between Delhi and Mumbai by 62 per cent. Rates for inter circle calls to fixed, fixed wireless and mobile lines between the two cities was also reduced by 50 per cent.

According to the new tariff plan released on Thursday, local calls to Tata Indicom mobiles would be charged uniformly at 180 second pulse while local calls to other mobile operator will be charged at 90 second pulse, a company release said today. The rates would be applicable from October 2, for both existing and new customers.

"We seek to enhance our value proposition by providing huge savings to our customers, by substantially lowering the tariffs. Our customers in Delhi and Mumbai circles now can call at affordable rates. The tariffs have also been made simpler and more transparent," Naresh Malhan, CEO, said.

Tata Indicom has simplified the call charges by reducing the distance slabs. The customers now would be charged only for two slabs -- above and below 50 kilometres, the release said.

Calls from fixed line to fixed line between Mumbai and Delhi would now cost Rs 1.80 per minute instead of Rs 4.80 per minute charged at present.

In addition, inter circle calls to fixed lines. Fixed wireless and mobiles for the distance above 50 kilometres between the two cities would now be charged at Rs 2.40 per minute, instead of Rs 1.20 per minute.