Usually auto channel selection can do a good enough job. When the channel clogs up, it finds a new one on its own. AFAIK, you shouldn't need to touch the channel width, just the channel itself. I had bad dropouts from interference too. I am pretty sure I set mine to use 2. Most routers now days have an option to set 2 because everyone and their mother has wifi. The setting usually shows up like n+m, where m is the set channel and n is an auto backup channel when the first gets messy.
It's almost like you're living in India with those crappy speeds. I'd sue. Damn Commies!
