The mobile phone industry in Pakistan has experienced significant growth in recent years, thanks in part to the government’s Mobile Manufacturing Policy. This policy was introduced to encourage local production, and it has had a major impact on the industry. According to the Pakistan Telecommunication Authority (PTA), local manufacturing plants produced or assembled 19.7 million phone handsets between January and November 2022, compared to 1.37 million commercially imported phone handsets. This represents a significant increase in local manufacturing, and it has had a corresponding effect on imports, with mobile and smartphone device imports dropping from 10.26 million to 1.37 million.
In the calendar year 2021, local manufacturing plants produced or assembled 24.66 million mobile phones, a substantial 88% increase from the previous year. PTA data shows that commercial mobile phone imports in 2021 stood at 10.26 million, up from 24.51 million in 2020. The locally manufactured and assembled 19.7 million mobile phones including 11.5 million 2G and 8.2 million smartphones. Furthermore, smartphones account for 55% of mobile devices on the Pakistan network, while 2G devices account for 45%.
The Mobile Device Manufacturing Policy has also created new job opportunities for the people of Pakistan and it help to provide low-priced handsets for Pakistani users. According to official sources, around 30 mobile manufacturers have been issued licenses to start local production of mobile devices. Additionally, the devices produced by these manufacturers will not only be sold in the country but could also be exported to other competitive markets of the region and beyond.
Despite the increase in locally manufactured mobile phones, Pakistan imported mobile phones worth $290.570 million during the first five months (July-November) of the current fiscal year 2022-23, representing a 66.08 percent decrease from the same period last year. According to the Pakistan Bureau of Statistics (PBS), mobile phone imports fell 1.92 percent month on month (MoM) and stood at $64.520 million in November 2022, compared to $65.780 million in October 2022.
The successful implementation of the Device Identification, Registration, and Blocking System (DIRBS), as well as supportive government policies, such as the mobile manufacturing policy, has created a favorable environment for mobile device manufacturing in Pakistan. The PTA is responsible for issuing licenses to telecommunications companies, setting technical standards, and enforcing rules and regulations related to telecommunications in Pakistan.
Overall, it is clear that the government’s Mobile Manufacturing Policy has had a significant impact on the mobile phone industry in Pakistan. By encouraging local production, it has led to an increase in local manufacturing, a decrease in imports, and the creation of new job opportunities. Additionally, the policy has helped to provide low-priced handsets for Pakistani users, which should lead to improved access to mobile technology for all.
