In an effort to boost its manufacturing industry, the Pakistani government is reportedly working to update its Mobile Device Manufacturing Policy. The new policy will broaden its scope to include tablets, Internet of Things (IoT) devices, Point-of-Sale (POS) systems, and Radio Frequency Identification (RFID) technology.
It will also introduce export conditions and set new localisation targets. The Ministry of Industries and Production, the Engineering Development Board, and the Pakistan Telecommunication Authority (PTA) are working together on the project.
- Enhancing Domestic Production
Local mobile manufacturing in Pakistan has grown significantly in the last several years. The first 11 months of 2024 saw the production of 28.43 million mobile phones by local manufacturing and assembly facilities. Of the gadgets made in the area, 17.01 million were smartphones and 11.42 million were 2G phones. In comparison, over the same time period, 1.49 million phones were imported. PTA data indicates that smartphones currently make up 65% of devices on Pakistani networks.
An important turning point for the sector was the introduction of the Mobile Device Manufacturing Policy in 2021. Building on the success of the 2019 Device Identification Registration and Blocking System (DIRBS), the program decreased dependency on imports and promoted domestic manufacturing. The outcomes are clear: in FY 2023–24, 94% of the 31.4 million devices produced or imported were produced domestically. This change has also greatly boosted the economy by creating almost 60,000 new jobs.
- Possibility of Becoming a World Player
Pakistan is establishing itself as a major supplier of mobile devices by utilising its inexpensive labour and export-oriented incentives. To date, PTA has authorised 39 businesses to manufacture, including well-known brands such as Samsung, Infinix, Tecno, Vivo, and Oppo. The local sector is increasing consumer confidence in the calibre and affordability of its products by following international standards.
The mobile device industry has demonstrated growth and resilience in the face of economic challenges and the COVID-19 pandemic’s effects. The government’s emphasis on diversification—especially the addition of tablets and Internet of Things devices—indicates its goal of developing a creative and competitive environment.
Read more: Pakistan spends $1.898 billion on mobile phone imports in fiscal year 23/24
Additionally, during the first five months of FY 2024–25, Pakistan imported $570.167 million worth of mobile phones, a 7.52% decrease from the same time in the previous fiscal year. However, a comparison of November 2024 imports month over month showed a 14.32% increase, suggesting a mixed trend.
The success of competent policymaking and regulatory support is demonstrated by Pakistan’s journey from implementing DIRBS to building a strong domestic manufacturing industry. However, consistent rules, dependable infrastructure, and a favourable export environment are necessary to fully realise this industry’s potential.
Although the government’s plan to diversify into tablets and IoT devices is admirable, resolving structural problems and guaranteeing long-term stability are essential to its success. Infrastructure improvement is necessary, as seen by the nation’s substantial reliance on imports for mobile phone parts.
Moreover, the aggressive localisation goals may be at danger from unstable economies and shifting market conditions. Pakistan might become a major force in the global digital products market by resolving these problems, which would encourage economic expansion and innovation.