Govt resolves policy for locally assembled mobiles phones

Dunya News

"The policy mainly focuses on employment generation, import substitution and technology transfer."

(Web Desk) – The Engineering Development Board (EDB) on Tuesday finalised a draft of the ‘Mobile Device Manufacturing Policy’ which primarily focuses on replacing imported mobile phone sets with locally assembled and manufactured ones.

Adviser to Prime Minister on Commerce, Textile, Industries, Production and Investment Abdul Razak Dawood chaired a meeting to review the draft of mobile device manufacturing policy prepared by the Engineering Development Board (EDB), Ministry of Industries and Production.

Dawood asserted that the policy aimed at developing and promoting mobile devices manufacturing industry in Pakistan.

“Through the Electronic Products Manufacturing Initiative we can promote ‘Made in Pakistan’ scheme for the growth in manufacturing.” “The policy will attract new investment, generate employment and make Pakistan global player for electronics manufacturing,” he added.

The adviser was told that out of 26 approvals 15 mobile phone set assembly units were operating mainly in Karachi and central Punjab, but these were only producing analogue sets and just a limited number of units were assembling smartphones locally.

The adviser highlighted that draft policy envisages incentives for local manufacturing/assembly of mobile devices, which would expectedly shift the focus from import of mobiles in completely built units to semi-knocked down and completely knocked down condition.

He further said the proposed policy was mainly focusing on employment generation, import substitution and technology transfer.

According to sources, the policy would be implemented in three phases. In the first phase, the assembly of semi-knocked down and completely knocked down units will be allowed. In the second phase, domestic manufacturing of mobile phones will be allowed whereas, in the third phase, the manufacturers will be permitted to export their products.

“This will make domestic assembly and manufacturing feasible.” Dawood was of the view that the proposed policy would attract domestic and foreign direct investment in the engineering sector, particularly in the manufacturing electronics equipment including mobile phone devices. He urged domestic and foreign companies to pump money into the manufacturing of electronic goods in Pakistan in order to get a high return on their investment.

“SEZs will provide technical and financial support through various incentives by granting tax holidays and duty exemptions on parts which are used in the manufacturing of mobile phone devices and other electronic goods,” he added.

EDB is a government body that works to support the engineering sector and comes under the ministry of industries and production.