The Ministry of Information Technology and Telecommunication (IT&T) Thursday decided to float Expression of Interest (EoI) for local manufacturing of mobile phones and smart meters under the revival and revitalization plan of Telephone Industry of Pakistan (TIP).
A meeting of TIP presided over by the State Minister for Information Technology and Telecommunication Anusha Rehman held to discuss matters related to revitalization of TIP.
According to sources, serious concerns were expressed about the performance of the organization. It was observed that TIP has become non-functional as its annual revenue has gone down drastically to about Rs 20 million from Rs 700 million in the recent past, officials sources revealed.
‘TIP is a State Owned Enterprise (SOE) currently running in losses and draining an average Rs 500 million a year for salary support. It is currently is on the privatization agenda of the Federal government.’ – an official.
Earlier some Chinese companies had termed it a dead and inaccessible organization while considering its performance and location where it’s situated. However, after the launch of China-Pakistan Economic Corridor (CPEC) project, prospects are visible to investors as the route will be passing from the same area and have shown interest to review the project on Public Private Partnership (PPP) model. Sources said that a Chinese company has also appraised Information Technology minister about its interest recently.
The meeting was attended by Federal Secretary IT Azmat Ali Ranjha, Member Telecom Muddasar Hussain, Member HR/IT Tahir Mushtaq, Member Legal Ameena Sohail and MD TIP Zia-ul-Haq and other senior officials from MoIT & TIP.
After thorough deliberations, the meeting agreed that the TIP management would prepare EoI inviting interest for local manufacturing of mobile phones and smart meters at TIP. The meeting was informed that TIP has adequate land of 432 kanal and infrastructure besides a skilled manpower, therefore an EOI for the purpose needs to be floated soon to materialize the revitalization plan. Local smartphone manufacturing can empower communities and increase employment rate as well.
The Minister was apprised by the Managing Director TIP Zia-ul-Haq that extension of contracts of 122 employees working in TIP schools & hospitals have been granted till 30th June, 2016 in compliance with the directions and approval granted by the TIP Board earlier. It was further appraised that Riaz Ahmad & Co. Chartered Accountancy firm has been appointed as “Auditor” by completing all codal formalities and approval in this regard has already been accorded by the TIP Board.