The Board of Management of Engineering Development Board (EDB) has finally cleared the first draft of the Mobile device policy for submission to the Ministry of Industries & Production.
On October 7, 2019, Prime Minister Advisor on Commerce, Industries and Production and Investment, Abdul Razak Dawood had announced that the mobile device policy will be announced in November 2019.
A Karachi-based company has already started the manufacturing of mobile sets but due to delayed decision and lobbying by the importers, the policy has been delayed.
According to the EDB, the policy has been drafted after extensive stakeholder consultation with an objective to encourage local manufacturers in the sector through technology acquisition and localization.
Pakistan is the 7th largest market for Mobile Phones with annual sales of 34 million in 2019. With increasing demand and competitive advantage of labor cost, it can develop into a major industry capable to generate an export surplus to sell its brand of “Made in Pakistan” in the international market.
The main purpose of the policy was to make the engineering sector one of the largest export-oriented sectors of Pakistan. This implies if the export of the textile sector would cross the $12 billion benchmark within the next 8-10 years then cell phone industry can contribute $500 million to $1 billion in the export of engineering goods.
The proposed policy is expected to promote local investments and FDI. Local device manufacturing activity is projected to create 200,000 direct and indirect jobs in the country alongside the development of efficient manufacturing eco-system and linking Pakistan to the global supply chain.