By Muhammad Luqman
A silent pause in policymaking is now echoing loudly across Pakistan’s fast-growing mobile phone industry. As the government delays its new Pakistan mobile device policy, local manufacturers and exporters are facing growing uncertainty, threatening to slow down one of the country’s most promising technology sectors, this reporter learned.
Outdated Policy Framework Hampers Mobile Industry
The current mobile phone policy, introduced five years ago, no longer fits the needs of today’s rapidly changing industry. Mian Abdur Rehman, Chairman of the Pakistan Mobile Phone Manufacturers Association (PMPMA), said the government’s inaction has left companies struggling to make key decisions.
“Manufacturers are waiting for clear direction on localization goals, export guidelines, and tariff structures,” Rehman explained. “Without those updates, it’s nearly impossible to plan investments or expand production.”
The industry, he added, urgently needs a complete and forward-looking framework that covers everything from import tariffs and export incentives to workforce training and access to international markets.
Tariff Reforms and Localization Challenges
Rehman emphasized that the government must ensure lower duties on imported CKD (completely knocked down) and SKD (semi-knocked down) kits than on fully assembled phones. This difference, he said, is what keeps local manufacturing competitive.
According to data from the Pakistan Telecommunication Authority (PTA), the country produced 31.38 million mobile units in 2024. During the first nine months of 2025, local assembly reached 22.78 million units — a sign of both potential and pressure.
Yet, behind these numbers lie serious obstacles. Rehman noted that companies are facing delays in opening letters of credit (LCs) for importing parts, and that payments for export incentives often arrive late. “These procedural roadblocks discourage investment,” he said.
Export Targets Threatened by Policy Delays
Industry insiders fear that without a clear policy, the government’s target of achieving $5 billion in mobile exports within five years could slip out of reach.
“The export volume remains very small because of these ongoing policy and procedural issues,” said Zeeshan Mian Noor, CEO of Inovi Telecom.
Speaking to this reporter, he said allowing zero-rated imports for key parts like motherboards, camera modules, and display panels would speed up localization and make Pakistani devices more attractive in markets across the Middle East, Africa, and Central Asia.
Noor also called for practical export support measures such as tax relief, rebates, and duty drawbacks for phones made in Pakistan. “The government had promised a 5 percent export rebate, but it hasn’t been implemented yet,” he added.
Pakistan Mobile Device Policy and Semiconductor Prospects
Manufacturers are also eyeing the semiconductor field as a possible turning point for the industry. “Producing microchips and semiconductors locally could dramatically improve the cost and competitiveness of Pakistani phones,” said Adnan Aftab, CEO of Select Technologies.
Speaking to this reporter, Aftab explained that components like processors, modems, memory chips, and sensors make up a large share of a phone’s cost. “Even partial localization of this supply chain would lower production expenses, raise profit margins, and boost our global position,” he said.
He noted that developing a domestic semiconductor ecosystem would also reduce Pakistan’s dependence on imports and strengthen its technology resilience. “It could move Pakistan toward advanced smartphone manufacturing and help it capture a bigger share of the global tech market,” Aftab said.
Make in Pakistan Initiative and Future Outlook
Industry leaders agree that a modern, well-designed mobile device policy could do more than just support local production. It could reinforce the government’s “Make in Pakistan” initiative and open the door for the country to become a serious player in high-value technology exports.
Author Profile
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Muhammad Luqman is an experienced journalist specializing in agriculture, livestock, and rural development in Pakistan.
He writes insightful reports on government initiatives, economic potential, and policy impacts in the agriculture and livestock sectors, highlighting how local programs shape livelihoods and boost national and international markets.
