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Home Op-Ed Editorial

Manufacturing of mobile phones

byDr. Aftab Afzal
03/08/2016
in Editorial, Latest News, Op-Ed
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According to newspaper reports, the country’s mobile phone imports have registered an increase of 4.23 percent to $753 million during 2015-16 as compared to $722million during the same period of the previous year. However, the overall telecom imports are recorded at $1.365 billion in 2015-16 as compared to $1.377 billion during the same period of the previous year. The country imported telecom apparatus to the tune of $612million during 2015-16 as compared to $654million during the same period of the last fiscal year. The data reveals that investment in the telecom sector declined by $42 million just in one year. However, the import of smart phones has been continuing unabated in various categories and price tags. The United States, Japan, China and South Korea have emerged as market leaders in introducing new brands and new app in the world of technology. A new breed of smart phone users has fast engulfed the whole world.

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Pakistan is one of the leading nation in the usage of mobile phone. Keeping in view the diverse nature of the market, all kinds of low quality and high tech gadgets are available in the country. But unfortunately, not only the government, but also the private investors has shown little interest in local manufacturing of mobile phones. A whole world of technology and investment can be invited to the country to build and operate mobile phone manufacturing units or at least assembling units. A few years ago, Punjab Chief Minister Shahbaz Sharif had launched a laptop distribution scheme for brilliant students, and imported wholesale laptops in the country. Had a laptop manufacturing unit established in the country, there would have been job opportunities for the beneficiaries of the laptops after the completion of their studies. The import bill of the laptop was enough to invest in this field. But these opportunities has been lost.

It is time the government should revisit its industrial policy and invite the Chinese, US, Japanese and Korean investors to set up mobile phone manufacturing units in Pakistan. This will not only reduce their cost of production, but will also lend great opportunities for the Pakistani professionals already working in this field. A trend has started in the country to get manufacturing done in China and market the product in Pakistan. This can be a good idea at the individual level, but it not only deprives the country of foreign exchange, but also technology. The government must encourage the local businessmen to contact the foreign investors and start joint ventures in the country. Spending a billion dollar on import of mobile phones and accessories is burden on the national economy and a big cause of trade deficit.

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