Ministry of IT & Telecom decides to manufacture cellphones
The Pakistani Ministry of IT & Telecom has decided to manufacture cellphone and smartphone, domestically. The initiative is being taken to meet the ever growing demand of cellular phones in both urban and rural areas.
Currently, the mobile phones penetration in Pakistan stands at around 75 percent. With a population growth getting close to 200 million in Pakistan itself and 3G/4G penetration increasing day by day this initiative is likely to bear fruits. Moreover, the revenue being generated by telecom companies stands near to Rs 1 Trillion in the near future. According to the report of International Data Corporation (IDC), shipments of smartphones in Pakistan has massively surged over 200 percent on year-on-year basis during the first quarter of 2015 .
Ministry of Finance believes, this initiative is going to provide investors with great incentives. The prospective investors, hailing from Saudia Arabia, UAE and ASEAN have proposed to collaborate with Chinese companies for cost effective technology and trained labour. The investors are targeting Pakistan as a manufacturing epicenter to meet the demand of cellular phones not only in Pakistan but also the regions of Central Asia, Middle East and Africa.
Immediate steps are foreseen to float Expression of Interest (EoIs) for local manufacturing of mobile phones and smart meters under the revival and revitalization plans of Telephone Industry of Pakistan (TIP) and the factory built by Seimens of Germany. After the launch of China-Pakistan Economic Corridor (CPEC), Chinese investment in Seimens seems like to happen now, running in a public-private partnership mode.
This initiative will not only provide profitable incentives for the investors but also create employment opportunities for the citizens.
Source: Khaleej Times