Dawood seeks investment plans from mobile companies to address impediments

ISLAMABAD: Advisor to the Prime Minister on Commerce and Investment, Abdul Razak Dawood has sought investment plans from mobile companies to address procedural hindrances.

In a meeting with members of the Pakistan Mobile Phone Manufacturers Association (PMPMA) and other leading manufacturers and assemblers of mobile phones, he discussed the issues facing mobile companies.

The meeting was also attended by Additional Secretary, Ministry of Commerce and Chairman, Engineering Development Board (EDB). The agenda of the meeting was to discuss exports opportunities available to the local manufacturers and assemblers of mobile phones.

The meeting was attended by representatives from Samsung, Oppo, Vivo, Tecno, Infinix and Inovi.

The Advisor briefed the participants about the incentives given by the government to local mobile manufacturers and assemblers through the Mobile Device Manufacturing Policy, 2020. It was highlighted that additional incentives have also been given to the mobile industry to spur localization so that much needed jobs opportunities could be created.

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He reiterated the importance given by the Government to the 'Make in Pakistan'-led economic growth. In order to achieve this end the tariff structure has been rationalized by creating a tariff differential between Completely Built-up Unit (CBU) and Completely Knocked Down (CKD) and Semi Knocked Down (SKD) kits.

He highlighted the incentives given to the exporters through Export Facilitation Scheme, 2021.

The Advisor stressed the need to scale up the production capacity so that exportable surpluses could be generated, adding that companies should also share their investment plans so that procedural hindrances, if any, could instantly be addressed.

The Advisor maintained that mobile exports should meet the target of $1 billion in line with the incentives given by the government. The participants of the meeting acknowledged the incentives given by the government to the local mobile manufacturers and assemblers of mobile phones; and argued that if current trends continue, they will achieve export target set by the government. However, they emphasised continuity of the policies and rebates to the exporters which should be at par with other regional countries. The Advisor assured them that current policies would continue and additional incentives would also be given if export targets are met by mobile manufacturers and exporters.

The Advisor said that as mobile imports were going down, it was very encouraging to see that they were manufactured in Pakistan. It is also creating new job opportunities for locals and saving millions of dollars.

Advisor added “we have a population of 220 million people with 50 to 55 percent youth. We need to focus on pro-industrialization policies to create jobs for them. The only way forward is the “Make in Pakistan” philosophy.

Advisor maintained that Prime Minister Imran Khan had the vision of Digital Pakistan, and it could be only achieved once smart phones become affordable and accessible to everyone.

Copyright Business Recorder, 2021