With the 5G spectrum auction set for March 10, the Ministry of Industries has started working to ensure that advanced and compatible mobile phones are available when telecom companies are ready to launch new services.
As spectrum will be auctioned in multiple bands, 4G coverage is also expected to expand across the country, increasing service areas. However, this expansion will also raise the demand for smartphones.
The Ministry of Industries and Production has finalized the Mobile and Electronic Devices Manufacturing Policy 2026-33 in a meeting chaired by Special Assistant to the Prime Minister Haroon Akhtar Khan. He described the policy as an important step forward, saying that starting with mobile phones, it will gradually support the country’s wider industrial sector since electronics now play a major role in all areas of life.
Industry representatives have welcomed the policy, especially with new spectrum becoming available next month. They believe demand for modern and 5G-compatible phones will rise significantly.
Amir Allawala, a senior member of the Pakistan Mobile Phone Manufacturers Association, said the policy has come at the right time.
According to him, telecom companies will need about five to six months after acquiring spectrum to set up infrastructure for launching 5G services in major cities and expanding 4G to other urban and rural areas. He added that the mobile phone industry will require a similar period to shift production toward 5G devices, and several companies that currently manufacture feature phones are already converting their production lines to smartphones.
A major highlight of the new policy is an 8 percent incentive on mobile phone exports. It also includes lower customs duties on the import of parts, while higher duties will apply to the import of completely built units (CBUs) of mobile phones and accessories such as chargers and hands-free devices.
The policy will now be sent to the prime minister for approval. Officials noted during the meeting that 37 licensed mobile phone manufacturers are currently operating in the country, producing around 40 million units each year.
In 2025, Pakistan assembled 30.2 million mobile phones, and about 40 percent of them were feature phones. At the same time, local demand can reach up to 40 million units annually, making export incentives necessary to strengthen the industry.
The policy also proposes setting up a dedicated Mobile and Electronics Devices Cell within the Engineering Development Board (EDB) to ensure proper implementation and coordination.
