Pakistan’s mobile phone imports experienced a significant dip in the first two months (July-August) of the fiscal year 2024-25, marking around 20% decrease compared to the same period in the previous year.
The country imported mobile phones worth $143.889 million during this time, a drop from the $179.453 million recorded in the first two months of FY24, according to data released by the Pakistan Bureau of Statistics (PBS).
In rupee terms, the decline was even steeper. Mobile phone imports for July and August amounted to Rs40.069 billion, down 22.73% from Rs51.853 billion during the corresponding period in FY24.
However, on a month-on-month (MoM) basis, Pakistan saw a 23.14% increase in mobile phone imports in August 2024. Imports rose to $79.406 million, compared to $64.483 million in July 2024. Despite this monthly increase, the year-on-year (YoY) comparison shows a continued decline, with August 2024 imports 28.68% lower than the $111.339 million imported in August 2023.
The overall telecom imports into Pakistan during the July-August period of FY25 also recorded a negative growth of 7.73%, amounting to $221.725 million compared to $240.293 million in the same period of FY24. On a month-to-month basis, telecom imports increased by 16.36% in August 2024, reaching $119.247 million, up from $102.478 million in July. Nevertheless, on a year-to-year basis, telecom imports dropped by 20.34% from $149.704 million in August 2023.
Local mobile phone manufacturing has become an important factor in Pakistan’s telecom landscape. In the first seven months of 2024 (January-July), local plants manufactured or assembled 18.95 million mobile handsets, compared to only one million imported commercially. In July alone, 1.61 million mobile handsets were locally produced, far outpacing the 0.16 million units imported commercially.
The locally manufactured handsets include 6.85 million 2G devices and 12.1 million smartphones. Data from the Pakistan Telecommunication Authority (PTA) shows that 62% of mobile devices on Pakistan’s network are smartphones, while 38% are still using 2G technology.
These trends highlight Pakistan’s shift towards local manufacturing, aiming to reduce dependence on imports and foster the growth of the domestic mobile phone industry. However, the overall decline in imports signals economic challenges and shifts in consumer demand within the country.
