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Tuesday, May 21, 2024

PTA green-signals the manufacturing of Samsung mobile phones

Pakistan Telecommunication Authority took to Twitter to announce that Lucky Motor Cooperation has been given the authorization to manufacture South Korean tech giant Samsung's mobile phones in Pakistan. The regulator termed it "a great achievement" for the country.

Pakistan Telecommunication Authority (PTA) took to Twitter on Tuesday to announce the provision of Mobile Device Manufacturing (MDM) authorization to Lucky Motor Corporation Limited for the manufacturing of Samsung mobile phones in Pakistan.

According to the tweet, LMC had applied for authorization to set up a mobile device manufacturing plant in Karachi to manufacture Samsung devices.

The authority went on to emphasize the importance of this development under the light of the incumbent government’s “Digital Pakistan” initiative.

PTA wrote that it has, “so far issued MDM authorizations to 25 foreign and local companies for the production of mobile devices (2G/3G/4G) locally.”

The long six-tweet thread ended with the authority appreciating the fact that this will lead to job creation in the country, and make mobile phones relatively cheaper for the customers in Pakistan.

Samsung-LMC agreement

Samsung has come to an agreement with Lucky Group to produce and manufacture smartphones locally. This milestone has been achieved after the efforts made by the government to attract investors into the telecommunication market.

Pakistan Stock Exchange (PSX) has issued a notification on the 16th July that confirmed the agreement between Lucky Motor Corporation Limited (LMC), a subsidiary of Lucky Cement, and Samsung Gulf Electronics Co., FZE (‘Samsung’) for local assembly of phones in Pakistan.

Additionally, Hammad Azhar’s tweet was a confirmation.

Doubts have been cast in the past on this with a big media outlet who mistakenly put out the news that this was not happening, and that the Korean mobile manufacturer had backed out.

Read More: Lucky Motor to introduce new car brand in Pakistan

However, Adviser on Commerce and Investment Abdul Razak Dawood cleared the air with this tweet.

Lucky Motors Corporation is clearly coming up as a big name in the communication and transport sector of Pakistan.

Other brands

Other than Samsung, China’s well-received mobile phone Realme has also announced setting up a manufacturing plant in Pakistan.

Speaking to Tribune Realme Regional Marketing Director claimed that the company was the first smartphone brand to sell over a million phones in the local market in less than a year, incentivizing the company to capitalize on the opportunity.

The presence of a local assembly line will benefit Pakistan, as the phone will become cheaper for the consumers in the country.

The director also mentioned that the new facility would house both Oppo, Realme’s parent company, and Realme itself on their own dedicated assembly lines. Since 5G is the future, the company is going to offer 5G-compatible products to local consumers.

This attraction of companies is being attributed to the government’s “Make in Pakistan” policy.

Commenting on this in a recent press conference, Adviser to Prime Minister of Pakistan for Commerce and Investment Abdul Razak Dawood said, “I am hearing, this policy had led to 21 new applicants of mobile manufacturers who want to produce mobiles in Pakistan.”

He mentioned that the Tecno Pack Telecom CEO Amir Allahwala has also started manufacturing mobile phones in the country, and quoted Allahwala saying that the imports of phones into Pakistan are declining over time.

Read More: Realme to set up assembly plant to produce 5g phones in Pakistan