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.
Press Release : In accordance with Mobile Device Manufacturing (MDM) Regulations 2021, PTA has issued MDM authorization to Lucky Motor Corporation Limited for manufacturing of Samsung brand mobile devices. pic.twitter.com/pClbCfOU1y
— PTA (@PTAofficialpk) August 10, 2021
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.
I congratulate Lucky Group and Samsung on entering into a JV to manufacture smart phones in Pakistan.
These positive developments are evidence of the success of DIRBS system that eliminated smuggling of phones. And then followed up by Mobile Manufacturing policy last year. https://t.co/UCEsF0dKVq— Hammad Azhar (@Hammad_Azhar) July 16, 2021
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.
A statement has appeared in a section of media, wherein I have been misquoted regarding setting up of mobile phone manufacturing unit by Samsung in Pakistan. I wish to clarify that I had stated that Samsung has changed its earlier decision & now has agreed to come to Pakistan as
— Abdul Razak Dawood (@razak_dawood) July 29, 2021
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