Mobile phone import bill jumps 98 percent

[Shahzaz ud din]

Mobile phone import bill jumps 98 percent
By
Monitoring Report
-
September 18, 2019
3
3054

LAHORE: Mobile phone import bill, on a month-on-month basis, in July doubled in terms of value from $37.3 million to $73.8m (97.85 per cent), claimed a report published in Dawn.

The massive increase in mobile phone imports bill was unanticipated given the fact that inward shipments of handsets had consistently been declining during the last fiscal year amid sharp currency depreciation and hefty taxes and regulatory duties imposed by the government as part of its plan to compress demand in the wake of a balance-of-payments crisis.

The latest data for August has not been compiled yet, according to the Pakistan Bureau of Statistics Director (Trade) office in Karachi.

Cumulatively, mobile phone import bill dropped by almost a fifth from $741.8m in FY18 to $596.4m in FY19, according to data published by the State Bank of Pakistan (SBP). On a year-on-year basis, the handset imports in July rose by above 14pc ($64.6m) compared to the same month last year.

Similarly, the data on Pakistan’s mobile phones market compiled by Canalys — a leading global technology market firm — shows mobile phone imports shrank significantly in terms of number of handsets from the last financial year. From a monthly average of 1.1m phones brought into the country during FY18, the number decreased to the monthly average of 0.8m in FY19.

According to the report, industry resources say that massive currency devaluation over the last year forced users to switch away from high-end, expensive handsets to reasonably priced ones, offering similar features.

 

[Shabi1]

Because of PTA measures, the volume of legal phones was bound to increase with the clampdown on illegal phones entering Pakistan via khaipiya.

 

[Morpheus]

So what happened to all those people that were crying, "I can't afforded to buy new phone now." Where did the money come from. Seriously, government needs to continue pushing forward with such economic policies, and ignoring those crying looters.

 

[Syed1.]

That's because previously these phones were being brought into the country illegally by travellers bringing suitcases full of phones from Dubai etc.


Now they are having to import through legal means and pay due tax on it.


Well done PTA and government

 

[American Pakistani]

Due to new policies everything is becoming transparent. I whole heartedly support this step of PTI govt.

 

[Sine Nomine]

Smuggling has stopped,linking imported sets with passport and no of trips is doing wonders.

 

[Kabira]

Good effect of PTA ban. Now need to attract local manufacturing for smartphones.

 

[Verve]

Mobile phone import bill jumps 98 percent
By
Monitoring Report
-
September 18, 2019
3
3054

LAHORE: Mobile phone import bill, on a month-on-month basis, in July doubled in terms of value from $37.3 million to $73.8m (97.85 per cent), claimed a report published in Dawn.

The massive increase in mobile phone imports bill was unanticipated given the fact that inward shipments of handsets had consistently been declining during the last fiscal year amid sharp currency depreciation and hefty taxes and regulatory duties imposed by the government as part of its plan to compress demand in the wake of a balance-of-payments crisis.

The latest data for August has not been compiled yet, according to the Pakistan Bureau of Statistics Director (Trade) office in Karachi.

Cumulatively, mobile phone import bill dropped by almost a fifth from $741.8m in FY18 to $596.4m in FY19, according to data published by the State Bank of Pakistan (SBP). On a year-on-year basis, the handset imports in July rose by above 14pc ($64.6m) compared to the same month last year.

Similarly, the data on Pakistan’s mobile phones market compiled by Canalys — a leading global technology market firm — shows mobile phone imports shrank significantly in terms of number of handsets from the last financial year. From a monthly average of 1.1m phones brought into the country during FY18, the number decreased to the monthly average of 0.8m in FY19.

According to the report, industry resources say that massive currency devaluation over the last year forced users to switch away from high-end, expensive handsets to reasonably priced ones, offering similar features.

@Proudpakistaniguy

Importers disagree with you ... Imports wouldn't double if there was no local demand!! Read the above carefully and slowly before replying, specifically the move to cheaper handsets and yet doubling of import bill!


This is a tip of the iceberg of economy documentation!

 

[Proudpakistaniguy]

@Proudpakistaniguy

Importers disagree with you ... Imports wouldn't double if there was no local demand!! Read the above carefully and slowly before replying, specifically the move to cheaper handsets and yet doubling of import bill!


This is a tip of the iceberg of economy documentation!

I dont know what you are talking about. I was not against DIRBS or legalization of mobile phones in Pakistan. I was talking about fairness of procedures i.e at least one mobile phone should have been allowed for overseas Pakistani for his personal use without asking people to pay taxes on it within certain time

Process of taxation should be fair to distinguish between used and new phones and in judging the correct value of mobile phones and then asking fair amount of taxes on them as taxes often exceed the purchasing price of used mobile phones bought within or outside Pakistan..