ISLAMABAD: With the 5G spectrum auction scheduled for March 10, the Ministry of Industries has also initiated the move to roll out advanced compatible phone devices at the same time that telecom operators are ready.

Due to the spectrum auction across several bands, the 4G coverage area in the country will expand, increasing the service area, but this will also push demand for smartphones.

The Ministry of Industries and Production has finalised the Mobile and Electronic Devices Manufacturing Policy 2026-33 at a meeting chaired by Special Assistant to the Prime Minister Haroon Akhtar Khan.

Mr Khan said that the policy is a milestone initiative and, starting with mobile phones, will eventually help the country’s industrial sector, as electronics have dominated all spheres.

Govt finalises policy as spectrum auction looms

The industry has welcomed the new policy, noting that with fresh spectrum scheduled for next month, demand for new and more advanced phones, including 5G-compatible sets, will increase.

“The new policy comes at the right time as the telcos will take around 5-6 months after obtaining the spectrum to implement the infrastructure for introducing 5G services in key urban areas and 4G in other cities and towns,” said Amir Allawala, senior member of the Pakistan Mobile Phone Manufacturers Association.

“The mobile phone industry also needs around the same time to shift to 5G sets, and many companies making feature phones are already in the process of shifting their production lines to smartphones,” he added.

The key feature of the policy is 8 per cent incentives on mobile phone exports, as well as a reduction in customs duties on the import of parts, while the import of CBUs of mobile phones and accessories such as chargers, hands-free, etc., will have higher duties.

The policy will be forwarded to the prime minister for approval. The meeting noted that there were 37 licensed mobile set manufacturers, producing 40 million mobile units annually.

Pakistan assembled 30.2m phone sets in 2025, and around 40pc were feature phones. At the same time, the maximum local consumption of phones could reach 40m sets per annum; therefore, export incentives were essential to boost the industry.

The policy also recommends establishing a dedicated Mobile & Electronics Devices Cell within the EDB to ensure effective implementation and coordination.

Published in Dawn, February 22nd, 2026