• PTA asked to deploy advanced IMEI tracking and verification system
• Industry warns of declining investor confidence due to illegal market practices

ISLAMABAD: Mobile manufacturers have urged the government to protect the local industry from the open sale of stolen and smuggled phone sets.

“Despite our continuous engagement with your office, we regret that IMEI numbers are being copied from genuine, legally imported devices,” the Pakistan Mobile Phone Manufacturers Association (PMPMA) said in a letter to the Pakistan Telecommunication Authority (PTA).

It added that this malpractice involves cloning IMEI codes from authentic mobile phones and assigning them to counterfeit, illegally imported, or even stolen devices.

As a result, such phones are falsely presented as duty-paid and legitimate, while some may actually be stolen items originating from other countries.

The association said unauthorised imports have penetrated the local market without undergoing proper regulatory procedures or payment of applicable duties.

The PMPMA, which represents 33 manufacturers of both domestic and international mo­­bile phone brands in Pakistan, has asked the PTA to implement an effective and technologically advanced IMEI tracking and verification system to eliminate cloning practices.

It noted that Pakistan’s mobile manufacturing base has strengthened significantly. Up to March 2026, about 31.79 million devices were sold in the market, of which more than 30.86 million were locally assembled, indicating the industry’s capacity for further value addition.

The association warned that the issue is damaging investor confidence and discouraging further investment in the local manufacturing ecosystem.

In a separate letter to the Ministry of Industries and Production, the PMPMA said the sector has generated over 40,000 direct employment opportunities and expressed concern over reports that commercial imports of used phones may be allowed.

It cautioned that allowing the import of used and refurbished mobile phones would seriously harm the local assembly industry, discourage industrial investment, reduce documented tax contributions, and create enforcement, consumer, and security risks.

The local mobile phone assembly industry, it said, operates within the documented economy and contributes to the national exchequer through sales tax, income tax, withholding tax, payroll-related taxes, utility payments, compliance costs, and formal employment.

In contrast, the used phone trade has historically remained far less documented and does not contribute proportionately to national revenue.

The association stressed that sustainable industrial activity should be protected over second-hand imports that weaken the documented economy.

It concluded that allowing commercial imports of used mobile phones at this stage of Pakistan’s industrial development would be a damaging policy decision, undermining the tax-paying formal sector and encouraging the grey market in mobile phone trade.

Published in Dawn, April 26th, 2026