The implementation of DIRBS has helped Pakistan witness a significant increase in the commercial imports of mobile phones. Mobile phone imports in Pakistan witnessed a phenomenal growth of 97.89 percent in July 2019, doubling its value from $37.3 million to $73.8m. It a tremendous growth as the total number of mobile phones brought in the country has witnessed the growth of 11pc only.
After the currency depreciation, the import of handsets was declining in the last fiscal year. Accumulatively, mobile phone import bill declined by from $741.8m in FY18 to $596.4m in FY19. The handset imports in July rose by above 14pc ($64.6m) compared to the same month last year.
Initially, when DIRBS was announced, and people were unaware of the overall scenario, many people foresee that imports of mobile devices will decrease. But with time DIRBS proved that its implementation only decreased the counterfeit devices in the country while helping to rationalize mobile phone imports to maintain the uniformity in the country.
DIRBS implementation results to Sharp Spike in Mobile Phone Imports of Pakistan
As per DIRBS, the import of mobile phone is only possible by paying taxes. The rising percentage of Imports of mobile phone devices show that DIRBS is successful in obtaining taxes on mobile phone through its mechanism. Furthermore restricting the free mobile registration after July 1 has further helped in the increase of mobile phones imports in the country.
Canalys, a global technology firm has also compiled data of Pakistan’s mobile phone market which also reveals the decline of mobile imports in Pakistan in the last fiscal year. Around 1.1m devices were brought to Pakistan during FY18 the number even decreased to 0.8 in FY19. But the sharp spike in mobile phone imports abruptly is a very good signal and is due to the technological improvements in the handsets.
Ali Kakvi, Oppo’s marketing director said:
“This is because the mobile phone makers are continuously improving their technology to attract customers and adding new features. This has raised the prices (in terms of dollars) substantially. For example, a phone that was available for $200 or so a year or so back will now cost you around $250 or even more due to addition of new features and improvements in its technology,”,
The overall scenario shows that in future, DIRBS will give more dividends toward the elimination of smuggled phones.