It is disheartening to learn of what is becoming of Bangladesh's mobile manufacturing facilities; while once, there was significant optimism surrounding the industry, there has been a radical downturn, threatening the very existence of the operations.
While in June 2022, the production of mobile phones in the country was more than 2 million units, this June it came down to 800,000 -- an astronomical drop that deserves a closer look to understand just where the issues lie.
When mobile manufacturing was first proposed, the idea was that this would help with catering to domestic demand and also build a potential export industry for Bangladesh, a particularly noteworthy approach given our historical struggle with establishing export-oriented industries.
However, given the volatility of the current world, together with less than ideal tax policies, our mobile manufacturing has never quite gotten off the ground, with the trend not looking good for its survival.
However, this is where the authorities concerned need to step in, not just by formulating more favourable tax policies to support the businesses, but also devising a more long-term solution.
Mobile manufacturing in Bangladesh can become a real thing if we ride out the current challenges and instill the appropriate measures required for it to succeed. While it is close to impossible to predict trends in the market, the relevant stakeholders must try to remain a step ahead with regard to the decisions it takes moving forward.
Establishing more export oriented industries is a necessity for Bangladesh given its economic trajectory. To that end, careful planning and policy evaluation for the mobile manufacturing industry, together with remaining alert about market trends, could go a long way to ensuring the survival of the sector and it becoming a vital economic component for Bangladesh.
Establishing more export oriented industries is a necessity for Bangladesh
