Staff Reporter, Dhaka : Along with mobile import, the journey of mobile phone manufacturing started in Bangladesh in 2017. Currently, about 17 domestic and foreign mobile factories are producing mobiles in the country. These companies have invested more than Tk 2,500 crore & employed 1 lakh+ people.
Mobile phones manufactured in the country are now not only catering the local market, but it has created the possibility of exporting to foreign countries. Through this, an opportunity to
earn new foreign currency has been created for Bangladesh. Besides mobile phone production, industries of modern packaging, printing, batteries, chargers, headphones, data cables and many other types of components have been developed in the country, where at least Tk 1,500 crore has been invested; about 50 to 60 thousand people are working here.
In addition, there are about 20,000 authorized mobile phone dealers across the country, directly employing about 80,000 workers. A total of about 160,000 people are involved in this industry at the production and distribution levels. Assuming an average of 5 members per family, at least 800,000 people are directly and indirectly dependent on authorized mobile phone factories.
However, for a long time, the main obstacle to the legal industry has been the entry and use of illegal or "gray" handsets. About 60 percent of the country's total mobile market is now occupied by this illegal market. As a result, investments worth billions of taka of legitimate companies including FDI are at risk and the government is losing about 2000 crore taka in revenue
annually. Along with unhealthy competition in the market, the market is going into the hands of smugglers. In addition, many crimes including financial fraud are being committed using illegal
phones, the real culprits of which cannot be found.
Finally, the government has come forward with a permanent solution to this problem. The Bangladesh Telecommunication Regulatory Commission (BTRC) has announced the launch of
the National Equipment Identity Register (NEIR) from December 16, 2025. Through this, illegally imported or unregistered phones cannot be used in the country. This initiative will ensure the government's revenue of billions of taka and restore order in the market and ensure consumer rights. We welcome this initiative of BTRC.
NEIR: Protection, Not Harassment Some unscrupulous business groups – commonly called “luggage parties”- are trying to spread
confusion and fear against NEIR. Through them, the business of stolen, counterfeit, copied and refurbished handsets have developed in the country. The government is losing revenue, and the common people are being cheated. Because these products enter the country by evading taxes and VAT, as a result, even though the price seems low, the customers are actually getting low-quality and unsafe products. They are promoting that people will suffer by using NEIR. In fact, BTRC has been working tirelessly for a long time to make the use of NEIR as easy as possible. We will also do whatever is necessary to ensure that customers are not harassed.
VAT/Tax Structure and Production Policy: Some VAT/Tax exemptions have been given to domestic production, which is not discrimination – this is the industrial incentive policy of developing countries worldwide. Building amanufacturing industry in the country is a major investment, which creates employment, saves foreign exchange and reduces import dependence. However, the government can consider further reducing the tax difference between imported legitimate handsets and domestically
produced handsets, so that both sectors can survive in a balanced manner.
Price and quality of domestically produced products:
The price of phones manufactured in the country is relatively low and affordable compared to the international market. Although the price of dollars and mobile components have increased
by about 60% in the last two years, local manufacturers have not increased prices of handsets; rather they kept costs low by rescheduling bank loans, adjusting marketing budgets and
bringing better efficiency and excellence in production processes.
On the other hand, the reason for the low price of imported gray phones is tax evasion and low-quality copies or refurbished products. These products do not have warranty services, software
support is weak, and sometimes stolen phones are also sold – which is a direct violation of consumer rights.
Ethics and consumer rights protection:
Once NEIR is launched, consumers will be able to easily know whether their phone is legally imported or manufactured. Buyers of legitimate handsets will get – official warranty and after-
sales service, software updates, assurance of secure network use. Illegal phones often carry the risk of malware, unauthorized software and data theft. On the other hand, users will get the
benefit of tracking and blocking lost phones through NEIR, which is a major advancement in
consumer security.
Doing business legally is not just a legal obligation—it is also a moral responsibility. When an entrepreneur does business by paying duties and taxes, he is contributing to the development of
the country. On the other hand, tax evasion means defrauding the state, society, and consumers. Anyone with a BTRC vendor license can legally do mobile import business – this path is always
open. There is no scope for discrimination or monopoly here. None of us wants to stop anyones business or cause harm. But we all want the business of illegal phones, stolen phones, and phones imported through illegal processes to stop.
Long-term impact: Every year, the government loses billions of taka in revenue due to smartphones that enter the country illegally. This directly affects development in the education, health, and infrastructure sectors. In addition, illegal businesses create unfair competition with legitimate entrepreneurs and pose a risk to cybercrime and national security.
Call to prevent rumors and misleading campaigns:
In the past, various initiatives have been announced to ban unregistered phones, but they have not been successful. However, this time, the BTRC initiative is on the way to implementation and
it is a historic step for the country's mobile industry. But in the meantime, some unscrupulous groups are trying to disrupt this initiative by spreading fear and rumors in the public mind.
MIOB believes that now is the time to stand for a fair and lawful market system, not a gray market any more.