The Bangladesh Telecommunication Regulatory Commission (BTRC) has decided to ban import, assembling and manufacturing 3G-only handsets to promote widespread adoption of smartphones and expand digital transformation in the country.
The ban will be effective from January 1, 2023, according to a decision taken in the latest commission meeting of the telecom regulator.
The BTRC believes 3G-only handsets are hindering expansion of 4G mobile networks in the country.
Manufacturing of 3G-only handsets in the country has become almost zero, as local manufacturers produce only a few thousands of such handsets this year, according to the BTRC statistics.
But some importers, under "Mobile Phone Handset Manufacturer and Vendor Enlistment" and "Radio Equipment Importer and Vendor Enlistment" categories still import 3G-only handsets.
The BTRC has decided not to provide those importers NOC (no objection certificate) for import of 3G-only handsets after December 31 this year.
Meanwhile, production of smart-phones by the local companies is declining, but that of feature-phones is increasing - at a time when the country is heading towards 5G technology.
According to data, 69.60% of the total handsets manufactured in the country are feature-phones, while 30.40% are smartphones.
In June 2022, the production of smart-phones (4G and 5G) in the country was 880,000 units, while that of 2G or feature-phones was 2.15 million units.
According to the Bangladesh Mobile Phone Importers Association, the mobile handset market in the country is worth over Tk10,000 crore.
The annual demand for mobile phone handsets is more than 35 million units, of which 11 million units are smartphones.
As of January 2021, local manufacturers supplied almost 80% of the country's mobile phone requirement.
The sector has generated more than 15,000 jobs.
Currently, 15 companies have licences to manufacture mobile handsets.
Among these are - Walton Digi-tech Industries Ltd, Fair Electronics (brand: Samsung), Edison Industries (Symphony), Alamin and Brothers (5 Star), Carlcare Technology BD Ltd (itel and Tecno), Anira International (Yunstar), Best Taicool Enterprise Ltd (Vivo), Grameen Distribution (Lava), Banglatrinic Technology (DTC), Benley Electronic Enterprise (Oppo), Okay Mobile, and Mycel Technology.
To encourage local manufacturing and assembling of smart-phones and to attract foreign investment, the government has taken steps through its "Made in Bangladesh" program.