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Published : 01 Jan 2026, 07:08 PM
The government has reduced duties on domestically produced and imported mobile phones to lower handset prices.
The decision came during Thursday’s Advisory Council meeting amid calls from the businessmen, announced later by Chief Advisor’s Press Secretary Shafiqul Alam.
Customs duty on mobile imports has been cut from 25 percent to 10 percent, bringing the total import burden -- including advance tax and VAT -- down from 61.80 percent to 43.43 percent.
In a parallel move, the government also eased import duties on parts for local phone assemblers, providing additional support for domestic production.
Amidst the government’s initiative to launch the National Equipment Identification Register (NEIR) system, the issue of “high tariffs” on mobile phone imports has come to the fore.
The government launched the NEIR system for handset registration on Wednesday to prevent tax evasion and stop the entry of low-quality phones into the country.
Once NEIR is implemented, mobile phones imported through illegal channels will no longer be usable on local networks. The system is also expected to shut down the business of illegally bringing used phones from abroad.
After the mandatory handset registration comes into effect, only government-approved, legally imported handsets will be allowed to remain connected to mobile networks. However, BTRC says any handset that has been used on networks before the launch of NEIR will not be disconnected.
According to an earlier announcement, the NEIR was scheduled to be launched on Victory Day on Dec 16. Mobile phone traders have been observing various protests opposing the move.
On Dec 7, traders blocked the BTRC office and staged demonstrations, blocking roads for most of the day. Following the protests, the regulator announced that the launch of NEIR will be deferred by 15 days, setting Jan 1 as the new date for its implementation.
In the context of these protests, the Ministry of Posts, Telecommunications and Information Technology held a multilateral meeting last December. Following those discussions, traders have been granted the opportunity to sell previously imported mobile phones until Mar 15.
The press secretary said, “For those manufacturing mobile phones locally, the customs duty, which was previously 10 percent, has been reduced to 5 percent.”
As a result of this decision to cut tariffs, the total import duty and VAT on the import of components will now be 12.20 percent from the previous 17.20 percent.
He added, “We expect the mobile phone industry in Bangladesh will expand further. Many more will be interested in manufacturing phones.”
He added, “A large number of used mobile phones are brought into Bangladesh from abroad. These are sold after being somewhat refurbished, which significantly disadvantages consumers.
“The government is also deprived of substantial tax revenue. We hope that this move will increase the demand for imported and locally produced phones, while also reducing their prices.”
Shafiqul estimated that the government might face an initial shortfall of around Tk 300 million in tax collection due to these duty concessions.
