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Smartphone import doubled for Dashain yet failed to rekindle the market

Dinesh by Dinesh
October 31, 2023
in Nepal, News
Reading Time: 3 mins read
Mobile phone import in Nepal

The festivities of Dashain seem to have failed to rekindle the smartphone market in Ashoj, FY 2080/81. As per the recent customs department report, the smartphone import did increase to its record in recent months, however, that didn’t translate into stronger sales.

As per the report, smartphone import doubled in Ashoj, FY 2080/81. During the period, 2 lakh, 75 thousand, 934 units of smartphones were imported into Nepal. The transactions were worth Rs 4 billion. This is the highest smartphone import stat for FY 2080/81 so far. Likewise, the government raked in Rs 75 crore, 84 lakh in revenues from the smartphone imports.  

Talking about the previous month, 1 lakh 86 thousand, 484 units of smartphones entered Nepal in Bhadra. This involved the spending of a total of Rs 2.49 billion. In revenues, the government generated Rs 46.55 crore.

Smartphone importVolumeCostRevenue
Ashoj, FY 2080/812,75,934 unitsRs 4 billionRs 75.84 crore
Bhadra, FY 2080/811,86,484Rs 2.49 billionRs 46.55 crore

Grey phones and “no MDMS” continue to impact smartphone import sales in Ashoj, FY 2080/81

But the higher number of smartphone imports hasn’t equated to a vibrant market. That gets more frustrating as the Dashain festival was expected to draw consumers to buy smartphones. But the reasons might lie elsewhere too. The country faces major concern with the widespread presence of the grey phones.

These are the phones that are brought via illegitimate means and evade federal customs charges and regulations. Mostly, such phones are brought into Nepal via the border areas escaping the border checkpoints. People tend to buy these phones because they come cheaper. After all, they don’t come with taxes. However, there are many pitfalls to using such phones. Anyway, the Nepal Telecommunication Authority (NTA) has soft-launched MDMS hoping to contain the grey market. However, that has proved to be largely ineffective. Find: MDMS Registration Costs for iPhone, Android, and Bar phone

Grey Phones

Deepak Malhotra, Mobile Phone Importers’ Association Nepal Chairman elaborated on the current market woes. He said, “Economic recession and the lack of full MDMS implementation discouraged smartphone business. Import increased, but sales haven’t, he continued. “Smartphone stocks have only piled up.” Check out: Best Phones Under 30000 in Nepal | Latest 2023 Update

The smartphone industry is currently going through a deep recession just like the overall economy and it’s uncertain when it will revive. Having suffered from a liquidity crisis in the past few months, Nepal Rastra Bank (NRB) says that there are enough cash reserves in the banking system at the moment. The consumer confidence though seems far from improving. All eyes will now be on how the market witnesses during the Tihar festivities.

Did you buy a smartphone during the Dashain? You can share with us in the comments below.

Follow us on Facebook, Twitter, and Viber to get the latest news, and information about Nepal Telecom, Ncell, Smart Cell, ISPs, mobile apps, and phones in Nepal.

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Dinesh

Dinesh

An experienced tech writer covering news mostly on telecommunication, internet, latest tech & trends, and Gadgets. Being a technophile, I am particularly fascinated by the evolution of mobile networks in Nepal from legacy networks (2G, 3G) to 4G (with VoLTE, VoWiFi, eSIM) and the prospects of the upcoming 5G, and equally enthralled by the development of internet from the dial-up connection to the 2 Gbps XGS-PON fiber broadband technology and their transformative impact in the country.

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