Zambian mobile phone manufacturing company launched

Mergers, Acquisitions and Financial Results

Africa's regional markets are bracing for new mobile phone handsets manufactured in Zambia by Mmobile Telecommunication Zambian, a local mobile-phone manufacturing company.

The newly manufactured handsets will be on the market March 11, after the company successfully managed to produce over 5,000 handsets. The Southern African Development Community (SADC) and Common Market for Eastern and Southern Africa markets with over 21 countries are to be supplied with the handsets.

Company chairman Mohammed Seedat said the plant became operational last month and added that the handsets will be sold for between US$40 to US$45. Mmobile invested $3 million to set up the first-ever mobile-phone handsets manufacturing plant in Zambia. The plant has a capacity to produce between 50,000 and 70,000 mobile handsets per month.

"The phones, just like many other mobile phones, have features including FM radio, alarm, phone book calendar and games," said Seedat. Manufacturing experts were bought in from Hong Kong, Malaysia and China, and the machinery came from Malaysia.

The Zambian government has increased customs duty on all foreign manufactured phones to 15 percent from 5 percent to encourage local production of phones and save the company from competition. Mobile service providers and dealers in Zambia were selling foreign imported handsets from as low $16.

Computer World Africa