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Mobile phone duty pushes local used-phone prices up 10%

Enas Hussein Abdallah El-Bastaweesy
Published Sunday, January 25, 2026 - 17:48

Egypt’s used-mobile phone market has been hit by sharp price volatility after the government ended an exceptional customs-fee exemption for phones brought in from abroad, according to industry and government sources.

Used-phone prices have risen by 5% to 10% since the decision, three sources at the Ministry of Communications and the mobile phone division of the Federation of Egyptian Chambers of Commerce told Al Manassa. The move has drawn parliamentary criticism and complaints about what lawmakers and traders described as a “random” mechanism for calculating customs duties.

The sources said the current mechanism can add more than 15,000 Egyptian pounds (about $315) to the price of a device above its retail value.

Waleed Ramadan, deputy head of the mobile phone division at the chambers of commerce, said prices of used devices were seeing an “exaggerated increase,” driven by a surge in demand as consumers turn to second-hand phones to avoid higher prices for new imports.

Ramadan said demand for used phones has risen by about 10%. He cited a Pro Max model iPhone, which has a global price of around $1,200 (about 57,000 pounds). After applying a 38.5% customs duty, its price should not exceed 79,000 pounds, he said, yet it is selling locally for between 92,000 and 94,000 pounds.

Ramadan attributed the discrepancy to what he described as an error in the customs pricing mechanism, saying authorities apply a fixed valuation rather than calculating fees based on the actual purchase invoice.

The price volatility follows a decision by the National Telecom Regulatory Authority to end an exceptional exemption period for mobile phones brought in from abroad, which took effect last Wednesday.

The move comes after months of confusion that began in January 2025, when authorities started targeting imported devices activated earlier that year with warning messages demanding payment of fees of up to 38.5%. At the time, some phones were halted “by mistake,”, according to sources at the Ministry of Communications who spoke to Al Manassa at the time.

Although a source at the Ministry of Communications familiar with the mobile-fee issue acknowledged a current “price disruption” in the market, they told Al Manassa it is “normal” as an immediate effect of any government decision, and they expect the market to gradually return to normal.

The decision has also drawn scrutiny in parliament. Lawmaker Ahmed Helmy, secretary of the House of Representatives’ Proposals and Complaints Committee, submitted a briefing request to the prime minister and the ministers of finance and communications, saying the implementation of the decision had revealed “serious problems.”

MP Abeer Atta Allah, who represents Egyptians abroad, objected the imposition of fees on personal phones carried by returning expatriates, arguing that it places an unjustified burden on consumers without delivering meaningful economic gains.

In response, Hamad Al-Nabrawy, a member of the mobile division at the Federation of Egyptian Chambers of Commerce, proposed easing pressure by granting Egyptians resident abroad a discount of up to 25% when buying phones from factories or shops in Egypt, noting this could help rebalance a market currently suffering from distorted customs pricing and unjustified increases by traders.

The government decision sparked widespread anger among Egyptians, especially those living abroad,within days of its implementation.