Right now they are selling Lancer 1.3 GLX for 13.7 lakhs (they increased the price from 13.0 just recently, although I agree its expensive but when Gli can sell like hot cakes for 13.84( plus add tire changing costs also as many people replace the Pakistani tires immediately) seriously we cant blame lancer for being the only overpriced car. True, a local lancer would bring the price tag down to 12 at least.
I read on some thread on PW a long time back that they were considering making a local lancer but the plan got scrapped due to some troubles. Right now DMMC is hardly in the position to undertake any such venture.
Someone also posted on PW the new gen Lancer would be coming to Pakistan in 2010 and it would be 1.8.