India is one of the world leaders in the assembled phone industry
- IBEF
- December 4, 2023
Minister for Communications, Electronics & Information Technology and Railways, Mr. Ashwini Vaishnaw, declared that India ranked as the world’s second-largest mobile phone producer and claimed an impressive 99.2% of mobile phones in the country to be "made in India," with cumulative shipments exceeding 2 billion units between 2014 and 2022.
According to electronics and IT ministry data, mobile phones accounted for a sizable 43% of all electronics produced in the fiscal year 2021-22. Mobile phone imports have dropped dramatically, falling by almost 60% between 2017-18 and 2021-22. As a result of this reduction, India has become a net exporter in the global mobile phone industry. Imports of electronic components have increased significantly, topping US$ 25 billion in fiscal year 2022-23.
In FY23, imports of semiconductor chips, which are critical components for cellphones, hit a five-year high of US$ 16 billion. Notably, 80% of these chips are imported from five nations, with China accounting for one-third, Hong Kong accounting for 22%, and South Korea accounting for 14%.
The production-linked incentive plan for large-scale electronics manufacturing has garnered about Rs. 6,800 crore (US$ 744.04 million) in total investment. According to data as of June 2023, this effort has also created nearly 62,000 direct employment. According to data from Parliament, the industry is progressively working towards meeting its production and export objectives for the fiscal year 2023-24 under the production-linked incentive programme.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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