According to reports, between 2014 and 2022, India’s mobile phone manufacturing industry has produced more than 2 billion mobile phones, making it the second largest mobile phone manufacturer in the world. This growth could be attributed to several factors, including the government’s “Make in India” scheme, which provides incentives for local manufacturing, and growing demand for mobile phones in India.
according to a Report According to Counterpoint Research, mobile phone production in India will grow at a compound annual growth rate (CAGR) of 23% between 2014 and 2022. During this period, cumulative shipments of “Made in India” mobile phones exceeded 2 billion units. In 2014, only 19 percent of domestic shipments were locally manufactured, compared with 98 percent in 2022, the report said.
𝐉𝐮𝐬𝐭 𝐏𝐮𝐛𝐥𝐢𝐬𝐡𝐞𝐝: The cumulative production of mobile phones in India under the “Make in India” plan exceeded 2 billion units
𝐊𝐞𝐲𝐭𝐚𝐤𝐞𝐚𝐰𝐚𝐲𝐬𝐛𝐞𝐥𝐨𝐰:
✅ The compound annual growth rate of mobile phone production in India is 23% during 2014-2022.
✅ In 2022, more than 98% of shipments… pic.twitter.com/ZRV0hsOBPd— Counterpoint (@CounterPointTR) August 14, 2023
Rising in-house demand, rising digital literacy, and government incentives for manufacturers are reported to be the main reasons for this growth. Initiatives such as Phased Manufacturing Program (PMP), Make in India, Production Linked Incentive (PLI) and Atma-Nirbhar Bharat (Self-Reliant India) have contributed to increasing local handset manufacturing with clear results, the report added.
Counterpoint’s research director Tarun Pathak said local value added is now over 15 per cent compared to single digits in 2014. This has reportedly led to increased investment, job creation, and overall ecosystem development.
Pathak added that the government intends to capitalize on this development to make India a “semiconductor manufacturing and export hub”. He said India’s semiconductor production is likely to increase, especially in smartphones, as India tries to bridge the urban-rural digital divide while also trying to become a major exporter of mobile phones.
The report quoted analyst Prachir Singh as saying that the government is also committed to making India a semiconductor hub. It has come up with a semiconductor PLI scheme that will provide financial incentives to companies setting up semiconductor manufacturing plants in India.
The government is also reportedly spending a whopping $1 trillion (Rs 8,321,600 crore) on infrastructure to further the plans. These measures are expected to further boost the development of India’s mobile phone manufacturing industry, making it a global semiconductor production hub.
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