PLI scheme: Smartphone manufacturing landmark in the country, Samsung and iPhone lid with 83% growth in exports

China and Vietnam are considered to be the biggest sellers of smartphones in the world. Due to this, these countries are famous as hubs of manufacturing. But that is about to change. India has made a big leap in smartphone exports.

This year, the figure is expected to reach 5.6 billion, or Rs 42,000 crore, with an 83% jump in smartphone exports from the country during this financial year. Last year, the country exported smartphones worth Rs 23,000 crore.

The reason behind this is believed to be the government’s Linked Production Incentives (PLI) scheme. Smartphones made in India are shipped to multiple progressive countries across the world.

The biggest beneficiaries of PLI are Samsung and Apple

Popular US tech companies Apple and South Korea’s Samsung have benefited the most from the scheme. Along with this, India has also emerged as a major hub of smartphone manufacturing in the world along with China and Vietnam. Four years ago, in the year 2017-18, the export of smartphones from the country was only Rs 1,300 crore. In the year 2018-19, it increased to Rs 11,200 crore, and then in 2019-2020, it increased to Rs 27,200 crore.

Apple’s exports will be worth Rs 1,200 crore

Apple and Samsung have the largest share of smartphones exported from India. Apple’s exports are expected to reach Rs 12,000 crore. Models like iPhone SE, iPhone 11, and iPhone 12 have made significant contributions to this. Similarly, Samsung’s exports are expected to increase to Rs 20,000 crore.

Production and supply have affected smartphone exports

Export of smartphones from the country was affected due to production and supply difficulties due to the Corona epidemic. In the economic year 2020-21, it existed Rs 23,000 crore. The electronic market is currently facing many difficulties. This includes the lack of a semiconductor chip. The market has also been affected by lockdowns and other sanctions.

Many important components of a smartphone are supplied from China. But connections between India and China maintain not existed right in the current history. This is the reason why the supply of many components from China is stopped or very slow. Pankaj Mahindra, president of the Indian Cellular and Electronics Association (ICEA), an industry-related organization, said smartphone exports were declining despite Corona’s three waves, staff shortages, lockdowns, and the worst crisis in the supply chain.

Phones are being exported to South Asia, Africa, and the Middle East

India used to export smartphones to South Asia, Africa, the Middle East, and Eastern Europe, ICEA said. But now smartphones from India are shipped to many developed countries of the world. Mahindra told companies are currently targeting the multiple competitive and developed markets in Europe and Asia. There is a demand for high quality in these markets and the manufacturing unit based in India is realizing this.

What is a PLI scheme?

Under this, the central government promotes extra production and will allow companies to export products made in India. The target of the PLI scheme is to encourage investors to create a competitive environment.


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