54% Jump In Smartphone Exports Clocks Rs 1.75 Lakh Crore In 11 Months Of FY24

(MENAFN- KNN India) New Delhi, Mar 17 (KNN) India's smartphone exports reached Rs 1.75 lakh crore in the first 11 months of FY2024-25 (April-February), marking a 54 per cent increase over the same period in FY2023-24, according to the latest industry data.

This figure has already exceeded the government's full-year target of USD 20 billion, as projected by the Minister for Electronics and Information technology (MeitY) Ashwini Vaishnaw. The data was released by the India Cellular and Electronics Association (ICEA).

India's electronics exports, led by smartphones, have been growing rapidly, supported by the government's Production-Linked Incentive (PLI) scheme.

The scheme has successfully attracted global technology giants such as Apple and its suppliers, who are seeking to diversify supply chains outside China following US sanctions on the country.

The PLI scheme has significantly boosted domestic production, which now meets 99 per cent of the country's smartphone demand, thereby reducing imports.

Apple's iPhone supply chain contributed around 70 per cent of total smartphone exports. The Foxconn plant in Tamil Nadu accounted for nearly 50 per cent of overseas shipments, with a more than 40 per cent increase in exports over the previous financial year.

Another 22 per cent of the exports came from Tata Electronics, which recently acquired the Wistron smartphone manufacturing facility in Karnataka.

Additionally, 12 per cent of the export volume came from the Pegatron facility in Tamil Nadu, where Tata Electronics acquired a 60 per cent stake in January. With these acquisitions, the Tata Group has emerged as a key player in iPhone production in India.

South Korean technology major Samsung contributed approximately 20 per cent of India's total smartphone exports. The PLI scheme for electronics manufacturing has attracted cumulative investments of Rs 10,213 crore as of December 2024, leading to the creation of over 1.37 lakh direct jobs and driving export growth.

According to data presented in Parliament, the cumulative production under the scheme has reached Rs 6,62,247 crore.

Union Minister of State for Electronics and IT, Jitin Prasada, informed Parliament that India has transitioned from being a net importer of mobile phones in 2014-15 to a net exporter today.

Mobile phone production in India has increased from about 60 million units in 2014-15 to approximately 330 million units in 2023-24 - a more than fivefold increase over the past decade.

In terms of value, production has grown from Rs 19,000 crore in 2014-15 to Rs 4,22,000 crore in 2023-24, representing a compound annual growth rate (CAGR) of 41 per cent.

Since the launch of the PLI scheme for large-scale electronics manufacturing, mobile phone exports have risen from Rs 22,868 crore in 2020-21 to Rs 1,29,074 crore in 2023-24, reflecting a CAGR of 78 per cent.

Furthermore, while 74 per cent of mobile phones sold in India were imported in 2015, currently 99.2 per cent of the handsets used in the country are domestically produced.

(KNN Bureau)

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