Domestic Mobile Production Reaches 99.2%, Export Outlook Strong

(MENAFN- KNN India) New Delhi, Mar 27 (KNN) The Indian electronics manufacturing landscape has undergone a dramatic transformation, with mobile phone production emerging as a cornerstone of the nation's industrial development.

From a mere two mobile manufacturing units in 2014 to over 300 today, the sector has witnessed an extraordinary evolution, driven by strategic government initiatives like the 'Make in India' program and the production-linked incentive (PLI) scheme, central government said on Wednesday.

Local mobile phone manufacturing has experienced a remarkable surge, escalating from 26 percent of domestic sales in 2014-15 to an impressive 99.2 percent by December 2024.

The manufacturing value of mobile phones has skyrocketed from Rs 18,900 crore in fiscal year 2014 to Rs 4,22,000 crore in fiscal year 2024, underscoring the sector's robust growth trajectory.

Exports have been equally compelling, with mobile phone exports rocketing from Rs 1,566 crore in 2014-15 to Rs 1.2 lakh crore in 2023-24 - a staggering 77-fold increase.

Currently, India manufactures between 325 to 330 million mobile phones annually, with approximately one billion mobile phones in active use across the country.

The semiconductor ecosystem is also gaining considerable momentum, with five landmark projects receiving approval, representing a combined investment of nearly Rs 1.52 lakh crore.

The Ministry of Electronics and IT emphasised that India's strategic policies and skilled workforce are positioning the nation as a significant global player in electronics and semiconductor industries.

Government commitment is further demonstrated through increased budget allocations. The PLI scheme's electronics sector budget has expanded from Rs 5,747 crore in the revised 2024-25 estimate to Rs 8,885 crore in 2025-26.

The export outlook is equally promising, with electronics exports projected to surpass Rs 3 lakh crore in the current fiscal year, primarily driven by smartphone exports.

Recent industry data highlights the sector's dynamism: electronics exports reached Rs 2.87 lakh crore in the first 11 months of fiscal year 2025 (April-February), representing a robust 35 percent growth compared to the same period in the previous fiscal year.

Smartphones remain the primary contributor, accounting for Rs 1.75 lakh crore in exports and marking a substantial 54 percent year-on-year increase.

As India continues to accelerate its electronics manufacturing capabilities, the nation stands on the cusp of becoming a global manufacturing powerhouse, with ambitious targets and strategic government support driving unprecedented growth in the sector.

(KNN Bureau)

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