Business
India's Mobile Manufacturing Set To Surge To $50 Billion In FY24; Exports, Driven By Apple, To Reach $15 Billion
Smartphones being assembled in Noida (Representative Image) (Udit Kulshrestha/Bloomberg via Getty Images)
Union Electronics and IT Minister Ashwini Vaishnaw announced on Thursday (7 December) that mobile phone production worth $50 billion will take place in India in the current financial year year.
He further stated that exports from this sector are projected to hit $15 billion.
Vaishnaw also emphasised that the nation's total exports are on the verge of reaching $1 trillion in the near future.
During a press conference, the minister said mobile phones have now become the fourth largest export category from India.
"In the next year or two, you will see that mobile phone and electronics exports have reached the top 2 or top 3 positions in the export list," he said.
At present, the top five consist of processed petroleum, diamonds, iron, steel, and pharmaceuticals.
Since October 2022, India has been logging over $1 billion in smartphone exports.
According to the Commerce Department data, in the first half of the 2023-24 fiscal year, smartphone exports reached $6.53 billion. This is in comparison to the $10.95 billion in exports for the entire 2022-23 fiscal year. It should be noted that there is a two-month delay in the data.
A large chunk of smartphone exports is tied to the performance of one company- Apple India - which accounts for 62 per cent of all smartphone exports.
During the April-October period of FY24, the tech giant exported iPhones valued at $5 billion through its three Indian vendors.
Overall, the country's electronic exports stood at $15.77 billion in FY24. In the previous year, this was $28 billion.
Vaishnaw said that the rapid increase in smartphone exports illustrates the swift diversification of India's export basket.
He asserted that the government's 'Make in India' initiative has undoubtedly become a success.
"The country's economy is at a major inflection point. India has reached a point, where we are getting ready to do $1 trillion worth of exports very soon," he said, Business Standard reported.
In the fiscal year 2023, India reported total exports amounting to $775.7 billion. This figure comprised of merchandise exports valued at $450.4 billion and services accounting for $325.4 billion.
Support Swarajya's 50 Ground Reports Project & Sponsor A Story
Every general election Swarajya does a 50 ground reports project.
Aimed only at serious readers and those who appreciate the nuances of political undercurrents, the project provides a sense of India's electoral landscape. As you know, these reports are produced after considerable investment of travel, time and effort on the ground.
This time too we've kicked off the project in style and have covered over 30 constituencies already. If you're someone who appreciates such work and have enjoyed our coverage please consider sponsoring a ground report for just Rs 2999 to Rs 19,999 - it goes a long way in helping us produce more quality reportage.
You can also back this project by becoming a subscriber for as little as Rs 999 - so do click on this links and choose a plan that suits you and back us.
Click below to contribute.
Latest
