India’s mobile phone industry has seen a remarkable transformation over the past decade, evolving from a net importer to a global manufacturing leader. This growth not only strengthens India’s economy but also positions the country as a key player in the global electronics market.

In 2014-15, India’s mobile phone production was valued at Rs.18,900 crore. By 2023-24, this number is expected to skyrocket to Rs.4.10 lakh crore, reflecting the country’s growing manufacturing capabilities and its push towards self-reliance in the electronics sector.

A key factor in this success is the surge in exports. In 2014-15, mobile exports were valued at Rs1,556 crore, but this has grown to Rs.3.22 lakh crore over the last decade. In 2023-24 alone, exports are expected to reach Rs.1,20,000 crore, marking a 77-fold increase. This boost in exports not only improves India’s trade balance but also highlights its standing as a reliable exporter of high-quality mobile devices.

Meanwhile, mobile phone imports have drastically reduced. In 2014-15, India imported mobile phones worth Rs48,609 crore. By 2023-24, this figure is expected to drop to just Rs 7,665 crore—an 84% reduction. This shift underscores the country’s growing domestic manufacturing base and declining dependency on foreign imports.

In 2014-15, 74% of mobile phones used in India were imported. Today, over 99% of mobile phones used in India are ‘Made in India,’ showcasing the country’s journey toward self-sufficiency.

Since 2014, India has manufactured 2.5 billion mobile phones worth Rs.20 lakh crore. The number of manufacturing units has surged from just a few in 2014 to more than 200 today, making India the world’s second-largest mobile phone manufacturing nation. Producing between 325 and 330 million mobile phones annually, India is also the world’s fastest-growing mobile manufacturing market.

Government initiatives have been instrumental in this transformation. The Phased Manufacturing Programme (PMP), launched in 2017, aimed to encourage local assembly and production by increasing import duties on components. The Production Linked Incentive (PLI) scheme for electronics, introduced in the 2021-22 Union Budget, further boosted large-scale electronics manufacturing by offering incentives of 3% to 5% on incremental sales value, attracting global giants like Foxconn and Wistron to establish operations in India.

One notable success story is Samsung’s mobile production factory in Noida, one of the world’s largest. This facility is a testament to India’s growing appeal as a global manufacturing hub.

The rapid expansion of the mobile phone manufacturing sector has also spurred job creation. Between 2023 and 2028, the industry is expected to create 8 lakh new jobs. The sector is projected to be worth $126 billion (Rs10,587.82 billion) by 2025-26, further driving employment and economic growth.

India is also set to become the world’s second-largest 5G market by 2024, overtaking the United States, according to Deloitte’s 2022 report. The country is on track to reach one billion smartphone users in the near future.

Mobile phone production now accounts for 43% of India’s total electronics production, playing a critical role in the broader electronics sector. Between FY17 and FY23, the production value of electronics in India more than doubled from $48 billion to $101 billion (Rs8,487 billion), employing over 1.2 million people. This growth is largely fueled by the mobile phone industry.