Achieving Excellence with ‘Make in India’: Over 2 Billion Shipments, 98% Domestic Production, and 23% Compound Annual Growth Rate

August 15, 2023 – A Remarkable Journey: India’s Ascendance in Mobile Manufacturing

As of late, India has emerged as a frontrunner in the realm of mobile phone manufacturing, marking a transformative journey that transpired under the banner of the “Make in India” initiative. Market dynamics driven by colossal domestic demand, amplified digital literacy amongst Indian consumers, and strategic government interventions have collectively propelled India to secure its position as the world’s second-largest mobile phone producer.

The landscape was reshaped by phased manufacturing programs, indigenous production drives, production-linked incentives, and the clarion call for “Atma-Nirbhar Bharat” – India’s quest for self-reliance. These multifaceted measures, implemented over the period from 2014 to 2022, have not only bolstered the local manufacturing sector but also enriched the value chain, ensuring a more self-sufficient mobile ecosystem.

At the helm of this remarkable journey stands Tarun Pathak, the Research Director at Counterpoint Research. When the current administration assumed power in 2014, India’s domestic production share of mobile phones stood meager at 19%. Fast forward to 2022, and over 98% of mobile shipments within the Indian market proudly bear the “Made in India” mark. This monumental shift underscores the profound progress India has achieved in mobile device manufacturing.

The confluence of factors driving this monumental leap is noteworthy. India’s expansive population, coupled with the demographic dividend, fueled an insatiable demand for mobile devices. However, the narrative wasn’t limited to numbers; it also encompassed a burgeoning digital literacy among Indian consumers. The proliferation of digital technology has empowered individuals across the nation, further stimulating the need for smartphones.

Crucially, the government’s unwavering commitment played a pivotal role. Initiatives like phased manufacturing programs and production-linked incentives catalyzed the growth of local manufacturing, nurturing an ecosystem where innovation and production could flourish hand in hand. The “Atma-Nirbhar Bharat” movement echoed a call for self-sufficiency that resonated across industries, propelling India’s mobile manufacturing sector on a trajectory of self-reliance.

In retrospect, India’s journey from being a mere consumer to a formidable producer is nothing short of remarkable. This evolution, heralded by a shift from 19% local production to a staggering 98% in less than a decade, showcases the effectiveness of coordinated policy measures and market forces. The implications of this transformation reverberate through the economy, employment landscape, and technological innovation, underscoring India’s growing influence on the global stage.

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