India now manufactures 325 to 330 million mobile phones annually, covering almost the entire domestic demand. Mobile phone exports, which were nearly non-existent in 2014, have now crossed 1,29,000 crore in 2024.
India has emerged as the world’s second-largest mobile phone manufacturer, a testament to the success of the ‘Make in India’ initiative. Union Minister for Electronics and Information Technology, Railways, and Information & Broadcasting, Sh. Ashwini Vaishnaw, recently highlighted the remarkable transformation in India’s mobile and electronics manufacturing sector over the past decade. The country has transitioned from being heavily dependent on imports to achieving near-complete self-reliance in mobile phone production.
From Import Dependence to Manufacturing Powerhouse
In 2014, India had only two mobile manufacturing units. Fast forward to today, the country boasts over 300 operational units across the nation. This exponential growth reflects a well-planned and executed industrial strategy, emphasizing domestic production and reducing reliance on imports.
The numbers tell a compelling story:
- In 2014-15, only 26% of mobile phones sold in India were manufactured domestically.
- By 2024, a staggering 99.2% of all mobile phones sold in India are made within the country.
- The total manufacturing value has skyrocketed from ₹18,900 crore in FY14 to ₹4,22,000 crore in FY24.
- India now manufactures 325 to 330 million mobile phones annually, covering almost the entire domestic demand.
- Mobile phone exports, which were nearly non-existent in 2014, have now crossed ₹1,29,000 crore in 2024.
Job Creation and Economic Impact
The expansion of India’s mobile manufacturing industry has been a major employment generator, creating nearly 12 lakh direct and indirect jobs. These opportunities have contributed significantly to economic empowerment and social mobility, particularly in regions hosting major manufacturing units.
Moreover, the ‘Make in India’ initiative has facilitated the production of essential sub-assemblies such as:
- Chargers
- Battery packs
- Mechanics and USB cables
- Lithium-Ion Cells
- Display assemblies and camera modules
- Speakers and microphones
This focus on localized production has helped India move up the value chain, making the country less reliant on foreign imports and ensuring a more sustainable electronics manufacturing ecosystem.
Deepening the Value Chain: Semiconductor and Component Manufacturing
While India has successfully established itself as a major mobile phone manufacturing hub, the next phase of growth lies in strengthening semiconductor and fine-component production. Sh. Ashwini Vaishnaw emphasized the importance of developing a robust indigenous semiconductor manufacturing base, which India has been striving for over six decades.
Key initiatives under the India Semiconductor Mission include:
- Micron Technology’s semiconductor project
- Tata Electronics’ two projects
- CG Power’s semiconductor initiative
- Keynes’ semiconductor manufacturing project
These developments mark a strategic shift from mere assembly-based manufacturing to end-to-end electronic component production, ensuring India’s long-term self-reliance in high-tech industries.
Reversing the Trend of Industrial Restrictions (1950-1990)
Between 1950 and 1990, restrictive policies severely stifled India’s manufacturing potential. However, the ‘Make in India’ initiative is reversing this trend, pushing the nation towards deeper value chain integration. By producing more components locally and investing in semiconductor technology, India is securing its place in the global electronics ecosystem.
The Future: India as a Global Electronics Hub
The vision of Prime Minister Narendra Modi’s ‘Make in India’ program is to establish India as a global manufacturing powerhouse. The progress in mobile and electronics manufacturing is just one part of a larger economic transformation. From toys to defence equipment, electric vehicle motors to smartphones, India is reclaiming its place as a global industrial leader.
By focusing on self-reliance, boosting domestic production, and encouraging job creation, India is on a fast track to becoming one of the most influential economies of the 21st century.
The journey from import dependence to manufacturing independence in just a decade is a remarkable achievement. With continued investment in advanced technologies and infrastructure, India is well on its way to becoming a global leader in electronics and semiconductor manufacturing. The future of India’s industrial growth looks promising, and ‘Make in India’ will continue to be the driving force behind this success story.
