![\"From](\"https:\/\/static.toiimg.com\/thumb\/msid-133612601,imgsize-666293,width-400,height-225,resizemode-4\/made-in-india-smartphone.jpg\" "\\"Smartphones")
<\/div>\n<\/div>\n<\/div>\nIn 2020 when the Production Linked Incentive (PLI) Scheme was launched as a cornerstone of the \u2018Atmanirbhar Bharat<\/a>\u2019 push, little did anyone know that smartphones would emerge as the poster boy of its success. Mobile phones assembly and manufacturing is arguably the biggest success story of the PLI scheme and now India is looking to take the next big leap in this space.With the launch of the Rs 62,500 crore Mobile Phone Manufacturing Scheme (MPMS), India is eyeing its homegrown smartphone brands – with every aspect from design, R&D to components and manufacturing taking place in the country. In fact, Electronics minister Ashwini Vaishnaw has said that by mid-2027, India expects its first strong indigenous mobile brand.Bloomberg estimates from earlier this year suggest that Apple\u2019s contract manufacturers now account for roughly three-fourths of India\u2019s smartphone exports, playing a major role in the country\u2019s emergence as one of the world\u2019s fastest-growing hubs for handset exports.Apple plans to ship most iPhones bound for the US from India by the end of the year, further strengthening India\u2019s position as the leading source of smartphones sold in the US.<\/p>\n India’s Rs 62,500 crore mobile phone push<\/p>\n<\/div>\n<\/div>\n For Prime Minister Narendra Modi, this shift represents a natural next stage for his government\u2019s Make in India programme, and this is where the new scheme holds promise.The focus is now moving beyond import substitution and domestic assembly towards a deeper integration with global supply chains, with the broader aim of positioning India as a manufacturing hub capable of competing with China.Will the MPMS push India to build its own global smartphone brands like Apple, Samsung and others? We explore the potential of the new scheme:<\/p>\n Numbers have a telling story: Smartphones became India\u2019s top exported individual commodity in FY 2025-26 overtaking even petroleum, gems and jewellery. They did not even feature in the top 100 exported commodities in 2014.India is now the world’s second-largest mobile phone manufacturer by volume, with 99.2% of phones used domestically made in India.Experts see India\u2019s PLI journey as transformational in establishing India as a global mobile phone manufacturing hub.Prachir Singh, Senior Research Analyst, Counterpoint Research says that the PLI scheme has been instrumental in establishing India as a major global hub for mobile-phone manufacturing and assembly.\u201cWhile India was already adept at assembly before, the PLI scheme helped in increasing production, not just for the local market but for high-value exports,\u201d he tells TOI.Due to the PLI, India saw the rise of local players like Dixon, which was the top manufacturer in 2025 and was a recipient of the PLI benefits in the local manufacturers category.<\/p>\n What PLI scheme achieved for mobile phones manufacturing<\/p>\n<\/div>\n<\/div>\n On the other hand, it helped in significant export volume growth, at 27% CAGR between 2021-2025 driven by global giants Apple, Samsung and Motorola.On the manufacturing end, it was led by beneficiaries of the PLI scheme which included Foxconn, TATA, Samsung and Dixon.What PLI achieved was to accelerate large scale electronics manufacturing investments and exports, helping India emerge as the world\u2019s second-largest mobile phone manufacturer by volume.In 2014-15, only 26% of mobile phones sold in India were manufactured domestically; by December 2024, that figure had risen to 99.2%. The manufacturing ecosystem has also expanded from just 2 mobile phone manufacturing units in 2014 to more than 300 units today.\u201cThe impact is particularly evident in the post-PLI period. Mobile phone production in India more than doubled from Rs 2.14 lakh crore in FY 2019-20 to Rs 5.5 lakh crore in FY 2024-25, reflecting the scale achieved through sustained investments and integration with global supply chains,\u201d notes Saurabh Agarwal, Partner, EY India.During the same period, India transitioned from primarily serving domestic demand to becoming a major export hub, with mobile phone exports increasing from Rs 1,566 crore in FY 2014-15 to Rs 1.2 lakh crore in FY 2023-24 and further to approximately Rs 2 lakh crore in FY 2024-25, making smartphones India’s largest export product category.<\/p>\n The Mobile Phone Manufacturing Scheme is now the next step in India\u2019s dream.The Rs 62,500 crore outlay over a period of five years through FY 2030-31 aims to support the development of Indian-owned brands, domestic patents, product design and R&D.The scheme promises support for scaling up of mobile phone production, with a particular focus on domestic value addition, further strengthening of supply chains, and ultimately improving India\u2019s global competitiveness.As part of the scheme, mobile phone manufacturers will get incentives ranging from 2.25% to 5% on eligible sales. There will be an additional incentive for sourcing components from domestic manufacturers. Yet another 3% incentive will be linked to product design and R&D.The government has estimated that the scheme will help take the cumulative mobile phone production to around Rs 39 lakh crore during its five year tenure.<\/p>\n What is Mobile Phone Manufacturing Scheme?<\/p>\n<\/div>\n<\/div>\n Several things are coming together to aid the new dream, but execution will hold the key to the second phase of success.MPMS comes at a time when investments under the Electronics Components Manufacturing Scheme (ECMS) are beginning to materialise.According to Saurabh Agarwal of EY India, many of the components and sub-assemblies covered under ECMS are also identified under MPMS for localisation-linked incentives.This creates a powerful policy convergence: while ECMS is supporting the creation of domestic manufacturing capacity for components, MPMS is creating a large and predictable market for those products through localisation requirements and incentives.\u201cIn that sense, MPMS is not merely a mobile phone manufacturing scheme; it is also a demand-generation mechanism that can accelerate the commercialisation of investments being made under ECMS,\u201d he says.Sohrab Bararia, Partner and Leader, Incentives Advisory, Grant Thornton Bharat cautions that execution of the new scheme is important to its success.\u201cThe bigger challenge now is moving up the value chain and capturing a greater share of manufacturing, design, and technology development,\u201d he tells TOI.What makes MPMS different is its focus on domestic sourcing, in-house R&D, and capability building. India still relies on imports for several critical components, materials, and technologies, which limits value addition within the country.\u201cIf the scheme succeeds in strengthening component manufacturing, encouraging innovation, and building local capabilities alongside assembly, it could help India evolve from an assembler of electronics to a true electronics powerhouse,\u201d he says.Prachir Singh of Counterpoint Research believes that moving from a manufacturing hub to a global electronics powerhouse will require a deeper transformation.\u201cIndia has made substantial progress in final assembly and exports, but needs to increase domestic value addition, localise components, develop semiconductor and component ecosystems, build stronger R&D and product-design capabilities,\u201d he says.The Rs 62,500 crore layout under the MPMS is likely to be a big enabler in this transformation, particularly as it links incentives to domestic sourcing of key components.<\/p>\n From Made in India to Made by India<\/p>\n<\/div>\n<\/div>\n So the big question is, will India be able to create its own world-class mobile phone brand like Apple, Samsung, or even Xiaomi?The task is easier said than done, but scope remains, and it won\u2019t happen overnight, feel experts.Sohrab Bararia of Grant Thornton Bharat tells TOI, \u201cBuilding a global brand is about much more than incentives. It takes years of innovation, product development, customer trust, marketing, and a strong ecosystem around the brand.\u201dWhat MPMS does is create some of the building blocks needed for that journey. Its focus on domestic sourcing, in-house R&D, and capability building is a step in the right direction. Over time, this can help Indian companies develop their own products, technologies, and intellectual property rather than just assemble devices.\u201cUltimately, success will depend on how the market responds. Consumers buy brands like Apple and Samsung not just because of where they are manufactured, but because of the innovation, quality, and customer experience they offer,\u201d he says.\u201cIf Indian brands can deliver on those aspects while leveraging the support provided under MPMS, the scheme could well be the first step towards creating globally recognised Indian electronics champions,\u201d he adds.Prachir Singh also thinks that creating an Indian Xiaomi, Samsung or Apple will be challenging. MPMS will support the manufacturing ecosystem, but building globally competitive Indian brands will ultimately depend on private-sector execution, he says.Saurabh Agarwal of India is more confident that the new scheme significantly improves India\u2019s chances of creating globally competitive mobile phone brands, although it should be viewed as a long-term opportunity rather than an immediate outcome.\u201cThe biggest limitation of previous incentive programmes was that they were primarily focused on scaling manufacturing. MPMS is different because it explicitly supports Indian brands, design, R&D and intellectual property creation,\u201d he tells TOI.This is important because global leaders such as Apple, Samsung and Xiaomi were built not only through manufacturing scale, but through sustained investment in technology, product development, brand-building and ownership of IP.\u201cMPMS is the first policy framework that directly targets these value drivers. India also enters this phase from a position of considerable strength. The country has already built a world-class manufacturing ecosystem. A large domestic market, deep engineering talent, a mature digital ecosystem and a growing electronics supply chain provide many of the building blocks that successful global technology brands require,\u201d he adds.What makes the opportunity particularly compelling is that India is no longer trying to create domestic brands in the absence of a manufacturing ecosystem. Unlike a decade ago, Indian companies can now leverage an established supplier base, large-scale production capabilities and access to global markets. MPMS seeks to build on this foundation by encouraging Indian firms to move beyond assembly and invest in product ownership, technology and innovation.So, will the scheme create the next Apple or Samsung overnight? Probably not. But it can create the conditions for the emergence of globally recognised Indian brands over the next decade, experts say.<\/div>\n Smartphones became India\u2019s top exported individual commodity in FY 2025-26. In 2020 when the Production Linked Incentive (PLI) Scheme was launched as a cornerstone of the \u2018Atmanirbhar Bharat\u2019 push, little did anyone know that smartphones would emerge as the poster boy of its success. Mobile phones assembly and manufacturing is arguably the biggest success story […]<\/p>\n","protected":false},"author":1,"featured_media":17901,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[31],"tags":[],"class_list":["post-17900","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-31"],"magazineBlocksPostFeaturedMedia":{"thumbnail":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","medium":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","medium_large":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","large":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","1536x1536":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","2048x2048":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","blogsy-small":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","blogsy-small-tall":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","blogsy-small-square":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","blogsy-small-masonry":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","blogsy-medium":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","blogsy-medium-masonry":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","blogsy-large":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg","blogsy-wide":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg"},"magazineBlocksPostAuthor":{"name":"admin","avatar":"https:\/\/secure.gravatar.com\/avatar\/8709732a479614e7a8aa24d3eb1b239f30dc6d90c61464ed495001e7a469d856?s=96&d=mm&r=g"},"magazineBlocksPostCommentsNumber":"0","magazineBlocksPostExcerpt":"Smartphones became India\u2019s top exported individual commodity in FY 2025-26. In 2020 when the Production Linked Incentive (PLI) Scheme was launched as a cornerstone of the \u2018Atmanirbhar Bharat\u2019 push, little did anyone know that smartphones would emerge as the poster boy of its success. Mobile phones assembly and manufacturing is arguably the biggest success story […]","magazineBlocksPostCategories":["\u0b26\u0b47\u0b36 \u0b2c\u0b3f\u0b26\u0b47\u0b36"],"magazineBlocksPostViewCount":1,"magazineBlocksPostReadTime":9,"magazine_blocks_featured_image_url":{"full":["https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg",400,225,false],"medium":["https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg",300,169,false],"thumbnail":["https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/08\/made-in-india-smartphone.jpg",150,84,false]},"magazine_blocks_author":{"display_name":"admin","author_link":"https:\/\/koshalsambada.in\/author\/admin"},"magazine_blocks_comment":0,"magazine_blocks_author_image":"https:\/\/secure.gravatar.com\/avatar\/8709732a479614e7a8aa24d3eb1b239f30dc6d90c61464ed495001e7a469d856?s=96&d=mm&r=g","magazine_blocks_category":"\u0b26\u0b47\u0b36 \u0b2c\u0b3f\u0b26\u0b47\u0b36<\/a>","_links":{"self":[{"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/posts\/17900","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=17900"}],"version-history":[{"count":0,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/posts\/17900\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/media\/17901"}],"wp:attachment":[{"href":"https:\/\/koshalsambada.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=17900"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=17900"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=17900"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}![\"MPMS\"](\"https:\/\/static.toiimg.com\/photo\/imgsize-535417,msid-133612632\/mpms.jpg\" "\\"India's")
<\/p>\nWhat PLI scheme has achieved<\/h2>\n<\/p>\n
![\"PLI](\"https:\/\/static.toiimg.com\/photo\/imgsize-537141,msid-133612645\/pli-scheme.jpg\" "\\"What")
<\/p>\nWhat has been announced now<\/h2>\n<\/p>\n
![\"What](\"https:\/\/static.toiimg.com\/photo\/imgsize-498418,msid-133612662\/what-is-mpms.jpg\" "\\"What")
<\/p>\nWill this be the next transformative step?<\/h2>\n<\/p>\n
![\"India's](\"https:\/\/static.toiimg.com\/photo\/imgsize-432639,msid-133612703\/indias-own-smartphone-brand.jpg\" "\\"From")
<\/p>\nCan India make its own Apple, Samsung?<\/h2>\n<\/p>\n
\n
Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"