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Exports of smartphones made in India exceeded 48 million in the first quarter of 2021, according to a new report by market research firm Counterpoint Research. According to the report, exports of locally manufactured equipment increased by 7% year-on-year (YOY) during the quarter, while the production of installed phones dropped by 41% YOY.
Prachir Singh, senior research analyst at Counterpoint Research, said the growth in phones made in India was due to the growing demand for smartphones in the country, as well as an increase in exports. He said manufacturers who set up shops in the country sent more than 190 million units by 2021.
“In terms of smartphones, electronic party service providers (EMS) service providers have taken a 42% share in local production, registering YoY growth of 4% per export,” he said.
According to EMS providers in the country, India’s Foxconn arm of Taiwan, called Bharat FIH, was the largest EMS provider in India in the first quarter of 2022, according to Singh. Homegrown Dixon Technologies has followed suit in the smartphone manufacturing segment, although Lava makes the most feature-featured phones in India, with a market share of 21%.
Among the products, Oppo China released the largest number of smartphones made in India during the quarter, followed by Samsung. The two smartphone makers had a market share of 22% and 21%, respectively, in the total number of smartphones made in India shipped here.
India’s mobile phone industry has been boosted over the past two years, after the Indian government introduced a production linked incentive (PLI) for manufacturers. Under this, the government provides productive firms with 4-6% of the proceeds of promoting the sale of goods produced in India during the first year of 2019-2020.
When the program was launched in 2020, the majority of PLI applicants failed to meet the targets set last year, following a shortage of supply chain, epidemics and other obstacles. The government, too, has chosen to extend the administration of the program to 2025-26, in contrast with the previous 2024-25 deadline.
Going forward, we believe that Indian handset production will grow by 4% YoY by 2022, “Counterpoint said in its report. phones included.