Ministry of Electronics and Information and Technology (MeitY) says that it has approved 16 companies under the production linked incentive (PLI) scheme (PLI) in a bid to expand phone manufacturing in India. One of the companies in the list is Foxconn, which makes Apple-designed iPhones, and it is expected that the move will lead to more iPhones being manufactured in India.
"we are optimistic and looking forward to building a strong ecosystem across the value chain and integrating with the global value chains, thereby strengthening electronics manufacturing ecosystem in the country," said Ravi Shankar Prasad, minister for electronics & IT, communications.
MeitY noted that the international mobile phone manufacturing companies that are approved under the plan are: Samsung, Foxconn Hon Hai, Rising Star, Wistron and Pegatron.
"Out of these, 3 companies namely Foxconn Hon Hai, Wistron and Pegatron are contract manufacturers for Apple iPhones. Apple (37 per cent) and Samsung (22 per cent) together account for nearly 60% of global sales revenue of mobile phones and this scheme is expected to increase their manufacturing base manifold in the country," a ministry note said.
At the same time, some Indian companies have also been included in the scheme. These are: Lava, Bhagwati (Micromax), Padget Electronics, UTL Neolyncs and Optiemus Electronics.
"Over the next 5 years, the approved companies under the PLI Scheme are expected to lead to total production of more than Rs 10,50,000 crore," said the ministry note. "The companies approved under the scheme will generate more than 2 lakh direct employment opportunities in next 5 years along with creation of additional indirect employment of nearly 3 times the direct employment."