India's Smartphone Exports Hit Record Growth On Bumper iPhone Sales: Report

India's mobile phone exports have hit a new growth, with shipments increasing approximately 50 per cent to Rs 1.5 lakh crore during the April-January period of the current fiscal year, riding on the back of iPhone production, says a report by Times Of India (TOI). This is compared to Rs 1 lakh crore in the previous year.

Apple iPhone exports alone reached approximately Rs 1 lakh crore in the April-January period, marking a significant increase from Rs 60,000 crore the previous year. Major rival Samsung has maintained a smaller but notable presence, with exports of Rs 34,500 crore in the current fiscal year.

Apple has strategically shifted key manufacturing operations in India and the company's Indian facilities now serve as global manufacturing centres, operating in parallel with its Chinese operations. 

According to the India Cellular and Electronics Association (ICEA), the country's robust manufacturing infrastructure is expected to drive total exports to Rs 1.8 lakh crore by the fiscal year's end, surpassing last year's Rs 1.3 lakh crore. Recent commerce department data indicates that electronic goods have now surpassed oil products to become India's second-largest export category.

The Production Linked Incentive (PLI) scheme has proven transformative, not only boosting exports but also reducing imports significantly. Domestic production now fulfils nearly 99 per cent of local demand, with manufacturing projected to reach Rs 5.1 lakh crore.

Several key iPhone contract manufacturers such as Tata Electronics' Karnataka facility, formerly operated by Wistron, contributes 22 per cent of production. Pegatron's Tamil Nadu operations, now partially owned by Tata Electronics, account for 12 per cent. Samsung maintains a 20 per cent share of smartphone exports, with domestic manufacturers and merchant exporters comprising the remainder.

Notably, sector's transformation over the past decade has been remarkable. 

Smartphones have risen from India's 67th-largest export to second place, with exports showing consistent growth since the PLI scheme's introduction in April 2020.