According to industry data, India’s exports of Apple iPhones reached Rs 10,000 crore in May this year, contributing to the total smartphone exports from the country, which amounted to Rs 12,000 crore during that month. The combined smartphone exports for April and May 2023 exceeded Rs 20,000 crore, twice the amount compared to the corresponding period last year (Rs 9,066 crore), as reported by the India Cellular and Electronics Association (ICEA).
Increased iPhone Exports from India
Apple iPhone exports from India experienced a significant surge, growing almost four times to over $5 billion in fiscal year 2022-23, due to increased local production by the company. Apple accounted for 80 percent of all smartphone shipments from India, while Samsung and other local brands shared the remaining 20 percent.
Apple is actively diversifying its supply chains beyond China and expanding its presence in India, establishing it as a potential hub for premium smart devices. The company has shifted its focus towards India due to geopolitical tensions between the United States and China, as well as the Indian government’s ambitious Production-linked Incentive (PLI) scheme for smartphones.
India is now shipping smartphones to various developing countries such as the United Kingdom, Italy, France, the Middle East, Japan, Germany, and Russia.
PLI Scheme Incentivizes Apple to Increase iPhone Production from India
According to a report by Bank of America, Apple is expected to increase its global iPhone production in India from 7 percent in fiscal year 2022-23 to 18 percent by fiscal year 2024-25, thanks to India’s production-linked incentive (PLI) scheme.
The ICEA report also highlighted the growth of iPhone exports from India, which reached Rs 40,000 crore in fiscal year 2023. This growth was achieved within two years of the approval of the Rs 38,000 crore PLI scheme for mobile phones in 2020. In the financial year 2022-23, iPhone exports amounted to Rs 11,000 crore.
In September 2020, Apple Inc launched its first online store in India, and Apple CEO Tim Cook visited India in April of the current year for the inauguration of two retail stores in Mumbai and New Delhi, representing the premium smartphone brand.
