Apple’s India operations have seen unprecedented growth, with the company’s valuation soaring to over Rs 2 lakh crore ($23.5 billion) in FY24. This marks a significant increase from Rs 1.15 lakh crore in the previous fiscal year.
A major driver of this growth is the surge in iPhone manufacturing in India, which has rapidly positioned the country as a key hub in Apple’s global supply chain. Of the total valuation, iPhones worth approximately Rs 1.35 lakh crore ($15 billion) were exported from India in the last fiscal year, highlighting the country’s growing importance in Apple’s production strategy.
PLI Scheme Fuels Expansion
Apple’s accelerated growth in India can be largely attributed to the government’s smartphone production-linked incentive (PLI) scheme, introduced in 2020. The scheme incentivized Apple to begin manufacturing iPhones in India, marking the first time the tech giant produced its flagship product outside of China. Since then, production has steadily increased, reaching Rs 1.20 lakh crore in FY24 through Apple’s contract manufacturers—Foxconn, Wistron, and Pegatron. Tata’s acquisition of Wistron’s India facility further underscores the country’s rising prominence in Apple’s global operations.
Rising Domestic Sales and Export Success
In addition to the surge in iPhone manufacturing, Apple’s domestic sales in India also saw significant growth. In FY24, domestic sales of Apple products, including MacBooks, iMacs, iPads, Watches, and AirPods, contributed around Rs 68,000 crore ($8 billion). This represents a remarkable increase from Rs 13,756 crore in FY20, demonstrating the growing demand for Apple products in the Indian market.
Apple’s export figures are equally impressive, with 75% of the iPhones produced in India—worth nearly Rs 1.35 lakh crore—being exported to key markets such as Europe, the US, and West Asia. This export success has created over 150,000 direct jobs in India since 2021, with Foxconn’s factory alone employing 41,000 people.
Apple’s Focus on India Amid Global Shifts
As geopolitical tensions continue to reshape global supply chains, India has emerged as a crucial player in Apple’s strategy. Apple’s CEO, Tim Cook, highlighted India’s importance during his visit to the country in April 2023, where he met with Prime Minister Narendra Modi and launched the first two company-owned retail stores in Delhi and Mumbai. Cook emphasized that India is a “major focus” for Apple, underscoring the company’s commitment to expanding its presence in this rapidly growing market.
In conclusion, Apple’s rapid growth in India, fueled by iPhone manufacturing and robust domestic sales, has solidified the country’s role as a key hub in the tech giant’s global operations. With continued support from the Indian government and a focus on expanding its product offerings, Apple is poised to maintain its upward trajectory in the Indian market.
