76% iPhones Sold In India Are Made In India! 347% Increase In Last 3 Years
A new study has shown that as much as 76% of the iphones that have been sold in india have been made in india itself.
The manufacturing partners of Apple, Foxconn and Winston have reportedly ramped up their production to get the benefits under the PLI scheme.
76% iPhones Sold In India Are Made In India
According to a research by Counterpoint Research, the Indian market share of Made in India iPhones has increased to 76% in 2021 as compared to 17% in 2018. This research also states that iPhone exports from India increased to 5% from 0 a couple years ago.
We recently reported to you that Apple is increasing its manufacturing presence in India by ramping up hiring and investment to avail the benefits of the govt’s production-linked incentive (PLI) scheme. Foxconn and Wistron, which manufacture for Apple, have surpassed their year one (FY21) investment target of Rs 250 crore each and have also scaled up hiring. Both hired 7,500 workers each after August 2020 which is when the smartphone PLI scheme became active.
Further down the chain, Sunwoda, Foxlink, Salcomp and others provide inputs to Foxconn and Wistron. They have accelerated their hiring as well, having inducted 5,000 new people to work in manufacturing.
All these figures combined takes Apple’s network of companies and employees hired to 20,000.
Foxconn, Winstron Ramp Up Manufacturing of iPhones
Apparently, the manufacturing partners of Apple have increased their production in order to enjoy the benefits of the PLI scheme (production-linked incentive). In order to get these benefits, foreign companies must invest Rs. 250 crore and produce an incremental output of Rs. 4,000 crore in the first year. In return, they will get a 6% direct incentive as cashback.
Both the companies were unable to achieve their targets last year, but now they are well on their way to reach their target. The Made in India iPhones are already being sold in European markets.
However, the third manufacturing partner, Pegatron, has not been successful in initiating production at its Tamil-Nadu based plant because of the restrictions implemented due to the pandemic. This unit had ambitious plans of training 5000 people and installing imported machinery, but the restrictions have hampered these plans.
Reportedly, these three manufacturing companies come under the Centre’s PLI scheme and have promised to manufacture iPhones worth ?3.6 trillion in India in five years.