Indian govt. approves plan to export $100 billion worth of smartphones in the next 5 years

indian govnerment approving apple suppliter plans rect

Last month we reported that some of Apple’s biggest suppliers including Foxconn, Wistron, and Pegatron all applied for an Indian government scheme aimed to boost local smartphone production. The efforts by the companies are apart of Apple’s bigger push to deviate away from China, and into other Asian countries for its supply chain.

A little more than a month later, the Indian government has approved those applications, clearing the way for smartphone exports out of India of around $100 billion, as the Economic Times reports:

“The empowered committee has approved all applications estimated to export around $100 billion (Rs 7.3 lakh crore) worth mobile phones under the production linked incentive scheme (PLI) and all the applications will be placed before the cabinet probably this week,” a senior government official told ET.

Apple’s contract suppliers Foxconn, Wistron, Pegatron, and others in their application say they plan to export around $50 billion of smartphones out of India in 5 years. Currently, Apple produces the iPhone 11 and iPhone SE in the country and is rumored to produce locally sold iPhone 12 models next year.

All of this is a part of the PLI or Production Linked Incentive scheme, a set of policies and initiatives set forth by Prime Minster’s Narendra Modi government to boost the local economy. In May it was reported that Apple had voiced concerns to the Indian government over the schemes overly complex application process and tedious requirements. In response, the scheme was reportedly reworked to include fewer requirements and more long-term incentives for companies.

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Sami
Sami started falling in love with Apple in 2010 with the iPhone 4S. As a registered developer, he deeply admires the world of Apple. Sami is an aspiring journalist, writer, and actor. He also has devoted his life to sharing his passion and knowledge with others around the world.