Government approves proposal to export made in India mobile phones worth $100 billion

The government has reportedly cleared a USD 100 billion proposal that allows manufacturers to export smartphones made in India to other parts of the world. Smartphone brands such as Samsung, Lava, Karbonn and contract manufactures Foxconn, Wistron, Pegatron are cleared to export smartphones made in India.

A senior government official quoted that the empowered committee which includes Niti Aayog CEO, secretaries of economic affairs, expenditure, revenue, the Ministry of Electronics and Information Technology (MeitY), Department for Promotion of Industry and Internal Trade (DPIIT) and Directorate General of Foreign Trade (DGFT) has approved applications estimated to export around USD 100 billion worth mobile phones under the production linked incentive scheme (PLI) and all the applications will be placed before the cabinet probably this week.

The applicants include seven Indian and five overseas manufacturing companies, along with six applicants from the components manufacturing scheme.

According to the applications, Foxconn, Wistron, Pegatron, and Samsung have submitted production estimates worth USD 50 billion each in the next five years

The government had launched the PLI scheme to boost the manufacturing of smartphones in India and several brands and suppliers showed interest by applying for the scheme and gain benefits worth Rs 41,000 crore.

Samsung is looking to manufacture mobile phones worth Rs 3.7 lakh crore in India over the next five years. Out of this, smartphones worth USD 30 billion, or Rs 2.2 lakh crore will be produced under the PLI scheme.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.