Export of locally made smartphones rose to record levels in 2022, contributing 20% in shipment terms, and 30% in value terms, though overall shipments of Made-in-India smartphones fell 3% on-year due to low demand, as per an industry report.Increasing exports from global majors Apple, Samsung and other smartphone brands drove locally manufactured shipments, somewhat offsetting the impact of declining demand in India, said Counterpoint Research in a report released Tuesday. In fact , iPhone exports from India grew 65% on-year by volume and 165% on-year by value, taking the brand’s share of locally made smartphones to 25% in 2022, up from 12% in 2021.“The contract manufacturing landscape is expanding with multiple EMS (electronic manufacturing services) players increasing their output. The PLI (production linked incentive) scheme is one of the major factors driving this trend,” said Prachir Singh, senior analyst, Counterpoint Research.Shipments of locally made smartphones fell 19% on-year in Q4 2022 due to local demand decline, especially in the entry-tier and mid-range segment. Dixon subsidiary, Padget Electronics, which manufactures smartphones for Motorola was the fastest growing EMS player with 70% on-year growth in 2022, in volume terms. The latter was the leading Indian EMS player for smartphones, while Lava led feature phone shipments with 29% share.“The government should focus on developing the overall ecosystem and play on India’s strengths like high local demand, developing local talent and improving overall infrastructure,” said Tarun Pathak, research director, Counterpoint Research.

Source: Economic Times March 29, 2023 04:31 UTC