Mobile Exports Worth Rs 30,000 Crore In Q1, Two-Thirds Contribution By Apple Vendors Marking 400% Growth In iPhone

During the April-June quarter, the export value of mobile phones crossed the Rs 30,000-crore milestone, showcasing a growth of over 100 per cent compared to the same period last year.

Based on the Q1 trend, both the government and industry express confidence that the target of achieving exports worth Rs 1 trillion by the end of the fiscal year will be met, potentially by December itself.

In FY23, mobile phone exports exceeded Rs 90,000 crore, representing a 100 per cent increase from Rs 45,000 crore in FY22.

Typically, mobile phone sales in India and around the world experience a slowdown during July-August as consumers await the launch of new models ahead of the festival season.

However, mobile sales pick up not only in India but globally during the September-December period, which is usually the time of highest production, sales, and exports for mobile phones.

Apple's three vendors, namely Foxconn Hon Hai, Wistron, and Pegatron, contributed nearly Rs 20,000 crore, accounting for two-thirds of the total Rs 30,000-crore exports during the April-June period.

The majority of the remaining contribution came from Samsung, with the rest coming from local brands.

Exports of iPhones witnessed a remarkable 400 per cent growth in the quarter compared to the same period in the previous year.

All three Apple vendors participate in the government's smartphone production-linked incentive (PLI) scheme worth Rs 38,601 crore.

Industry estimates indicate that exports exceeded the $1 billion mark in each of the three months of Q1, with May recording the highest exports of Rs 11,800 crore in a single month during that period.

Since the launch of the PLI scheme in 2021, mobile production and exports from India have steadily increased. In the first year of the PLI scheme (FY22), mobile exports reached Rs 4,800 crore in Q1. In the second year of the PLI scheme, Q1 exports witnessed a significant 300 per cent surge to Rs 14,000 crore.

Pankaj Mohindroo, Chairman of the India Cellular and Electronics Association (ICEA), expressed pride in the impressive export growth and thanked the government for its support.

He emphasized that India's competitiveness and scale, linked to reducing input tariffs and establishing large-scale factories with working hostels, are crucial to achieving the target of $300 billion in production and $120 billion in electronics exports over the next three years.

Industry sources reveal that Apple is considering doubling and tripling its growth and investments in India in the coming years. Foxconn's factory in Chennai has emerged as the largest in the country in a single location across any sector, employing 35,000 people on the shop floor.

Together with contract manufacturers Wistron and Pegatron, Apple has generated 100,000 jobs in the past two years and is confident about doubling this number in the future.

Furthermore, this year Apple inaugurated two company-owned retail stores in Mumbai and Delhi, marking its expanding presence in India.