India’s mobile manufacturing sector has witnessed an extraordinary transformation over the past decade, driven by the government’s Production Linked Incentive (PLI) Scheme and other policy reforms. Mobile phone exports from India surged from ₹1,500 crore in 2014-15 to ₹2 lakh crore in 2024-25, marking a 127-fold increase. Similarly, mobile phone production grew from ₹18,000 crore to ₹5.45 lakh crore in the same period- an unprecedented 28-fold rise.
These figures were presented in the Lok Sabha by Union Minister of State for Electronics and Information Technology, Jitin Prasada. He highlighted the cumulative impact of targeted policy interventions such as the National Policy on Electronics (NPE) 2019 and various PLI schemes which have established a robust electronics manufacturing ecosystem in the country.
India is now the second-largest mobile phone manufacturer in the world, a shift made possible by the PLI Scheme for Large Scale Electronics Manufacturing (LSEM), which has successfully transformed India from a net importer to a net exporter of mobile phones. The production of electronics goods in India increased from ₹1.9 lakh crore in 2014-15 to ₹11.3 lakh crore in 2024-25. Electronics exports also rose eightfold, from ₹38,000 crore to ₹3.27 lakh crore.
The number of mobile manufacturing units in the country expanded from just 2 in 2014-15 to over 300 by 2024-25. Imports of mobile phones, which previously made up 75% of domestic demand, now constitute just 0.02%.
The PLI Scheme for LSEM has attracted a cumulative investment of ₹12,390 crore, leading to total production worth ₹8,44,752 crore and exports valued at ₹4,65,809 crore as of June 2025. This has generated over 1.3 lakh direct jobs in the sector.
Similarly, the PLI Scheme 2.0 for IT Hardware has brought in ₹717.13 crore in investments, resulting in production worth ₹12,195.84 crore and the creation of over 5,000 direct jobs.
In addition to PLI, other initiatives such as the Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS), Electronics Manufacturing Clusters (EMC and EMC 2.0), and Public Procurement (Preference to Make in India) Order 2017 have further supported the sector’s growth. Tax reforms, including tariff rationalization and exemptions on basic customs duty for capital goods, along with allowing 100% FDI in electronics manufacturing, have also played a key role.
According to industry estimates, value addition in electronics manufacturing in India now ranges between 18% and 20% across various products. In the last five years alone, the electronics manufacturing sector has received USD 4,071 million in foreign direct investment, with USD 2,802 million coming from MeitY PLI beneficiaries.