India Becomes Third Largest Smartphone Exporter

India has made strides in the global smartphone market and has risen from 23rd to 3rd place in smartphone exports since 2019. In November 2024, India’s smartphone exports exceeded 20,000 crore rupees in a single month. This achievement has been celebrated by officials and marks a very important moment in India’s manufacturing landscape.

Growth in Smartphone Exports

India’s smartphone exports have surged dramatically over the past few years. The increase is attributed to various factors, including government initiatives and a growing domestic manufacturing base. This growth reflects the country’s capabilities in technology and production.

Government Initiatives

The Government of India launched the Production-Linked Incentive (PLI) scheme to boost local manufacturing. This scheme aims to enhance production and export capabilities. It encourages companies to manufacture smartphones in India, thereby reducing reliance on imports.

Achievements Under PLI Scheme

Under the PLI scheme, India has set ambitious targets for smartphone exports. The goal for the financial year 2024-25 is to export 70-75% of the total production value. Achieving this target indicates the effectiveness of the PLI scheme in encouraging growth.

Impact on the Economy

The rise in smartphone exports contributes to the Indian economy. It creates job opportunities in manufacturing and allied sectors. Increased exports also improve the country’s trade balance and foreign exchange reserves.

Looking ahead, India aims to strengthen its position in the global smartphone market. Continued investment in technology and infrastructure will be crucial. The focus will remain on innovation and maintaining competitive pricing to attract more international buyers.

GKToday Notes:

1. Production-Linked Incentive (PLI): The PLI scheme promotes local manufacturing. It encourages companies to produce smartphones in India. This initiative aims to reduce import dependency and boost exports.
2. 20,000 Crore Rupees: This figure represents milestone in smartphone exports. Achieving this in one month marks India’s manufacturing capabilities. It marks a very important moment in economic growth.
3. Making Bharat Story: This term reflects India’s manufacturing success. Union Minister Ashwini Vaishnaw coined it to celebrate achievements. It signifies the country’s ambition in technology and production sectors.
4. Trade Balance: A positive trade balance indicates economic health. Increased smartphone exports enhance India’s foreign exchange reserves. This contributes to overall economic stability and growth prospects.

Month: Current Affairs - December, 2024

Category: Economy & Banking Current Affairs