In a big boost to the Central government’s production-linked incentive (PLI) scheme, Apple and Samsung are likely to locally manufacture smartphones worth around $5 billion, or Rs 37,000 crore, in Financial Year 2021-22.
The two companies are set to surpass the smartphone PLI targets set by the Central government by over 50 per cent.
“The global companies are expected to exceed their targets this year and we expect the numbers to keep improving each year,” a government official in the know of developments was quoted in a report by the Economic Times.
The government's target under the scheme for FY22 was close to $3.2 billion for the qualifying applicants, according to the official.
Moreover, of the given production, mobile phones worth about $2 billion will be exported from the country under the scheme in FY22.
Apple’s second largest global manufacturer Pegatron is likely to commence its manufacturing operations in India in the next few months
Samsung is the only company that will be availing the incentives under the scheme for the second year. The South Korean firm availed incentives worth Rs 900 crore in FY21.
Apple's contract manufacturers - Foxconn's Hon Hai and Wistron - will avail the incentives for the first time this year.