India looking at Rs 1 Lakh Crore target, says Icea.

The Indian Cellular and Electronics Association (ICEA) is on track to meet its target of exporting mobile phones worth Rs 1 lakh crore by 2023. According to ICEA Chairman Pankaj Mohindroo, in the first nine months of the current fiscal year, the organization has already exported mobile phones worth Rs 60,000 crore.

One of the major factors contributing to this success is the high percentage of ‘Made in India’ phones. The organization says only 1% of phones are imported and the remaining 99% are manufactured domestically. However, the downside of this is that it results in a gray market of Rs 10,000-12,000 crore for the top 1% of imported phones.

To address this issue, ICEA requested that unstructured obligations permeate key inputs be removed. Additionally, additional spending of Rs 10,000 crore under a special package plan for component manufacturers will extend support to the component industry.

Vietnam is a fiercely competitive country in the electronics manufacturing industry with an export value of about $130 billion and an added value of $30 billion. Vietnam also has an enviable structure with free trade agreements with almost the entire world.

Manish Sharma, Chairman of the Federation of Indian Chambers of Commerce and Industry (FICCI), also stressed the importance of focusing on the electronics industry. He said the entire electronics industry is learning lessons from the development of the mobile manufacturing industry and the approach within the next three to five years should ensure that all consumer electronics are assembled in India. He also said that the recent PLI (Production Linked Incentive) announcement has encouraged home appliance assembly in India.

Sharma also said that a larger vision is needed to consider global opportunities and that India needs a long-term vision for competitiveness. He highlighted the opportunity to create huge demand in India, noting that India consumes only 8 million air conditioners while China consumes 50 million.

In conclusion, the Indian electronics industry is making significant progress in mobile phone exports and is on track to meet its target of 10 billion worth of mobile phone exports by 2023. But you need to think on a bigger scale.

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