Homegrown mobile phone maker Celkon has opened its first manufacturing unit in the country, in Telangana, reports IANS. The company claims that currently the unit has the capacity to manufacture 2 lakh phones per month, and that this will be increased to 5 lakh phones per month in the next quarter. The plant also has warehouses for raw materials and finished products. The company informed that about 60% of the phones manufactured at this plant will be feature phones and the remaining 40% will be smartphones.
Last month, Chinese smartphone maker OPPO revealed plans of setting up a handset manufacturing unit in India by August to primarily tend to the domestic market. The company also mentioned that some of devices manufactured here will also be exported to overseas markets. OPPO, which entered the Indian market early last year, claims to have sold over 400,000 devices in the country so far.
Earlier this month, Taiwanese electronics contract manufacturing company Foxconn informed that it will start making Xiaomi phones in Andhra Pradesh, though it’s not clear when Foxconn plans to start making Xiaomi phones at this factory. This plant is expected to be a small scale unit with a capacity to manufacture about 10,000 phones a day. Apparently, Foxconn plans to set up 10-12 manufacturing units in India, and invest about $2 billion over the next five years.
Mobile manufacturing in India
The Indian government has been encouraging domestic companies to start manufacturing electronics goods within the country instead of importing them and had approved a National Policy on Electronics. The National Manufacturing Competitiveness Council (NMCC) had also proposed the creation of a $1 billion fund to encourage telecom equipment manufacturing in India. The Cabinet had approved the setting up of two semiconductor wafer fabrication units at a cost of Rs 63,412 crore in India, in February last year. Since then, various smartphone manufacturers have said they will start manufacturing in India or have already started doing so.
– In April this year, Chinese handset maker Gionee said that it would set up a manufacturing facility in India within 2018. The company claims it will invest Rs 300 crore to set up this plant, which will manufacture devices for India, the SAARC countries and Nigeria.
– In March this year, Samsung and Sony had announced plans for setting up manufacturing bases in India as a part of the Make in India initiative. Samsung reportedly would invest as much as $500 million to $1 billion in the manufacturing unit that will produce smartphones and tablets for the company.
– Earlier this year, Spice Group had said it would invest Rs 500 crores to set up a manufacturing unit in Uttar Pradesh. The company had also signed a Memorandum of Understanding (MoU) with the Government of Uttar Pradesh for the same, as per which the UP Government will support Spice in establishing the facility by providing the necessary infrastructure, ecosystem and incentives under various schemes.
– In January, smartphone maker Samsung Electronics revealed that it had invested Rs 517 crore towards the expansion of its mobile phone plant in Noida, Uttar Pradesh, under the UP Mega Policy. Subsequently, the company had reported that it would invest as much as $500 million to $1 billion in the manufacturing unit that will produce smartphones and tablets for the company.
– Sony too wants in on the action: at the MWC in Barcelona this year, Kenichiro Hibi, the head of Sony’s India operations, said that the company was planning to launch an Indian manufacturing unit ‘very soon’. He mentioned that while final decisions have not been made yet, the company would look to manufacture both flat-panel televisions and smartphones in the country.
– In April last year, mobile phone manufacturer Micromax had also started manufacturing devices in the country at its Rudrapur plant. Previously, the company imported devices from China where it had tie-ups with manufacturers such as Foxconn.
Image credit: Celkon