The Union Cabinet approves a ₹62,500-crore Mobile Phone Manufacturing Scheme designed to increase domestic mobile phone production, deepen value addition, and strengthen handset supply chains. The scheme runs for five years and targets output of ₹39 lakh crore. Multiple reports say the programme also aims to support job creation, with one estimate putting the figure at 60,000 jobs.
According to the Ministry of Electronics and Information Technology (MeitY), incentives will be provided to eligible phone manufacturers based on eligible sales in India. The incentives are described as differentiated rates ranging from 2.25% to 5%, depending on eligibility criteria. Outlets also note that the scheme is structured to encourage not only manufacturing but also component sourcing and research and development (R&D).
Commentary from government officials points to broader goals of improving India’s global competitiveness in electronics and helping revive or scale Indian smartphone brands. Focus areas mentioned include technology and design, alongside value addition, as the country works to strengthen its electronics ecosystem.
