Make in India is government’s ambitious plan to lure investors and promote India as one of the best manufacturing destination in the entire world. As part of this initiative, companies across the globe will earmark huge investments spread over various industries thus spearheading the locally made products revolution in India.
The Make in India initiative has attracted quiet a lot of manufacturers to setup its production lines in India and considering the exponential growth in the Indian smartphone market phone manufacturers are betting big on this program.
Chinese manufacturers like Xiaomi are joining the bandwagon by setting up a manufacturing unit in Andhra Pradesh. As a matter of fact, they have announced the first locally made smartphone at an event today. For those who are unaware, the first move for an India based production line was taken up by Micromax way back in 2011 and even this time around the company backed Yu has managed to manufacture Yuphoria on the Indian soil.
In the initial phases, Xiaomi might just assemble the phone in India but down the line, the Chinese manufacturer is looking to create a sustainable ecosystem and aim for maximum localisation. This move is further concreted by the fact that India will soon overtake US and become the world’s second largest market by 2017. This itself will act as a carrot at the end of the stick and the sheer volume will help manufacturers expand across India without being apprehensive about the market volume.
Japanese Electronic giant Panasonic is pegging its hopes on B2B and B2G business areas and plans to make India the global manufacturing hub by achieving a revenue target of $4.8 billion by 2018.
Foxconn, the world’s largest contract phone manufacturer has stunned everyone by promising to setup 10-12 factories in India spanning over a period of 10 years. This move will boost the local smartphone production greatly and will open up new avenues of employment for the people.
Terry Gou, founder and chairman of Foxconn has announced a investment of $5-Billion in Maharashtra. He further said that Maharashtra is a trendsetter and is also an early adapter. The company is scouting for a land between Talegaon (district close to Pune) and Mumbai and the government has already earmarked some 1,500 acres. The best part of this deal is that it will generate employment opportunities for around 50,000 people.
Growth and industrialization are always two sided while one of the most evident side speaks about the employment and the other good things it brings the other aspect calls for sustainable approach. India as a country should overcome the hurdle of providing the apt infrastructure and ease out the policies so that the corporates can function without much of a trouble. As of now it is more of an agreement and it will take time for the companies to actually start off with the production and this is a very crucial period for all the stakeholders. If you want to figure out what all of this means to the smartphone industry read our carefully curated facts about Make in India.