A few years back, most phones were made outside India at popular manufacturing centers and then imported into the country for use. However, in recent years, thanks to the Made in India initiative by the government, many OEMs are making phones locally in India. Due to this, smartphone shipments of Made in India phones have increased over several quarters. Now, according to research by analyst firm Counterpoint Research, Made in India smartphone shipments have grown by 7% year-on-year (YoY) in the first quarter of 2022. Also read- Samsung Galaxy F13 with 6,000 mA battery will be launched in India on June 22
Oppo is the leader in ‘Made in India’ smartphone shipments
Smartphone shipments of devices manufactured in India grew by 7 percent, reaching over 48 million in the first quarter of 2022. Oppo is the leader in shipping most of the locally manufactured phones. Oppo, which includes both Realme and OnePlus, has managed to show a growth of 21.6 percent over the previous year. It is followed by Samsung with 21.3 percent smartphone shipment share. Also read- Samsung Galaxy S22 FE may be cancelled, know why
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“Smartphone manufacturing is on the rise in India. In 2021, shipments of ‘Made in India’ smartphones crossed 190 million units. The growing demand for smartphones in India along with the increasing exports is also the main reason for the continued growth. There has also been support from various initiatives of the Government of India to increase local manufacturing. However, manufacturing of feature phones has declined by 41 per cent year-on-year in Q1 2022 due to falling demand over the past few quarters,” said Priya Joseph of Counterpoint.
According to Counterpoint’s research, not only has there been an increase in in-house manufacturing, but third-party EMS (Electronic Manufacturing Services) manufacturing has also shown steady growth. For the unversed, the in-house manufacturing is basically the brand’s own manufacturing plant where it makes its phones, while the EMS manufacturing is done by third-party manufacturers like Bharat FIH and Dixon Technologies.
In-house manufacturing reached 58 percent in the first quarter of 2022, while in terms of market share, EMS manufacturing captured 42 percent. The smartphone shipment share by EMS manufacturers such as India FIH and Dixon Technologies rose to 11.3 per cent and 8.6 per cent, respectively.
In terms of feature phone production, it saw a 41 per cent year-on-year cut, but this is mainly due to lower demand. According to Counterpoint, the entire manufacturing ecosystem in India remained resilient despite the lack of a global component. One reason for this could be the government’s Production Lined Incentive (PTL), which encouraged local manufacturing.
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