Smartphones emerge as India's 4th largest exported items in FY24
What's the story
Smartphones have climbed the ranks to become India's fourth-largest export item, witnessing a substantial 42% growth and hitting $15.6 billion in FY24, as reported by Business Standard.
This remarkable surge in exports was predominantly fueled by shipments to countries including the US, the UAE, the Netherlands, and the UK.
Apple leads this export growth, projecting its outbound mobile device shipments to exceed ₹1.2 trillion in FY24, marking a 33% rise from ₹90,000 crore in FY23.
Ranking shift
Smartphones surpass petrol in export rankings
In a significant shift, smartphones have also leapfrogged petrol to secure a higher spot in India's export rankings.
However, petroleum products continue to dominate as the country's top exports.
As per the report, the United States emerged as the leading destination for smartphone exports from India, with shipments valued at $5.6 billion, marking a staggering year-on-year (YoY) increase of 158%.
Export destinations
Other top destinations for India's smartphone exports
Following the US, the UAE received $2.6 billion worth of smartphones exported from India.
The Netherlands and the UK were next in line, importing Indian smartphones valued at $1.2 billion and $1.1 billion, respectively.
The total value of smartphones made in India for both export and domestic markets in FY24, climbed to ₹4.1 lakh crore ($49.16 billion), marking a 17% increase YoY.
PLI impact
Government's PLI scheme fuels growth
The significant growth in smartphone exports is attributed to the government's successful production-linked incentive (PLI) scheme for the sector.
This scheme has catapulted India to the second position, just behind China, among the world's biggest mobile phone manufacturing countries.
The PLI scheme also plays a pivotal role in implementing the China-Plus-One strategy.
It encourages manufacturing companies, such as Apple and others in China, to shift operations to India due to geopolitical tensions between the US and China.