India's mobile phone exports jump 165-fold in a decade to ₹2.59 lakh crore: Govt
The government informed Parliament that India's mobile phone exports have risen roughly 165-fold over the past decade, from about ₹1,500 crore in 2014-15 to approximately ₹2.59 lakh crore in 2025-26
Mobile phone production over the same period grew about 33-fold, from around ₹18,000 crore to roughly ₹6.27 lakh crore
Mobile phones moved from being India's 153rd-largest export item in 2014-15 to its largest single export product by 2025-26
On memory chip manufacturing, the government stated that two companies are currently producing memory chips domestically
Production Linked Incentive (PLI) Scheme for Large Scale Electronics Manufacturing
The PLI Scheme is a Central Government incentive framework that pays eligible manufacturers a percentage of incremental sales (over a fixed base year) of goods made in India, aimed at reducing import dependence and building domestic manufacturing scale. The electronics/mobile manufacturing PLI was among the first PLI schemes approved, notified effective April 1, 2020, with incentives applicable from August 1, 2020.
Key Details
- Base year for calculating incremental sales: FY 2019-20
- Incentive structure: 4-6% on incremental sales of goods manufactured in India, over a five-year window
- Initial outlay for the Large Scale Electronics Manufacturing PLI: approximately ₹40,995 crore
- Target segments: mobile phones and specified electronic components (e.g., camera modules, chargers)
- The PLI scheme for large-scale electronics manufacturing concluded on March 31, 2026; the Union Cabinet has since approved a follow-on Mobile Phone Manufacturing Scheme (MPMS) worth roughly ₹62,500 crore as the next phase
The reported 165-fold export jump and 33-fold production jump are the headline outcomes the PLI scheme was designed to produce — incentivising scale manufacturing in India rather than assembly-only or import-dependent operations.
India Semiconductor Mission (ISM) and Memory Chip Manufacturing
The India Semiconductor Mission is a specialised body under the Digital India Corporation (Ministry of Electronics and IT) that administers fiscal support — up to 50% of project cost — for setting up semiconductor fabs, display fabs, and Assembly, Testing, Marking and Packaging (ATMP/OSAT) units in India. Memory chips (used in phones, laptops, servers) are a distinct category from logic chips and require dedicated packaging and testing infrastructure.
Key Details
- As of 2026, the Union Cabinet has approved 12 semiconductor manufacturing projects across six states under ISM, with cumulative committed investment of roughly ₹1.64 lakh crore
- A major ATMP (semiconductor assembly and test) facility in Sanand, Gujarat has commenced commercial production and shipment of memory modules — among the first made-in-India semiconductor memory products
- A separate large fabrication (fab) project is under construction at Dholera, Gujarat, targeting first silicon output by late 2026
- Union Budget 2026-27 allocated approximately ₹8,000 crore to the semiconductor mission for the year, alongside the announcement of an ISM 2.0 phase
The government's reference to "two companies currently producing memory chips" reflects the earliest tangible output of the India Semiconductor Mission — moving India from chip design and assembly-only roles toward actual memory chip production, a step that supports the broader electronics export ecosystem behind the headline export figures.
Make in India and Electronics System Design and Manufacturing (ESDM)
The Electronics System Design and Manufacturing (ESDM) sector is one of the priority sectors under the Make in India initiative (launched 2014), aimed at raising electronics' share of domestic manufacturing and exports. Government policy tools for ESDM include PLI, Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS), and the Modified Electronics Manufacturing Clusters (EMC 2.0) scheme.
Key Details
- ESDM is tracked as a distinct category in India's trade and industrial data, separate from general electronics assembly
- Government incentive schemes for ESDM operate alongside customs duty structures (phased manufacturing programme) designed to encourage local value addition over pure imports
- India's electronics exports (including but not limited to mobile phones) have been repeatedly cited by the Ministry of Commerce and Industry as a fast-growing category within overall merchandise exports
The mobile phone export data cited is a subset of the larger ESDM growth story, illustrating how sector-specific manufacturing incentives are reflected in trade statistics that UPSC frequently tests under "Effects of liberalisation on the economy" and "Industrial policy."
- Mobile phone exports: ~₹1,500 crore (2014-15) to ~₹2.59 lakh crore (2025-26) — approximately 165-fold increase
- Mobile phone production: ~₹18,000 crore (2014-15) to ~₹6.27 lakh crore (2025-26) — approximately 33-fold increase
- Mobile phones' export rank: 153rd-largest export item (2014-15) to largest export product (2025-26)
- PLI Scheme for Large Scale Electronics Manufacturing: notified effective April 1, 2020; incentive of 4-6% on incremental sales; concluded March 31, 2026
- India Semiconductor Mission: 12 projects approved across 6 states; cumulative investment ~₹1.64 lakh crore
- Union Budget 2026-27 semiconductor mission allocation: ~₹8,000 crore