India’s Telecom Equipment Sales Reach Rs 50,000 Crore Milestone Under PLI Scheme
New Delhi, India – Sales of telecom equipment have surpassed the Rs 50,000 crore milestone under the Production Linked Incentive (PLI) scheme. This achievement reflects the success of governmental efforts to boost domestic manufacturing and reduce import dependence, aligned with Prime Minister Narendra Modi’s vision of ‘Atmanirbhar Bharat’.
Within three years of its inception, the Telecom PLI scheme has attracted an investment of Rs 3,400 crore, with exports reaching approximately Rs 10,500 crore. This has resulted in the creation of more than 17,800 direct jobs and numerous indirect employment opportunities, showcasing the robust growth of India’s telecom manufacturing sector.
The Production Linked Incentive Scheme for Large Scale Electronic Manufacturing of Electronics, including mobile phone and component manufacturing, has significantly boosted both production and export figures. From producing 5.8 crore mobile phones and importing 21 crore units in 2014-15, India manufactured 33 crore phones domestically in 2023-24, with only 0.3 crore units imported and nearly 5 crore units exported. The value of mobile phone exports surged from Rs 1,556 crore in 2014-15 to Rs 1,28,982 crore in 2023-24.
India, historically a net importer of telecom gear, has seen a transformative shift due to initiatives like Make-in-India and the PLI scheme. The telecom equipment manufacturing sector has shown exceptional growth under the PLI scheme, with total sales exceeding Rs 50,000 crore, marking a 370 per cent increase compared to the base year of FY 2019-20. The scheme has reduced India’s reliance on imported telecom equipment by 60 per cent, enhancing national security and self-reliance in critical technologies.
Under the stewardship of the Department of Telecommunications (DoT) and Ministry of Electronics and Information Technology (MeitY), initiatives like the PLI Scheme for Telecom and Networking Products have significantly narrowed the gap between telecom imports and exports. In FY 2023-24, exports of telecom equipment and mobiles combined totaled over Rs 1.49 lakh crore, slightly below imports valued at Rs 1.53 lakh crore.
Minister of Communications and Electronics, Ashwini Vaishnaw, posted on X, “The reality of mobile phone, electronics and telecom product manufacturing is known to all except those who don’t like our country’s progress. In 2014-15, India produced only 5.8 Crore mobile phones and imported about 21 Crore mobile phones. In 2023-24, Bharat produced 33 Crore phones and exported close to 5 Crore mobile phones. Telecom equipment manufacturing was a dream for India. PLI enabled telecom manufacturing. In 2023-24, telecom equipment production topped benchmark of Rs. 45,000 Crore. Exports crossed Rs. 10,500 Crore.”
Over the past five years, the trade deficit in telecom products has decreased from Rs 68,000 crore to Rs 4,000 crore, demonstrating the PLI schemes’ success in enhancing India’s global competitiveness and attracting investments in cutting-edge technologies.
