India Imported $13 Bn Worth Mobile Components In 2018: Report
With the ‘Make in India’ plan for mobile phone manufacturing revolving only around assembling, India had to import $13 billion worth of mobile components in 2018, Counterpoint Research said on Monday.
According to Tarun Pathak, Associate Director at Counterpoint Research, not many high-value components are being sourced from India.
“As a result, local value addition in India was at 17 per cent during 2018. This helped the country save $2.5 billion in forex but increased assembly operations in India led to imports of mobile phone components going up to $13 billion,” he added in a statement.
The Ministry of Electronics and Information Technology’s Phased Manufacturing Programme (PMP) is running behind schedule as the implementation of customs duties under Phase III, which targets Display Assembly, Touch Panel/Cover Glass Assembly and Vibrator/Motor Ringer has been delayed, said the report.
According to Pathak, the possibility of original equipment manufacturers (OEMs), like Reliance Jio and several Chinese brands, to source chips locally is still nearly four to five years away.
“Sourcing of chips locally will happen only once the component ecosystem for low-value components is strengthened and export incentives are brought into force,” he added.
Reliance Jio was still catching up on the PMP and imported 40 per cent of Jio Phones in 2018.
Source :- Odishatv.in