Apple's Indian iPhone Production Tops ₹1 Lakh Crore, Boosts Government's Supply Chain Goals

Apple has made significant strides in India's manufacturing landscape, producing iPhones valued at over ₹1 lakh crore ($13 billion) in the past year. Approximately ₹65,000 crore ($8.6 billion) worth of iPhones made in India were exported between January and December, marking a substantial milestone for the tech giant.

While ₹1 lakh crore represents the FOB (freight on board) value at the factory gate, the actual market value could range between ₹1.5 lakh crore to ₹1.7 lakh crore, factoring in taxes and dealer margins across various countries.

This achievement surpasses targets set under the production-linked incentive (PLI) scheme, potentially enabling Apple's contract manufacturers to receive additional incentives. The PLI scheme is calculated based on the FOB value of the devices.

This accomplishment aligns with the Indian government's strategy to shift supply chains away from China. Apple has emerged as a prominent player in India's smartphone manufacturing sector, increasing its market share from 2% to 6% in FY23 compared to FY18.

Apple is also actively expanding its network of Indian suppliers, including a Tata Group unit, to further strengthen its presence in India while transitioning production from China. This record production comes just ahead of US trade representative Katherine Tai's visit to India for the Indo-US Trade Policy Forum.

Apple's progress in India reflects the country's growing prominence as a global manufacturing hub, contributing positively to both Apple's business and the Indian economy.