You are here: Home » Current Affairs » News » National
Business Standard

Samsung plant will enhance economy, boost India-Korea ties: PM Modi

Launched in the presence of Modi and South Korean President Moon Jae-in who took the Metro to reach the facility, the plant will help Samsung India double its annual mobile production capacity

Press Trust of India  |  New Delhi 

Prime Minister Narendra Modi said on Monday the new Samsung mobile factory in Noida will further strengthen the bilateral relations between India and South Korea and enhance India's economy, adding that it will not only generate more jobs but also make India a global export hub.

Inaugurating the new facility, spread over 129,000 sq metres at Sector 81, Modi said Samsung will export 30 per cent of the handsets made at the factory to other markets.

The inauguration ceremony was also attended by Uttar Pradesh Chief Minister Yogi Adityanath and senior Samsung officials including Vice Chairman Jay Y Lee.

"India is currently second in terms of phone manufacturing. Out of 120 mobile factories, 50 are in Noida only. Altogether, over 400,000 people are working in those units and Samsung is spearheading this with a workforce of 70,000 people," Modi said.

"The new facility with give direct jobs to 1,000 people, taking the existing workforce at this plant to 6,000. The best part is that the company will export 30 per cent of the handsets made here to other markets," he said.

Launched in the presence of Modi and who took the Metro to reach the facility, the plant will help Samsung India double its annual mobile production capacity to 120 million units by 2020.

Modi said Samsung acquired an important position in the daily lives of the people of India.

"Almost every middle class Indian family is using at least one Korean product. Samsung has a distinct space in India. India is going through digital transformation and I encourage more companies from South Korea to come and invest here," Modi noted.

"Whenever I talk to business community representatives, I always mention one thing that I don't think there is a middle-class home in India where a Korean product is not found," he added.

President Moon Jae-in said the new facility will create a new era for India-Korea ties.

"I am happy to see Korean companies participating in India's digital transformation and I have full support for them," the South Korean President told the gathering.

Underlining that the new facility will boost the Centre's Make in India initiative, he said, "The development of this factory will help in speeding the Make of India which is not just part of our economic policy but also a promise of good relations with countries like South Korea. This Rs 50 bn deal will not only make Samsung's business relations with India strong but also strengthen India's ties with South Korea."

"'GeM' means Government e-Market, through this, Govt is now directly buying from producers. This is benefiting medium and small entrepreneurs. This has also brought transparency. Transactions worth Rs 410 bn have been done through BHIM app in June alone. The launch of BHIM app in other countries and RuPay cards will help in Indian empowerment as well as boost Make in India project," Modi added.

He stressed that over one crore mobile phones would be manufactured in the new Samsung facility, which will give a boost to the country's economy, adding that with the help of South Korea's technological expertise and India's manufacturing expertise, both the countries' economies would be empowered.

"Samsung is a world leader in technology today. India is using 40 crore smartphones, 32 crore people are using broadband technology. Internet data is available for cheap. Fibre network is reaching rural areas," he said.

The PM added the number of manufacturing factories in mobiles had gone up to 120 from just two since 2014.

"We are aligned with government policies and will continue to seek their support to achieve our dream of making India a global export hub for mobile phones," said HC Hong, Chief Executive Officer, Samsung India.

Earlier, South Korean President Moon, who is on a three-day visit to India, addressed at the India-Korea business forum and visited Gandhi Smriti with Prime Minister Modi.

Thereafter, the two leaders took a ride on the to visit the new Samsung facility in Noida.

The prime minister's office (PMO) tweeted a picture of the two leaders travelling on the Another picture tweeted by the PMO showed them at the

A DMRC spokesman said the leaders boarded a Metro train at Mandi House station at around 4:36 pm and travelled up to Botanical Garden station on the Blue Line.

They travelled with tokens in a normal train with passengers and there was no delay in services on the Blue Line due to their movement, the spokesperson added.

This is President Moon's first-ever state visit to India after he took over as the President last year.

"I feel proud as an Indian today. This is a great milestone in the history of Samsung India which will take our country's manufacturing abilities to newer heights," Asim Warsi, Global Vice President, Samsung India, told IANS on the sidelines of the event.

All Samsung mobile phones, including the flagship Galaxy S9, S9+ and Galaxy Note 8, are being manufactured at the Noida plant.

First Published: Mon, July 09 2018. 21:31 IST
RECOMMENDED FOR YOU