PLI scheme fuels iPhone exports, but gaps remain in manufacturing

India's PLI scheme, particularly in electronics and smartphones, has proved successful in boosting domestic manufacturing and seamlessly aligning with the country's export ambitions

In the first 10 months of 2024-25, iPhone export from India surged past Rs 1 trillion, indicating India’s production capabilities, augmenting manufacturing competitiveness, and bolstering its ascent as a global export hub for smartphones and electronics. Estimates suggest India’s iPhone production volumes could catch up with China’s over five years, with domestic manufacturing set to contribute close to 30 per cent of output by 2027. Clearly, India’s production-linked incentive (PLI) scheme, particularly in electronics and smartphones, has proved successful in boosting domestic manufacturing and seamlessly aligning with the country’s export ambitions. However, despite the laudable achievements, a closer look reveals