Shocking! India's Mobile Exports Likely To Hit Zero

[Beast]

That doesn't make sense as Chinese stuff the micromax cell phones with excellent technology but stuff nonsense and complete crap in other electronic material that they export to India.

Simple, China export plenty of different grade of product. You pay very little money and dont expect excellent product. YOu paid more money, you get same good equality product as Europe/Japan but half or 1/3 of the price.

 

[Chanakya's_Chant]

Things have changed pretty much in the last two years...one of the visible changes brought ever since Modi administration came to power.

India has seen about 35 new smartphone factories in the past two years, with a production capacity of about 18 million devices a month, since the central government had announced a tax rationalisation for electronics products to boost local electronics manufacturing.

Overall mobile phone production capacity was about 68 million units in 2014, 100 million in 2015 and 350-400 million till July this year.

India's smartphone revolution: 35 units, 37000 jobs in 2 years

Chinese and Korean smartphone makers are increasingly looking at sourcing from India, thanks to around 12% duty slapped last year on imports. The move has prompted global contract manufacturers such as Foxconn and Wistron to make India a base, as smartphone sales are growing at a rapid pace.

India is new smartphone manufacturing hub, thanks to this duty

 

[PARIKRAMA]

Things have changed pretty much in the last two years...

India has seen about 35 new smartphone factories in the past two years, with a production capacity of about 18 million devices a month, since the central government had announced a tax rationalisation for electronics products to boost local electronics manufacturing.

Overall mobile phone production capacity was about 68 million units in 2014, 100 million in 2015 and 350-400 million till July this year.

http://www.business-standard.com/ar...ts-37-000-jobs-in-2-years-116072500005_1.html

Chinese and Korean smartphone makers are increasingly looking at sourcing from India, thanks to around 12% duty slapped last year on imports. The move has prompted global contract manufacturers such as Foxconn and Wistron to make India a base, as smartphone sales are growing at a rapid pace.
http://timesofindia.indiatimes.com/...-sourcing-from-India/articleshow/52950125.cms

Good to see you sir.. after a long hiatus..

Hope you are doing good.. Missing your quality posts..

On topic
https://defence.pk/threads/indias-m...illion-in-2015-16-prasad.436923/#post-8420436
This thread by @Rain Man will help the above data.

@waz - Sorry bro for requesting again but request you to kindly move this thread to Central and South Asia section

 

[Stephen Cohen]

Things have changed pretty much in the last two years...one of the visible changes brought ever since Modi administration came to power.

India has seen about 35 new smartphone factories in the past two years, with a production capacity of about 18 million devices a month, since the central government had announced a tax rationalisation for electronics products to boost local electronics manufacturing.

Overall mobile phone production capacity was about 68 million units in 2014, 100 million in 2015 and 350-400 million till July this year.

India's smartphone revolution: 35 units, 37000 jobs in 2 years

Chinese and Korean smartphone makers are increasingly looking at sourcing from India, thanks to around 12% duty slapped last year on imports. The move has prompted global contract manufacturers such as Foxconn and Wistron to make India a base, as smartphone sales are growing at a rapid pace.

India is new smartphone manufacturing hub, thanks to this duty

Hi ; WELCOME BACK

 

[dray]

Good to see you sir.. after a long hiatus..

Hope you are doing good.. Missing your quality posts..

On topic
https://defence.pk/threads/indias-m...illion-in-2015-16-prasad.436923/#post-8420436
This thread by @Rain Man will help the above data.

@waz - Sorry bro for requesting again but request you to kindly move this thread to Central and South Asia section

This one is the latest, I thought to start this thread, but @Itachi opened it first.

https://defence.pk/threads/indias-smartphone-revolution-35-units-37-000-jobs-in-2-years.441006/

“Production capacity has reached 350-400 million in July 2016.

 

[Kyusuibu Honbu]

Things have changed pretty much in the last two years...one of the visible changes brought ever since Modi administration came to power.

India has seen about 35 new smartphone factories in the past two years, with a production capacity of about 18 million devices a month, since the central government had announced a tax rationalisation for electronics products to boost local electronics manufacturing.

Overall mobile phone production capacity was about 68 million units in 2014, 100 million in 2015 and 350-400 million till July this year.

India's smartphone revolution: 35 units, 37000 jobs in 2 years

Chinese and Korean smartphone makers are increasingly looking at sourcing from India, thanks to around 12% duty slapped last year on imports. The move has prompted global contract manufacturers such as Foxconn and Wistron to make India a base, as smartphone sales are growing at a rapid pace.

India is new smartphone manufacturing hub, thanks to this duty

More than drop in exports, Our primary concern should self-sufficiency i.e addressing the domestic market

 

[PARIKRAMA]

This one is the latest, I thought to start this thread, but @Itachi opened it first.

https://defence.pk/threads/indias-smartphone-revolution-35-units-37-000-jobs-in-2-years.441006/

“Production capacity has reached 350-400 million in July 2016.

Dada,

Please request for merging both old and new thread and keep updating as and when news comes out.

I have personally met Lemon mobiles, Lava mobiles, Spice Mobiles and Dixon Electronics top brass.

What is to be noted that these guys are not direct importers of SKD/CKD kits from China when it comes to contract manufacturing. If you wish to have your own mobile launch, the components in SKD/CKD kits need tie up with factories from PRC or it has to be procured via a separate importer. The names i mentioned above just wish to assemble mobiles from kits.

Also if people can focus on Noida SEZ it would be great bcz most of the mobile manufacturing/ contract manufacturing biz is handled from there with lots of importers as well.

BTW Gorilla Corning glass is slowly replaced by Asahi Glass made by Asahi India (aisglass.com). Yes the same Asahi which makes Window glass and Windshields for Maruti.... This is one of the first step which i love a lot. Asahi being an Indian company helps a lot to increase Make In India % in mobile phones higher.. Its way better in terms of Cost as compared to Gorilla Cornering as well.. Its quality is also good.

I am looking forward to see if Samtel can make display panels for Mobiles.. that will give a big boost. Amoled display will help Samtel break into a new segment and make huge revenues.

 

[dray]

Shocking! India's Mobile Exports Likely To Hit Zero

By CXOtoday News Desk Dec 24, 2014

India may boast of ranking as the third among the top countries for smartphone users, behind only China and the US and is a nation where mobile phones are seeing a boom time. But a report by industry body Indian Cellular Association with the government brings out some startling facts that exports of mobile phones are estimated to crash to zero in 2015.This is indeed shocking considering the government is pushing to make India a hub for electronics manufacturing with ‘Make in India’ program.

“Mobile market grows by 32 percent or to $12 billion (roughly Rs. 76,154 crores) in 2014 but imports take over to occupy three quarters of market. Domestic productions fell by 29 percent. Exports may crash to zero in 2015,” according to the report.

Exports of mobile phone have been declining after touching a peak of Rs. 12,000 crores in 2012. The export crashed by 70 percent from Rs. 11,850 crores in 2013 to Rs. 2,450 crores in 2014 and further estimated to be nil next year in absence of corrective measures, the report said.

The report mentioned shut down of Nokia’s mobile phone plant in Tamil Nadu due to tax dispute with government during the year as a factor in decline of exports.

India’s electronic mobile market is dominated by imports and mobile phone exports provided some cushion in burgeoning trade deficit. In 2013-14, government faced trade deficit of over Rs. 49,041 crores in telecom segment.

“Export of electronics is almost negligible. The only sector which has reasonable manufacturing and export was mobile sector. In fact, during 2008-2012 production was nearly matching India’s demand by volume,” ICA told PTI.

At the same time import of mobile handsets in the country is continuously rising. In 2015, when export from India is estimated to be zero, import of mobile phones may be worth Rs. 75,750 crores. The mobile phone import has increased from Rs. 34,600 crores in 2012 to Rs. 58,550 crores in 2014.

“It is extremely unfortunate that the torch bearer of India’s IT and telecom exports has been snuffed out. We are, however, confident that with the resolve of our Prime Minister to establish India as a global manufacturing hub, this situation will be reversed,” ICA National President Pankaj Mohindroo told the news agency.

ICA suggested series of measures including 10-year tax holidays and tweaking of some other taxes to promote mobile manufacturing to achieve 25 percent share in global mobile manufacturing by 2019.

“This can translate into additional jobs creation of more than 1.3 million people to yield an annual industry turnover of Rs. 1.5- 3 lakh crores. The imports can dwindle to just 10 percent of the market as compared to over 60 percent now,” said the report.

Shocking! India's Mobile Exports Likely To Hit Zero - CXOtoday.com

I told the Indians before, those so called Micromax are just assembling Shenzhen made circuit board and parts and even the plastic are likely made in China customize according to Indian customer needs.

Consider they have to re export, their price is likely more expensive than China Xiaomi, Huawei and Lenevo one. They have zero export potential. Only Indian nationalistic people who buy it solely based on loving of their India.

They can take credit for assembling our devices if they want. As long as we are paid, I couldn't care less.


Was 'Indian innovation' Aakash 2 tablet made in China? - Economic Times


NEW DELHI/BANGALORE: The much-publicised world's cheapest tablet, Aakash 2 launched by President Pranab Mukherjee on November 11, may have been a cheap import from China, embellished with some applications from IIT Bombay, and not an Indian innovation that it was made out to be.

Documents in possession of ET show that about 12,000 devices (A13 model designed by AllWinner Tech of China) were procured by Datawind, the supplier selected by IIT-Bombay, which is implementing the Aakash project on behalf of India's ministry of human resources development. This was done just weeks before the launch date.

Let the whole world leave menufacturing to Chinese, you cant compete with them so join them.,

Shupa powa only exports high tech goods like iron ore.

And in just 1.5 years.....!!

India's smartphone revolution: 35 units, 37,000 jobs in 2 years
Overall mobile phone production was about 68 million in 2014, increased to 100 million in 2015 and 350-400 million in July 2016
Kiran Rathee | New Delhi July 25, 2016 Last Updated at 08:30 IST

India has seen about 35 new smartphone factories in the past two years, with a production capacity of about 18 million devices a month, since the central government had announced a tax rationalisation for electronics products to boost local electronics manufacturing.

The new manufacturing units have generated employment for 37,000 people and led to fivefold increase in capacity. According to an official in the electronics and information technology ministry, overall mobile phone production capacity was about 68 million units in 2014, 100 million in 2015 and 350-400 million till July this year. With India becoming a global hub for mobile phone manufacturing, the government has set a target of 500 million devices a year by 2020, riding on an incentive policy and availability of good talent.

“Production capacity has reached 350-400 million in July 2016. The government has set up a task force with a vision to produce 500 million phones by 2019-20 and create five million jobs. The aim of the initiative is to export 120 million phones,” Pankaj Mohindroo, Indian Cellular Association (ICA) founder and president, told Business Standard. He said by 2020, the industry could reach Rs 3 lakh crore.

“With the target, for which the task force is working and we have achieved initial success, manufacturing activities have gone up in the country,” Mohindroo added.

The new units that have come up include that of Foxconn with five facilities, Micromax, Lava International, Intex Technologies, Videocon, Vivo Mobile, Celkon Mobiles and Flextronics.

Electronics and Information Technology Minister Ravi Shankar Prasad has said the mobile phone production in the country has doubled on the back of reforms announced in the 2016-17 Budget. He said due to the initiatives, especially duty rationalisation, there had been a remarkable acceleration in the field of electronics manufacturing.

To boost domestic manufacturing, Finance Minister Arun Jaitley had proposed a hike in levies on components and peripherals like batteries and chargers. However, it was later rationalised after the industry said the hike in levies will hurt manufacturers as some of these parts have to be imported. The government had removed basic customs duty (10 per cent) and special additional duty (four per cent) proposed on charger, adaptor, batteries and wired headsets.

A ministry official said that apart from phones, the reforms were helping domestic manufacturers to get into other areas like medical devices, consumer electronics, broadband equipment and set-up boxes.

SEEING GROWTH

• New manufacturing units have employed 37,000 people, a fivefold increase in capacity
  
• Mobile phone production capacity was about 68 million in 2014, which has increased to 350-400 million in July 2016
  
• Govt has set a target of 500 million devices a year by 2020
  
• Govt has set up a task force with a vision to produce 500 million phones by 2019-20 and create 5 million jobs
  
• The aim of the initiative is to export 120 million phones

http://www.business-standard.com/ar...ts-37-000-jobs-in-2-years-116072500005_1.html

 

[Local_Legend]

Yawn ... First of all .. We Indians upgrade their mobile time to time no matter which country is manufacturing it. Seriously , does India got time to manufacture them when the mobile shops are busy to sell phones and make profits bigger than the manufacturer ? Isn't it the sensible business ?

 

[boxer_B]

And in just 1.5 years.....!!

Chinese prophecy, like their products, farted loud before failure.

Apple might shift their manufacturing unit to India. Big factor is their judiciary, which works more on jingoism and nationalism, unlike arbitration court, rather than facts in claiming IP rights.

 

[itachii]

Recent developments in mobile production front..

Zopo to set up Rs 100 crore manufacturing unit in India by December

http://economictimes.indiatimes.com...ofinterest&utm_medium=text&utm_campaign=cppst


Karbonn Mobiles Sets Up New Manufacturing Unit In Bawal

http://www.siliconindia.com/news/bu...facturing-Unit-In-Bawal-nid-197133-cid-3.html

 

[Bussard Ramjet]

China didn't invent or built anything on their own, some years back they just opened up their country and cheap labour force to foreign companies with all kinds of incentives like tax benefits, SEZs, etc. Foreign companies flocked to China for cheap manufacturing and the Chinese learned to assemble things. Now manufacturing costs have gone up in China and these foreign companies are repeating the same cycle of finding cheaper manufacturing destinations. With no USP other than cheaper price; these Chinese companies will not survive outside China for long. You will see a lot of Chinese bubbles bursting in next one decade.

You will have a rude awakening in one decade then.

No doubt a lot of what you say is true regarding transfer of manufacturing to China. But China has been particularly successful at both technology transfers, and technology creations. There are some really world class technology companies from China like Huawei and DJI which lead their respective fields in technology.

Chinese prophecy, like their products, farted loud before failure.

Apple might shift their manufacturing unit to India. Big factor is their judiciary, which works more on jingoism and nationalism, unlike arbitration court, rather than facts in claiming IP rights.

The second part is also wrong. While no doubt Chinese courts seems to have a soft spot for Chinese companies, Chinese courts for IPs are very professional, and enforce foreign valid IPs. (There are separate IP courts in China for IP cases)

I told the Indians before, those so called Micromax are just assembling Shenzhen made circuit board and parts and even the plastic are likely made in China customize according to Indian customer needs.

Consider they have to re export, their price is likely more expensive than China Xiaomi, Huawei and Lenevo one. They have zero export potential. Only Indian nationalistic people who buy it solely based on loving of their India.

We have to start somewhere right?

China also started by assembly.

I have personally seen Micromax and Karbonn's development cycle.
First, they bought completed mobile sets in China, (of brands who didn't have contacts and supply chain in India) and resold them.

Then, they started getting OEMs in China to custom make and design sets for them.

Then, they employed a team of experts in China to design for their further customizations, and manufactured in China.

Then, they started employing both local and Chinese hardware experts, and started their own local software development centres.

Then, they started importing the whole sets, and started assembly in India.

Now, they are looking to manufacturing some components like plastic and metallic cases in India.

This is the way one progresses in manufacturing.

 

[dray]

You will have a rude awakening in one decade then.

No doubt a lot of what you say is true regarding transfer of manufacturing to China. But China has been particularly successful at both technology transfers, and technology creations. There are some really world class technology companies from China like Huawei and DJI which lead their respective fields in technology.



The second part is also wrong. While no doubt Chinese courts seems to have a soft spot for Chinese companies, Chinese courts for IPs are very professional, and enforce foreign valid IPs. (There are separate IP courts in China for IP cases)

We will see.

By the way, you are probably the first person on this planet who is praising China's Patent & copyright handling, even Chinese don't dare do that.

 

[Bussard Ramjet]

We will see.

By the way, you are probably the first person on this planet who is praising China's Patent & copyright handling, even Chinese don't dare do that.

I am not praising it. I am merely dismissing blanket criticism.

And you are wrong. Experienced lawyers do dismiss criticisms of Chinese patent systems that may hold.

Like:

http://www.wsj.com/articles/stronger-chinese-patent-laws-also-help-u-s-companies-1468994404

http://www.managingip.com/Article/3...preme-Court-reforms-patent-lawsuit-rules.html

http://www.chinalawblog.com/2016/06...rotect-valuable-inventions-hold-on-there.html

The last one is specially good.

I follow them regularly, and if you read China Law Blog you will find that they are extremely critical of China in many instances. This is a professional agency that practices law in China, and advises clients/businesses on China dealings. And they are a western firm.

From the piece:

Though it’s generally true that China’s courts (and the courts of many other countries) can be subject to political influence, at least in my experience, in 95%, maybe 99% of cases this will not be an issue for anyone attempting to enforce patent rights in mainland China. If this were truly a common factor, one would expect China court decisions to show a bias against foreign litigants, but studies have failed to find any such bias. Yes, it is possible for low-level patent infringers to simply abscond, avoid paying damages, and set up elsewhere — I would say this is especially an issue for trademark infringement — but this is rarely an issue for the much larger companies that are typically the subject of patent infringement cases. Though it’s difficult to make hard-and-fast judgements about which countries are better at enforcing IP rights, I have not found any major difference between Taiwan and mainland China in this regard. If Taiwan is better, it is not overwhelmingly so.

More than drop in exports, Our primary concern should self-sufficiency i.e addressing the domestic market

Absolutely.

It helps in two ways:

It allows us to develop our strengths in careful nurturance of our home market.
It decreases imports effectively cutting down CAD.

 

[dray]

I am not praising it. I am merely dismissing blanket criticism.

And you are wrong. Experienced lawyers do dismiss criticisms of Chinese patent systems that may hold.

Like:

http://www.wsj.com/articles/stronger-chinese-patent-laws-also-help-u-s-companies-1468994404

http://www.managingip.com/Article/3...preme-Court-reforms-patent-lawsuit-rules.html

http://www.chinalawblog.com/2016/06...rotect-valuable-inventions-hold-on-there.html

The last one is specially good.

I follow them regularly, and if you read China Law Blog you will find that they are extremely critical of China in many instances. This is a professional agency that practices law in China, and advises clients/businesses on China dealings. And they are a western firm.

From the piece:

Though it’s generally true that China’s courts (and the courts of many other countries) can be subject to political influence, at least in my experience, in 95%, maybe 99% of cases this will not be an issue for anyone attempting to enforce patent rights in mainland China. If this were truly a common factor, one would expect China court decisions to show a bias against foreign litigants, but studies have failed to find any such bias. Yes, it is possible for low-level patent infringers to simply abscond, avoid paying damages, and set up elsewhere — I would say this is especially an issue for trademark infringement — but this is rarely an issue for the much larger companies that are typically the subject of patent infringement cases. Though it’s difficult to make hard-and-fast judgements about which countries are better at enforcing IP rights, I have not found any major difference between Taiwan and mainland China in this regard. If Taiwan is better, it is not overwhelmingly so.

I know you, you are mostly active in Chinese section, and there once you take a position in a debate, you make it your life's goal to prove it and win it....uh..well.....against the wishes of a dozen or two Chinese members. So I am not getting into this.