Business

'Mobile phone production growth in India stays flat this year'

As the mobile handset manufacturing sector recovers after the Covid-19 shock, it is estimated that manufacturing for 2020-21 will equal the previous year’s production level, industry body India Cellular and Electronics Association (ICEA) has said.

Sentinel Digital Desk

NEW DELHI: As the mobile handset manufacturing sector recovers after the Covid-19 shock, it is estimated that manufacturing for 2020-21 will equal the previous year's production level, industry body India Cellular and Electronics Association (ICEA) has said.

From Rs 1.8 lakh crore production in 2018-19, mobile phone production touched Rs 2.14 lakh crore in 2019-20, ICEA said, adding that the manufacturing is projected to hit Rs 4.85 lakh crore in 2022.

"Our domestic market vis-a-vis domestic manufacturing is saturated and we have set our sights on a target of Rs 7.7 lakh crore of exports by 2025. The burgeoning domestic market is expected to touch Rs 5.6 lakh crore by 2025," ICEA Chairman Pankaj Mohindroo said in a statement.

"We are looking at a quantum jump in current domestic manufacturing from Rs 2.2 lakh crore in 2020 to Rs 13.02 lakh crore by 2025."

Covid-19 restrictions hit the manufacturing industry in the country, including the mobile handset production, especially during the lockdown period.

The situation started normalising from July with a positive impact on exports and domestic production. Demands also revived in the second half of the year.

"Export of electronic goods have nearly doubled in last three years (from $6 billion in 2017-18 to $11.21 billion in 2019-20). Mobile phone contribution in this has risen from 3.5 per cent in 2017-18 to 34 per cent in 2019-20," Mohindroo said. (IANS)