The Indian government is working hard to attract smartphone makers and other generic electronics makers to consolidate local production in the country. It is a move to stimulate the local economy, reduce taxes and also create local jobs in the country. In fact, this approach has worked well for Chinese manufacturers, despite ongoing tensions with the Chinese government. According to a new Counterpoint survey, “Made in India” smartphone shipments in the first quarter of 2022 increased by 7% year on year, with more than 48 million shipments. It is worth noting that Oppo currently stands as a leader in the production of smartphone “Made in India”.
According to Prachi Singh, Senior Research Analyst: “India’s smartphone industry is growing. In 2022, more than 190 million “made in India” smartphones will be shipped. Increased sales and exports are the main reasons for continuous growth. It is worth noting that there has been a decline in demand in recent quarters. Oppo has invested heavily in the Indian market and it is interesting to see the growth the company is experiencing.
“In the smartphone segment, third party EMS (Electronic Manufacturing Services) providers have a 42% share in the local manufacturing sector with a 4% increase in shipments on an annual basis. Bharat FIH is in 2022 the largest EMS provider in the first quarter, followed by Dixon Technologies. However, in-company production capacity is also increasing. This quarter, India’s market share in domestic smartphone manufacturing exceeded 58%. OPPO leads the “Made in India” smartphone market with a 22% share in shipments, followed by Samsung with 21%. However, in the area of telephone capabilities, EMS’s market share exceeded 68% in the first quarter of 2022. Among the phones with “Made in India” capability, Lava led with 21%. % market share. Among third-party EMS providers, Flex, Bharat FIH and Dixon Technologies lead the line of telephone capabilities. “
Research analyst Joseph says: “The government’s focus has always been to make India a production hub. There are many moves in this direction. The production-related Incentives for Mobile (PLI) program is an accelerator for local production.
It is worth noting that the government has PLI programs for other strategic areas. The list includes solar, automotive, semiconductor and total electron. The government believes that it is better to have a resilient economy that can withstand the current global shocks such as epidemics, war and inflation. It is interesting that the country is going to see a revolution, as 5G is about to be introduced.
Interestingly, we assume that Oppo’s production in Counterpoint research includes OnePlus and Realme. Especially Realme, which is one of the biggest selling brands in the country. The sub-brand will start manufacturing tablets and laptops in India by 2023.