Apple is setting ambitious goals for its iPhone production in India, eyeing a significant milestone of nearly Rs 1 lakh crore in the fiscal year ending March 2024. According to reports from media, Apple has already achieved over Rs 60,000 crore in production during the first seven months of the fiscal year, signaling a robust manufacturing capacity.
During the April to October period of the current fiscal year, Apple exported iPhones worth Rs 40,000 crore or $5 billion, surpassing the total exports of the previous fiscal. Approximately 70% of iPhones produced in India are exported, contributing to the tech giant’s rapid growth in the country.
Apple’s expansion in India includes manufacturing partners like Foxconn, Pegatron, and Wistron, operating under the production-linked incentive (PLI) scheme for smartphone manufacturing. Notably, the Tata Group recently entered the Apple supply chain by acquiring a 100% equity stake in Wistron Infocomm Manufacturing (India) Pvt Ltd.
Despite global challenges, including a consumption slowdown, Apple is gearing up for increased production to meet festive demand in the US and the West. If the company falls short of the Rs 1 lakh crore target by the end of this fiscal, it is expected to achieve this milestone in the first quarter of FY25.
Apple’s growth in India has been remarkable, with iPhones becoming the first single brand to exceed $5 billion in exports during FY23. The company has experienced a 185% YoY growth in exports in the first seven months of the current fiscal year. Market observers predict that, fueled by the growing premiumization trend in the Indian market, Apple could sell a record 9-10 million iPhones in India in 2024, compared to less than 7 million in 2023.
The increased focus on India for iPhone manufacturing aligns with Apple’s strategy to tap into the country’s vast market potential. Apple India’s year-end turnover for FY23 reached Rs 49,321 crore, contributing 1.5% to Apple’s global turnover. The company’s continued expansion and success in India underscore its commitment to the thriving smartphone market in the region.