Team Blitz India
TECH behemoth Apple has exceeded its targets for the flagship PLI scheme in five of the six parameters the incentive scheme has laid out, Business Standard reported. A company must achieve the minimum target in four parameters every year to be eligible for productionlinked incentives. These are incremental production value, exports, investment, and the freight on board (FoB) value.
Targets surpassed
The iPhone maker’s three India vendors – Foxconn, Pegatron and Tata Electronics – have collectively surpassed these targets, the report added. The production value of iPhones assembled by the three was Rs 1,94,800 crore in 2023-24, which is 45 per cent higher than committed under the PLI scheme, the report added, quoting data given to government agencies. Apple shipped over 10 million iPhones in 2023, securing the top revenue position for the year, pipping its Korean rival Samsung, according to a report from Counterpoint Research. In 2022, Apple shipped over 6 million iPhones.
Apple accounted for 23 percent of the smartphone revenue share in 2023, surpassing Samsung’s 21 percent market share. In the previous year (2022), Samsung held the top spot with a 22 percent smartphone revenue share, while Apple had 17 percent.
Apple’s smartphone volume market share could increase to 8-10 percent by 2024 from 6 percent in 2023, according to experts. The iPhone maker’s interest in India is evident from its increasing focus on local manufacturing, the launch of its retail stores, and its growing emphasis on the large format retail (LFR) model. Apple through its vendors is expected to employ over 500,000 people in India over the next three years, according to government sources.
At present Apple’s vendors and suppliers employ over 150,000 people in India. According to two industry executives, Apple India went past the $8 billion (Rs 66,000 crore) sales milestone in February. This will be the second consecutive year in which sales at the iPhone maker have grown over 40%, they said.
PLI scheme
The PLI scheme was introduced to promote domestic manufacturing in strategic sectors of the economy. Under this scheme, eligible companies receive financial incentives based on incremental production over a specified base year.
