In an astonishing economic pivot, India’s mobile phone exports have skyrocketed from negligible levels in 2017 to a commanding USD 20.5 billion in 2024, placing the country as the third-largest mobile phone exporter globally. This dramatic transformation—from being import-reliant to a net exporter—forms the crux of a new in-depth study by the Centre for Development Studies (CDS).
Led by Professor C. Veeramani, Director of CDS and RBI Chair Professor, the study offers a comprehensive narrative on India’s mobile manufacturing journey that began its uptick around 2017 and accelerated sharply with the rollout of the Production Linked Incentive (PLI) scheme in 2020.
“India’s success mirrors that of East Asian economies—achieving scale first, followed by value addition. Mobile phone manufacturing has become a blueprint India can replicate across its electronics sector,” said Prof. Veeramani.
Mobile Phone Exports: From Import Dependence to Export Powerhouse
In 2014-15, India heavily depended on mobile phone imports to meet its domestic demand. By 2024-25, the country is clocking mobile phone exports worth USD 24.1 billion—a mind-boggling increase of over 11,950% from the USD 0.2 billion recorded in 2017-18.
Describing this as a “structural shift” in India’s manufacturing narrative, the CDS report notes a rare phenomenon among developing economies: exports now exceed domestic consumption in this sector.
“Since 2018-19, India has consistently registered a net positive export trend in mobile phones,” the study affirms, signaling an inflection point in the country’s industrial trajectory.
Domestic Value Addition Gains Momentum
One of the standout metrics in the report is the surge in Domestic Value Addition (DVA)—a key measure of how much of the production process remains within India.
According to the findings:
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Total DVA stood at 23% of production value in 2022-23, crossing the USD 10 billion mark.
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Direct DVA grew from USD 1.2 billion (2016-19) to USD 4.6 billion (2019-23)—a 283% jump.
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Indirect DVA, which includes component supply chains and allied services, surged by 604%, from USD 470 million to USD 3.3 billion.
These insights were sourced from a blend of the Annual Survey of Industries (ASI), the Ministry of Commerce’s trade data, and contributions from industry players.
Mobile Phone Exports: Jobs and Wage Growth on the Rise
The ripple effects of this export-led boom are visible in India’s labor market. The mobile phone sector now supports over 17 lakh jobs as of 2022-23, spanning both direct and indirect employment.
Export-linked employment has grown by over 33 times during the last few years, according to ASI data. More importantly, wages in export-driven roles have seen a significant uplift, underscoring the inclusive impact of India’s global integration.
Policy Vision and Industry Affirmation
The CDS study has drawn praise from industry stakeholders. Pankaj Mohindroo, Chairman of the India Cellular & Electronics Association (ICEA), welcomed the findings.
“This report confirms what ICEA has long advocated—that smart integration into global value chains is crucial to scaling exports, boosting domestic value, and generating employment. India’s participation in backward-linked GVCs is delivering real and measurable gains.”
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