India Launches Rs 62,500-Crore Mobile Phone Manufacturing Scheme to Strengthen Domestic Brands and IP

The Ministry of Electronics and Information Technology (MeitY) has announced a landmark Mobile Phone Manufacturing Scheme (MPMS) with a budgetary allocation of Rs 62,500 crore. The scheme is designed to elevate India’s position in the global mobile manufacturing landscape by increasing scale, deepening the supply chain through higher Domestic Value Addition (DVA), and strengthening the country’s manufacturing capabilities.

Union Minister for Electronics and Information Technology, Ashwini Vaishnaw, emphasized that the MPMS will provide a significant impetus to the development of Indian-owned mobile brands, intellectual property, and design. He highlighted the government’s commitment to fostering genuine Indian ownership, ensuring that design, intellectual property, and branding are developed indigenously to compete with the best global products.

Vaishnaw further noted that the government will conduct meticulous evaluations to verify Indian ownership of intellectual property. Non-fiscal support measures will also be formulated in consultation with industry stakeholders to complement the scheme’s financial incentives.

The MPMS aims to help Indian mobile phone companies achieve technological sovereignty, capture greater economic value, and encourage the filing of Indian patents in design and research and development. Additionally, the scheme is expected to generate substantial employment opportunities within the sector.

Currently, India ranks as the world’s second-largest mobile phone manufacturer by volume, producing 99.2 percent of the mobile phones used domestically. Mobile phones have also emerged as India’s single largest exported product category in 2025, surpassing traditional leading exports.

By incentivizing higher domestic value addition and supporting innovation, the scheme seeks to deepen the mobile manufacturing supply chain within India. This will reduce dependency on imports and strengthen the ecosystem for Indian mobile brands to thrive globally.

The government’s focus on intellectual property and design underscores a strategic shift towards building indigenous technological capabilities rather than merely assembling imported components.

The MPMS is expected to catalyze the growth of Indian-owned mobile brands that can compete effectively in both domestic and international markets, thereby enhancing India’s stature as a global manufacturing hub.

The initiative aligns with broader national objectives of technological self-reliance and economic growth through manufacturing-led development.

With the launch of this scheme, India aims to consolidate its manufacturing gains and foster a vibrant ecosystem where innovation, design, and brand ownership are firmly rooted in Indian hands.

This comprehensive approach is anticipated to attract investments, spur R&D activities, and create high-value jobs, contributing to the country’s long-term industrial and economic goals.

The government’s proactive engagement with industry players in shaping non-fiscal support measures reflects a collaborative approach to policy implementation.

Overall, the Rs 62,500-crore Mobile Phone Manufacturing Scheme represents a significant step towards transforming India into a global leader in mobile technology manufacturing and innovation.