Promotion Of Mobile Phone Manufacturing At Domestic Level, But Chinese Companies Dominate

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Promotion Of Mobile Phone Manufacturing At Domestic Level, But Chinese Companies Dominate
25 Aug 2022
6 min read

News Synopsis

The Prime Minister of the country, Narendra Modi has always talked about Vocal For Local to promote local companies. According to his thinking, the central government has been adopting the policy of promoting mobile phone manufacturing at the domestic level, as a result of which India has become a world power in mobile phone manufacturing. But the truth cannot be denied that the smartphone market in India is still completely unilaterally controlled by Chinese companies. Chinese smartphone companies dominate 70 percent of the market in India. In this also, only four companies, including Xiaomi, Realme, Vivo, and oppo, have a share of 66.3 percent.

The Government of India has announced several schemes to give a boost to the domestic mobile phone manufacturers. The government is considering that Indian manufacturers should be given priority in the mobile phone market of less than Rs 12,000. For this, there is talk of making rules with Chinese companies for their partnership. According to smartphone market expert NK Goyal, it will not be easy for the government to make such rules.

The government can impose incentives or promotional rules for domestic manufacturers, but cannot bar companies from a single country due to the rules of the international market. While at present, some time ago Carbon, Intex, Lava, and many other companies were working strongly in the Indian market, but due to lack of technical knowledge and lack of capital, they could not stand in front of Chinese companies and after a few years, they were removed from the market. In such a situation, it will not be easy for the government to make room for new domestic companies.

 

TWN In-Focus