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Micromax, Karbonn, and Celkon to Setup Manufacturing Plants in AP

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Government of Andra Pradesh has signed the MoU’s (Memorandum of Understanding) with three Indian smartphone manufacturers Micromax, Karbonn, and Celkon in setting up mobile manufacturing hub in the state. With an investment of more than Rs.600 crores, the three companies will be manufacturing smartphones, tablets, and featured phones at the allocated 80 acres of an electronic cluster.

The operations at this new plant will be commencing from March 2016 and with this deal there will be 7000 new jobs generated. Recently Xiaomi in partnership with Foxconn launched their first ‘Made in India’ smartphone that was manufactured at Sri City, AP.

Celkon Mobiles, one of the three manufacturers, has already set up their first manufacturing unit in Hyderabad last month. The company is also planning to establish their R&D and design centre either in Hyderabad or Bengaluru with an investment of Rs.100 crores.

Another homegrown mobile phone brand, Karbonn has earlier confirmed to invest around Rs.400 crores in setting up two manufacturing units. One of the two units has already started production in Noida, which has a capacity of producing 1.5 million units. The second plant has been established in Haryana, which is about thrice the size of Noida plant. The operations at the second plant will be starting from next month.

Apart from Indian manufacturers, the Chinese manufacturers are showing interest in Manufacturing smartphones in India. The companies like Xiaomi, Gionee, Vivo, Lenovo all had confirmed their plans to start producing devices in India rather than importing from China.

Gionee has partnered with Foxconn and Dixon Technologies to manufacture the mobile phones. The production is expected to begin in October at the Dixon Technologies Noida plant and Foxconn’s manufacturing plant in Sri City. While a lot of smartphone manufacturers are showing positive intention towards ‘Make in India’ campaign, we can see a huge growth in local manufactured devices rather than imported units in the Indian smartphone markets in the coming years.

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