Apple’s notable increase in iPhone production in India during 2023 underscores the company’s commitment to leveraging the country as a significant manufacturing hub. The reported INR 1 Lakh Cr worth of iPhones, a substantial leap from the previous year, reflects Apple’s strategic move to diversify its production capabilities beyond its traditional manufacturing centers.
The distinction between the Freight on Board (FOB) value and the market value sheds light on the comprehensive financial picture. The FOB value, standing at INR 1 Lakh Cr, represents the cost of the product when it leaves the factory. On the other hand, the broader market value, ranging between INR 1.5 Lakh Cr to INR 1.7 Lakh Cr, encompasses additional factors such as taxes and dealer commissions, providing a more comprehensive assessment of the economic impact of Apple’s operations in India.
A significant portion of the manufactured iPhones, valued at INR 65,000 Cr, found their way to international markets as ‘Made in India’ devices. This export figure underscores not only India’s growing role in Apple’s global supply chain but also the country’s increasing importance as a source of high-quality electronic goods.
The range of iPhone models manufactured and exported from India in 2023, including the iPhone 11, iPhone 12, iPhone 13, iPhone 14, and iPhone 15, demonstrates the diversity and scale of Apple’s production operations in the country. This expansion aligns with the tech giant’s efforts to establish a robust supply chain network within India.
The official statement from The Economic Times quotes an Apple representative stating, “Apple has delivered on the promise of making India a second home for iPhone manufacturing. The company is now expanding its supply chain in the country.” This statement emphasizes not only the success of Apple’s current endeavors but also hints at future plans for further integration of India into its global manufacturing and supply chain ecosystem.
Apple’s significant investment and production in India not only contribute to the country’s economic development but also mark a strategic shift in the tech industry’s landscape, underlining India’s growing importance in the global manufacturing map.
