How Apple suppliers created 50,000 direct jobs in India
Apple has created around 50,000 direct jobs in India through its contract manufacturers and suppliers, such as Foxconn, Wistron, and Pegatron, since the smartphone production-linked incentive scheme (PLI), said government officials.
Additionally, Apple’s manufacturing efforts in India have also been said to create around 100,000 indirect jobs, said officials citing the job data submitted by these companies.
The government had projected that for every new direct job in the electronics manufacturing segment, three new jobs would emerge with the PIL scheme.
Under the PLI scheme, beneficiaries are required to submit the job data to the Ministry of Electronics and Information Technology (MEITY) on a quarterly basis.
PLI scheme contributes towards job creation in electronics manufacturing sector
Foxconn, Wistron, and Pegatron are the companies assembling iPhones in India. Meanwhile, Sunwoda, Avary, Foxlink, and Salcomp are component suppliers of Apple.
As per government officials, Foxconn accounts for 40 per cent of the blue-collar jobs created by three of the Apple contract manufacturers. The component suppliers have also added a few thousand jobs over the year as they expand the capacity of iPhone’s supply chain.
Tata Group, which recently partnered with Wistron and set up a 500-acre plant in Hosur to manufacture smartphone components, including iPhones, employs 10,000 staff. Government officials said that Tata plans to hire 45,000 employees in the coming 18 months. Further, Tata Group is also in talks with Wistron to begin joint manufacturing of iPhones in India.
According to government officials, the electronics sector, particularly the manufacturing sector, has seen an increase in employment opportunities in recent years due to the smartphone PLI program, which has helped to offset job losses that have occurred in other areas.
In the first year of the PLI program, in 2021, Apple exported iPhones worth approximately INR 11,000 crore (about USD 1.5 billion) from India. It is estimated that exports in 2022 will exceed INR 20,000 crore.
Experts estimate that Apple currently produces approximately 85% of the phones it sells in India locally, as opposed to importing nearly 90% from China before the implementation of the PLI scheme.
Additionally, Apple’s manufacturing efforts in India have also been said to create around 100,000 indirect jobs, said officials citing the job data submitted by these companies.
The government had projected that for every new direct job in the electronics manufacturing segment, three new jobs would emerge with the PIL scheme.
Under the PLI scheme, beneficiaries are required to submit the job data to the Ministry of Electronics and Information Technology (MEITY) on a quarterly basis.
PLI scheme contributes towards job creation in electronics manufacturing sector
Foxconn, Wistron, and Pegatron are the companies assembling iPhones in India. Meanwhile, Sunwoda, Avary, Foxlink, and Salcomp are component suppliers of Apple.
As per government officials, Foxconn accounts for 40 per cent of the blue-collar jobs created by three of the Apple contract manufacturers. The component suppliers have also added a few thousand jobs over the year as they expand the capacity of iPhone’s supply chain.
Tata Group, which recently partnered with Wistron and set up a 500-acre plant in Hosur to manufacture smartphone components, including iPhones, employs 10,000 staff. Government officials said that Tata plans to hire 45,000 employees in the coming 18 months. Further, Tata Group is also in talks with Wistron to begin joint manufacturing of iPhones in India.
According to government officials, the electronics sector, particularly the manufacturing sector, has seen an increase in employment opportunities in recent years due to the smartphone PLI program, which has helped to offset job losses that have occurred in other areas.
In the first year of the PLI program, in 2021, Apple exported iPhones worth approximately INR 11,000 crore (about USD 1.5 billion) from India. It is estimated that exports in 2022 will exceed INR 20,000 crore.
Experts estimate that Apple currently produces approximately 85% of the phones it sells in India locally, as opposed to importing nearly 90% from China before the implementation of the PLI scheme.
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