{
  "id": 3230066,
  "title": "Exports key for mobile brands to maximize Mobile Phone Manufacturing Scheme incentives: Kotak",
  "url": "https://urgent.news/2026/08/25/exports-key-for-mobile-brands-to-maximize-mobile-phone-manufacturing",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-25T08:42:15.000Z",
  "source": {
    "name": "The Economic Times - Economy",
    "slug": "the-economic-times-economy",
    "url": "https://economictimes.indiatimes.com/news/economy/foreign-trade/exports-key-for-mobile-brands-to-maximize-mobile-phone-manufacturing-scheme-incentives-kotak/articleshow/133501904.cms"
  },
  "original_language": "en",
  "account": "New Delhi [India], August 25 (ANI): According to a Kotak Institutional Equities report, exports are likely to be the primary driver for mobile phone brands aiming to exceed growth targets and maximize incentives under the recently announced Mobile Phone Manufacturing Scheme (MPMS). This is due to India's domestic smartphone market experiencing limited volume growth, while overall mobile phone production has increased largely through rising exports. The MPMS, notified by the Ministry of Electronics and Information Technology (MeitY) with a budget of Rs 62,500 crore, aims to enhance India's global competitiveness by boosting manufacturing scale, expanding the domestic supply chain via higher Domestic Value Addition (DVA), and strengthening local manufacturing capabilities. For Target Segment 1 (TS1), brands must grow sales by more than 15% annually over a moving baseline to generate sales eligible for incentives. However, with the Indian smartphone market delivering only ~1.8% volume CAGR and ~14% value CAGR during CY2022-25, driven mainly by premiumization rather than unit growth, sustaining growth above the scheme's benchmark through domestic demand alone may become increasingly challenging. In contrast, India's mobile-phone production has grown at approximately 24% CAGR over FY2021-26, primarily driven by rapid export expansion. Therefore, the report suggests that exports will be the key lever for brands to consistently surpass the TS1 baseline and maximize incentive payouts under MPMS, making the scheme more favorable for export-oriented brands and their EMS partners.",
  "summary": "New mobile phone manufacturing incentives will prioritize export growth for brands. Domestic market growth alone may not meet scheme targets. Exports are seen as the key lever for maximizing incentive payouts. The scheme aims to boost India's global manufacturing competitiveness. It also supports domestic brands in achieving technological sovereignty.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}