Mobile Phone Manufacturing Scheme: ₹62,500 Crore MPMS
Why in the news
MeitY notified a new incentive scheme for mobile handsets after Cabinet approval in July 2026. It carries forward the earlier mobile PLI, but with more weight on how much of each phone is made inside India.
Key facts
- MPMS outlay: ₹62,500 crore; period: five years to 2030-31.
- Nodal ministry: MeitY; Cabinet nod on 15 July 2026.
- Main aim: raise phone output and, above all, domestic value addition (components, sub-assemblies, design and R&D).
- Special window for Indian-owned brands, with incentives for Indian design and R&D.
- The idea is to build a deeper component base instead of just putting together imported kits.
| Point | Mobile PLI | MPMS |
|---|---|---|
| Scheme | PLI for Large Scale Electronics Manufacturing | Mobile Phone Manufacturing Scheme |
| Period | April 2020 to 2025-26 | Five years to 2030-31 |
| Money | ₹40,995 crore | ₹62,500 crore |
| Emphasis | Payout of 4-6 per cent on extra sales of India-made phones | More weight on value addition, components and Indian brands |
Why it matters
- Rank: second-largest mobile phone maker worldwide. Phones are now the leading electronics export, and smartphone shipments abroad crossed USD 20 billion in 2024-25.
- Value addition is the weak spot because chips, displays and camera modules are largely imported.
- The Electronics Component Manufacturing Scheme (2025, ₹22,919 crore) targets the same gap.
- Supports Aatmanirbhar Bharat and Make in India and creates assembly jobs.
Background: mobile PLI beneficiaries
Gainers included Samsung and the contract makers for Apple (Foxconn, Pegatron, Tata Electronics), plus Dixon and Lava from India.
Exam angle
- Scheme ministry: MeitY; successor to the 2020 PLI for large-scale electronics.
- Numbers: ₹62,500 crore, five years, 2030-31, Cabinet date 15 July 2026.
- Related scheme: Electronics Component Manufacturing Scheme, ₹22,919 crore.