Foxconn to be the largest contributor to 'Make in India'

NEW DELHI: In a country, where 95% of telecom equipment is imported and a handful of Indian companies manufacturing telecom gear add up to less than five percent of the total India market requirement, it is a big news that Taiwan-based Foxconn is planning to invest $2 billion over the next 10 years to set up manufacturing facilities in India.

With the investment, the world’s largest original equipment manufacturer (OEM) will be the largest contributor to the government's 'Make in India' initiative.

The company, which manufactures mobile devices, TVs, electronic products and batteries for some of the biggest global brands including Apple, Xiaomi and Blackberry, is in talks with Gujarat-based billionaire Gautam Adani, handset maker Micromax and tech firm Snapdeal for setting up the plants.

From the time telecom manufacturing started in India in the ‘80s, till date, the scenario has hardly changed but industry observers believe that Foxconn is likely to change the facet of electronics manufacturing in India.

At the same time, the experts fear the delays in getting approvals from the government in setting up a plant. "The government has to be prompt in giving land approvals and other approvals to make 'Make in India' a real success," an expert said.

He also added that Foxconn's entry may create the whole manufacturing ecosystem, triggering other global players to join in.