Mobile manufacturing scheme may deepen Indian brands’ tech capabilities

The recently notified Rs 62,500 crore Mobile Phone Manufacturing Scheme (MPMS) could encourage Indian brands to build greater technology and intellectual property capabilities, industry executives said.

Unlike the earlier production-linked incentive (PLI) scheme, which was largely focused on manufacturing scale and exports, MPMS makes design and R&D an explicit part of the incentive structure. “We expect the Indian-brand track to enable 2-3 companies to come up in this scheme,” Pankaj Mohindroo, chairman, India Cellular and Electronics Association (ICEA), said, referring to the requirement that the brand be incorporated in India and undertake R&D and design in-house in the country.