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Samsung Sets Up World’s Largest Mobile Phone Factory in India

Samsung factory at Noida, Uttar Pradesh, India

Indian Prime Minister Narendra Modi and South Korean President Moon Jae-in inaugurated the world’s largest mobile phone factory at Noida near New Delhi on July 9. The new Samsung facility, set up with an investment of about Rs 5,000 crore, will have a capacity of manufacturing 120 million phones a year, up from the current production of 67 million phones.

The new unit will boost India’s move to become a “manufacturing hub of the world,” Modi said at the event. India now ranks second in the world in the manufacture of mobile phones, with the number of factories increasing from two to 120 in about four years, creating lakhs of employment opportunities, he added.

Samsung has provided employment to about 70,000 people, and the new factory will hire 1,000 more people, NDTV reported. The new 35-acre Samsung Electronics facility at Sector 81 in Noida, Uttar Pradesh, will manufacture cell phones costing as low as less than $100 to the company’s flagship S9 model. About 10 million phones will be made a month, of which 70 percent will be used for domestic customers, the report added. The 30 per cent phones that will be exported will boost India’s position in the global market, Modi said in his address at the event.

The number of smartphone users in India is currently around 40 crore, while 32 crore people use broadband, Modi said, adding that development in the digital sector indicates that “digital revolution” has arrived in India.

Modi and Moon Jae-in travelled to Noida on the Delhi Metro, images of which were tweeted by the Indian prime minister.

Samsung, which started manufacturing television sets at its Noida plant in 1997, added the current mobile phone manufacturing unit in 2005. The firm announced its “Make for India” initiative in 2015, and a Rs 4,915 crore investment to expand the plant in June last year.

Besides its two manufacturing plants in India, at Noida and at Sriperumbudur in Tamil Nadu, the South Korean company has five R&D centers, and one design center in Noida.

The new facility will also double the production capacity of other Samsung products such as refrigerators and flat-panel televisions, India Today reported.

“Our Noida factory, the world’s largest mobile factory, is a symbol of Samsung’s strong commitment to India, and a shining example of the success of the Government’s ‘Make in India’ program. Samsung is a long-term partner of India. We ‘Make in India’, ‘Make for India’ and now, we will ‘Make for the World’. We are aligned with Government policies and will continue to seek their support to achieve our dream of making India a global export hub for mobile phones,” HC Hong, Chief Executive Officer, Samsung India, said in a statement.