Finnish phone manufacturer HMD Global, known for its Nokia brand, is setting its sights on India to become a pivotal manufacturing hub for its phone exports. The company, which initiated exports late last year with the Nokia 105 Classic, is now expanding its export portfolio from feature phones to smartphones, with plans to capitalize on India’s manufacturing capabilities and strategic market position.
Ravi Kanwar, Vice President of HMD Global for India & APAC, elaborated on the company’s strategy, emphasizing India’s potential as a manufacturing hub for exports. Kanwar highlighted that within six months of initiating exports, HMD Global shipped six million phones, primarily feature phones, paving the way for further expansion.
“Our aim is to have India as a manufacturing hub for exports. And we will also do smartphones once the products are launched across the world. Currently, we are exporting from India to Africa and the Middle East, but the scope will only expand,” stated Kanwar.
Leveraging India’s position as its largest market for mobile phones, HMD Global aims to tap into India’s feature phone market leadership while bolstering its presence in the smartphone segment. Despite facing competition, the company eyes significant market share growth, particularly following the launch of its smartphones.
Kanwar revealed that nearly 100 percent of HMD Global’s phones are manufactured in India through its EMS partners, with Dixon Technologies (India) and Lava being the largest contract manufacturers. These partners were selected based on their eligibility under the Production Linked Incentive scheme for mobile devices, making exports more attractive.
Additionally, HMD Global plans to introduce mobile devices under its ‘house of brands’ strategy, including collaborations with other consumer brands. For instance, the company aims to introduce the ‘Barbie’ feature flip phone in India through a partnership with Mattel, targeting young female professionals seeking a secondary phone for weekends.
Highlighting HMD Global’s focus on India, Kanwar emphasized the importance of 5G phones, with the company gearing up to cater to the growing demand for 5G-enabled devices in the market. While the smartphone push will primarily feature the HMD brand, Nokia will continue to maintain its presence in the feature phone segment.
