Many global companies are now making phones in India under campaigns like “Make in India” and “Digital India.”
If you are planning to set up a mobile manufacturing unit in India, this guide will help you understand:
What approvals and licenses you need
How much it costs
What compliance rules to follow
Easy-to-understand steps
Important FAQs
What Is a Mobile Manufacturing Unit?
A mobile manufacturing unit is a factory where phone parts like screens, batteries, cameras, motherboards, and plastic body covers are assembled or made. Some companies only assemble parts imported from outside India. Others create most parts locally to save cost and support the local economy.
A mobile manufacturing unit can be small, medium, or large, depending on your budget and goals.
Why Start Mobile Manufacturing in India?
Here are some big advantages:
India has a very huge mobile market
Government gives special benefits and subsidies
Skilled workers are easily available
Export opportunities to many countries
Fast-growing technology and R&D support
So, it is a smart business idea today!
Step-by-Step Guide to Set Up a Mobile Manufacturing Unit in India
Below are the 10 important steps, explained simply:
1. Market Research & Business Plan
Study which kind of phones people like: budget, gaming, camera phones, etc.
See what competitors are doing like Samsung, Xiaomi, Vivo, etc.
Create a detailed plan: cost, land, workers, machines, sales targets.
A good plan helps in taking the right decisions and getting investors.
2. Choose the Best Location
Pick an area with:
Good electricity
Transport and road access
Skilled workers
Industrial zone land
States like Uttar Pradesh, Tamil Nadu, Karnataka, and Maharashtra are popular locations for mobile manufacturing.
3. Company Registration
To start legally, register your business such as:
Private Limited Company
LLP
Partnership firm
Also apply for:
PAN
TAN
GST Registration
4. Factory Layout & Machinery
Set up different departments:
PCB Assembly Section
Packaging Unit
Battery and Camera Assembly
Testing & Quality Control Lab
Warehouse for storage
You will need machines like:
SMT Machines
Wave Soldering Machine
Laser Marking Machine
Heat Chamber
Conveyor Systems
5. Approvals & Environmental Compliance
Since electronic waste can harm nature, the government has strict rules.
Important Licenses & Approvals:
License / Approval | Purpose |
CPCB Approvals | For managing e-waste and ensuring environment safety |
Pollution NOC from State PCB | To follow air & water laws (CTE & CTO) |
Factory License | Permission to run industrial operations |
ISO Certifications (9001,14001) | For quality and safety trust |
6. Import Permissions (If Parts Come From Other Countries)
Mobiles require many electronic and plastic components like phone bodies, keypads, etc.
For importing plastic-based components, you must have:
Plastic Import License
This ensures imported plastic is safe and follows recycling guidelines.
7. Workers Hiring & Training
You need trained staff like:
Engineers
Machine operators
Quality inspectors
Packaging team
Training is important so phones do not get damaged during assembly.
8. Testing & Quality Check
Every mobile phone must be tested for:
Network
Touchscreen
Battery backup
Camera function
Heating issues
High-quality results help in getting more customers.
9. Packaging & Branding
Phones must look safe and attractive in the box. Build a strong brand that people can trust.
Examples of marketing methods:
Online selling (Amazon, Flipkart)
Offline mobile stores
Export in foreign countries
10. Sales, After-Sales & E-Waste Take-Back
Provide:
Warranty support
Service centers
E-waste collection under EPR rules
Helping customers increases your brand value.
Cost to Set Up a Mobile Manufacturing Unit in India
Category | Small Unit | Medium Unit | Large Unit |
Land & Building | ₹20–50 lakh | ₹1–2 Cr | ₹5–10 Cr |
Machinery | ₹50–80 lakh | ₹3–6 Cr | ₹10–20 Cr |
Manpower | ₹10–20 lakh / year | ₹50 lakh+ | ₹2 Cr+ |
Raw Material | ₹30 lakh+ | ₹1 Cr+ | ₹5 Cr+ |
Minimum starting cost can be around ₹1.5–2 Crore for a small assembly unit.
Government Support & Schemes
The Indian Government provides:
Subsidies
Tax benefits
PLIs (Production-Linked Incentives)
This reduces the startup cost and increases profits.
Compliance Checklist (Easy List)
Compliance | Yes/No |
GST Registration | ✔ |
Pollution Control NOC | ✔ |
CPCB Approval for E-Waste | ✔ |
BIS / WPC / TEC Certification | ✔ |
✔ | |
Import Licenses (if needed) | ✔ |
Workers Safety Rules | ✔ |
Make sure everything is updated every year.
Other Related Businesses in India
If you are interested in more industries, here are two trending examples:
Edible Oil Industry Setup
India has a very large cooking oil market (e.g., sunflower oil, mustard oil). Setting up an Edible Oil Industry setup is also a profitable manufacturing business with government support.
Plastic Industry & Import
Plastic components are used heavily in mobile phones, so many businesses get a Plastic Import License to bring safe and recyclable plastic parts for production.
Frequently Asked Questions (FAQs)
Q1: Is mobile manufacturing a profitable business in India?
Yes. Because millions of mobile users are in India and demand increases every year.
Q2: Do I need CPCB approvals for mobile manufacturing?
Yes. Because mobiles create e-waste, CPCB ensures safe recycling.
Q3: Can I start with only assembling mobile phones?
Yes! Small units usually assemble imported parts to start at low cost.
Q4: How long does it take to set up the unit?
Normally 6–12 months, depending on approvals and construction.
Q5: Do I need technical knowledge?
You can hire trained engineers and workers, but basic knowledge helps in management.
Conclusion
Starting a Mobile Manufacturing Unit in India is a great business idea today. With the right licenses, government support, proper location, and skilled workers, you can build a strong brand and even export worldwide. Just follow the rules like CPCB approvals, Plastic Import License, and quality standards to run successfully.
Technology is growing every day — and you can be a part of India’s proud manufacturing future!
Author Profile: Upendra Sharma
Upendra Sharma is a business compliance and manufacturing setup expert who writes helpful guides on environmental approvals, industrial licenses, and business setup in India. He loves simplifying complex laws so that everyone can understand and grow their business with confidence.