Taiwanese contract manufacturing major Foxconn (Hon Hai Technology India Mega Development Private Limited), which makes products for tech giant Apple, is planning to start manufacturing iPhone units by April 2024 at its Devanahalli plant in Bengaluru rural district. The Karnataka government plans to hand over the entire land by July 1, according to Karnataka heavy and medium industries minister MB Patil.
Foxconn plans to complete the construction of its plant in Devanahalli in three phases and manufacture 20 million mobile phones (two crore iPhone units) per year after the completion of three phases.
The company has already paid 30% of the cost towards the land (Rs 90 crore) to the Karnataka Industrial Areas Development Board (KIADB). The announcement was made during a visit by a team of senior executives from Foxconn led by George Chu. State IT-BT Minister Priyank Kharge was also present at the meeting.
"The new government has decided to expedite the Rs 13,600 crore project, which aims to provide employment to 50,000 people," said Patil.
A total of 300 acres in the Information Technology Investment Region (ITIR) industrial area at Doddaballapur in Devanahalli Taluk near the Bengaluru International Airport has been earmarked for the project.
"The company intends to commence manufacturing by April 1, 2024. In keeping with this timeline, the identified land will be handed over to Foxconn by July 1," said Patil.
Senior Management representatives of #Foxconn visited me to discuss the establishment of an #iPhone assembly plant at Devanahalli. We addressed project-related challenges, emphasizing the development of vital industrial infrastructure and maximizing the creation of employment… pic.twitter.com/h9vu3JPBSk— M B Patil (@MBPatil) June 1, 2023
"The company has expressed its requirement of 5 MLD of water, and the government is committed to providing the necessary infrastructure, including reliable electricity, road connectivity, and other facilities," he added.
"The government is also keen on ensuring an adequately skilled workforce for the company. Therefore, the government will focus on providing skill training to individuals to meet the skill requirements outlined by the company," said Patil.
The meeting was attended by senior government officials including additional chief Secretary Ramana Reddy, principal secretary Selvakumar and commissioner, department of industries and commerce Gunjan Krishna.
Last month, Hon Hai Precision Industry purchased a 300-acre land in the Bengaluru rural district of Karnataka for approximately Rs 300 crore ($37 million), per filings with the London Stock Exchange (LSE). The purchase was made on behalf of its subsidiary, Foxconn Hon Hai Technology India Mega Development, on May 9.
On March 20, the Karnataka government signed a Memorandum of Understanding (MoU) with Foxconn. As part of the agreement, Foxconn committed to investing Rs 8,000 crore for a mobile manufacturing unit in the state that would provide employment opportunities for 50,000 people in the state.
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