Micromax’s manufacturing arm, Bhagwati Products Ltd, is making a bold move to scale up its electronics manufacturing footprint in India with the announcement of two new mega factories in Greater Noida. Co-founder Rahul Sharma confirmed that the expansion is part of a sweeping strategy to deepen India’s role in the global electronics supply chain, including upcoming joint ventures with leading Chinese component manufacturers.
The new facilities will not only assemble smartphones, tablets, servers, and IoT devices but also manufacture critical electronics components such as displays and mechanical parts. This marks a significant shift for Bhagwati—from being a contract manufacturer to becoming a vertically integrated electronics powerhouse.
🧭 Timeline of Bhagwati’s Expansion Strategy
| Date | Milestone Event | Strategic Impact |
|---|---|---|
| Q1 FY25 | Vivo factory takeover completed | Capacity expanded from 1M to 4.5M units |
| August 2025 | Announcement of two new factories | Largest electronics factory in India planned |
| Q1 FY26 | First new factory operational | Focus on mobiles, tablets, IoT |
| Q2 FY26 | Component JV announcements expected | Display and mechanics manufacturing |
| FY26 End | 25M unit production target | Export hub status for smartphones and tablets |
Bhagwati’s aggressive expansion is being funded through internal accruals, with no external capital raised so far.
📊 Bhagwati Products: Current and Projected Capacity
| Facility Location | Current Capacity (Units/Month) | Planned Capacity (Units/Month) | Key Products |
|---|---|---|---|
| Existing Vivo Plant | 2 million | 4.5 million | Smartphones, tablets |
| New Factory 1 (Mobiles) | Under construction | 1.5 million | Mobiles, tablets, IoT devices |
| New Factory 2 (Components) | Planning phase | TBD | Displays, mechanics, servers |
| Total by FY26 End | 6.5 million+ | 25 million (annualized) | Smartphones, wearables, storage |
The third factory, according to Sharma, could become the largest electronics manufacturing facility in India once operational.
🔍 Strategic Partnerships and Chinese JVs
Bhagwati is partnering with Huaqin, one of China’s top three original design manufacturers (ODMs), to build a robust export-oriented manufacturing ecosystem. The company is also in talks with multiple Chinese component makers to set up joint ventures in India, pending Press Note 3 approvals.
| Partner Type | Company Name (Expected) | JV Focus Area | Status |
|---|---|---|---|
| ODM Partner | Huaqin | Smartphones, tablets, wearables | Active partnership |
| Component JV 1 | Undisclosed Chinese firm | Display manufacturing | Approval pending |
| Component JV 2 | Undisclosed Chinese firm | Mechanics and server parts | Investment plan to be announced |
Sharma emphasized that India cannot ignore China’s dominance in the global electronics supply chain and must collaborate strategically to build domestic capabilities.
📉 Financial Growth and Export Ambitions
Bhagwati Products is on track to more than double its revenue in FY26, targeting ₹15,000 crore compared to ₹6,200 crore in FY25. A significant portion of this growth is driven by smartphone manufacturing for brands like Vivo, Oppo, OnePlus, and Motorola.
| Financial Metric | FY25 Value (₹ crore) | FY26 Target (₹ crore) | Growth Driver |
|---|---|---|---|
| Revenue | 6,200 | 15,000 | Smartphone and tablet manufacturing |
| Monthly Smartphone Output | 2 million | 3.5 million+ | Vivo, Oppo, Realme, iQOO |
| Export Volume | Motorola tablets to US | Expansion planned | Lenovo-owned brands |
Bhagwati has already begun exporting Motorola tablets to the US and aims to make India a global export hub for electronics.
🧠 Workforce Expansion and Upskilling Initiatives
The company has scaled its workforce from 1,000 to over 10,200 employees in under a year at the Greater Noida facility. Bhagwati plans to invest $10 million in a structured “Knowledge Transfer and Upskilling Program” in collaboration with Huaqin.
| Workforce Metric | FY25 Value | FY26 Projection | Initiative |
|---|---|---|---|
| Total Employees | 10,200 | 15,000+ | Hiring across manufacturing and R&D |
| Upskilling Investment | $10 million | $15 million | Technical training, design capabilities |
| Training Program | With Huaqin | Pan-India rollout | Knowledge transfer and certification |
The initiative aims to build a skilled workforce capable of handling advanced electronics manufacturing and design.
🔥 Product Diversification and Future Roadmap
Bhagwati’s product portfolio is expanding beyond smartphones and tablets to include:
- True Wireless Stereo (TWS) devices
- Storage solutions
- IoT modules
- Automotive electronics (in planning)
| Product Category | Current Status | FY26 Target | Key Clients |
|---|---|---|---|
| Smartphones | Active | 25M units/year | Vivo, Oppo, Realme, OnePlus |
| Tablets | Active | 5M units/year | Motorola, Lenovo |
| TWS Devices | Scaling | 3M units/year | Multiple OEMs |
| Storage Solutions | Scaling | 2M units/year | Acer, Lenovo |
| Automotive Electronics | Planning | Pilot by FY27 | JV with Chinese ODM (expected) |
Bhagwati is also applying for incentives under the Electronics Component Manufacturing Scheme (ECMS) to support its component-level production plans.
📌 Conclusion
Micromax’s Bhagwati Products is rapidly transforming into a full-stack electronics manufacturing powerhouse with its two new mega factories in Greater Noida and strategic Chinese joint ventures. With a production target of 25 million units by FY26, a ₹15,000 crore revenue goal, and a growing export footprint, Bhagwati is positioning itself as a key player in India’s electronics resurgence.
Rahul Sharma’s vision of making India a global manufacturing hub is backed by aggressive expansion, strategic partnerships, and a commitment to workforce development. As the company deepens its component-level capabilities and scales its infrastructure, Bhagwati is set to play a pivotal role in reshaping India’s electronics supply chain.
—
Disclaimer: This article is based on publicly available news reports and official statements as of August 27, 2025. It is intended for informational purposes only and does not constitute financial, legal, or investment advice.
