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BHARAT NEETI

Be Ahead With Economy And Policy Updates

boAt Triples Localisation in Two Years, Boosts India Production to 76% of Total Output

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New Delhi: boAt, one of India’s leading consumer technology brands, has announced a significant milestone in its manufacturing transformation, with local production surging from 39.65% in FY23 to 75.83% in Q1 FY26. This represents a threefold increase in localisation within just two years, underscoring the company’s commitment to its “Make in India” strategy and its ambition to build a resilient, cost-efficient supply chain rooted in domestic capabilities.

As of June 30, 2025, boAt had manufactured more than 75 million units in India, with 6.36 million units produced domestically in Q1 FY26 alone—up from 4.42 million units a year earlier. This rapid scale-up highlights the success of boAt’s localisation efforts across critical components such as printed circuit boards (PCBs), batteries, plastics, and straps, which are increasingly sourced from Indian suppliers.

At the centre of boAt’s transformation is Califonix Tech and Manufacturing Private Limited, its joint venture with Dixon Technologies. Dedicated to Bluetooth-enabled wireless personal audio products, Califonix has become a cornerstone of boAt’s domestic production shift. In Q1 FY26, Califonix accounted for 37.46% of total units, producing 3.19 million units. Over FY25, it manufactured 13.44 million units, achieving 44.80% capacity utilisation against an installed capacity of 30 million units—up from 29.03% in FY24. This expansion has strengthened process control, quality oversight, and supply continuity, with all JV-produced units manufactured exclusively for boAt. Complementing Califonix is boAt’s flexible network of contract manufacturers, both in India and overseas, which allows the company to scale output, optimise category-wise capacity, and maintain agility in response to demand surges and shifting consumer preferences.

boAt’s localisation strategy extends beyond assembly into component-level manufacturing, a critical step in reducing import dependency and enhancing cost competitiveness. By transitioning the production of PCBs, batteries, plastics, and straps to domestic suppliers, boAt expects 15–20% savings in duty costs compared to finished goods imports. As of June 30, 2025, a majority of PCB supply volumes had already been localised, with trials underway for additional components. These initiatives are expected to materially improve price competitiveness, shorten lead times, strengthen supply chain resilience, and enable faster product iterations—an essential advantage in high-velocity categories like audio and wearables.

boAt’s vertically integrated model offers strong strategic leverage. The company controls product design specifications, engineering standards, and the manufacturing process, while working closely with suppliers to customise components such as chipsets and PCBs. This approach ensures high product standardisation, stringent quality control, seamless integration of new technologies, and faster time-to-market. Through value engineering initiatives, boAt has also optimised cost structures without compromising performance, resulting in lower warranty costs, improved component reliability, and enhanced consumer satisfaction.

boAt’s transformation is reinforced by favourable policy tailwinds. India’s manufacturing ecosystem has been accelerated by the Make in India program, the Phased Manufacturing Programme (PMP) for wearables and hearables, and Production Linked Incentive (PLI) schemes. As of March 2025, PLI investments across electronics exceeded ₹1.76 lakh crore, with cumulative production crossing ₹16.50 lakh crore, signalling an industry-wide shift to domestic production. The broader “China + 1” strategy, backed by upcoming component-level incentives, is expected to deepen value addition in India, helping brands like boAt reduce dependency on foreign supply chains and elevate India’s position as a global manufacturing hub for consumer devices.

boAt’s supply chain ecosystem has generated employment for over 6,000 contract workers across its JV and supplier network. Looking ahead, the company plans to further bolster vertical integration through automation-led upgrades such as soldering and gluing automation, enhanced testing protocols, and the establishment of centres of excellence for design-for-manufacturing and audio quality optimisation. Coupled with boAt’s R&D investment roadmap, these initiatives aim to create a supply chain and manufacturing ecosystem that can support premiumisation, innovation, and high-volume production with world-class quality.

In a consumer tech landscape defined by rapid product cycles and rising expectations for domestic value addition, boAt’s India-first production model has become a core strategic moat. By strengthening localisation while retaining global sourcing flexibility, the company is building a durable advantage rooted in cost competitiveness, operational agility, and innovation readiness.

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