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Localised lockdowns, a semiconductor shortage, and a surge in Covid-19 cases at factories have led to a slowdown in mobile phone manufacturing and sales in April-May, heads of several companies told Business Standard. Industry veterans such as S N Rai, co-founder, Lava International, and Rajesh Agarwal, co-founder, Micromax, said production was down about 50 per cent in this period as the pandemic raged across the country. “The situation is certainly challenging in this (June) quarter. Though some firms, including ours, could carry on production in April because of buffer component stocks, not all companies were able to do it. May, so far, has been disastrous for all, as the disease spreads and lockdown curbs remain intact. At an industry level, therefore, the hit to business is easily 50 per cent,” said Rai.
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