To mitigate the logistical issues like shipping devices to large markets, Nokia Mobile has announced the Made-In-India program. The main objective of the program is to manufacture handsets directly in major markets, thereby reducing the logistics cost and hence the price of the handset. Also, this will contribute to the local economy as new jobs will be created.
After India, Nokia Mobile has announced the same program for Bangladesh, called Made-In-Bangladesh. Nokia Mobile has entered into an agreement with UK-based Vibrant Software and Bangladesh’s Union Group to manufacture around 9000 devices per month, including the low-cost Nokia G10 and Nokia G20 smartphones. The phones will be manufactured at Bangabandhu Hi-Tech City in Kaliakair of Gazipur. The manufacturing facility is a two-storey factory with four assembly lines and two packaging lines and will produce 300 phones per day. The plant also has its own test lab and will employ around 200 people.
The Union Group will use it to try to bring Nokia back to the market. Between 2008 and 2011, Nokia held between 65 and 75% of the market share, but since then, Nokia has lost that share due to Android and iOS, which are simply more attractive to the masses. However, Nokia smartphones manufactured in Bangladesh will not only be sold locally. The company also plans to export a certain percentage of the phones to other markets.