Amazon has officially announced its plans to start producing hardware devices locally in India. It will be starting off with Fire TV Stick streaming devices but may expand to other categories. The move will surely prove to be a big boost to the Indian government's 'Make in India' and 'Atmanirbhar Bharat' initiatives aimed at encouraging local production of goods.

The production of Fire TV Sticks will be carried out by Cloud Network Technology, a Chennai-based subsidiary of Foxconn. These will be manufactured in accordance with the demands of Indian customers. Amazon says that the plant will be able to produce "hundreds of thousands" of Fire TV Stick units. This is the initial plan but the team will be looking at expanding the capacity depending on the level of demand it will be seeing.

We’re excited to announce our 1️⃣st device manufacturing line in India & contribute to the #MakeInIndia initiative.

This will:

Boost Indian innovation in manufacturing 🤝
Drive economic growth 📈
Create jobs 💼https://t.co/qrgt0tqVSa@GoI_MeitY @PMOIndia @Chetankrishna

— Amazon India News (@AmazonNews_IN) February 16, 2021

Amit Agarwal, Global SVP and Country Leader for India at Amazon said,

"Amazon is committed to partner with the Indian government to advance the vision of an Aatmanirbhar Bharat. We have pledged to invest US $1 billion to digitize 10 million small and medium businesses, help Indian businesses sell worldwide thereby enabling US $10B in cumulative exports, and create an additional 1MM jobs by 2025."

Some reports suggest that Amazon will be manufacturing devices through a third-party partner only for the time being. It will eventually move to its own production plant but there is no specific timeline for that yet.