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The factory opening attracted some notable guests, including Indian Prime Minister Narendra Modi and South Korean President Moon Jae-in.

Following this, Prime Minister Modi will then hold official talks with President Moon at Hyderabad House, which will be followed by an official lunch.

The move comes at a time when Samsung is grappling against Chinese rivals such as Xiaomi, Oppo and for a share of the world's second largest smartphone market.

According to HC Hong, President and CEO, Samsung India, a bigger manufacturing plant will help them cater to the growing demand for Samsung products across the country. It has 5000 employees in Noida itself. "2,000 new jobs will be generated in this plant", he said. "Now, this manufacturing unit is also coming here", Modi was quoted as saying.

The company now makes around 67 million smartphones in India and with the new unit being functional the production is expected to increase to almost 120 million mobile phones.

"Today is an important day in making India a global hub of manufacturing", he said, adding that the investments in such factories are a cornerstone of India's economic and commercial engagements with countries like South Korea.

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The company now has over 10 per cent of its overall production in India and aims to take it to 50 per cent over the next three years. She added: "It will certainly open more avenues for local manufacturing in India as more and more vendors in the ecosystem shift to establishing such facilities".

"I am very delighted to visit this grand temple as part of the first leg of my visit".

"Unlike some other countries in the world which like Korean money but not Koreans, we like Koreans more than Korean money", Prabhu said in an apparent reference to uneasy relations between South Korea and some of its immediate neighbours.

"The new facility with give direct jobs to 1,000 people, taking the existing workforce at this plant to 6,000".

Most major markets around the globe have become saturated with mobile devices, resulting in a slowdown of sales. Thirty per cent of the mobiles made in Noida are to be exported. The 35-acre first-of-its-kind facility is expected to double Samsung's manufacturing capacity in the country.

Samsung's new factory will build both low-end handsets starting under $100 as well as flagship devices like the Galaxy S9.