14 DAY TRIAL // Apple wants to be one of the companies benefitting from the growing mobile market in India, and the company is looking into several ways to start selling iPhones locally, including setting up a local manufacturing plant that would help them comply with Indian regulations.
Due to laws that forbid companies from selling devices in the country unless at least 30 percent of parts are manufactured in local plants, Apple has until now been unable to bring the iPhone to the local market, so it only had to rely on retailers using import taxes that eventually increased the final price as well.
Apple asked the government for an exception to the law, but authorities denied the request, explaining that all companies must comply with these rules.
Cupertino also attempted to bring used iPhones in India and sell them as refurbished, but several companies opposed to the plan, on the grounds that such a move would violate environmental laws that are currently in effect in the country.
Local manufacturing plant
And now, Apple is giving another shot at bringing iPhones in the country with a request for incentives that would help the company set up a local manufacturing plant. This should help the firm comply with the 30 percent production regulation, but also reduce costs of the iPhone.
"They are doing their due diligence from quite some time. The Department of Industrial Policy and Promotion (DIPP) will write to both the departments regarding this communication for their views," an Indian official was quoted as saying by India Times.
Apple hasn’t issued a statement on this, but since negotiations are under way, an announcement should be provided when the company gets the go-ahead to set up the manufacturing plant.
Oddly enough, India is not at all a market where Apple feels like home, as the country has already rejected all alternative plans to start selling the iPhone locally, but at the same time is also trying to buy technology that could help hack devices involved in criminal activities.