The Indian government has decided not to offer special concessions to Apple as part of negotiations as the company looks to build its first manufacturing plants in the country.

According a report in the India Economic Times, New Delhi will instead review its entire policy on mobile manufacturing as part of a wider effort to promote its 'Make in India' initiative. This could meet some of the demands that Apple has made as well as benefit other phone makers, said officials.

indian_flag

India needs to support an iconic brand like Apple for the success of the Make in India campaign, officials said. "Our import duty is high," one of them said. "As long as they are getting into exports, our objective should be to give them lowest duty so as to ensure that their product is competitive. Hence we may even relook at the policy as a whole." Another official said no decision had been taken but that concessions cannot be given to just one company. "Normally, similar dispensation has to be given to others similarly placed," he said.

The issue will be looked at in detail at a high-level meeting between Apple executives and state officials set to take place next week. According to Wednesday's report, representatives from revenue, industry, and IT government departments will consider Apple's requests, which include a 15-year customs duty holiday on the import of iPhone kits, new and used capital equipment, and consumables.

Last year, Apple requested permission to set up its own retail outlets in India without being subject to the state's compulsory 30 percent local sourcing rule, claiming it was bringing cutting edge technology to the country. The ministry of finance denied the request as it did not consider Apple's products to fall into the cutting edge category.

According to officials, India's rationale for looking anew at its own trade policy is that it must follow the same set of principles prevalent elsewhere which have helped businesses become global manufacturers. India is already home to a crowded mobile phones market, with Chinese firms Huawei and Xiaomi among some 42 competing handset makers. Apart from Apple, no other company has approached the government for any incentives, people with knowledge of the matter said.

Update: India will consider Apple's request for incentives to invest in the country with an "open mind", IT minister Ravi Shankar Prasad has told Reuters this morning. "We will very much like Apple to come and have a base in India," Prasad said.

Tag: India

Top Rated Comments

d5aqoëp Avatar
94 months ago
Excellent. The first Indian government to show some spine and not bending before a large corporation.
Score: 10 Votes (Like | Disagree)
HappyDude20 Avatar
94 months ago
Excellent. The first Indian government to show some spine and not bending before a large corporation.
Yes I agree.

Very smart of india to proceed with caution and look after its citizens long term as oppose to making a quick buck.
Score: 6 Votes (Like | Disagree)
Aluminum213 Avatar
94 months ago
Good for India for not bending over backwards for Apple


Now imagine if America demanded iPhones and iPads were made in America
Score: 5 Votes (Like | Disagree)
FriednTested Avatar
94 months ago
Yes I agree.

Very smart of india to proceed with caution and look after its citizens long term as oppose to making a quick buck.
Lol. These ****ing illiterate jokers who have formed the current government won't do ****. I'd rather not get into the nitty gritties of the political/government joke we are suffering at the moment on an Apple forum. :p

Trust me when I say that the citizens welfare is the last subject on their mind. For reference do read about the demonetisation blunder. Where the government withdrew 87% of the legal currency without having even 10% of the replacement ready. Which cost over a 100 lives and brought the economy to a halt.
[doublepost=1484756193][/doublepost]
A friend travels to India very often, and the photos she brings back reflect all the misery most of their citizens experiment.
Not everyone there has the privilege of being rich or belonging to a higher caste.
The reality is very sad. These are the people who could benefit from an Apple manufacturing plant.
True, they may not make much money, but at least some money is better than no money.
You are correct. But, alas the current government is extreme right wing and they are increasing the wealth divide along with the caste divide.
Score: 4 Votes (Like | Disagree)
rohanparekh Avatar
94 months ago
Lol. These ****ing illiterate jokers who have formed the current government won't do ****. I'd rather not get into the nitty gritties of the political/government joke we are suffering at the moment on an Apple forum. :p

Trust me when I say that the citizens welfare is the last subject on their mind. For reference do read about the demonetisation blunder. Where the government withdrew 87% of the legal currency without having even 10% of the replacement ready. Which cost over a 100 lives and brought the economy to a halt.
[doublepost=1484756193][/doublepost]

You are correct. But, alas the current government is extreme right wing and they are increasing the wealth divide along with the caste divide.
If you really want to talk about current Indian politics schemes and specially on demonetization move, I think you should do more homework. Removing 87% of legal currency in overnight and not having 10% of the replacement ready was an intentional move. Ask yourself, you think government of India is that fool to understand this economy situation? You think current officials are bunch of jokers sitting in parliament and decided to do demonetization move for fun? Do you know the purpose of demonetization operation? 100 lives are gone is not directly connected to demonetization move...but thousands of corrupt people, millions of black money amount and properties has been caught in 50 days(and still counting, which is expected to recover black money in billiions of dollars) are direct related to demonetization.
Score: 4 Votes (Like | Disagree)
jaymie1983 Avatar
94 months ago
Apple might be able to exploit some parts of the world, the Indians are wise to hold their ground
Score: 4 Votes (Like | Disagree)

Popular Stories

iPhone 16 Camera Lozenge 2 Perspective Gray

Five Key Upgrades Coming to iPhone 16

Friday March 15, 2024 1:45 pm PDT by
The iPhone is Apple's top-selling product, and it gets an update every year. In 2024, we're expecting the iPhone 16 and iPhone 16 Pro lineup, with an arguably more interesting feature set than we got with the iPhone 15 and iPhone 15 Pro. Subscribe to the MacRumors YouTube channel for more videos. Capture Button All four iPhone 16 models are set to get a whole new button, which will be...
When To Expect New iPads Feature 1

Apple to Announce New iPads on March 26, Rumors Claim

Monday March 18, 2024 4:02 am PDT by
Apple is widely expected to release new iPad Air and OLED iPad Pro models in the next few weeks. According to new rumors coming out of Asia, the company will announce its new iPads on Tuesday, March 26. Chinese leaker Instant Digital on Weibo this morning 日发布%23">claimed that the date will see some sort of announcement from Apple related to new iPads, but stopped short of calling it an...
airpods 3 orange

Two New AirPods 4 Models Expected to Launch in September or October

Sunday March 17, 2024 7:56 am PDT by
Apple suppliers will begin production of two new fourth-generation AirPods models in May, according to Bloomberg's Mark Gurman. Based on this production timeframe, he expects the headphones to be released in September or October. Gurman expects both fourth-generation AirPods models to feature a new design with better fit, improved sound quality, and an updated charging case with a USB-C...
iphone se 4 modified flag edges

iPhone SE 4 Expected to Depreciate Heavily

Tuesday March 12, 2024 9:04 am PDT by
Resale value trends suggest the iPhone SE 4 may not hold its value as well as Apple's flagship models, according to SellCell. According to the report, Apple's iPhone SE models have historically depreciated much more rapidly than the company's more premium offerings. The third-generation iPhone SE, which launched in March 2022, experienced a significant drop in resale value, losing 42.6%...
M3 iPad Feature 3

New iPads Likely to Begin Shipping in April

Monday March 18, 2024 9:52 am PDT by
Apple's new iPad Pro models with OLED displays will likely begin shipping to customers in April, according to information shared today by Ross Young, CEO of display industry research firm Display Supply Chain Consultants. Bloomberg's Mark Gurman also said the new iPad Pro models might not ship until "deeper" into April in his Power On newsletter on Sunday:I've repeatedly said that new...
General iOS 17 Feature Orange Purple

iOS 17.4.1 Update for iPhone is Imminent

Monday March 18, 2024 5:27 am PDT by
iOS 17.4.1 and iPadOS 17.4.1 should be released within the next few days, with a build number of 21E235, according to a source with a proven track record. MacRumors previously reported that Apple was internally testing iOS 17.4.1. As a minor update for the iPhone, it will likely address software bugs and/or security vulnerabilities. It is unclear if the update will include any other changes. ...
Reasons to Not Upgrade to macOS Sonoma 14

macOS Sonoma 14.4: Reasons Not to Update

Monday March 18, 2024 9:36 am PDT by
Since Apple unveiled macOS Sonoma 14.4 on March 7, the transition to the latest software update has not been entirely smooth for everyone, and a number of issues have been reported by users that significantly impact their daily workflow. This article lists the most prominent challenges users have faced since updating to macOS Sonoma 14.4, and offers potential solutions where available. USB...