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
70 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
70 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
70 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
70 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
70 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
70 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 14 Pro Purple Front and Back MacRumors Exclusive

iPhone 14 Pro Renders Highlight Multiple Design Changes

Wednesday May 25, 2022 8:56 am PDT by
Leaker Jon Prosser today shared ostensibly accurate renders of the iPhone 14 Pro, providing the most accurate look yet at what the device could look like when it launches later this year. In the latest video on YouTube channel Front Page Tech, Prosser revealed renders of the iPhone 14 Pro made by Apple concept graphic designer Ian Zelbo, highlighting a range of specific design changes...
apple account card

Wallet App Now Supports Apple Account Cards on iOS 15.5

Wednesday May 25, 2022 5:01 pm PDT by
Apple appears to have recently updated the Wallet app to allow users to add an Apple Account Card, which displays the Apple credit balance associated with an Apple ID. If you receive an App Store or Apple Store gift card, for example, it is added to an Apple Account that was previously visible in the App Store and Apple Store apps. As of today, the Apple Account balance can also be added to...
iphone 13 pro max display bleen

iPhone 14 Max Reportedly Weeks Behind Schedule [Updated]

Thursday May 26, 2022 7:25 am PDT by
The iPhone 14 Max is currently behind schedule by around three weeks, according to Haitong International Securities analyst Jeff Pu. Yesterday, Nikkei Asia reported that at least one iPhone 14 model was three weeks behind schedule due to the impact of lockdowns on Apple's supply chains in China, but it was not clear which iPhone 14 model this related to. Now, Pu has clarified that the model...
iPad Pro USB C Feature Coral

Deals: Apple's iPad Pro Reaches Up to $449 Off in Amazon's Latest Sales

Wednesday May 25, 2022 10:09 am PDT by
Amazon is marking down a wide variety of 11-inch and 12.9-inch iPad Pro models this week, with prices starting as low as $749.00 for the 11-inch tablet. You'll find the full list of sales below, all of which can be found on Amazon. Note: MacRumors is an affiliate partner with some of these vendors. When you click a link and make a purchase, we may receive a small payment, which helps us keep...
iOS 16 mock for feature wishlist

iOS 16 Wishlist: Features MacRumors Readers Want to See in the Next Version of iOS

Friday May 27, 2022 2:15 pm PDT by
There's just over a week to go until the 2022 Worldwide Developers Conference, which is one of the biggest Apple events of the year. We've heard surprisingly little about iOS 16 this year, so we're in for some major surprises when June 6 rolls around. As we wait for the keynote event, we thought we'd share some iOS 16 wishlist items from MacRumors readers, because who knows? We just might...
top stories 28may2022

Top Stories: WWDC 2022 Schedule, New Apple Watch Pride Bands, and More

Saturday May 28, 2022 6:00 am PDT by
It's Memorial Day weekend in the United States, and that means WWDC is right around the corner and anticipation is building for what we might see at the opening keynote. Software updates are a given, but will we see any new hardware? Other news this week included the annual release of new Pride-themed Apple Watch bands, iPhone 14 Pro rumors, and Sony's latest headphones that compete against...
a16 5nm m2 3nm feature 2

Alleged Apple Chip Plans Suggest 'A16' Will Stick With 5nm, 'M2' to Make Jump to 3nm Instead

Friday May 27, 2022 6:54 am PDT by
The "A16" chip for the iPhone will reportedly be manufactured with the same process as the iPhone 13's A15 Bionic, with Apple saving a bigger performance leap for the "M2" chip designed for its next-generation Macs. Meanwhile, the company is working on a "final" M1 chip variant that uses more powerful cores from the A15, according to the leaker known as "ShrimpApplePro." In a thread on...