Since several months, Apple is paving paths to start a manufacturing plant in Bengaluru, India. Further Apple also wants to set up offline stores in India. India, which is good at setting up regulations, terms and conditions are not allowing Apple to kick-start the idea at a good pace.
Apple had the idea of setting up the manufacturing unit in association with Wistron, a Taiwanese OEM manufacturer for Apple. Apple has put forward few things before Indian government and holding discussions on this since 2-3 months.
What Apple is expecting from Indian government
a) 15-year customs duty exemption
b) Relaxation in labeling rules
c) Used smartphone reassembly
Apple wants the Indian government to exempt Apple from paying customs duty on raw materials, components, capital equipment and consumables for smartphone manufacturing.
Apple also asked the Indian government to relax the norms in labeling rules. Apple doesn't want to print the product information on its products. But, Indian government is much reluctant on this proposal
The Indian government has also rejected the Apple's proposal to bring the used smartphone assembly to India.
What Indian government have to say?
The government of India says that around 42 companies have smartphone manufacturing units in India along with Xiaomi, Huawei, and no firm have approached the government seeking such relaxation.
But, Apple wants to repeat the success they had in china in relaxation of such rules. Government will be holding a meeting on January 25 to discuss the Apple issue and come up with a consensus approach on Apple