Apple sets ‘condition’ to open manufacturing plant in India
“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,” the official added.
At present, to boost electronic manufacturing in the country, the government provides benefits under Modified Special Incentive Package Scheme (MSIPS).Read more ↓
The scheme provides financial incentives to offset disability and attract investments in the electronics hardware segment. It also gives subsidy for investments in Special Economic Zones, among other benefits.
Currently, Apple’s products are manufactured in six countries including Korea, Japan and the US.
Apple’s communication regarding setting up of a manufacturing unit assumes significance as the Finance Ministry in May had rejected relaxing the 30% domestic sourcing norms, as sought by the iPhone and iPad maker as a pre-condition for bringing in FDI to set up single-brand retail stores in the country.
The company had sought exemption on the ground that it makes state-of-the-art and cutting-edge technology products for which local sourcing is not possible.