Making iPhone in India will be a boost for ‘Make in India’ move; expect the iPhones to be sold cheaper in the country
Now it is confirmed that American tech major will manufacture the iPhone in India. The company will make the iPhones in Bengaluru. This move by Apple has been long speculated and now with the brand confirming its decision it is going to be a big and bold leap for the ‘Make in India’ program.
Meanwhile, the company will initially assemble the iPhones in India instead of manufacturing a complete unit. The company will initially import Completely Knocked Down (CKD) and Semi-Knocked Down (SKD) units in the country and assemble them in its Bengaluru plant. The process is scheduled to begin from April this year. Later on, the manufacturing will also commence, but not anytime soon.
Apart from industry growth, iPhone enthusiasts in the country have reason to be rejoiced as with the local manufacturing price of iPhone could be significantly dropped here. Representatives from Apple have a meeting with Karnataka government officials and the decision was finalized after that. The Karnataka government even issued a press release welcoming the move.
The company is claimed to have decided to manufacture iPhones in Bengaluru considering the cutting edge technology and developed supply chain available in the state. With this move, India is going to be the third hub for iPhone manufacturing in the world. Also, it will give Apple a platform to strengthen its business in the Asian region. While Apple will make its signature product in the country, don’t expect the upcoming flagship iPhone 8 to be built here in near future.
To make iPhone in the country Apple wanted a 15-year Customs duty holiday on import of iPhone kits, both new and used capital equipment. It is still not clear, whether the US-based company has been granted all these by Indian government.