Following several weeks of reports speculating about Apple’s demands to make in India and how that might be a hurdle in the company’s aim to set up manufacturing units in the country, Karnataka government has revealed that Apple will be setting up shop in Bengaluru.
Talks were held between the Cupertino-based company and several officials from IT and Finance ministry, Department of Commerce, Industrial Policy and Promotion on January 25, 2016.
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Both the parties seem to have reached a conclusion and Apple will soon start its manufacturing in India.
“Apple’s intentions to make iPhones in Bengaluru will foster cutting-edge technology ecosystem & supply chain development in the state,” tweeted Priyank Kharge, Minister of IT, Karnataka.
Having already tied up with more than a score of mobile companies to start manufacturing in the country, the Indian government wanted the tech titan to set up its manufacturing units in India, as the Make in India campaign is on overdrive.
The statement to the press by the Karnataka government reads, “Apple’s intentions to manufacture in Bengaluru will foster cutting edge technology ecosystem and supply chain development in the state, which are critical for India to compete globally.”
Apple had been in talks with the Indian government to start manufacturing locally for several months since Tim Cook visited the country and had talks with PM Narendra Modi last year.
But the company didn’t want to follow the labelling rules as well as sought a 15-year long exemption on Customs Duties, leading to talks on advanced levels which have finally concluded.
“The Government of Karnataka is committed to new initiatives in any sector for manufacturing and will provide a conducive environment for investment,” the statement adds.
Apple hasn’t issued any statement in this regards yet, but this news should come as a welcome move for those who’ll be looking to buy Apple products like the iPhone or Macs in the future as they will potentially be cheaper than their current market price.
Manufacturing in India will also give Apple the much-needed heads up to tap into the ever-growing tech consumer market in India, which has been in awe of Apple products and probably would prefer them too if the prices are lowered to suit their pockets.