Apple’s pricing gap takes a bite out of iPhone sales outlook in India

Kolkata | New Delhi: Apple’s steep pricing of its latest iPhone Duo foldable in India which is ₹1.4 lakh more than in the US and Dubai, has not only triggered a wave of social-media conversations but also rattled retailers, who fear affluent Indians who frequently travel overseas will simply buy the handset abroad.

Market researchers IDC India and Counterpoint Research have also cut their outlook for Apple’s iPhone sales in India. They now expect unit sales to decline by low single digits in calendar 2026—the first ever annual decline in India—as higher prices could weigh on demand for both the new and existing models. Sales by value, however, are expected to rise 6-7% on the back of price increases.

Also Read: Apple delays hypertension notification on Watch Series 12 in India pending clearances


The new iPhone launch on Thursday was trending on social media, but largely for its eye-watering price tag. One post joked that students returning home from the US could recover their travel costs simply by buying the handset there and selling it in India. Two such transactions, it quipped, could effectively make their return flights free.

Others suggested flying to Dubai or Hong Kong to buy the handset and recovering the cost of the holiday from the savings. Another user compared the price of the iPhone Duo’s Folio case to that of a “sub-decent Android phone” in India.

Retailer bodies All India Mobile Retailers Association (AIMRA) and Organised Retailers Association fear a hit in business and loss to the exchequer —the price differential would encourage grey-market sales and personal imports. AIMRA chairman Kailash Lakhyani said Indian retailers, including large chains and exclusive Apple stores, would lose a significant part of their premium customer base.


The director of a leading electronics retail chain said Apple had previously narrowed price discrimination in India, but the iPhone Duo effectively brings it back.

Apple has also sharply increased prices of its other models on Thursday. The newly launched iPhone 18 Pro and Pro Max are about 45% more expensive in India than in the US, while older models have seen price hikes of 20-29% in India, compared with 10-15% in several other markets.

In India, the iPhone Duo is priced between Rs 2,99,900 and Rs 4,49,900 across storage tiers. International markets are significantly cheaper, ranging from roughly Rs 1.92 lakh in the US to Rs 3.7 lakh in Singapore for the starting model. Indians buying in these markets may further avail local tax refunds.

Analysts attributed the higher Indian pricing primarily to the absence of local manufacturing of the Duo, along with the impact of rupee depreciation.

“The initial lot of Duo will not be locally made. Consequently, imported units attract full duty, making them significantly more expensive. Along with GST and the impact of the weaker rupee, it’s a 40%-plus net impact,” said Counterpoint Research director Tarun Pathak, citing 17% import duty, 18% GST and 5-6% forex impact.

Also Read: iPhone Duo at Rs 2,99,900: Why Apple’s First Foldable Costs More in India

IDC India research manager Upasana Joshi said Apple’s $100 global price increase across its existing lineup translated into Rs 15,000-30,000 hikes in India, or 20-29%, overnight.

“Our earlier view was that price-conscious buyers priced out of the newest iPhone could simply hold on to older models or shift down to a previous generation. That escape route has narrowed considerably with the budget-focused iPhone 17 and 17e becoming more expensive,” Joshi said.

Retailers have been calling distributors since Apple announced the new lineup late Thursday, voicing their disappointment, industry executives said. Trade WhatsApp groups have also been abuzz with concerns and anger over losing business. Prashant Bora, managing director of Bora Multicorp, a merchant exporter of smartphones, said a price gap this wide actively funds the grey market. “Every time official pricing diverges this sharply from Dubai or Hong Kong, informal imports fill the gap, and authorised retail and the exchequer lose out,” he said.