Apple wants to set up selective manufacturing in India: Government

NEW DELHI: Apple wants to set up selective manufacturing lines in India during this financial year, the commerce and industry minister told the Rajya Sabha on Wednesday. Nirmala Sitharaman said the government has not made its final decision on the concessions demanded by the US-based iPhone maker for setting up manufacturing facilities in India.

The Department of Revenue, along with the Department of Industrial Policy and Promotion and the Ministry of Electronics and Information Technology, is deliberating on the company’s demands. Apple has asked the government for exemption from custom duty on components for 15 years.

In a recent meeting between government officials and Apple executives, the company was told to work closely with the Ministry of Electronics and IT so that its plans conform to the government’s current phased manufacturing programme to the maximum extent possible.


Apple wants to make India a major manufacturing hub after China and Brazil, and is set to start the work towards this goal from a plant being set up by contract manufacturer Wistron in Karnataka to assemble 300,000-400,000 iPhone SEs a year.

The company wants to scale up manufacturing in India by establishing a local supplier base in the long run. It currently makes and exports chargers through a contract manufacturing facility in Chennai.

India offers a 20% capital subsidy for electronics manufacturing for 10 years under the Modified Special Incentive Package Scheme.