India to Use Tax Free Policy To Improve The Iphone Production

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Aruna Sundararaja, a secretary general of the Indian Ministry of Electronics and Information Technology (MEI), said on Tuesday that the Indian government would be allowing Apple to import some of its mobile phone parts in India to assemble the phone locally. 

Earlier, Indian Electronics and Information Technology minister Ravi Shankar Prasad said that in order to win more shares in Indian Smartphone market, Apple hopes to further expand its presence in Bengaluru iPhone manufacturing plant. The iPhone plant set up in Bengaluru is being owned by Wistron Factory. Last week Apple produces the iPhone SE mobiles and would be shipping the same later this month. 

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According to Indian Ministry of Electronics and Information Technology Secretary-General Sandra, Apple initially asked the Indian government to exempt all import duty tax for next 15 years. But the government rejected Apple’s request but only agreed to part of the tax on the parts that cannot be produced in India. 

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Apple is said to slowly increase iPhone production in India. Additionally, the Indian Government has contacted other mobile phone manufacturers, hoping to increase production capacity in India, according Prasad. 

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