IT and electronics minister Ravi Shankar Prasad today said the US-based tech major Apple plans to expand its manufacturing operations in India.
He said, "Government officials were in touch with Apple and other mobile phone manufacturers for expanding facilities and setting up new plants."
However, it was reported earlier that the Government officials were in touch with Apple and other mobile phone manufacturers for expanding facilities and setting up new plants.
"India does not want to become a "dumping ground" for used iPhones, which may cause major environmental problems, it has rejected Apple's proposal to manufacture refurbished iPhones in India," ICTflash quoted sources.
According to the report, the company is also planning to sell refurbished models of iPhone 6 and 6S. Meanwhile, Apple has started selling iPhone SE models those were assembled in India in select stores.
To recall, the tech giant is asking for incentives from the Department of Electronics and Information Technology (Diety). Apple had asked for tax concessions including lower import and manufacturing duties, and certain policy exemptions from the Government for setting up a manufacturing unit here in the country.
The company also wants duty exemptions on the products to be bought from special economic zones (SEZs). Apple had informed the government this year in January that it is ready with a blueprint to begin manufacturing iPhones in India but wants fiscal concessions.
According to IDC, Apple's move to start manufacturing in India comes at a time when its sales in China are hit by a slowdown. India's smartphone market is rapidly expanding and is likely to overtake the US market to become the second-largest in the world. Currently, most Apple's products are assembled in China primarily by Foxconn Technology Group.