Apple’s Wish List To Start Manufacturing in India: 15 Year Custom Duty Holiday, “Always Open”

Apple has reportedly submitted a laundry list of demands to the Indian government as it prepares to set up an iPhone manufacturing unit in India.

Company executives will be meeting with Ministry officials to sort out these demands on 25 January.

The Indian Express reports that the list includes a demand for a 15-year customs duty holiday on the import of iPhone used and new iPhone kits, equipment, raw materials, consumables and more.

What’s more, it’s clear from the report that Apple has no intention of sourcing locally. The mention of iPhone kits means that Apple will simply import components and assemble them in India. Every other company that’s had to set up a local manufacturing unit has had to adhere to the local sourcing norms as laid down by the government.

Whether Apple can convince officials that it deserves such concessions is still up for debate, especially when such concessions will embolden other manufacturers to demand concessions of their own.

Apple also seeks to deal in refurbished products, a practice frowned upon by our government. The company is also seeking to import used equipment, which it tries to justify by claiming that multinationals do this all the time in a bid to “capitalise on efficiencies”.

The list includes a number of other related demands, such as less intrusive customs inspections, claims for refunds, tax concessions and much more.