Tech giant Apple Inc is all set to begin accumulating high-end iPhones in the city in a period of a month to enhance its probability of gaining a grip in the fast growing Indian market, said Karnataka IT Minister Priyank Kharge.
“In less than a month, we will have something out – Apple will start assembling and making its high-end iPhones at its plant in the city. Taiwanese contract manufacturer Wistron Corp will help Apple in doing so,” he told PTI in Bengaluru.
Shedding light on the prospects of this step, Kharge said making iPhones in India would aid Apple lower prices, which will in return assist it increase a grip in the fast growing Indian market.
“Assembling and making of iPhones in Bengaluru will boost Apple’s chances of gaining a foothold in the fast growing Indian market because it will allow the company to lower prices,” he said.
Karnataka government has been in talks with the Centre for strengthening the ecosystem even as Apple is negotiating with it for its next level of production in India, he said.
Apple wants to bring its component manufacturers to India to make parts and export finished phones and is seeking tax concessions on import of key components. However the Indian government has rejected most of the demands of the US company.
Kharge said if the Centre was keen on taking on China, it should not give special treatment to Apple alone, but to other players, including Samsung and Lenovo, if they are desirous of opening a manufacturing units in India, especially Karnataka.
“My position with the central government has been don’t give special treatment to Apple alone, but treat other players equally. Open the entire ecosystem for high-end manufacturing of electronics if you really want to compete with China and Taiwan,” he said.
He also added that the government should also offer companies, including the tech giant Apple, definite timelines, subsidies and incentives to generate a level-playing field for them.
“The government should give companies a timeline, say in 10 years they should be able to manufacture 100 percent of phones and its components by procuring them from the local market. Such a timeline should be given because we don’t have that environment now,” he said.