In a drive for its ‘Make in India’ campaign, the Centre has requested that Apple generate annual industrial output worth $50 billion in India over the next 5-6 years. This would include expanding its domestically manufactured product line beyond iPhones to include Macbooks, iPads, AirPods, and smartwatches.
At a high-level conference between top government officials and senior Apple functionaries, the Tim Cook-led corporation was asked to build India as a global sourcing base that would be used to export fully-built products around the world, similar to what is already being achieved in China.
“A senior member of the government, including a top minister, was present at the meeting with Apple representatives,” according to a source.
According to them, India’s government told Apple that it is creating an enabling environment to boost electronics manufacturing in the nation, with a focus on exports.
Despite the fact that Apple’s key production partners, the Taiwanese three of Foxconn, Wistron, and Pegatron, have set up shop in India, the country’s manufacturing capacity pales in comparison to the company’s global requirements.
China, on the other hand, produces the majority of Apple’s products, with China accounting for approximately 95% of the company’s total output. Furthermore, Foxconn and Wistron currently produce for Apple in India, though the volumes are ‘near nil’ in comparison to what they do in China.
While some of the company’s production in India is exported, some products in its portfolio are not manufactured in India and are instead imported. Only the iPhone is currently manufactured in India, however, the iPhone 13 is not.
“Production-linked incentive (PLI) schemes are part of the enabling environment, which encourage enterprises to invest in and expand manufacturing in India. Also, capital subsidy programmes are being distributed, such as one for launching semiconductor production, in which the government has offered $10 billion in support to those wanting to invest “The source has been included.
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