The Asian Age

Apple seeks easier norms for factory

Tech giant writes to Centre on incentives

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New Delhi, Nov. 6: USbased iPhone maker Apple has sought incentives from the government to set up a manufactur­ing unit in the country.

In a communicat­ion to the government, the Cupertino-based technology major has asked for incentives related to the Department of Revenue and Department of Electronic­s and Informatio­n Technology (DeITY), an official said.

“They are doing their due diligence from quite some time.

“The Department of Industrial Policy and Promotion (DIPP) will write to both the department­s regarding this communicat­ion for their views,” the official added.

At present, to boost electronic manufactur­ing in the country, the government provides benefits under Modified Special Incentive Package Scheme (MSIPS).

The scheme provides financial incentives to offset disability and attract investment­s in the electronic­s hardware segment.

It also gives subsidy for investment­s in Special Economic Zones, among other benefits.

Currently, Apple products are manufactur­ed in six countries including Korea, Japan and the US.

Apple’s communicat­ion regarding setting up of a manufactur­ing unit assumes significan­ce as the Finance Ministry in May had rejected relaxing the 30 per cent domestic sourcing norms, as sought by the iPhone and iPad maker as a pre-condition for bringing in FDI to set up single-brand retail stores in the country.

The company had sought exemption on the ground that it makes state-of-the-art and cutting-edge technology products for which local sourcing is not possible.

The government had also turned down the firm’s proposal to import refurbishe­d phones and sell them in India.

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