Decreasing sales in China has forced Apple to penetrate the growing Indian smartphone market. The manufacturing plant of the company has become operational this month. Apple’s official sources say that the company has manufactured the first batch of iPhone SE in the country. The company will also arrange shipment to local customers towards the end of this month. In an official statement, the company says that iPhone SE is the most popular device in the world.
Wall Street Journal has first reported the news of iPhones’ assembling in India. The Journal also reports that the manufacturing has taken place at Wistron plant. Wistron is a Taiwanese manufacturer and it has a plant in Bangalore. This local manufacturing shows Apple’s concerns over decreasing sales in China.
Apple also wants to take advantage of the tax exemptions. The Indian government is giving a lot of tax exemptions to local manufacturers. Earlier, it had imposed a tax on the import of costly smartphones. This domestic assembling will also decrease the manufacturing costs of the company. This will enable Apple to compete for the market in terms of price.
According to Indian law, the company must source 30% parts locally and decrease the cost. The original price of iPhone SE was Rs. 39000. In the home country, it is retailed at $399 which is roughly calculated as Rs. 25500. At present, iPhone SE costs Rs. 25000 and is counted among the medium range devices. The local manufacturing will further decrease the cost.
Apple is also famous for being stingy so far as price decrease is concerned. But, it is also a fact that it has to abide by the Indian laws. It is a ray of hope for the users that they would be able to get iPhones at lower prices.