India wants a commitment from Apple to bring manufacturing facilities to the country before the government will approve the company’s request to open its own retail stores, according to Bloomberg, quoting an unnamed “a senior government official with direct knowledge of the matter.”
The government may loosen existing policies that require local sourcing for companies that want to open stores if Apple announces a timeframe for some domestic manufacturing, the article adds. India’s Finance and Commerce Ministries are in talks about adjusting current policies to allow Apple to make a revised application, even if those facilities aren’t complete, according to Bloomberg. The article says the Cupertino, California-based company wouldn’t have to own the plant itself, but could work with a manufacturing partner like Foxconn as it does in China.
Getting a foothold in India has been a challenge for Apple. The company has opened its retail stores in a number of countries around the world, but not in India. The country has restrictive real estate investment laws for foreign companies.
What’s more, India’s Finance and Commerce Ministries rejected Apple’s request to sell used iPhones in the country. “We are not in favour of any company selling used phones in the company, however certified they may be,” commerce and industry minister Nirmala Sitharaman said.
