Nation/City

India is set for the trial assembly of Apple in Karnataka next month

India is set for the trial assembly of Apple in Karnataka next month

“Apple is slated to begin assembling of iPhones in India this year as the company seeks to step into the booming market of India where even middle class families are interested in the product as compared to China where sales are slow,” said company officials. According to sources, IT Minister of Karnataka had already given his acceptance for Apple to assemble its massively popular phones in Bangalore, the Southern state which is India's technology hub. Although, the giant has not commented yet on the minister’s statement and is presently continuing to remain a small player where a lag is seen in the sales of Apple phones as compared to Samsung. On this matter, Tim Cook, the Chief Executive at Apple, has said that the company is planning to "invest significantly" in India that has a population of 1.25 billion people. Apart from the statements of Company, minister of Karnataka has stated that the company is expected to start the manufacturing in the end of April and would first assemble the products for the domestic market. If we currently see the share of Apple Inc. in Indian market, then it is only 2% as compared to their rival Samsung, which is 23%. In fact, according to a report, the giant has applied to open independent stores in Indian market, but its demand was put down by the government as government policy rules state that the foreign retailers must source at least 30% of their product locally. However, the government has now eased down the rules a bit and allowed companies to meet their requirements to attract foreign investments. This could be beneficial for the creation of jobs as per the Make-in-India dream initiative of the Indian Government. As per the stats, the company had shipped almost 2 million devices to India and understands well that this country has a really good future for it’s products sales, so, it has now decided to manufacture its phone locally to response quickly to the market changes. Currently, the giant only sells 1% of the global sales in India which is very low as per the huge potential of Indian market.