As per industry sources, the centre has proposed Apple to generate annual production output worth $50 billion in India over the next 5-6 years in a push to country’s ‘make in India’ programme. This would include expanding its locally-made product kitty beyond iPhones to include Macbooks, iPads, air pods and watches.
Apple has been reportedly asked to develop India as a global sourcing base which would be used to export fully-built products across the world. Though its top production partners, the Taiwanese trio of Foxconn, Wistron and Pegatron have set up base in India, Apple’s manufacturing in the country remains minute when compared to its global needs. On the other hand, China accounts for the majority of Apple’s production and an estimated 95 per cent of its goods are sourced from there.
Furthermore, Foxconn and Wistron are already manufacturing for Apple in India, though volumes are ‘near negligible’ when compared to what they manufacture in China. A part of the production in India is exported, though other products from its portfolio are not made here and simply imported.
The production-linked incentive (PLI) schemes provides impetus and has been encouraging companies to invest in, and grow, manufacturing in India. In addition, capital subsidy plans are being given out, such as the one allotted for starting semiconductor manufacturing where the government has extended a support of $10 billion for those willing to invest.
