In February, there was a report that had been released where it stated that India would allow Apple to open their stores as per the information that was corroborated by Economic Times of India. Generally, the retail stores of single brands are not permitted to open their stores in the country unless 30% of the company products are manufactured or made in the country.
However, an exception has been granted to Apple due to the fact that the products that the company makes is technology that is cutting edge.
On the basis of the recommendation of a panel of government officials gave an exemption to Apple from the mandatory norms of local sourcing. This is a move which will actually help Apple to pave its way into the country so that they can use the opportunity to open their retail store in India. The source also went ahead to state the committee had decided to exempt Apple since their found that the products were state of the art and cutting edge technology. This is why the consideration was given to the company and was exempted. This is something that can be a really big deal for the company.
Time Cook the CEO of the company met with Mr. Narendra Modi the Prime Minister of the country in September where discussions took place between the two about the increased presence of the company in India. The recommendation of the panel could mean that the company has almost got the green single, however the Finance Ministry is yet to approve it. For Apple, the Indian market is relative small, however last year, a total of 1.9 iPhones were shipped to the country. Tim stated that during the recent call of earnings, he sees a huge potential in the future with the country.
