For the first time, Apple is going to sell iPhones online in India through its official website. It is a very big move for apple. Technically apple has never taken a step inside the country. Apple has mostly relied on various 3rd party online and offline retailers to sell its products. We all know that Apple products are sold at premium prices. Apple products are a bit more affordable in other countries like the USA and Australia.
This is due to Indian regulations of heavy custom duties on imported electronic goods. iPhones sold in India carry 20% customs duty over imports. The reason why apple does not sell its products in India itself is due to the law made by the Indian government. Brands cannot sell their products if they are not locally sourced at least by 30%. So foreign countries must have their offerings made at least somewhat within the country.
Apple, on the other hand, has most of his products sourced and manufactured in China which is the reason why we do not have any apple stores in India.
The good news is that the laws that apple has been lobbying against it for years now have finally been relaxed allowing the country to sell its products through official channels. The Indian Govt. is also allowing other single binary retailers to set up online stores before physical shops.
Furthermore, tensions between the US and China have been escalating which has impacted apple’s business operations. The new law changes could prove to be a boon to apple which is seeking to increase its sales in India while reducing its dependence on China.
If you are into the apple ecosystem so its a big deal considering Apple products will no longer carry the 20% extra import duty charges which means they will be more affordable than before. Apple is also currently manufacturing some models in India such as the Xs and the Xs max which are made in Bangalore and Chennai and are planned to further downscale its productions in China.