Apple is expected to significantly scale up its production operations in India by over fivefold to approximately $40 billion, equivalent to Rs 3.32 lakh crore, within the next half-decade, according to a new report by PTI based on government sources.
A source within the government, who wishes to remain anonymous, revealed that Apple had already surpassed the $7 billion production milestone in the previous fiscal year.
“Apple has plans to increase production in India to over USD 40 billion in the next 4-5 years. It has crossed USD 7 billion in the last fiscal,” the source was quoted as saying by PTI.
For those unfamiliar, Apple already manufactures iPhones in India, and this year, customers received “Assembled in India” iPhones on the launch day, September 22. This marks a significant improvement compared to last year when India-made iPhone 14 units reportedly took a month to reach store shelves and customers’ hands.
Additionally, Apple has opened two official stores in India, namely Apple BKC in Mumbai, Maharashtra, and Apple Saket in New Delhi. Both stores, according to Apple, have “exceeded expectations” and are performing well.
Furthermore, Apple CEO Tim Cook has emphasized the importance of India as one of the most crucial markets for the Cupertino-based tech giant. Last year, Cook described the Indian market as “incredibly exciting” and a “major focus” for the company.
With that said, a PTI source also revealed that while Apple may not have plans to “participate in IT hardware PLI (for now), they may come at a later stage but as of now their focus is to scale up existing production levels.”
Apple also released its third-quarter results last month, with Luca Maestri, Apple CFO, stating that the company “set an all-time revenue record for iPhone in India” and achieved “June quarter records and revenue growth in double digits for iPhone in India with a very strong performance.”
Given these developments, it’s not surprising that government sources are closely monitoring Apple’s expansion plans in India as the company seeks to reduce its dependence on China and capitalize on the promising Indian market.