Apple may open stores in India without sourcing norm for two years

Apple might be able to open its own retail stores in India without the local sourcing norm for two or three years.

The Indian government is in talks with the iPhone maker over such an arrangement as finance ministry, reportedly, is already in discussions over this matter with Department of Industrial Policy and Promotion (DIPP).

Apple’s proposal to open retail stores in India was rejected over 30 per cent local sourcing norm.

Finance Minister Arun Jaitley had recently stated the local sourcing was required for creating jobs in the country.

"When you offer such a large market to a foreign supplier, it's only fair that you expect him to create some jobs in India. Otherwise, we will become a complete nation of traders only," Jaitley had said.

However, India’s Trade Minister Nirmala Sitharaman, in a news conference, had hinted at opening the matter again.

Also, Apple said it is willing to open single-brand retail stores in India but without any conditions.

"It is only fair to insist on some local production and two-three years is a reasonable period. Five years may be too long," a source, who did not wish to be identified, told TOI.

Apple CEO Tim Cook sees India as a bright spot and wants to capture major share of the Indian smartphone market.

(Image: Reuters)