After Narendra Modi led union cabinet eased the 30 per cent local sourcing norm in single-brand retail to boost economic growth, iPhone maker Apple is more than confident that the move will help the company in bolstering sales in the country. Apple has also announced that it will open an online exclusive store in India, which will be followed by a brick and mortar store in Mumbai.
‘We love our customers in India, and we’re eager to serve them online and in-store with the same experience and care that Apple customers around the world enjoy,’ said Apple in a statement.
The online exclusive store will help Indian consumers purchase Apple devices from the company’s own online store, along with the benefits of offers and discounts.
Apple said that it will take some time to get its plans underway and will have more to announce at a future date.
Commerce Minister Piyush Goyal on Wednesday announced, ‘it has been decided that all procurements made from India by the SBRT entity for that single brand shall be counted towards local sourcing, irrespective of whether the goods procured are sold in India or exported.’ He further added, ‘Further, the current cap of considering exports for five years only is proposed to be removed, to give an impetus to exports.’
Industry experts believe that easing the norms on local sourcing will not only boost the Indian economy but will also attract single brand owners such as Apple. In the second quarter of 2019, Apple reported 1.2 per cent market share in India.
According to Counterpoint Research, the iPhone shipments grew 19 per cent (YoY) in India in its last reported quarter. Owing to its heavy promotional offers, especially on iPhone XR, Apple regained top position in the premium smartphone segment in India in the second quarter (Q2) this year.