According to Economic Times, in a meeting two weeks ago among Apple, the Revenue Department, Department of Industrial Policy and Promotion (DIPP) and electronics ministry officials, the company made a presentation on its plans for component manufacturing in India, flagging concerns over the lack of a supplier base.
Apple has sought import concessions for suppliers till it has a vendor base in the country. The revenue department will decide on custom duty exemptions for imported components based on the view taken by the electronics ministry, but it’s unlikely that such a concession will be made under the GST regime, which is expected to roll out on July 1. Apple had asked the government for a 15-year custom duty exemption on components.