The company has asked to bring in used iPhones to be refurbished and sold in India, saying it will have the manufacturing infrastructure needed to make them compliant with quality standards, said the person, who asked not to be named as the matter is private. The request is included in a list of concessions submitted by Apple to a panel of government officials that includes a 15-year tax holiday, the person said.
Apple’s last attempt at such a license was met with resistance as industry executives and government ministries cited risks such a move would open the floodgates to used electronics and undermine the”Make in India’ program to encourage local manufacturing. The world’s most valuable company is exerting its brand influence at the negotiating table as pre-owned devices will be cheaper and target the price-sensitive market.
Apple’s latest request comes as it dangles the prospect of setting up large-scale manufacturing in India. Last week, a regional minister said the company will start assembling iPhones in a facility of its partner Wistron Corp in Bangalore by the end of April.
Apple has told officials that its certified pre-owned program would meet environmental and quality requirements and also be open for third party-audits and checks, the person familiar said.
“The government is concerned and will look to framing policy to ensure that India does not become a used electronics dumping ground,” Gupta said.