A government panel has recommended the removal of a trading obstacle that would free Apple India to open single-brand retail stores across the country, one of its few growth markets.
A three-member panel has recommended the waiving of the mandatory 30 per cent local sourcing condition for Apple, which earlier this year asked the government to consider the exemption. The reason for the waiver is said to be the cutting-edge technology the company would bring to India, reports The Tech Portal.
With the committee’s finding, Apple is just a step away from a final decision. The Department of Industrial Policy and Promotion (DIPP) will send the proposal for final approval to the Finance Ministry.
In November last year, India scrapped the condition of 30 per cent local sourcing for overseas companies seeking to invest more than 51 per cent equity in the single-brand retail segment, if certain other conditions are met.
Chinese tech retailer Xiaomi has also applied to open single-brand stores in India while seeking the sourcing exemption for a range of products including Wi-Fi amplifiers, Bluetooth speakers and power banks.