Last year, the Indian Commerce Ministry had rejected Apple’s request to sell refurbished iPhones in India. Now, according to a latest report from Bloomberg, the company is reviving the idea of selling refurbished phones in the country.
Apple said “it will have manufacturing infrastructure needed to make them compliant with quality standards”. The company has reportedly told officials that its certified pre-owned program would meet environmental and quality requirements and also be open for third party-audits and checks. As per the report this is one of the concessions in the deal to begin manufacturing phones in India. The Indian government is concerned over allowing Apple and other vendors to import used phones in the country as they would flood the market with cheap goods, and this in turn could affect the “Make in India” initiative.
Apple wants a fifteen year tax holiday on imported parts and equipment. The company had previously claimed that refurbished iPhones are not second hand devices and are made by the original equipment manufacturers and thus they come with the same quality assurance as the new devices. They even boast of one year warranty and sport a new serial number and IMEI number.
Last week, the government of Karnataka welcomed Apple’s proposal to begin “initial manufacturing operations” in Bangalore. Apple shipped record 2.5 million iPhone units in India during 2016.