India has not allowed Apple to sell refurbished iPhone

Desire Apple open in India, brand shops did not release the company from having to follow the established rules. Despite a personal visit by the head of the Corporation in the country. Indian laws require that at least 30% of assortment of shops of foreign companies should be local products.

India has not allowed Apple to sell refurbished iPhone

The results of the recent visit of the head of Apple Tim cook in India are not exhausted. As it became known publication Livemint, which refers to the words of the Minister of trade and industry of the country, the government officially denied to the American manufacturer the opportunity to sell in India used iPhone.

Indian smartphone market is growing rapidly, attracting manufacturers. But its peculiarity is the demand for low-cost devices — up to $150. At the same time, the most affordable smartphone Apple — iPhone SE is worth $400. In other words, the premium models have little chance in India.

According to Indian government and permission of import of import the so-called restored iPhone would flood the market with “e-waste” disposal problem which is already acute in India. In addition, such a step would be contrary to the strategy of supporting local production, creating jobs.

India has not allowed Apple to sell refurbished iPhone

In 2015, Apple has already filed a similar application but it was rejected by the Ministry of environment of India. Since then, the situation in the smartphone market has changed significantly — the company is experiencing difficulties with sales as growth markets in the United States and China started to slow down. Besides, before Apple is the problem of recycling the huge number of devices received from users in an exchange program on new with surcharge.

According to forecasts, India in 2017 will become the second largest smartphone market after China, pushing the US into third place. This fact attracts manufacturers, faced with weakening demand in other markets facing the maturity stage. Apple now holds less than 2% of the smartphone market in India.

Earlier it was reported that India’s trade Ministry wants to help Apple to bypass local rules of retail trade. The Finance Ministry is ready to allow the company to open in the country stores only on the condition that the Corporation will sell them at least one-third of local products.

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