As Apple Inc looks set to penetrate Indian market, industrial major Tata group is reportedly investing Rs 5,000 crore in a manufacturing facility which makes iPhone parts.
The manufacturing plant will generate employment for around 18,000 employees by October 2021 and a huge chunk of work force will comprise women.
According to reports, the land allocation has already been done at Hosur in Tamil Nadu. The century-old group got the nod from Tamil Nadu Industrial Development Corporation (TIDCO) to acquire around 500 acres of land.
Tata has already formed a new entity known as Tata Electronics which will subsequently linkup with Apple to produce iPhone parts and thereby manufacturing cheaper handsets for Indian consumers.
According to several media reports, an inauguration ceremony of the land at the facility was held on October 27. Besides, two southern states- Tamil Nadu and Karnataka- were involved in bringing the investment to their respective states, with TN getting the bragging rights.
Titan Engineering and Automation (TEAL), a unit of Titan, will oversee the establishment of the production facility, which can be expanded further in coming years. The plant will also cater to the needs of Asia-Pacific region as majority of exports will be to APAC countries including Bangladesh and Pakistan.
Tata group's plan to join hands with Apple will surely support the Make in India initiative of the central government. Since Apple already has Foxconn making iPhone models within India, the new plant will reportedly focus on iPhone components instead of overall smartphone assembly and manufacturing.
Recently, Apple launched its next-generation iPhone 12, with faster 5G connectivity that the company hopes will spur consumers to trade in their old phones and keep its sales booming throughout 2021.