Apple had been in negotiations with India for some time, mainly seeking tax concessions to keep the cost of producing the phones very low. India has reportedly refused most of the company's demands.
"Apple India has sought concessions, including duty exemptions on manufacturing and repair units, components, capital equipment including parts and consumables for smartphone manufacturing and service/repair for a period of 15 years," Commerce and Industry Minister Nirmala Sitharaman told the Rajya Sabha, the upper house of India’s Parliament.
Still, the nation is reportedly working closely with Apple so that the tech giant can move forward with its plans.
“We want Apple to manufacture in India. They are also very keen,” an official who works closely with Indian Prime Minister Narendra Modi told the paper. ”We will try to accommodate as much of their demands as possible, but they too appreciate and understand our limitations.”