Apple managed to cap the price of the non-Pro models but increased the Pro models by Rs 10,000 each in the face of a weakening Indian rupee that reached Rs 80 to the US dollar, a lack of components, and a global logistics protest.
The iPhone 14 series debuts this year with the iPhone 14 priced at Rs 79,900, replacing the mini. However, in the US market, the same model would cost $829 plus taxes. This directly converts $1 to Rs 100.
As usual, this has sparked outrage on numerous social media channels, yet most people ignore the customs and taxes the iPhone is subject to.
More so since, despite Apple starting to produce the iPhone 14 in India, the majority of the new units will initially be imported into the nation. For instance, the US price of the iPhone 14 is $829. The state taxes, which vary from state to state in the US and can be as high as 7% in some of them, are not included.
The 18% GST that is typical throughout India and is included in the highest retail price stands in contrast to this. The GST alone is Rs 12,188.14 on the Rs 79,900 iPhone 14. This was tacked on top of the iPhone’s price, which also includes duties.
The production of the iPhone 14 has begun in India, where Apple has been expanding its assembly line. The iPhone 14 series will initially be imported, which also leads to higher customs duties.
Before GST on the iPhone 14, a completely assembled smartphone imported into India is subject to 22% charges, which come to about Rs 12,210.34.
Consumers pay a total of about Rs 24,398.47 in taxes & duties for the iPhone 14 which costs Rs 79,900. Additionally, the customs and taxes for the top-tier iPhone 14 Pro Max, which would retail for Rs 1,39,900, come to Rs 42,720.23.
Industry sources confirm that a variety of reasons, with duties and taxes being the largest, are to blame for the discrepancy in prices in India. Forex and commissions are among the additional variables.
For instance, corporations like Apple must account for currency instability and fluctuation when determining local pricing prior to the launch in addition to country-specific charges and taxes.
