Apple’s second-largest contract manufacturer, Pegatron, is eyeing India’s southern state of Tamil Nadu to set up shop, as per people in the know of developments. CNBC-TV18 has learnt that the availability of skilled labour is a key consideration for the company.

Pegatron is one of the 5 major global players to have applied under the government's flagship Rs 40,000 crore Production Linked Incentive (PLI) scheme for mobile manufacturing. Apple’s contract manufacturer Foxconn is already operational and manufacturing in the Sriperumbudur region of Tamil Nadu.

Looking to host Peagtron’s investments, the TN government has assured of subsidies on capital, land lease costs, interest and single window clearance.

But Pegatron is not short of options. Uttar Pradesh, which has already written to Pegatron, is also offering subsidies on land as well as capital subsidies. States of Andhra Pradesh, Telangana, Karnataka, Maharasthra are also in the running.

It's noteworthy that another contract manufacturer of Apple, Wistron, already has an operation in Karnataka. Foxconn subsidiary, Rising Star is operating out Andhra Pradesh. Meanwhile, Noida is home to Samsung’s manufacturing facilities.

First Published:Sept 15, 2020 7:23 PM IST