“The offer is valid on purchase of Galaxy Note8 smartphone on offline retail stores across the country”
Samsung is running an offer on its 2017 flagship smartphone the Galaxy Note8 (review) in India. The handset can be purchased with up to Rs 19,000 discount on its MOP (Rs 42,999) for the base 6GB RAM option. However, there’s a catch here. First of all, the scheme is only valid for the offline market. Secondly, it is up to retailers whether they want to cap the discount at Rs 5,000 or 10,000 or any other amount, provided it does not exceed Rs 19,000.
This information comes to 91mobiles via a Samsung executive who wishes to remain anonymous. The person also said the company is looking to phase out the Galaxy Note8 smartphone, in India at least. This comes just a day after The Economic Times in a report said Samsung has informed the government it will have to stop manufacturing flagship models in India due to a new rule of the Make in India plan.
As per the government’s Phased Manufacturing Programme (PMP), manufacturers have to manufacture parts as well as products locally. If not, the company has to pay a 10 percent import duty that could go up to 11 percent for the components, thus making the product more expensive.
The rule was supposed to be implemented at any time in 2019-20, but it has been advanced to February 2019. While Samsung has its production unit in India, it still imports handset components like the display to India. Notably, the display panel accounts for 25-30 percent of a mobile phone’s production cost. The chaebol claims it had planned the manufacturing of these components in India by March 2020 based on previous PMP timeline.
According to the Economic Times, “the South Korean major has informed the Government of India that it will have to reduce mobile phone manufacturing in the country, stop local production of flagship models Galaxy S9 and Note 9 and curtail exports of smartphones unless the Make in India plan for components such as display and touch panels are not delayed.” It seems Galaxy Note 8 might fall victim to this strategy, unless the PMP timeline is not pushed back.