Apple is slated to make iPhones in India by the end of April. Why would they do this?
Money.
The U.S. company will have Taiwan's Wistron Corporation put together the iPhones in Bangalor. Apple negotiated a 15 year tax holiday to import components and equipment. Apple says it wants to sell most of the iPhones in the India market. Apple also intends to open some retail Apple stores in India.
Needless to say, labor is very cheap in India.