Bangalore: Media reports on last week alleged Nokia’s signs on shutting down its manufacturing plant in Chennai. Reports claimed that Nokia had written an e-mail to the commerce ministry voicing its displeasure to have become the “least favorable market” in India and had expressed its motive to shift completely to China. Further, the tech giant was also unhappy for not getting the expected “SEZ tax benefits” that was promised for 10 years when the plant was set-up in Tamil Nadu.

However on Friday, Nokia underwent a serious discussion with both the central and state government of India over new ideas to improve the country’s business environment. The Finnish manufacturer later released a new statement saying that the talks had been most “constructive and productive” and there was a true spirit of cooperation from both parties where the gadget company is said to have bagged a new government order to its favor.

Nokia also dismissed all rumors about closing the Chennai Plant by stating, “Manufacturing plant at Chennai continues to play an integral part in its global manufacturing strategy”. 

It is true that Nokia has been on the losing side when it comes to its market share in the past few years. And According to a recent fiscal survey, released by Voice & Data, Samsung Electronics has evidently dethroned Nokia to become India's largest mobile phone maker in the last year.