This price drop could mean different things. Let me interpret them. Apple used India for dumping their first generation products. Now it is planning to clear their inventory as soon as possible and move on to iPad 2. Or it is planning to clear off iPad in India and probably launch iPad 2 in India – a highly unlikely option, given Steve Jobs love for India. The third option is even though a late entrant to Indian market, Apple might just want to give Olivepad, Galaxy Tab and probably Adam, a run for their money. Either way, you the consumer, is going to benefit a lot.
Irony is, the cheapest iPad 2 costs $499 and can be procured for Rs. 23K. If you have connections then nothing like it.
Source : Pluggd.in