I don't see how India is much of an improvement in labor costs. Unless I'm mistaken, India has some very strong worker protection laws for manufacturing companies. It's pretty hard to fire employees in India. Also, India is quite bureaucratic. Unlike China, India is not an export-driven economy. It has strong internal consumption. India doesn't even allow foreign retail companies to set up shop in India unless their goods are sourced from India. That's what's been holding Apple back from opening up retail stores in India.
Apple is in this to make money but I don't think Apple is courting India so hard over labor costs because I don't see how Apple would be saving any money in India. Apple wants to capitalize on India's growing middle class.