iPhone 3G for 800+ USD?

In this WWDC 2008 keynote, Steve Jobs said that the iPhone 3G will sell at 199/299 USD in almost all countries around the world.

Today I saw an email passing around which said that Dialog is selling the iPhone 3G for Rs 89,000, more than 800 USD! Few months ago, BT Options, the local Apple agent, was selling iPhones at Rs 120,000!!!