So, I waited and waited and waited some more and could not find anyway on how to get Motorola Milestone in India. There was no news from company so I decided to take matter in my own hands.
It was available on UK online retailer
eXpansys on 10
th of December 2009, so I decided to order directly from them. In the end, it seems to have worked out very well. I ordered and my order reached in time before they ran out of stock.
Since they were shipping outside EU territory, I did not have to pay VAT which was 15%. That saved me £59.56. I had to pay £22.95 as shipping (in place of £5.95) so I ended up paying £17.00 extra.
The shipping was through DHL international and they cleared customs and charged me Rs. 2002/- as custom charges. In the end I got the phone for a price way less than what I would have paid if I got it shipped to somebody in UK and asked him to bring back.
Total cost to me for the phone was around Rs. 33,500/-. The only downside is that in place of $ symbol on keyboard, it has £ symbo.l. I think I can live with that.