Android is costlier to produce because:
The API's have more gotchas and simple bugs than the Apple ones.
The 1.6 API in particular has some hairy bugs.
The debug cycle takes considerably longer (almost 3x as long as the iPhone debug cycle for a non-media app).
The debugger doesn't work as well.
The lack of a GUI UI layout tool (there are some, they don't work well yet).
The project setup is considerably more time intensive (barring signing issues, which experienced iPhone shops don't have issues with really).
Now it's not all against android: The lax approval criteria and ease of market publications are awesome. I'm just saying it costs MORE to do android, I'm not saying don't do it.
And yes, you're right, custom widgets are harder in android than in iOS. If it makes you feel better, I find the amount people change iOS custom widgets silly too.