Apple’s Plan for Refurbished iPhones Is Rejected in India

India has rejected Apple’s request to import and sell refurbished iPhones to the world’s second largest mobile population, a telecommunications ministry official said. Apple has been seeking permission to import and sell used phones to court price-conscious consumers with a similar proposal rejected in 2015 by the environment ministry. Apple’s rivals have mounted a public campaign against the effort, arguing that such a move would trigger a flood of used electronics while defeating the government’s Make-in-India program to encourage local manufacturing.

The decision is a setback for Apple, which has just 2 percent of Indian phone shipments but needs to tap new markets as global iPhone sales plateau. The US company is also seeking permission to open its first Indian retail stores, key to driving its brand in a market dominated by local vendors. That decision is pending.