14 DAY TRIAL // Apple’s plan to sell refurbished iPhones in India has been blocked by the government, according to reports citing people close to the matter, as this initiative would be against the country’s push to support local production.
An official announcement in this regard has not yet been made, but Bloomberg reports, citing “a telecommunications ministry official,” that India has decided to reject Apple’s plans to import used iPhones and sell them at lower prices in the country.
The government keeps encouraging companies to manufacture products locally and even has a program called Make-in-India to support firms that are willing to set up new production facilities in the country.
Apple is already trying to get the government’s approval to open retail stores in the country, but an answer on this topic is yet to be offered. Yet, Apple requested for permission to set up retail stores in India when the plan to sell refurbished iPhones in the country was still on, so it’s not known if the company still wants to go forward with setting up retail network there or not.
Phone makers opposed to Apple’s plan to import used iPhones
A group of phone manufacturing companies that include big names such as Samsung, Micromax, Intex, and Karbonn, has previously opposed Apple’s plan to import refurbished iPhones in India and sell them at a low price. A letter sent to the Indian government requested local authorities to reject the request, citing environmental issues as the main reason.
“The millions of imported used phones will need their batteries replaced. What will happen to those batteries, where will they go?” said Sunil Vachani, chairman of Dixon Technologies. “I am against any change in policy with regard to import of used phones.”
Apple is expected to submit another request to bring refurbished phones in India, as the company sees the country as one of the markets where the iPhone could benefit from continued growth and thus support the recovery of this declining business.