McDonald's Israel, a franchise of the American fast food chain, has rejected an offer to open a restaurant in the Jewish settlement of Ariel in the occupied West Bank, media reported on Wednesday.
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Israeli television stations said the company had rejected for "ideological reasons" an offer to locate in a mall under construction in Ariel that is due to open at the beginning of next year.
Housing Minister Uri Ariel, a member of the far-right Jewish Home party, reacted by calling on Israelis to boycott McDonald's, the reports said.
"Those who boycott should know that they will be boycotted," he was quoted as saying.