IKEA Envisions More Makeovers for Indian Homes

Swedish furniture retailer IKEA is considering further investment in India following the utilization of its initial commitment of Rs 10,500 crore since its entry into the country. Presently engaged in establishing projects in Delhi-NCR set to open in 2025, the company aims to fulfill its 10-year investment commitment.

In addition to Delhi-NCR, IKEA is contemplating expansion into other cities like Lucknow and Chandigarh. Pune and Chennai are actively under consideration beyond the National Capital Region, and Kolkata is also on the agenda, with a phased implementation approach.

The decision on the next investment tranche will be made by its parent company, Ingka Group, assessing India's growth potential. IKEA is strategically focusing on the southern and western regions, guided by its omnichannel approach.

Furthermore, IKEA is actively increasing its sourcing from Indian markets for global retail operations. By expanding its presence with more stores and online markets, the company aims to boost local sourcing, particularly in textiles, plastics, metals, stainless steel, mixed materials, handicrafts, bulky furniture like mattresses and sofas, and the local production of wood-based furniture.

Having commenced retail operations in India with the inauguration of its first store in Hyderabad in August 2018, IKEA is poised for potential growth, aligning its strategy with key sectors in the Indian market.

News by Rahul Yelligetti