IKEA to set up six stores in Delhi after acquiring land in Haryana

By

Maverick Martins

Published
Nov 3, 2017

Swedish furniture retailer IKEA has completed the land acquisition process for its foray into national capital Delhi and plans to open 5 to 6 stores over the next few years.
 

After Hyderabad, Mumbai and Bengaluru this is the fourth city where the furniture major has bought land and the company has said that the Delhi NCR region is a very important market for the company.

The 10-acre site was purchased by the Swedish retailer for Rs 842 crore (approx $130.5 million) from Haryana Urban Development Authority and is located in Sector 47, Gurugram in the National Capital Region (NCR).

“Delhi NCR is a highly strategic and important market for IKEA and will be one of our biggest markets in India. Along with retail stores, we will also focus on growing local sourcing and engage with local artisans and communities in many projects,” Juvencio Maeztu, chief executive officer of IKEA India said in a statement.
 
Ikea is expected to open three flagship stores in India next year, one in Hyderabad, one in Mumbai, and one in Bengaluru. It has set a target of 25 stores by 2025 for the Indian market.
 
Ikea will also introduce a new line of products at all its stores that have designed specifically for the Indian market after conducting 800 home visits over the last two years
 
“IKEA promises to bring a unique global shopping experience through our inspiring stores offering good quality affordable home furnishing products for the many people," Maeztu added.
 
IKEA’s entry into the country is expected to give major lift to the retail sector in country by creating jobs apart from contributing to the exchequer.  The company’s entry is also likely to benefit local farmers and suppliers who will help the firm meet its raw material requirements such as wood, jute, banana fibre, cotton, and bamboo.