 "IKEA hails Govt's nod; to offer affordable goods")
"We feel very welcome in India. This is a big step in our journey to open IKEA stores in India. We feel very confident that the people of India will love to visit and to shop at IKEA," IKEA India Chief Executive Officer Juvencio Maeztu said in a statement.
The company will offer "good quality home furnishing products and solutions at affordable prices," Maeztu added.
More From This Section
The government today formally allowed IKEA to invest Rs 10,500 crore for setting up single-brand retail stores to sell mostly home furnishing items.
Commenting on the development, IKEA Group President and CEO Mikael Ohlsson said: "This is a very positive development. Since many years already, India is an important market for the IKEA Group from a sourcing perspective.
"We have been active in the country for more than 25 years and will continue to increase our sourcing in India from both existing and new suppliers building on long-term relations and shared values."
IKEA has proposed to set up 10 furnishing and homeware stores as well as allied infrastructure over 10 years in India by investing about Rs 10,500 crore. Subsequently, it plans to open 15 more stores.
The global furniture major has also been allowed to run cafes and restaurant within its single-brand stores in India but has been prevented from selling packed food items.