World's largest furniture retailer Ikea today announced a new initiative 'Make More in India' as it plans to double its sourcing from the country to about 630 million euro by 2020.
"The initiative is aimed at potential suppliers and to expand Ikea's supplier base as well as the categories of home furnishing products sourced in India. Ikea today sources for EUR 315 million and plans to double the sourcing by 2020," the company said in a statement.
Ikea South Asia Head of Sourcing Sandeep Sanan said: "We believe there is tremendous potential in India. We are looking for new suppliers who share our vision and values, are willing to grow with us and become world class suppliers. We believe that many suppliers will come from other segments who are looking to diversify their business."
At present, Ikea has 48 suppliers in India with 45,000 direct employees and about 400,000 people in its extended supply chain.
As part of this initiative, Ikea India will conduct two seminars - in Mumbai and Bangalore where more than 100 new potential suppliers are likely to participate.
The seminars will focus on enrolling new suppliers in existing categories like textiles and rugs; as well as for new home furnishing categories like furniture, mattresses, and sustainable materials like bamboo and acacia; and also growing suppliers for categories like metal, plastics, and lighting, the company said.
In September, Ikea said it plans to invest Rs 12,500 crore to set up 25 stores in the country over the next decade.
The new stores, each needing investment of around Rs 500 crore, will come in the cities such as Mumbai, Delhi, Hyderabad and Bangalore.
Ikea India has already received the FIPB nod to invest Rs 10,500 crore.
