Ikea, the world’s largest furniture retailer, has purchased 23 acre land parcel in Navi Mumbai along the Thane-Belapur Road, for its second store in India after Hyderabad. The Swedish company is planning to open a 400,000 sq. ft store in Navi Mumbai.
The proposed Mumbai store is expected to draw more than five million visitors a year, the company said in a statement, while explaining that the location has good access to public transport as it is next to a suburban railway station, Turbhe, located on the Thane-Belapur road.
Ikea’s first store in the country is expected to open in early 2017. The company is also evaluating suitable sites in Bengaluru and the National Capital Region centred around Delhi and plans to open 25 stores in India by 2025. It has recently signed a memorandum of understanding with Haryana government and said it will invest an estimated Rs 2,000 crore to open stores in the state.
Each Ikea store will employ 500-700 workers directly and another 1,500 indirectly, engaged in providing services.
Ikea has been sourcing from India for the past 30 years for its global stores. It currently has 50 suppliers in the country with 45,000 direct employees and 400,000 people in the extended supply chain.
The company is one of the first large global retailers to have got permission for single-brand retail following the foreign direct policy announcements in multi-brand and single-brand retail in September 2012.
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