IKEA Boosts Sourcing in India, Eyes 50% Local Contribution

Swedish global home decor and furniture retailer IKEA has identified India as a critical focus market, ramping up its local sourcing efforts. An official stated that IKEA plans to increase local sourcing for its domestic retail business from 30% to 50%.

This strategic shift is aimed at bolstering local and global operations while generating jobs across the supply chain, according to Christina Niemelä Ström, Head of Sustainability for Supply, Inter IKEA Group. India currently ranks within IKEA's top ten sourcing countries, procuring products worth around 400 million euros for global retail.

IKEA's current sourcing from India includes textiles, plastics, and metals, with ambitions to add more categories like sofas and mattresses. As Europe remains the largest supplier, followed by America and Asia, the focus on India aligns with sustainable farming practices, benefiting local farmers economically.

(With inputs from agencies.)