Swedish furniture giant IKEA to set up its maiden India store in Hyderabad
The iconic Swedish furniture, household goods and textiles retail company – IKEA – has zeroed-in Hyderabad as its destination for the first store in India. A high level team from 41 billion euros worth company, represented by Mr.Juvenico Maeztu (CEO), and Ms.Preet Dhupar (CFO) met the Chief Minister K Chandrasekhar Rao at Secretariat.
IKEA was one of the first companies in India to be allowed 100% FDI in retail. The retail outlets have a standard design and each location entails an investment of about $100 million (about Rs. 600 crores).
In addition, the backward integration of supplier linkages will have tremendous economic impact to the State. During the deliberations, women entrepreneur groups, bamboo and wood artisans, carpet makers of Warangal as well as SERP women’s groups have been identified as potential suppliers.
The Chief Minister informed the delegates that his office will have a chasing cell to take care of the needs of potential investors right from arriving at the airport till they start the industry. With the grounding of ITIR project, Hyderabad will see a huge expansion in the near future, ultimately becoming a hub for industries, he said.
Chief Secretary Mr. Rajeev Sharma, Principal Secretary to the Government Mr. S. Narsing Rao, Special Chief Secretary (Industries) Mr. Pradeep Chandra were present at the meeting.
Several governments were vying for IKEA to set its shop in their respective States. But it turned out that IKEA has become the latest feather in the new-born Telangana’s cap – a direct result of the industry-friendly government under the dynamic leadership.