Swedish furniture retailing giant IKEA today announced the purchase of its first land parcel in Mumbai Metropolitan region to build a 4,00,000-sqft store.
This will be the second store in the country after Hyderabad. The 23-acre site is strategically located in Navi Mumbai on the Thane-Belapur Road, a company statement said.
The IKEA store in Mumbai is planned to be of around 4,00,000 square feet and is expected to have an over 5 million visitors per year, indicative of the company’s large expansion plans in the country.
To be easily accessible the store site has good access to public transport and next to an existing suburban railway station, Turbhe.
The company in parallel is evaluating suitable sites in the cities of Bangalore, Mumbai and Delhi and NCR and plans to open 25 stores in India by 2025, it said.
“Maharashtra is one of the most important market for IKEA. Along with setting up retail stores, we will expand our supplier landscape and grow local sourcing as much as possible.
“Each Ikea store will employ 500-700 coworkers directly and another 1,500 indirectly, engaged in providing services,” Juvencio Maeztu, Chief Executive Officer of IKEA India said.
“We are committed to having 50 per cent women in our organisation at all levels and giving equal opportunities to all. We will bring a unique shopping experience through our inspiring stores offering affordable home furnishing products for the many people in Mumbai,” he added.
IKEA has been sourcing from the country for the last 30 years and plans to double its sourcing volumes by 2020, it said.
Through its 50 suppliers, the retailer employs 45,000 people directly and about 400,000 in the extended supply chain.