IKEA targets to invest about Rs 500 crore in each of these proposed stores. The company has signed a memorandum of understanding (MoU) with the state government, which would facilitate time-bound and easy rollout of the company‘s business plans in UP through a single-window system mechanism.
The MoU was signed in the presence of UP Chief Minister Akhilesh Yadav and IKEA India Chief Executive Juvenico Maetzu and Country Property Manager Jeff Dolin. Besides, the company would also strengthen its supply chain and supplier network in the state.
IKEA already has a partnership with rural-based women in Varanasi for selling their products at its stores.
IKEA has been sourcing products manufactured in India for the past 28 years to showcase at its stores. Meanwhile, the minister said his government was working towards improving ease of doing business environment in UP.
Recently, UP has been ranked 10th in this parameter, while Gujarat tops the list. He said Rs 85,524 crore worth of investment came to UP from April 2012 to present.