IKEA suppliers based in Poland and Central Europe met with IKEA and the officials to explore setting up large scale manufacturing units in India. The idea is that they will bring with them global expertise, knowledge and manufacturing techniques and generate new employment opportunities in India. This move by IKEA is in line with its growth strategy of doubling sourcing volumes from India by 2020.
H.E Indian Ambassador to Poland Ajay Bisaria said, “It is very exciting to take part in the Make More in India workshop where we present the opportunities India and IKEA together can offer Polish companies. I sensed a good response and hope we can soon see IKEA furniture, made in India, by Indian workers in factories created by Polish entrepreneurs. We welcome this initiative!”
Responding to the Prime Minister’s Make in India call, IKEA organized its fourth ‘Make More in India’ seminar in Warsaw, Poland on September 8, in collaboration with Invest India, the country’s official agency dedicated to investment promotion and facilitation for Government of India.
Siddhartha Anand, Head Research & Investment Facilitation, Invest India said, “Supporting IKEA in creating a bigger supplier base in India is in line with the PM’s Make in India campaign. IKEA has a solid foundation in design and sustainable manufacturing and bringing foreign technology and knowhow will speed up the establishment. This will help create massive employment opportunities. IKEA’s polish suppliers will also create a big demand for raw materials, enriching the local entrepreneurial eco-system.”
Sandeep Sanan, Head, New Business IKEA India said, “Having 20 of IKEA’s key Central European suppliers in a room discussing the big possibilities that India offers was fantastic! The average time these suppliers have worked with IKEA was more than 10 years. That’s a lot of knowledge and experience”
He added, “To support retail expansion in Middle East, India & China we see an opportunity of opening 35-40 suppliers in India in next 3-5 years. IKEA today has 50 suppliers in India with about 45.000 employees directly involved in the production of IKEA products. Our suppliers are our strategic long term partners, and we share knowledge and technologies to be able to grow together.”
Earlier in the year, IKEA has organized Make in India seminars in Mumbai, Bengaluru and Hyderabad. IKEA plans to organize more such seminars in order to find new suppliers for its growth agenda in India.