Sweden’s Ikea plans to more than double its investment in India to over ₹20,000 crore ($2.20 billion) over the next 5 years, as the furniture retailer looks to open more stores and expand local sourcing, a top executive said on Monday.
Ikea, which opened its first India store in Hyderabad in 2018, will also start accepting online orders in 4 additional cities where it does not yet have physical stores. These include Chennai and Coimbatore in Tamil Nadu.
“(India) is not a large Ikea country yet … But the belief in India is very strong that it will be one of our top markets,” said Patrik Antoni, CEO of Ikea India, in an interview with a news agency.
Ikea’s India sales rose 6% to ₹1,861 crore in the year ended August 2025. Antoni said the company aims to increase sales by 4 times, supported by plans to expand its store network to 30 locations from the current 6.
The retailer will follow an online-first approach before opening physical stores in new cities. This marks a global first for Ikea. The strategy reflects changing consumer behaviour, as younger shoppers prefer online purchases to avoid traffic, said Bhavana Jaiswal, country e-commerce integration manager.
Online sales currently contribute over 30% of Ikea’s total India revenue. The company plans to raise this share to 40% in the coming years.
Ikea will also double its production for domestic sales and exports to €800 million ($930 million), Antoni said, as the company strengthens its sourcing base in India.
The expansion comes at a time when several global brands are increasing export production in India to lower costs. Consumer companies across sectors, from footwear to automobiles, are also stepping up sourcing to meet domestic demand.
Last year, US President Donald Trump doubled tariffs on certain imports from India to as much as 50%, prompting many industries to look for new markets. However, Antoni said the impact on Ikea’s Indian suppliers has been limited, as the brand ships more products to other regions, especially Europe, where most of its stores are located.
Also read: Viksit Workforce for a Viksit Bharat
Do Follow: The Mainstream formerly known as CIO News LinkedIn Account | The Mainstream formerly known as CIO News Facebook | The Mainstream formerly known as CIO News Youtube | The Mainstream formerly known as CIO News Twitter
About us:
The Mainstream is a premier platform delivering the latest updates and informed perspectives across the technology business and cyber landscape. Built on research-driven, thought leadership and original intellectual property, The Mainstream also curates summits & conferences that convene decision makers to explore how technology reshapes industries and leadership. With a growing presence in India and globally across the Middle East, Africa, ASEAN, the USA, the UK and Australia, The Mainstream carries a vision to bring the latest happenings and insights to 8.2 billion people and to place technology at the centre of conversation for leaders navigating the future.
