IKEA CEO Expresses Strong Commitment to India Market, Highlights €400 Million Annual Exports

Ingka Group CEO Jesper Brodin Maeztu reinforced IKEA's strategic commitment to India during his participation at the World Economic Forum in Davos. Speaking to CNBC-TV18, Maeztu expressed his personal connection to the Indian market, describing himself as "emotionally biassed" towards the country and emphasizing that "India is deepening our heart, my family and myself."

Retail Expansion and Digital Growth

IKEA has established what Maeztu termed a "decent physical footprint" across India and has recently expanded its digital operations. The company has begun operating online in select cities in Tamil Nadu, marking a significant step in its omnichannel retail strategy for the Indian market.

Supply Chain Integration and Export Performance

The furniture retailer has achieved substantial export growth from its Indian operations, with annual exports crossing €400 million. This performance represents expansion beyond traditional textile categories into furniture and other product segments. Maeztu characterized this achievement as "just the beginning" of IKEA's export potential from India.

IKEA is actively working with Indian suppliers to prepare them for future growth opportunities and integration with the company's global supply chain. The CEO emphasized that quality control measures and higher standards would enable Indian suppliers to scale their operations internationally.

Market Positioning and Growth Strategy

Maeztu noted that India currently accounts for approximately 1% of global furniture production, a figure he believes has significant upward potential. The CEO stressed that IKEA's approach to the Indian market extends beyond volume considerations, stating that "the India story isn't just about quantity."

The company's strategy focuses on combining sustainability with affordability, with Maeztu suggesting that "India should be a worldwide example for how sustainability and affordability come together." He emphasized the importance of maintaining long-term consistency while navigating short-term market uncertainties.

Long-term Market Outlook

Maeztu outlined IKEA's decades-long commitment to the Indian market, emphasizing the company's patient approach to growth and development. He stressed that IKEA's supply chain design prioritizes affordability over time and that the company views India as entering a new phase characterized by sustainable growth through retail expansion and deeper supplier integration.

The CEO concluded by reinforcing the permanence of IKEA's commitment to India, stating that the company's outlook for the market "is rooted in decades, not years" and expressing confidence in the long-term partnership between IKEA and the Indian market.