Latest news with #Brodin
News18
9 hours ago
- Business
- News18
IKEA to increase local sourcing from India to 50% by 2030
Agency: Almhult [Sweden] August 19 (ANI): Jesper Brodin, CEO of Ingka Group, announced that IKEA, which is part of the Group, will significantly expand its presence in India, aiming to increase local sourcing from the current 30 per cent to 50 per cent by 2030 as part of its long-term company plans to open 5-6 new touchpoints every year for the next five years, the Ingka Group CEO said. Ingka Group controls 90 per cent of IKEA's retail business, as per the company. These will include large-format stores, as well as smaller outlets located in malls and city centres, Brodin added. He said the company plans to double its number of stores and customer touchpoints in the country over the next 12 to 18 months. According to the Ingka Group CEO, major expansion is planned in Delhi NCR, with upcoming large-format stores in Noida and Gurgaon. Additionally, two more big stores are set to open in South India, though exact locations were not disclosed. Speaking to the media, Brodin said, 'We are actually redesigned to take it step by step in India, where the first opening back in 2018, I think it was, and then we learned a lot and adjusted for our second opening, which was moved by right. And then we continue step by step in the coming 12 to 24 months. We, basically, will have the opportunity to double our capacity in India."'Whether it's fast or slow…. the most important for us is not to be fast but to do it really good real estate prices, which is now, he converted. I think first India requires a lot of capital investment…We like to take this step to improve that. It actually gives us Financial as well, obviously in the big cities of India. The real estate prices are fairly high if you go back 20 years or 40 years, of course. It's a different board game, but this is what we are quite used to in other parts of the world as well when we look at the Investments," Brodin currently operates three large stores in Hyderabad, Navi Mumbai, and Bengaluru. The company has invested Rs 10,500 crore in India so far. It has also ventured into online retail, offering 24-hour delivery services in select areas to improve customer accessibility. On the sourcing front, IKEA currently works with 45 Indian suppliers, mainly for textiles and toys. Brodin added that while IKEA is currently operating around five to six stores in India, the company plans to accelerate its rollout after reaching the 10-12 store mark, indicating a faster pace of expansion in the coming years. IKEA is a multinational conglomerate that designs and sells ready-to-assemble furniture, home goods, and related services. It's known for its affordable, well-designed products, and its unique business model that often involves customers assembling their own in Sweden in 1943, IKEA has grown into a global leader in home furnishing with over 400 stores in numerous countries. (ANI) view comments First Published: Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy. Loading comments...
News18
9 hours ago
- Business
- News18
US tariff to have economic consequences, monitoring situation: Ingka Group CEO
Agency: Almhult, Sweden, Aug 19 (PTI) The new tariff regime by the US under the Trump administration will have economic consequences, however, there is still a lot of uncertainty over its impact, said Ingka Group CEO Jesper Brodin. Ingka Group, which operates IKEA stores in 31 countries, is monitoring the situation as it sources goods from several countries, including China and India, among others, for its global retail operations. Besides, Brodin expects India to be among its top ten markets for the Swedish furniture retailer in the coming years, where it looks to add around 6 touch points every year as part of its expansion plans in the second phase of growth. The retailer, which already has completed Rs 10,500 crore FDI, granted under single-brand retail policy, is now gearing for fresh round of investments in the country to expedite its growth journey. When asked about the impact of the tariff imposed by the Trump administration on several markets, including India, Brodin said: "It's still a lot of uncertainty on where it's going to land." ' So we continue to monitor it. But since we actually have very little opportunity to influence it, we need more (time) to get ready to adapt to it." However, he also added that now IKEA's supply chain is 'more regionalised". However, there are certain categories which are still import dependent. 'But I think the impact of any trade additional value add will of course, lead to economic consequences and then we will have to see in IKEA if we can absorb or what we need to do with it in the future," he said adding 'It is going to continue for a couple of weeks and months and then 'we will have to see what happens for the future." Over the negotiations going on between the European Union and the Indian government for a Free Trade Agreement, Brodin said he is a 'big believer" in these pacts, which are a 'win-win" for both sides. ' We do welcome and encourage these negotiations and think they will be able to the benefit both India and Europe. What we have seen over the years in IKEA is that when countries collaborate, it opens up for win-win across borders," he said. Europe is the largest market of IKEA, where it operates 250 stores,while India is among the top ten countries from where it sources for its global retail operations. 'At the same time, I think the long-term strategy for IKEA in India is still to increase the share of local sourcing. So it is a game, you can say, where the most important factor for us is to build volumes locally," said Brodin, who is handing over the baton to Juvencio Maezto, who was first IKEA India head for 5-6 years. Brodin will remain with Ingka Group till February and then act as a senior advisor for Ikea Foundation, the group's philanthropy arm. IKEA has been sourcing from India for the last five decades, though it started its retail operation in India in 2018 by opening its first store at Hyderabad, followed by Navi Mumbai and Bengaluru and several others such as Delhi NCR, are in the execution pipeline. Over expansion of retail network in India, Brodin said:"I think to a certain extent, we have been delayed a little bit due to the pandemic in particular. So that had an impact on our expansion plans. But right now, I think we are showing with our investments that we are serious." IKEA's current sourcing basket includes textiles, plastics, and metals, among others, and the company plans to add more items. Presently, Europe is IKEA's biggest supplier, followed by America and Asia, in which China leads. 'I think the long-term strategy for IKEA in India is to increase the share of local sourcing. The most important factor for us is to build volumes locally," he said. According to Brodin, in the coming 12 to 24 months, IKEA will double its store capacity in India. 'We are heading there. So we're building up volumes. And I would say, regardless of great trade relations, IKEA's direction will continue to be to increase the share of local sourcing in India," he said. When asked about the non-tariff barriers such as QCO (Quality Control Order) over imports of goods in India, Brodin said:" I have a slightly different view on the Indian policy." ' I think some people call it protectionism, but I think the Indian government is trying to stimulate domestic growth, and is very successful in that. So of course, there is a dialogue with different parts of the government to see, how can we be part of that," he said. For IKEA, it is not a political question or a matter of trade relations but a game of volumes. PTI KRH KRH ANU ANU (This story has not been edited by News18 staff and is published from a syndicated news agency feed - PTI) view comments First Published: August 19, 2025, 18:00 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy. Loading comments...
Time of India
5 days ago
- Business
- Time of India
Biggest IKEA retailer names veteran Juvencio Maeztu CEO as Brodin steps down
By Helen Reid The world's biggest retailer of IKEA furniture said on Wednesday CEO Jesper Brodin was stepping down after eight years, to be succeeded by Spaniard Juvencio Maeztu , the first non-Swede to lead the group. Maeztu takes the top job at Ingka Group as the Swedish retailer grapples with U.S. tariffs, wars and geopolitical tensions that risk disrupting its operations spanning 31 countries from Europe to China, India and the United States. Brodin, CEO since 2017, said his decision to step down was not easy, but that it was the right time to do so. Maeztu is to start in the new role by November 5, with Brodin staying at the company until the end of February to ease the transition. Deputy CEO and chief financial officer since 2018, Maeztu, 57, started at IKEA in 2001 as manager of the Alcorcon store in Madrid, later managing the Wembley store in London, before a six-year stint as CEO of IKEA India. "We've been riding through quite some storms together - pandemic, geopolitical issues, war, etcetera," Brodin, 56, told Reuters. "So in a way I feel proud of the things we have achieved but also super confident that the IKEA house is in good order and we'll be able to take off for the future with Juvencio." Under Brodin, Ingka Group invested heavily to improve online shopping for IKEA, driving the retailer's online sales up. Ingka also set new emissions reduction targets and reported in January that emissions fell by 30.1% from its 2016 baseline. Brodin said the appointment of Maeztu, who grew up in Cadiz and does not speak Swedish, shows IKEA's global culture works. The incoming CEO is setting off on a "listening tour" of its big blue stores around the world, starting in Asia, as he builds his strategy to grow the company which last year reported weaker net profit and revenue after slashing prices. "I am fully determined to make IKEA grow and to really be relevant for many millions more consumers around the world," Maeztu told Reuters. He has said tariffs make it harder for IKEA to keep prices low.
Fashion Network
6 days ago
- Business
- Fashion Network
Biggest Ikea retailer names veteran Juvencio Maeztu CEO as Brodin steps down
The world's biggest retailer of Ikea goods said on Wednesday CEO Jesper Brodin was stepping down after eight years, to be succeeded by Spaniard Juvencio Maeztu, the first non-Swede to lead the group. Maeztu takes the top job at Ingka Group as the Swedish retailer grapples with US tariffs, wars and geopolitical tensions that risk disrupting its operations spanning 31 countries from Europe to China, India and the US. Brodin, CEO since 2017, said his decision to step down was not easy, but that it was the right time to do so. Maeztu is to start in the new role by November 5, with Brodin staying at the company until the end of February to ease the transition. Deputy CEO and chief financial officer since 2018, Maeztu, 57, started at Ikea in 2001 as manager of the Alcorcon store in Madrid, later managing the Wembley store in London, before a six-year stint as CEO of Ikea India. "We've been riding through quite some storms together - pandemic, geopolitical issues, war, etcetera," Brodin, 56, told Reuters. "So in a way I feel proud of the things we have achieved but also super confident that the Ikea house is in good order and we'll be able to take off for the future with Juvencio." Under Brodin, Ingka Group invested heavily to improve online shopping for Ikea, driving the retailer's online sales up. Ingka also set new emissions reduction targets and reported in January that emissions fell by 30.1% from its 2016 baseline. Brodin said the appointment of Maeztu, who grew up in Cadiz and does not speak Swedish, shows Ikea's global culture works. The incoming CEO is setting off on a "listening tour" of its big blue stores around the world, starting in Asia, as he builds his strategy to grow the company which last year reported weaker net profit and revenue after slashing prices. "I am fully determined to make Ikea grow and to really be relevant for many millions more consumers around the world," Maeztu told Reuters. He has said tariffs make it harder for Ikea to keep prices low. Privately-held Ingka Group will report sales figures in mid-October for its financial year ending August 31. As the biggest franchisee, Ingka sells Ikea products manufactured by brand owner and franchiser Inter Ikea.
Fashion Network
6 days ago
- Business
- Fashion Network
Biggest Ikea retailer names veteran Juvencio Maeztu CEO as Brodin steps down
Deputy CEO and chief financial officer since 2018, Maeztu, 57, started at Ikea in 2001 as manager of the Alcorcon store in Madrid, later managing the Wembley store in London, before a six-year stint as CEO of Ikea India. "We've been riding through quite some storms together - pandemic, geopolitical issues, war, etcetera," Brodin, 56, told Reuters. "So in a way I feel proud of the things we have achieved but also super confident that the Ikea house is in good order and we'll be able to take off for the future with Juvencio." Under Brodin, Ingka Group invested heavily to improve online shopping for Ikea, driving the retailer's online sales up. Ingka also set new emissions reduction targets and reported in January that emissions fell by 30.1% from its 2016 baseline. Brodin said the appointment of Maeztu, who grew up in Cadiz and does not speak Swedish, shows Ikea's global culture works. The incoming CEO is setting off on a "listening tour" of its big blue stores around the world, starting in Asia, as he builds his strategy to grow the company which last year reported weaker net profit and revenue after slashing prices. "I am fully determined to make Ikea grow and to really be relevant for many millions more consumers around the world," Maeztu told Reuters. He has said tariffs make it harder for Ikea to keep prices low. Privately-held Ingka Group will report sales figures in mid-October for its financial year ending August 31. As the biggest franchisee, Ingka sells Ikea products manufactured by brand owner and franchiser Inter Ikea.
