Startup News

IKEA plans to upscale toy sourcing from India

According to reports, Swedish Furniture major IKEA plans to surge it’s sourcing of toys from India for its operations in the country.

The company is also exploring to expand in some other categories such as wooden toys.

Moreover, it currently sources only cotton-based soft toys from India with a range of over 1,000 products.

These products are a part of its children’s range contributing around 6-8 per cent currently. The target is to reach 10-12 per cent in the near future.

Further, IKEA India is aiming to have around 12 per cent of sales from kids’ range of products in the coming years.

The company is focusing on collaborating with several players in the toy segment to explore more opportunities.

However, the product range also includes beds and mattresses specifically made for children, ergonomic storage and seating solutions.

One of it’s primary reasons to participate in the toy fair organised in India is to understand the ecosystem.

Also, IKEA with forestry-certified wood always sources from sustainable sources.

Meanwhile, the government has created eight toy clusters with some significant investments in that space.

IKEA is planning to develop new categories such as furniture, mattress, and sofas.

Besides this, it is also building the textiles category which is traditionally strong in India.

IKEA India which is a part of Ingka Group, launched its first retail store in Hyderabad in August 2018. Online stores in Mumbai, Hyderabad, and Punealso opened.

Moving forward, it has been sourcing from India in terms of its global operations for the last 35 years.


Check all the recent news updates and share market updates


 

Get 90% Discount on Brokerage Now! Open Demat Account