Swedish home furnishings major IKEA has announced plans to more than double its investment in India, committing around $2.2 billion (₹20,000 crore) over the next five years as it sharpens its focus on one of its fastest-growing markets.
The company, which entered India in 2018 with its first store in Hyderabad, currently operates six stores across cities such as Mumbai, Bengaluru and Hyderabad. As part of its expansion strategy, IKEA plans to open up to 30 stores in the country in the coming years, significantly increasing its physical retail presence.
IKEA India CEO Patrik Antoni said India is expected to become a key growth driver for the group globally. While India still contributes a small share to IKEA’s overall revenues, rising urbanisation, a growing middle class and increasing demand for affordable home solutions make the market attractive in the long term.
Alongside store expansion, IKEA is placing strong emphasis on e-commerce. In a first for the company globally, IKEA plans to launch online sales in some Indian cities before opening physical stores. This approach will allow the brand to reach customers in cities where it does not yet have stores, including places like Chennai and Coimbatore.
IKEA’s India sales grew by about 6 per cent in the year ended August 2025, touching nearly ₹1,861 crore. The company aims to quadruple its India revenues as investments in stores, logistics and digital platforms begin to show results.
The new investment will also support IKEA’s sourcing operations. India is already an important supplier for the group, and IKEA plans to increase its exports from India to around €800 million in the coming years. This move will strengthen India’s role as a global manufacturing and sourcing hub for the company.
IKEA’s expansion plans reflect a broader trend of multinational companies deepening their presence in India by combining physical retail, digital platforms and local manufacturing. For IKEA, the renewed investment underlines its long-term confidence in the Indian consumer and the country’s growth story.
