Sat. Feb 27th, 2021

Swedish company IKEA to invest Rs 5500 crore in UP, MoU signed

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 Lucknow, 19 February (HS) :       In another landmark development towards receiving foreign investment and employment generation, the Yogi  Government has signed a Memorandum of Understanding (MoU) with IKEA, the largest furniture and home applications company of the world , which will invest Rs 5500 crore in Uttar Pradesh during the next five years.

    The MoU with IKEA was signed virtually in the presence of Chief Minister Yogi Adityanath on Friday. The company has already made payment of Rs 850 crore for land in Noida while the state government earned revenue of Rs 60 crore by stamp duty .

 The Yogi government has provided 50000  square meters of land in Noida to make IKEA an outlet. IKEA is going to start its largest outlet in India in Noida.

After Microsoft, Hirandanadi, Samsung and Thales, the Yogi government has achieved another major success in increasing employment and trade in UP through the investment of renowned companies of the country and the world.

  IKEA, which has opened more than 433 centers in 52 countries of the world, is preparing to invest big in UP, starting with Noida, IKEA plans to open at least three major outlets in Purvanchal and Central UP. The plans for other outlets will be finalised with the opening of Noida Center.

The company will start all its outlets by 2025 according to the plan set with the Yogi government. IKEA’s investment, which has provided a large number of jobs and trade by opening its centers in countries of America, Europe, North Africa, Middle East and East Asia, is believed to generate large number of jobs.

With the help of furniture, home appliances and food sector, the Yogi government is going to prepare the people of UP as well as their own way of business in large numbers. According to experts, the company will sell its products online as well as open franchises and showrooms in different cities. Through which a large number of people will get the opportunity of trade and employment.

In December 2018, the company had signed an agreement with the Uttar Pradesh government to invest Rs 5,000 crore in Noida and other cities of the state.  IKEA started its first center in Hyderabad at a cost of Rs 700 crore in 2016. IKEA plans to open a total of 25 centers in India by 2025 by investing Rs 10500 crore. About half of the investment will be made in UP alone.

   Apart from the investment, this venture will generate direct and indirect employment of about 50,000 in the next five years. The company will take services of local artisans and workers in its venture which will create another ecosystem of jobs at the local level also.

According to a spokesperson of the state government major companies of the country and the world are continuously coming forward to invest in UP. The state government is working hard at every level to materialise it. The process of the Yogi government to connect every youth of the state with employment and trade is moving ahead with full speed. Companies are coming one after the other. We are realising a self-reliant UP campaign, he said.