The Economic Times
Stock Analysis, IPO, Mutual Funds, Bonds & More

Commerce minister says mutli-billion dollar investmet plans by Coca Cola, Ikea shows govt not lost

"We welcome investment of $ 5 bn by Coca Cola and Euro 1.5 bn by IKEA that is coming in. It is good news and things are moving. It's not that we have lost our direction," Sharma said.

, ET Bureau|
Updated: Jun 27, 2012, 09.07 PM IST
NEW DELHI: Multi-billion dollar investment plans announced by global majors Coca Cola and Ikea over the past one week for the Indian market shows that things are moving and the government has not lost direction'', commerce and industry minister Anand Sharma has said.

""We welcome investment of $ 5 billion by Coca Cola and Euro 1.5 billion by IKEA that is coming in. It is good news and things are moving. It's not that we have lost our direction. We have not,"" Sharma said after his meeting with Coca Cola Co-chairman and CEO Muhtar Kent in his office on Wednesday.

Coca Cola had announced on Tuesday that it would invest $ 5 billion in India by 2020 in various activities, including setting up of new bottling plants. Last week, Swedish homeware Ikea submitted its proposal to the government for investing Rs 10,500 crore to set up 25 stores in the country.

Sharma said the government is working to provide investor-friendly climate in the country. ""We have made it very clear that we believe in an environment, which is welcoming and supportive for investors. We have taken a number of steps and have come out with policy initiatives,"" he said.

On issues raised by Ikea related to the domestic sourcing clause in single brand retail, Sharma indicated that Ikea may not have problems meeting the condition to source 30% of inputs from small enterprises as it was already doing so. ""Ikea is present here for a long time, they have been sourcing from India. About 30% of their textiles are sourced from India for their global operations. They are also sourcing their carpets and entire kitchen and steel range,"" Sharma said.

Also Read

Govt notifies National Startup Advisory Council, Commerce Minister to chair

Commerce minister Piyush Goyal to lead Indian delegation to WEF 2020 in Davos

Commerce minister Piyush Goyal says ecommerce companies cooperating with the government

India to import more from US, commerce ministers to talk to reduce bilateral trade differences

Commerce Minister led-CM delegation generates business opportunities in Far East Russia

Add Your Comments
Commenting feature is disabled in your country/region.

Other useful Links

Copyright © 2020 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service