FIPB may take up IKEA matter on Jan 21

FIPB may take up IKEA matter on Jan 21 New Delhi: Swedish furniture major IKEA's proposal for setting up cafeterias at its retail outlets could be taken up in the next meeting of FIPB, which is likely to be held on January 21.

According to official sources, the FIPB meeting, scheduled to be held on January 18, is likely to be postponed to January 21 at which the IKEA issue could be taken up.

"The Department Of Industrial Policy & Promotion (DIPP) has given all its input to the FIPB regarding the IKEA matter and the board could take it up at its meeting on that day," a source said.

The proposal of Ingka Holding Overseas BV, IKEA's parent company, was withdrawn from the agenda of the board's meeting held on December 31 as the government had sought more information from the Swedish furniture major about its India investment plans.

FIPB has already approved Rs 4,200 crore out of a total of Rs 10,500 crore investment proposal by IKEA to open single- brand retail stores in India with only some categories of products allowed to be sold from a total of 33 that the company had applied for.

Following the part approval, the company made a representation to the industry department, which forwarded the request to FIPB seeking review of its November 20 decision.

The issue was listed on the agenda of the last meeting of FIPB held on December 31.

Commerce and Industry Minister Anand Sharma has been in favour of allowing IKEA to open cafeterias at retail outlets.

PTI