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Swedish retail chain Rusta has launched its Indian operations by opening
its country headquarter at Delhi. The New Delhi office of Rusta
underlines the company's ambitions to increase business in India. With a
$400 million annual turnover, it plans to import finished products
worth Rs 200 crore annually in the next 3-4 years from the country.
Textiles, handicraft, rugs and small furniture, lighting, home
decoration, cooking tools and utensils are the areas in which Rusta
intends to increase its sourcing from India. Over 80 percent of the
products sold in Rusta’s stores are imported from Europe and Asia in
large volumes. The imports from India were handled from Bangkok office.Announcing the launch of its Indian operations, Bengt-Olov Forssell, Founder, Rusta, said: “We are very excited to begin our operations in India. With a fast-moving economy, India is on the cusp of exciting times, and Rusta is committed to growth and a long-term presence in the country. Our endeavour to start the India operation will help us strengthen our leadership positioning and the greater value for money to our customers in Sweden.”
Rusta’s Global CEO Göran Westerberg said that the Indian office will be the 5th buying office outside Sweden. He said that India had shown an exponential growth in the retail and manufacturing sector in previous years which supports the company's belief in increasing its procurement from Coimbatore in South to Ludhiana in North and from Ahmedabad in West to Kolkata in East.
According to the company officials, Rusta is its own importer and wholesaler, as well as distributor and retailer. It's business model of skipping all intermediaries and doing business directly with the manufacturers helps the company to provide value for money and high quality standards.
Rusta currently has 67 stores offering home and leisure products. The first Rusta store was opened in 1986. Rusta´s turnover in 2012 -13 was MUSD 420 (excluding VAT). Every department store is at least 2,000 square meters. Over 55,000 customers visit a Rusta store every day.
SOURCE:http://www.indiaretailing.com/news.aspx?topic=1&Id=6943