After its conquest of China, global coffee giant Starbucks is set to roll out its first store in India this year. The Seattle-based Starbucks and the Tatas are close to inking a pact on the coffee giant's India retail foray.
“The agreement will be with the Tata Group companies. We are on the verge of signing the agreement, which will be finalised before the end of this month,” said Mr Hamid Huq, Managing Director, Tata Coffee. Tata Coffee would be setting up the supply chain and roasting facilities for Starbucks.
Last year, Starbucks had signed a pact with Tata Coffee to source beans from the Indian vendor and also explore options to roll out its coffee stores in the country. Starbucks has been waiting for some time now to enter the rapidly growing Indian market, where changing lifestyles aided by rising disposable incomes have fuelled the growth of café culture in recent years.
The Italian coffee roasters Lavazza and Illy café, besides the UK-based Costa Coffee have already entered the Indian market in recent years, whereas Dunkin' Donuts and the Australian chain Di Bella Coffee have announced their entry plans. India has close to 2,000 coffee cafes and the market can absorb another 3,000 retail outlets.