Calcutta: Swedish giant Ikea has expressed a desire to tap Bengal as a global sourcing hub for natural fibre products, apart from setting up 1-2 stores in the state.

Bengal finance and industries minister Amit Mitra said the company, which opened its first India store in Hyderabad on August 9, procures natural fibres worth Rs 2,000 crore from India.

"Ikea is keen to source natural fibres such as bamboo and other items from this state. They also want to set up stores here," Mitra said at the concluding session of the state MSME conclave on Tuesday.

An Ikea official participated in the conclave and made a presentation on the furniture giant's plans to procure from the state as well as India.

In the recent past, Ikea had written to Bengal chief minister Mamata Banerjee, informing her of Ikea's plans to build 1-2 stores. Each store, spread over 400,000 square feet, will require an investment of Rs 1,000 crore, creating 800 direct and 1,200 indirect jobs.

Mitra said Ikea would buy the land directly and build its store. "It wants to set up the store close to metro lines to facilitate middle-class buyers, who do not have cars, to come to the facility," the minister said.

Sources said the company would be looking to buy coir and jute, apart from bamboo, from Bengal.

Finding a large tract of land in Calcutta and next to the metro rail route could be a challenge for Ikea because of the lack of plots in a densely populated city. Moreover, companies often find it difficult to get a clear title and convert the character of land.

The MSME sector will be a big beneficiary if Ikea starts sourcing rom Bengal.

MSME push

Mitra, aided by newly appointed additional chief secretary (MSME & textiles) Alapan Bandyopadhyay, listed the key takeaways from the two-day event meant to showcase the MSME sector in Bengal.

Mitra said state several sectors have received export order worth Rs 113 crore from the US, Italy, Brazil, France, Australia, Denmark and the Netherlands. Buyers from these countries are willing to buy wall décor, natural fibre and jute, terracotta horse, lamp, cane products among others.

Chief minister Banerjee, who spoke at the inaugural session on Monday, had stressed the need to help MSMEs by way of financial assistance from banks and single-window aid from the government.

Thirty MSME industrial parks will be set up in the state over 2,000 acres, Mitra said.

Bengal seems to be doing well in terms of lending by commercial banks to these sectors. In 2017-18, banks had lent Rs 44,000 crore, surpassing the target of Rs 38,000 crore. Mitra said advances may touch Rs 80,000 crore in the next two years.

Sectors to borrow most are leather, foundry, gems & jewellery, garment and engineering items.