• 04-JUN-2018

Our view on the possibilities of sourcing from Ethiopia

Henrik Gunnerling, Purchasing Development Manager, IKEA Purchasing & Logistics.

IKEA Purchasing & Logistics will take the next step regarding Ethiopia by starting a project in order to analyze whether we have the right pre-conditions to source from Ethiopia or not.

IKEA is growing globally. Therefore, IKEA Purchasing & Logistics is constantly looking for new opportunities within purchasing. In Africa, we currently purchase from Egypt and Uganda. After an analysis to further map potential opportunities in this continent, Ethiopia is one of several countries that we have looked into.

Ethiopia has raw materials, industry and potential know-how that would meet the needs of our customers.

“We are well aware of the challenges in Ethiopia e.g. regarding wages and working conditions. We have big expectations on ourselves and want to make sure that we live up to them”, says Henrik Gunnerling, Purchasing Development Manager, IKEA Purchasing & Logistics.

IKEA Purchasing & Logistics will take the next step regarding Ethiopia by starting a project in order to analyze whether we have the right pre-conditions to source from Ethiopia or not.

Within this project IKEA will analyze the possibilities to secure fair ways of doing business. We will do this in consultation with organizations such as Fair Wage Network who we have an ongoing collaboration with.

We will establish a team in Addis Abeba and find a few suppliers for testing and production in pilot scale. This to secure that every potential supplier fulfil our code of conduct, IWAY, as well as our quality requirements.

IWAY is the IKEA Code of Conduct for suppliers to support positive, environmental, social and economic development.

The project is expected to be completed during 2019 and a decision on how to proceed will follow after that. It’s too early to say when or if a decision about permanent sourcing will be taken.

 

Contacts

  • IKEA Range and Supply
    Product Development, Design, Production and Supply
    Sweden
    +46 732 321300