Food and Drink Digital:
Starbucks is just unstoppable as it is currently brewing a plan to establish a strong foothold in India with Tata Coffee Ltd, Asia’s largest publicly traded coffee grower. On March 31, 2011 the Seattle based Starbucks announced that it is turning the partnership with Tata Coffee for sourcing and roasting premium coffee beans in India into a fully fledged joint venture where Starbucks will hold a 26 percent stake. Once the deal is finalized, the partners plan to open outlets in all major cities of India.
The US coffee company may raise its stake up to 51 percent after assessing the level of acceptance in the Indian market. This move will be in conjunction with the Indian government’s policy allowing the 51 percent foreign direct investment (FDI) in single-brand retail. After the stake is increased, the company is likely to open more outlets in the country.