Tata Starbucks – a joint venture between US coffee giant Starbucks and Indian company Tata Global Beverages – plans to open 100 new stores next year to compete with rivals.
“The joint venture will invest over time, based on the demands of the business and the requirements of our customers, to build a strong presence in the market,” said a company’s spokesperson.
Starbucks, which opened its first cafe in India in October last year, currently has 18 outlets in the country.
Starbucks CEO Howard Schultz said last year that India would become one of the largest markets in the world for Starbucks.
Its rival Cafe Coffee Day has more than 1500 outlets while foreign peers Barista Lavazza of Italy and Costa Coffee of the UK have over 100 outlets each.
Cafe Coffee Day plans to boost its store network to 2000 by 2014.
India’s coffee market is currently valued at $230 million and is expected to grow at 13-14 per cent annually over the next five years.