IKEA Group has recently bought its first forest property in the US. The surface of the property is covering approximately 25,000 acres in Lowndes County, Alabama.
The investment in forestry is part of a broader strategy to invest in the sustainable production of resources that IKEA Group consumes directly, such as energy, or indirectly through its products (wood raw material, recycled materials, etc.). IKEA Group also owns more than 250,000 acres of forest land in Europe, located in Romania and the Baltic States.
"As a responsible forest owner, we are interested in identifying and applying sustainable management methods that will allow us to preserve and even increase the quality of the forest over time," says Krister Mattsson, Head of Financial Asset Management, IKEA Group. "Entering the US market is a milestone for our investments in forests, and we believe we will learn a lot here while implementing our long-term approach to forest management and applying for the Forest Stewardship Council (FSC) certification."
This new acquisition is in addition to several other significant investments IKEA Group has recently made in the U.S., where they currently operate 47 stores and seven distribution centers. In 2017, the company opened four new stores (Columbus, OH, Fishers, IN, Jacksonville, FL and Grand Prairie, TX) and one new distribution and customer fulfilment center (Baytown, TX). IKEA Group also acquired San-Francisco-based TaskRabbit, an innovative on-demand services platform company, to provide IKEA customers with additional ways to access flexible and affordable service solutions. Additionally, the company made minority investments in XL Hybrids and AeroFarms, who share the brand's ongoing commitment to supporting sustainable resources.