India gives Starbucks a stronger blend of opportunity

Starbucks's India unit is adding stores and offering new items like protein foam coffee to boost its footprint in the world's most-populous country, undeterred by widening losses.

The business, already India's largest coffee chain by store count, will prioritize expansion over profitability as investment accelerates, Tata Starbucks's chief executive officer Sushant Dash said in an interview. The company is an equal joint venture between Starbucks and the Tata Group.

"India remains a focus area as much if not more," Dash said, noting the market ranks among Starbucks' top five globally. The unit has turned cash positive, he added, while declining to give a timeline for profits.


Starbucks is doubling down on India despite fierce local competition and a slowdown in consumption demand, as it searches for new markets to revive growth. The Seattle-based chain is streamlining operations in the US while grappling with consumer boycotts in the Middle East. Last year, it sold a 60% stake in its China business.