Starbucks leaving the Indian market? No, the false claim has been made on social media

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This story was originally published by PTI News, and republished by Probe as part of Shakti Collective.

Many social media users recently claimed that Starbucks, the international coffeehouse chain, is about to exit the Indian market. However, the PTI fact check desk in its investigation found the claim to be false.

The claim stems from reports suggesting that the company plans to exit the Indian market amid high operating costs and low profitability in the country. Starbucks entered India in 2012 through a partnership with Tata Consumer Products.
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Claim it

A Facebook page shared a post on December 19 claiming that Starbucks was on the way out of the Indian market. The caption of the post reads: “Starbucks to exit India”

Here is the link to the post and the archive link. Below is the screenshot of the same.

An X (formerly Twitter) user also shared a post with a screenshot of an article published by ‘The Philox’ on December 19.

The caption of the post and the title of the alleged article read, “Starbucks to exit India due to high costs, poor taste, and mounting losses”.

Here is the link to the post and the archive link, and below is a screenshot of the same:

Research

The desk conducted a customized keyword search on Google and found an article published in The Philox. After a thorough reading, the news piece did not contain any quotes or official statements from Starbucks or TATA Consumer Products.

Here is the link and below is the screenshot of the same.

Taking a cue from this, the desk did a customized keyword search on Google and found a Hindustan Times report, which refuted the Tata Consumer Products claim.

The headline read: “Starbucks not exiting India: Tata consumer denies ‘baseless’ reports of coffee chain leaving country”.

Here is a link to the report and below is a screenshot of the same:

“Starbucks is fully committed to the Indian market. Any statements suggesting otherwise are false. TATA Starbucks currently operates over 470 stores across 76 cities in India, which continues to be a key growth market for Starbucks globally,” Starbucks was quoted as saying by Hindustan Times in a report. is

The report further cited that TCPL ruled out the possibility of exiting India in a letter titled “Clarification on News Article Headline – Starbucks Exits India Due to High Costs, Bad Taste, and Growing Losses.”

In another part of the research, we went through the website of the National Stock Exchange (NSE) and found a press statement issued on December 19, 2024.

Here is the link to NSE’s website

“The company would like to state that the information contained in the article is baseless,” the statement said.

Here is the link and below is the screenshot.

Later, the desk concluded that Starbucks had not left the Indian market.


Claim it

Starbucks to leave Indian market

fact

Both Tata Consumer Products and Starbucks have denied the claims as ‘baseless’.

conclusion

Many social media users claimed that Starbucks would exit the Indian market due to high costs and mounting losses. However, the desk found the article cited to make the claim to be unfounded. Social media posts were shared with false claims.

response

You can contact PTI Fact Check on WhatsApp number +91-8130503759 and share any claim or social media post that you think needs fact checking and want us to verify.

This fact-checked story was originally published by PTI News, as part of Shakti Collective. Other than the headline, this story has not been edited by The Probe staff.

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