Furniture Industry Overview

The living room furniture industry is gradually growing, world-wide. The growth in world furniture trade depends on two main factors:

• The growth in world consumption.
• The increasing openness of the markets.

With the emergence of millions of consumers with levels of spending similar to western ones, developing countries have potential customers for middle and upper-middle-range furniture produced in industrial countries.
The furniture sector comprises

• Living Room Furniture
• Bedroom Furniture
• Kitchen Furniture
• Drawing Room Furniture
• Dining Room Furniture
• Entryway Furniture

It is estimated that the world home furniture market is worth Rs 20,000 crore and during the past three years, it grew by 20 per cent a year. This also covered living room furniture. The demand for living room furniture in India has enjoyed steady growth over the years.

According to a report published in March 2006, the Indian furniture industry is estimated at around Rs 35,000 crores. However, the Indian Furniture Industry is a highly unorganized sector (about 85%). The furniture industry in India employs a total of around 300,000 workers and the total production of furniture in 2001-02 was USD 3580 million (Annual survey of Industry).

The Organized furniture industry is expected to grow by 20% a year according to a World Bank study. India, Russia and Brazil will witness a boom by this. The range of indigenous furniture available in India includes both residential and contract system furniture, with an increased concentration in office and kitchen and living room furniture.

In 2004-05, India was the biggest furniture importer with a 17 % share in furniture imports worldwide.

The current imports are mainly from

Italy Germany Spain China Korea

Malaysia Indonesia The Philippines Japan