Furniture industry targets double-digit revenue growth

MANILA, Philippines -  The local furniture industry is targeting to grow its revenue by a fifth this year behind strong domestic demand which was fueled primarily by the robust property market.

In a statement, Myrna Bituin, trustee for the furniture sector of the Philippine Exporters Confederation Inc., said the industry is projecting a revenue growth of up to 20-percent this year.

“Exports, in fact, are really booming, but most of the big exporters are really busy on the local market because of the hotels. It is a good thing that the big hotels are now considering the capability of the local producers,” said Bituin, stressing the strong demand in the Philippine property market.

Bituin said a number of hotels, particularly those located in Manila, Pampanga and Cebu, are being refurbished by the local furniture makers.

Aside from the robust hotel sector, she said the construction of more condominiums and residential houses in the country will also drive the growth of the industry.

“Our local partnership with the developers and with the interior designers is working,” she said.

As far as the export market is concerned, Bituin said furniture industry players are eyeing opportunities in new areas for expansion.

Bituin said growth regions for the industry are Southeast Asia, Japan and the Middle East.

“The high-end markets and products in the Middle East are big markets today. Developments in Dubai are not declining but saturated. A new Doha, Qatar, is now starting also to develop and that is a very bullish market,” she said.

Revenue from exports of furniture and fixtures reached $343 million in the first 10 month of 2016.

To sustain growth, Bituin said the industry will continue to undertake product development.

“Product development I think is one aspect that will continue and it is a must. It should not be stopped,” she said.