Furniture exporters remain optimistic

CEBU, Philippines - Despite long term challenges faced by the furniture industry, exporters are still confident for near market recovery and business improvement, while refusing to consider the sector as ‘sunset industry.”

“The market is still challenging, but we are not giving up. The more that players are driven now to compete and more passionate about the industry. This is interesting time for us,” said furniture exporter Charles Streegan, who owns one of the largest furniture manufacturing companies in Cebu, the Pacific Traders.

Streegan who is also a former trustee of the Cebu Furniture Industry Foundation Inc., (CFIF) said that players are still fighting to sustain the life-span of the furniture exporting industry specifically in Cebu, although some observers are saying that already in the “sunset” path.

Streegan said the survivors in the battered furniture exports are now more motivated to compete. In fact, some are now more aggressive in expanding their market reach outside of traditional big markets such as United States and Europe.

For the first time over 20 years, the industry in Cebu decided to join forces with other players in the Philippines, by letting go of the annual Cebu International Furniture Exhibit or Cebu X, because of dwindling buyers’ attendance.

Streegan said that the industry is seeing slow recovery in the other markets however, including the United States, although exporters are on its continuous move to explore other emerging markets around the world.

“We continue to make products for the market, and be relevant,” said Streegan adding that Cebu’s strength in the furniture making in the world, couldn’t be shaken by any stronger challenges, and will continue to stay.

Over the years, the furniture export industry has been battered by several crises, including the US and Europe financial struggles, stiffer competition with other countries, high operational cost in the Philippines, among others.

However, the Cebu furniture export industry continued to live, Streegan said as it is now ‘played’ by the survivors, and passionate furniture makers, whose passion for the business has been tested for years.

While some exporters are now looking at tapping the dynamic local market for furniture, Streegan said this opportunity has also been hampered by the continued influx of cheaper furniture imports from China, and Indonesia.

He said players are expecting improvement in other emerging markets, while crossing their fingers of the recovery in the US in the short term.

Aside from letting go of the prestigious Cebu International Furniture Exhibition every year due to depressed market and buyers’ interest, Streegan said CFIF membership is also shrinking due to closure of some furniture companies.

This however, has not discouraged the serious players in the sector, he added. In fact, the industry’s struggle helped passionate furniture exporters to challenge themselves more in raising the bar in design, quality and competitiveness. (FREEMAN)