The
Indian furniture industry makes a marginal contribution to GDP, representing a
small percentage (about 0.5 percent). It is generally unorganized, with handicraft
production accounting for about 85 percent of the produce. The domestic market
for furniture is worth approximately, Rs. 1000 cr, with 85 percent coming from
the unorganized sector (craftsmen). Despite a healthy growth forecast, the furniture
industry is still not particularly well developed, not only in comparison with
the western countries (Germany, Italy, United States, etc.), but also when compared
to the South East Asian countries; in terms of absolute value as well as percentage
contribution to GDP. This situation is due to the technological enhancement, which
is fairly needed in India in order to grow. The evolution of this industry in
the last few years is evident from the change in materials being used for making
furniture now; i.e., from wood to laminates, plastic and marble and a constant
increase in use of panels. About 65 percent of the furniture produced in India
is made of wood, 25 percent in metal and the remaining 10 percent in plastic.
The local producers are now paying more attention toward the latest designs and
technological innovation in the industry.
Furniture
supply covers a whole spectrum of possible uses, which can be divided into the
following two categories: (1) Home use, and (2) office cum institutional use.
Production for home use comprises of sofas, dining tables and seating; while professional
production comprises of office cum company furniture like tables, chairs, and
cupboards. Institutional furniture mainly serves the needs of hotels, schools
and hospitals. Domestic furniture, across the world, accounts for 65 percent of
the production value, whilst corporate/office furniture represents 15 percent,
hotel furniture 15 percent, and other furniture (mainly parts of furniture), 5
percent of the total production value. A further subdivision can be made according
to the types of raw materials used. |
