Huge Furniture Opportunity in India
Based on the data from Trade Map, India is the 14th largest furniture market in the world. In 2015, the value of India furniture industry was worthed US$ 17.9 billions. Research & Markets estimated the value will reach US$22 billion in 2020. The supply cannot meet the demand today.
Urbanization, increasing numbers of nuclear family foster the development of India market. And the increase of working population enhance the demand of new design furniture. On the other hand, the increasing India GNI per capita in PPP dollars has reached US$6,490 in 2016.
With the increase of income, people tend to purchase branded furniture. On the other hand, it is expected that to in the next five years furniture store sales network and standardized furniture products will help growth of Indian furniture market. In addition, investment in healthcare and hospitality industry will also increase the diversification of furniture needs.
It is worth to note that domestic furniture manufacturers only take 12-15% of India furniture market, most notably brands like Godrej Interio, Durian, Evok, Nilkamal, and Furniture Concepts. India mainly relies on imports, most of furniture come from China(57.5%), Malaysia(12.9%), Italy(7.9%), Germany(4.2%), Sri Lanka(2.6%). China takes over 50% over porpotion due to lower price, even lower than local products.
Also, according to the statistics from Trade Map, India is one of the biggest office furniture importer, which takes one fifth of global market. Office furniture occupy 20% of Indian furniture sales, the main factors are the increasing number of local firms, overseas investment companies and technology parks. At the meantime, the expanding of B2B platform business foster the demand of office furniture.
Neha Gill, a Senior Executive with the Indian Importers Chambers of Commerce and Industry, said: "The market outlook for imported furniture is undeniably positive. Such imports are primarily coming from China, Vietnam, Indonesia, Italy and Thailand, with nearly all the items concerned arriving fully disassembled."