/RP furniture makers eye European market as US sales plummet

RP furniture makers eye European market as US sales plummet

By Irene R. Sino-Cruz
CEBU CITY — Recognizing the need to increase access to new markets, the Cebu Furniture Industry Foundation

Inc. (CFIF) has implemented a design training program that would help increase the marketability of Philippine furniture in Europe’s high-end market.

During a press conference, CFIF president Michael Basubas said the Cebu furniture manufacturers had been losing market share in the United States to its competitors China and Vietnam.

The State of the Sector Report by the Pearl2 project of the Canadian International Development Agency (CIDA) showed that the Philippine furniture exports to the United States went down from US$286.4 million in 2000 to US$234 million in 2004.

According to the report, the Philippine furniture exports to the United States declined at an average of 2.83 percent over the five-year period.

In contrast, furniture exports from China to the US went up from US$4.119 billion in 2000 to US$9.919 billion in 2004. Vietnam furniture exports to the US also rose from US$9.1 million in 2000 to US$384.4 million in 2004, outpacing that of the Philippines.

Basubas noted that the furniture industry should look at other markets, with CFIF focusing first on Europe as having the most potential as a market for Cebu furniture.

But the Pearl2 State of the Sector Report on the Furniture industry showed that the Philippines is not among the top 15 furniture suppliers in Europe, which include China and Indonesia.

“We have to understand the European market to be able to come up with designs that would sell there,” Basubas said.

He cited the experience of Dedon, which has succeeded in selling all-weather furniture made from a synthetic fiber called Hularo that simulates the appearance of natural fibers.

According to Basubas, the Cebu furniture industry also sees the former Eastern Bloc countries as emerging markets for furniture

The CFIF, through its Information Centre, has an ongoing program that would help furniture manufacturers come up with products that would meet the demand of the European market, he said.

The CFIF design training series, funded by the European Union Asia Invest and in collaboration with the German Association of Industrial Designers and the Foundation for Economic Development and Vocational Training, include designing for manufacturability, design trends and materials manipulation.

The CFIF-IC will tap European experts to conduct the materials manipulation workshop at the University of San Carlos.

Jan Armgardt, a multi-awarded European industrial and interior designer, and Auwi Stubbe, a renowned furniture designer, interior architect and materials expert in Europe, will discuss several topics such as the identification of the marketing goals of the participating companies.

The participating designers of the workshop would also be required to come up with their own designs for development into prototypes or as bases for future product designs, Armgardt said.

Aside from a three-day workshop, Armgardt and Stubbe will visit the participating furniture firms to do some coaching and consultancy.

While the innovative design and excellent quality are major components of furniture making, Armgardt maintained that the Filipino furniture companies have to look beyond these two.

The Philippine-made furniture has to achieve an aura that would attract the European consumer, similar to that of luxury cars Porsche, Mercedes Benz and BMW, he added.

Copyright 2013 Inquirer. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.