With the economic recovery of many countries like Japan, U.S…, the problems of Binh Duong’s furniture enterprises are gradually being solved. Province-based furniture enterprises have also welcomed new opportunities for their production and business activities from some furniture importers’ big orders… 

Furniture products being processed at Truong Thanh Furniture Joint Stock Company

Furniture market recovered

According to Binh Duong Furniture Association (BIFA), the province’s furniture sector since early this year has seen signs of recovery with stable growth. Province-based furniture enterprises have signed many export contracts with partners from Japan, U.S, EU, China, Taiwan and South Korea till September 2013. Export products are mainly outdoor tables and chairs. This year, furniture products for construction and interior decoration have received many orders from markets of Japan, China…

Province-based furniture enterprises have so far reached high growth in the number of export products, due to receiving many orders. For example, Phat Trien Co.Ltd. has secured US$20mln in export revenue, or nearly 60% of 2013’s plan and up 20% compared to the corresponding period. Mori Shige Co.Ltd. has also reached nearly US$15mln in export revenue, or around 50% of 2013’s plan.

Along with the above advantages, the local furniture sector has faced many hurdles due to an increase in the price of imported timber. The price of timber imported from U.S, Chile, New Zealand…has risen by 7%-15% compared to the same period last year, according to provincial Department of Industry and Trade. To solve the situation, province-based furniture enterprises have managed to replace imported timber with domestic timber that have the same quality for stable growth.

New opportunities

According to BIFA Chairman Huynh Quang Thanh, the local furniture enterprise’s picture of production and business activities is now very bright. Members of BIFA have so far maintained their production and business activities, generating stable jobs for laborers. He also said: “BIFA has just welcomed two great corporations from Japan and U.S. They have asked for BIFA to recommend prestigious furniture providers to them for their orders. BIFA has also contacted many members and provided their profile for the two corporations…”.

Two partner’s visit to BIFA for seeking furniture providers is seen as a good sign for the local furniture sector. In fact, the cost of workers in several countries supplying furniture products is on rise. Political-economic situation in Vietnam and the region is also very favorable. All elements have made great corporations come to Vietnam for orders, contributing to creating new opportunities for Binh Duong’s furniture sector…To take full advantage of the above opportunity, BIFA had to consider and introduce the local prestigious furniture providers to the two partners with strict requirements about product quality.

With the positive signs of the local furniture sector since early this year, according to BIFA Chairman Huynh Quang Thanh, province-based furniture enterprises will well maintain their production and business activities in 2013. It is estimated that they will reach 10% in revenue growth and their export revenue will achieve around US$1.6bln.

Reported by Thanh Son-Translated by K.T