Export to Russia boosts furniture producers’ turnover
Estonia’s furniture producers had a year of ups and downs — those active in the Russian and German markets were successful, while those selling to domestic and Scandinavian markets were not so well-off.
One of the flagships of the sector, Standard, increased its exports by 86% in 2012, compared to the year before. The hotel and office furniture producer had a turnover of 12 million euros last year with export markets including Europe to Western Africa. Low demand in the office furniture market was partly compensated by sales of kitchen furniture and hotel furniture. Despite its company name, Standard, 75% of its production is non-standard and most of its clients are 4- and 5-star hotels.
Soft furniture producer, Bellus Furniture, had a stable year. Sales to Europe decreased, but turnover grew in selling sofas to Russia. Rolf Relander from the company’s management said that the Russian market moves in a different rhythm compared to the rest of Europe, as the EU’s economy does not have much impact on them.
The total turnover of companies in the Furniture Producers Association was 165 million euros in 2012, stable from the year before. Ain Tats, head of the Association, said that Estonian furniture producers have been able to establish successful contacts in Russia which has boosted sales to substantially.
Source: Stadnik, A. (2013) Mööblitootjate ameerikamäed. Äripäev, 10. aprill.