Furniture manufacturers have reasons to worry

Germany is the biggest foreign partner of Polish furniture industry. Assessing the situation of furniture sector we can’t ignore this market and German consumers. It’s a strategic partner of Polish manufacturers. According to the  latest export results  data, this situation is not satisfactory. Furniture export is as follows:

I-III.2012: 694.8 million eur

I-III.2013: 678.4 million eur

Dynamic: 0.98

Furniture export from Poland to Germany for the period January-March in million Euro.

Dynamic of export value was 0,98, while dynamic volume was 1,01. It means, that in the first quarter of 2013 in terms of mass, Polish manufacturers exported more furniture than in a previous year, but for the smaller  value. In compare to other partners, the result of Polish industry is good, because import from other directions showed a dynamic of 0,92, while import volume dynamic was 0,90.

Such a situation is worrying among Polish companies. Although export dynamic from Poland to Germany is lower for the first quarter of 2013 than in 2012, Polish companies are still very important furniture suppliers for the western neighbour. Similarly, when Polish companies are subcontractors. German manufacturers are significant contractors.

Furniture export from Germany to Poland in the first quarter of 2013 noted a slight decline, but we expect that weakening zloty offsets the negative export dynamic counted in Euro. At the same time furniture industry in Germany is stagnating , because furniture export from Germany to other foreign partners declined. There is also decline in import from other countries to Germany.  In this situation Polish results look relatively good. Results of entire German economy per balance are stable.

Furniture export from Germany result to all foreign partners is unfortunately negative – dynamic of export value 0,99 and dynamic of export volume only 0,92. At this point it’s appropriate to say ‚ unfortunately’,  because very often Polish companies are subcontractors of German companies which export furniture.