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Wood Furniture Market in India - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

Wood Furniture Market in India - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

  • July 2021
  • 186 pages
  • ID: 6106049
  • Format: PDF
  • Mordor Intelligence LLP


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The wooden furniture market is dominating the furniture market in India. The demand for wooden furniture has increased manifold in India. India flourishes in the natural resources of several tree species, and the wooden furniture industry uses both indigenous wood and imported wood. India is one of the largest importers of timber in the world. However, the furniture sector in India makes a marginal contribution to the Gross Domestic Product (GDP), which is around 0.5%.

Traditional furniture popularity has led to an increase in the demand for wood-based furniture in recent years. Popular types of wood used in the Indian furniture industry are teak, sandalwood, ebony, walnut, sal, red cedar, and rosewood. The furniture market in India is moving from the unorganized sector to the organized industry to adapt to fast changes in the furniture market. The critical states for the wood furniture market in India are Kerala, Punjab, Andhra Pradesh, West Bengal, Uttar Pradesh, and West Bengal.

With technological advancements, such as access to smart gadgets and the availability of high-speed 4G networks, the online distribution channel is gaining popularity for buying the furniture items in the country. Urbanization and growth in the number of nuclear families in India are further adding to the demand for wooden furniture products. Changing lifestyles, tastes, and preferences for different kinds of wood furniture is escalating the growth in the wooden furniture industry.

Engineered wood furniture goods are also gaining popularity in Indian cities. The leading cause of this is a rise in demand for ready to assemble furniture in towns. Moreover, the ease of buying from the E-commerce platform is also encouraging the growth of modular and multifunctional furniture in the market for home decoration and convenience purposes. Leather and glass furniture are developing as lucrative segments for furniture choices among the people, which can cause restrain in the growth of wooden furniture in India.

The COVID-19 pandemic has resulted in a temporary halt in the furniture manufacturing activity in the country, yet owing to the increased time customers spending at home due to lockdown, and stay at home to stay safe practices, the demand for wooden furniture increased in the country. With the increasing work from home for employees, and learn from home practices for students, the demand for study tables, work tables, and home office setups helped the market in generating increased revenues in the market.

Key Market Trends
Rise in Demand from the Residential Sector is Driving the Market

The demand for wooden furniture in the Indian market is mainly driven by the residential sector owing to the customer’s interest in utilizing wooden furniture in homes for many purposes such as wardrobes, living room furniture, and home decor. This is augmenting the need for wooden furniture such as sofa sets, dining sets, beds, chairs which are further expected to witness prolific growth in the upcoming years as well. Apart from this, the demand for engineered wooden furniture is also rising in metro cities, such as Delhi, Bangalore, Mumbai, and other major cities. The residential real estate market is also witnessing prolific growth in the last couple of years, owing to the increasing population and growing demand for affordable housing accommodation, which is likely to further add to demand for wooden furniture in the market.

Plywood is Constituting Large Share of Wooden Furniture Market in India

Plywood is the most preferred wood for making furniture in India. It is a manufactured wood panel made from thin sheets of wood veneer. Plywood is durable so it is widely used for any furniture/wood panel application in the Indian wood furniture market. However, Bamboo Material Boards and Veneered Panels are also becoming popular in the Indian wood furniture market for manufacturing furniture. Greenply and Century ply are dominating the organized plywood market in India. other players in the market include Sarda plywood, Archid Ply, Uniply, etc.

Competitive Landscape
The wood furniture market in India is competitive due to the presence of a large number of small and local manufacturers in the market, accounting for a larger share in production. Southern and Northern India has a high demand for furniture products, but it is in the South where most manufacturers and distribution networks exist. The need for kiln-dried hardwood lumber exported from the United States has been rising by the importers and manufacturers in the market.

The Indian wooden furniture market has enormous opportunities for manufacturers to innovate and deal with growing demand in the wood furniture market. Local manufactures are partnering with foreign manufacturers to improve their quality and designs in the market. The need for modular furniture provides immense opportunities for wooden furniture and hardware owners in the market. Furniture manufacturers are considering several factors while designing furniture, such as the furniture’s functionality, look, feel, and value while designing furniture.

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