Business of Furniture in India 2023-2027 - Heralding the Change

FDT Bureau

The Indian furniture industry is undergoing a remarkable evolution. To gain deeper insights into this transformation, Mr Dvivedi turned to Mr Lohia, who offered a comprehensive view of this sector and its growth prospects from 2023 to 2027. Offering his comprehensive view of the furniture sector and its growth prospects, Mr Lohia pointed out for businesses, efficiency and reliability will assume a remarkable significance and manufacturers will need to focus on operational effectiveness and dependability. “Specialization, technology and the right workforce will become key elements for success,” he added, also citing that “Compliance, competency, and competitiveness will be instrumental in shaping the industry’s future.” Speaking on the reasons driving changes in the industry Mr Lohia said the governmental push to bolster furniture manufacturing within India was a key reason. The rise of technology companies, in his opinion, had motivated the informal and unorganized furniture solution providers to become more organized in the industry.

Mr Jain highlighted that the period from 2023 to 2027 is poised to be the most significant for the furniture industry. Millennials and the Gen Z population, born in the late ‘80s and early ‘90s, will play a defining role in the transformation of the industry; much of this has to do with their conscious lifestyle choices based on concern for the environment and sustainability. Likewise, it will be the end of one-size-fits-all model and the furniture industry will have to adopt a distinctive approach to address the market demands

“Demographics show us there’ll be a lot of specializations that are required to capture the increase in furniture demand that will be there. There is a segment that is price-sensitive, style-sensitive and sustainable-sensitive. There’s a segment that is heavy on convenience. So it requires much more agility than we can imagine.”

“Demographics show us there’ll be a lot of specializations that are required to capture the increase in furniture demand that will be there. There is a segment that is price-sensitive, style-sensitive and sustainable-sensitive. There’s a segment that is heavy on convenience. So it requires much more agility than we can imagine.” Consumer-centric customization and specialization Mr Jain further added will become the key especially for Gen Z consumers. 

Delving into the numbers that underpin the industry’s expected growth, Dr Mahesh confirmed, “Over the next five years, furniture, as a category, is projected to witness real growth of 5 per cent. The kitchen and modular furniture industry poised to lead the race with a growth rate of 5.6 per cent.” Additionally, reflecting on the challenges brought by the COVID-19 pandemic, Mr Bansal pointed out, “Our bedrooms became our playgrounds, while other rooms turned into offices, and living spaces transformed into multipurpose areas. This experience taught us that our approach needed a fundamental shift. We learned that the future of furniture lies in modularity and lightweight design.”

Dr Mahesh urged the audience not to underestimate the potential of a steady 5-plus percentage of real growth for the entire furniture category. He revealed that the non-residential furniture sector will play a pivotal role in the years to come. Pointing out the three key factors which will aid this development he said “Firstly, India’s growing student community is set to drive the demand for student housing, which, in turn, creates a substantial opportunity for furniture manufacturers and retailers. Secondly, the rise in the senior citizen population, expected to reach 1.6 million in the next 15-20 years, is paving the way for wellness furniture designed to cater to the needs of the elderly. Thirdly, India’s booming tourism sector is propelling the demand for hospitality furniture, particularly in hotels. This translates to a promising avenue for those in the business of creating and supplying furniture for the hospitality industry.”

This article is a part of our exclusive article ‘Business of Furniture in India 2023-2027’ which is originally published in Furniture Design & Technology (FDT Magazine) November 2023 print issue. If you want to read the full article, please subscribe Furniture Design & Technology Magazine here: 

http://www.furnituredesignindia.com/subscribe