Egypt’s booming furniture sector

Egypt’s furniture industry is booming despite the country having very limited forest resources. Egypt imports virtually all its raw materials, particularly sawnwood. According to Hardwoodmarkets, total hardwood and sawnwood imports reached 2.3 million m3 in 2004, down 10% from 2003. Sawnwood imports fell by 11% but hardwood sawnwood imports rose by 4.5%. The rise in hardwood sawnwood imports was mainly due to expanding furniture production and exports to European and neighbouring Arab countries. Market analysts expect import expansion in both sawnwood and hardwood sawnwood due to a buoyant construction sector and flourishing furniture export markets. In addition, the strengthening of the Egyptian pound against the US dollar (5.8 to the US$ compared to 7 in 2004) is lowering sawnwood and veneer import prices. Temperate hardwood sawnwood comes mainly from Romania (162,000 m3, notably beech). Small amounts of tropical sawnwood come from West and Central Africa (4,000 m3), which include khaya, sapele, teak and samba. Most of the Egyptian furniture is Louis XIV style due to the influence of British and French colonial rules. As the Egyptian furniture industry increases its reliance on export markets, it is expected to face a growing need for higher grade raw materials in order to meet higher export standards.

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