International Furniture Prices

16-31th August 2005

Furniture  and  Parts  
MALAYSIA 

BRAZIL 

Furniture exports keep growing

According to the Ministry of Development, Industry and Commerce, in contrast with other solid wood products such as lumber and plywood, monthly exports of furniture kept reaching new highs. Furniture exports increased to US$ 77.8m in July 2005, up 0.2% from July 2004 (US$77.7m).

Furniture fair stimulate exports

During the recent International Furniture Sale and Export Fair (Fenavem) held in Sao Paulo, the Brazilian furniture manufacturers closed export contracts of US$5.5m with customers from the EU, Middle East, Latin America and Africa. These contracts represent a 40% growth in exports in comparison with the previous biennial Fair. Fenavem indicated that as a result of these contracts, Brazilian furniture exports could reach US$1.2b in 2005, up 28% from just over US$940m in 2004.

Targeting the international furniture market

higher than in 2004 when exports reached USD 942m.

Currently, furniture sales to the international market account for 22% of the domestic production. The ample availability of raw material underscores the large growth potential of this sector in Brazil.

Furniture producers exploring partnership

Lumber producers, with support from SEBRAE (Brazilian Micro and Small Business Support Service), have negotiated with large log-producing companies for part of the eucalypt log production to be supplied to the Jequitinhonha Valley furniture cluster located in the State of Minas Gerais. The State accounts for the largest area of eucalypt plantations in Brazil (over 1.5m ha, 27% of this area in the Jequitinhonha Valley). Nearly 60% of the eucalypt production feeds the pulp and charcoal production industry.

The State of Minas Gerais’ furniture sector has been purchasing eucalypt logs from the neighbor state of Bahia at higher costs. Suzano Bahia Sul, one of the world’s largest pulp and paper producers, is preparing to negotiate a partnership with furniture producers for log supply. Similar deals have been done in other regions of the country. Around Eunápolis, in Southern Bahia, the furniture sector has established a long‑term deal with public institutions and with Veracel, a large pulp producer, for the development and strengthening of the sector.  

Abbreviations

LM        Loyale Merchant, a grade of log parcel	Cu.m         Cubic Metre
QS         Qualite Superieure	Koku         0.278 Cu.m or 120BF
CI          Choix Industriel	FFR            French Franc
CE         Choix Economique	SQ              Sawmill Quality
CS         Choix Supplimentaire	SSQ            Select Sawmill Quality
FOB      Free-on-Board	FAS            Sawnwood Grade First and
KD        Kiln Dry	Second
AD        Air Dry	WBP           Water and Boil Proof
Boule    A Log Sawn Through and Through	MR              Moisture Resistant
the boards from one log are bundled	pc         per piece
together	ea                each
BB/CC  Grade B faced and Grade C backed	MBF           1000 Board Feet
Plywood	MDF           Medium Density Fibreboard
BF         Board Foot	F.CFA         CFA Franc
Sq.Ft     Square Foot	Price has moved up or down