The Manufacture of Furniture in South Africa 2018 - Manufacturing Sales of Furniture at Current Prices Amounted to R16.2Bn in 2017 - ResearchAndMarkets.com
DUBLIN--(BUSINESS WIRE)--Sep 4, 2018--The “Manufacture of Furniture in South Africa 2018” report has been added to ResearchAndMarkets.com’s offering.
South African manufacturing sales of furniture at current prices amounted to R16.2bn in 2017, 6.6% higher than in 2016. A total of 2,200 registered companies in the furniture manufacturing sector, employing 26,400 people, contribute about 1% to manufacturing GDP and 1.1% to manufacturing employment. During 2017, South Africa was Africa’s second-largest furniture exporter, with exports reaching R3.9bn.
A shortage of higher-skilled workers, rising production costs, and poor domestic demand are affecting the performance of local furniture manufacturers. The cost of labour, electricity, raw materials and transportation continue to shrink operating margins and make it difficult for them to compete in local and international markets.
The industry is also negatively affected by declining investment in capital equipment, insufficient research and development, and little design improvement or new product development. Imported furniture is often cheaper than what is manufactured locally, and furniture imports grew 6.2% to R6.9bn during 2017. South African furniture manufacturers are also facing competition from Chinese furniture in their important export markets in Africa.
With about 80% of the companies in the furniture manufacturing sector classified as micro enterprises, these challenges impose significant pressure on the bulk of players in the industry.
The report profiles 27 companies including vertically integrated players Bravo Group Manufacturing, Africa’s largest mattress and furniture manufacturer, and KAP Industrial Holdings, and the effect on KAP of the Steinhoff International crisis.
Companies ProfiledAngel Shack Trading and Investments (Pty) Ltd AXZS Industries (Pty) Ltd Bidvest Office (Pty) Ltd Bidvest Office and Print Holdings Ltd Bravo Group Manufacturing (Pty) Ltd Brothers Beds and Bedding CC Buraaq Beds CC City Office CC Coricraft Group (Pty) Ltd DK Chaircraft CC DK Laminates CC DK Metalcraft CC DK Woodcraft CC Geo Cloud (Pty) Ltd KAP Industrial Holdings Ltd Kiran Sales (Pty) Ltd Motani Lounge (Pty) Ltd OfficeScene (Pty) Ltd Pilot Furniture Manufacturers (Pty) Ltd Rest Assured Group (Pty) Ltd Simax Manufacturing (Pty) Ltd Simmons SA (Pty) Ltd Streamline Metal Furniture Manufacturers (Pty) Ltd Sweet Sensation 210 (Pty) Ltd SwissMate Manufacturing CC Truform Bedding (Pty) Ltd Ukhuni Business Furniture (Pty) Ltd Upholster All (Pty) Ltd
For more information about this report visit https://www.researchandmarkets.com/research/p53vlz/the_manufacture?w=4
View source version on businesswire.com:https://www.businesswire.com/news/home/20180904005390/en/
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KEYWORD: SOUTH AFRICA AFRICA
INDUSTRY KEYWORD: MANUFACTURING OTHER MANUFACTURING RETAIL SPECIALTY
SOURCE: Research and Markets
Copyright Business Wire 2018.
PUB: 09/04/2018 06:28 AM/DISC: 09/04/2018 06:28 AM