Photo: Privredna komora SrbijeThe International Belgrade Furniture Fair, which was recently held after a two-year break, gathered more than 180 exhibitors from 20 countries. The presence of numerous exhibitors from the region once again demonstrated that this is a leading regional business event for the wood and furniture industries. That was the occasion to discuss current trends in the domestic furniture industry and its export potential with Nataša Govedarica, secretary of the Association of Forestry, Wood Processing, Furniture and Paper Industry of the Chamber of Commerce and Industry of Serbia (CCIS).
For two years, domestic furniture manufacturers were unable to exhibit at the Belgrade Furniture Fair and showcase their products to a larger market. What has mostly affected this industry over the past two years, and have any new trends emerged in the meantime?
A few years ago, many domestic companies, such as the largest domestic manufacturers of paneled and upholstered furniture, decided to organize home fairs in their showrooms. The trend of home fairs during the Furniture Fair is a custom for many companies that own furniture showrooms, manufacture furniture or raw materials for furniture, and manufacture home decor products but do not exhibit at the Fair itself.
Considering that the Belgrade Furniture Fair, which is typically held at the beginning of November, was not held for two years, home fairs became a trend in the meantime. Regarding consumer behavior, the fair itself actually moved to furniture showrooms, stores, and social media channels, supported by TV and radio advertising. Accelerated digitalization and online sales have assumed a significant role in terms of trade as a result of the altered conditions that the pandemic has placed on our way of life.
How significant is the furniture industry for the Serbian economy, and how far has domestic furniture managed to conquer foreign markets? What do we export most, and where?
If we look at the export of Serbian furniture, it is increasing year by year. Production processes, as well as the furniture industry's design, follow world trends in all production segments, from solid wood to panel furniture to upholstered furniture. Serbian products are mostly sold in the traditional regional markets of the former Yugoslav Republics, followed by Austria, Germany, Romania, France, Italy, etc.
How does the domestic furniture industry look in numbers?
According to the Serbian Business Registers Agency data, 3,000 companies whose core activity is furniture production are actively operating in Serbia. In addition to this activity, more than 5,600 companies operate in the field of wood processing. This year, around 22,000 workers were employed in the furniture industry and another 17,500 in the wood processing sector. Bearing in mind that this is a particularly strong SME sector and that the problem of a lack of qualified labor is growing year after year, this is a good trend because the employment rate has been steadily and slightly increasing in the last five years.
What measures have been taken to solve the problem of the lack of skilled labor in this sector?
The Serbian Qualifications Agency and the Chamber of Commerce and Industry of Serbia have for years been very committed to the issue of education for deficit occupations, including educational profiles from this sector. The fact that more than 150 new companies applied for participation in the 2022–2023 school year shows how important dual education is for our economy. More than 10,500 students were educated in 150 schools in Serbia through the dual education system, and more than 700 companies "opened their doors" to students so they could acquire the necessary practical knowledge and skills.
In October last year, a department of woodworking students was formed at the Technical School in Ćuprija, based on the model – Operator for furniture making. With the support of the Ministry of Education, Science, and Technological Development and the Chamber of Commerce and Industry of Serbia, the students had the opportunity to study for the educational profile needed by the economy. This dual model is realized in the company Standard Furniture Serbia, which was one of the initiators of the implementation of dual education in the mentioned field of work. In response to economic necessities, a new four-year educational profile has been prepared for the next school year – Furniture and interior design technician.
How many of our manufacturers take advantage of the chance to promote their products at international trade shows, and how does your Association and CCIS assist the domestic furniture industry in making a name for itself abroad?
The Chamber of Commerce and Industry of Serbia strives in many ways to connect its members with potential partners abroad as well as to open new markets for the economy. In cooperation with the Swiss Import Promotion Program (SIPPO) and the Center for Fairs, Manifestations, and Events, the Association of Forestry, Wood Processing, Furniture, and Paper Industries of the CCIS organized a commercial mission and a visit to the Fimma Maderalia Fair (International Trade Fair for Materials, Technology, and Components for Furniture, Wood, Interior Design, and Contract Projects) in Valencia, Spain, which was held from March 29 to April 1, 2022. Before the pandemic, in 2019, with the support of CCIS, Serbian wood processing companies exhibited under the national stand at Interzum, the world's leading trade fair for suppliers of furniture production and interior design. During the pandemic, domestic companies from this sector had the opportunity to participate in the digital fair Interzum@home, which was held on a hybrid online platform from May 4 to May 7, 2021.
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Wood industry is an example of a circular economy / Photo: 15min.lt
How much do our wood and furniture industries follow the growing trend of sustainabilit
For several years now, the topic of sustainability has been very ongoing, not only in the production of furniture but also in the production of all wood products, bearing in mind that this industry is one of the true examples of a circular economy. The wood processing industry produces minimal waste since it sells the byproducts of primary production as raw materials to chipboard producers or utilizes them to heat boilers with sustainable biomass.
By: Jovana Nikolić
Photo: CCIS
