Potential Furniture Export Markets

Following is the list of those markets where there seems to be potential for growth of Pakistani furniture export.

United States of America: USA, the first export destination of Pakistan, (16% in value) is among the biggest furniture importers of the world. However, Pakistan’s share of exports is much below than even one percent of the US market. It stands nowhere as compared to other exporters to the USA. China, Canada, Mexico, Italy and Taiwan, which have more than 76% of the United States market. The tariff is zero. There is definite potential for growth for Pakistan.

United Kingdom: The United Kingdom is a big import market (applied tariff is 0%). The UK is Pakistan’s second major export destination (16% in value). However, its market share with us is much less than even 1%. Here again building on our presence (albeit very small) and utilizing our knowledge of this market, there should be good prospects of increasing our share.

United Arab Emirates: UAE (applied tariff is 5%) is at present the third largest export market for Pakistani furniture (15% in value). Despite this fact Pakistan’s share in its imports is below 1% countries like Italy, Malaysia, China and Indonesia have secured major share in UAE’s market with rapid rate of growth of their exports. Pakistan should more intensively focus on prospects in this market with which it is well familiar and which is in the region, offering the advantage of low transportation cost.

Saudi Arabia: Saudi Arabia (applied tariff is 5%) is the sixth largest export destination for Pakistan (3% in value). But Pakistan’s share in its imports is again nominal (below 1%). China, Italy, USA, Malaysia and France are having more than 75% of Saudi Arabian market. Here again, there is potential for growth and need for concerted efforts to optimize the opportunities offered by this market.

Afghanistan: Pakistan is Afghanistan’s top supplier of wooden bedroom and lounge furniture. 26% of Afghanistan imports of wooden furniture are from Pakistan. Pakistan should not lose a market that is one of the major destinations of its exports and is geographically so proximate.