The value chain of Italian wooden furnishings: 2022 surpasses 2019

Sales trends with double-digit growth, but less bright on exports: given the national and international political scenarios, forecasts for 2023 are hard to make

Port, Dubai - Photo © Avigator Fortuner
Port, Dubai - Photo © Avigator Fortuner

The good news is that according to the latest reports of Centro Studi FederlegnoArredo, the wooden furniture sector – with respect to the first semester of 2021 – has gone through a +22.2% increase in sales, with +26.7% in Italy and +16.3% in exports. Examining the January-March 2022 quarter, sales grew by 24.5% over the corresponding quarter in 2021, with +27.2% in Italy and +21% abroad.

Claudio Feltrin - Photo © Francesco Rucci, courtesy FederlegnoArredo
Claudio Feltrin – Photo © Francesco Rucci, courtesy FederlegnoArredo

This indicates less dynamism in the area of exports, reflecting national and international political situations. “We have to be cautious,” says Claudio Feltrin, president of FederlegnoArredo.We need to understand if the first slowdown is due to a drop in demand or to difficulties in filling orders, caused by lack of raw materials or price increases – probably all of these factors combined. After a year 2022 in which the problem was the margins eroded by increased list prices, in some cases also impacting investments, the concern at the moment is what will happen in 2023.”

Assemblea Assolegno e Timber Forum 2022, Photo © Luca Devigli, courtesy FederlegnoArredo
Assemblea Assolegno e Timber Forum 2022, Photo © Luca Devigli, courtesy FederlegnoArredo

The export slump is reflected more in the results of the macro-system of furnishings and lighting (which exports over 50% of production), which in the first semester recorded an increase in profits of 15.5%, definitely positive but lower than the chain of production as a whole, with a more dynamic pace in Italy (+18.3%) driven by tax breaks for construction, with respect to foreign markets (+13.1%).

The Istat data also confirm less dynamism in exports, which for the industry mark an increase of +18.4% in January-June 2022 over the same period in 2021, in relation to an increase of +21.3% in January-March 2022 over the corresponding months in 2021, and +16% for April-June. So in the furniture macro-system the remarkable growth of the first three months of 2022 (+20.5%) has run into a slowdown (+16.7%).

Salone del Mobile Milano - Photo © Andrea Mariani
Salone del Mobile Milano – Photo © Andrea Mariani

“It will be necessary to understand the extent to which these results are truly positive, or whether they conceal the inclusion of rising list prices that companies have been forced to apply in these months, due to continual increases in the costs of energy and raw materials,” Feltrin continues. “Just consider the fact that the Istat index of production prices in the industry clearly shows a boost in the prices for wood (panels have increased in price by 31% in the first three months of 2022, with respect to 2019), and to a lesser extent for furniture (+11%) and lighting (+4%). Only the annual reports will enable us to define the real substance of the growth trend of 2022, which the numbers would presently seem to show. While in 2021 the recorded growth was 80-85% quantitative in nature, with the remaining portion due to price hikes, for 2022 I fear that this ratio could be inverted.”