Teak (Tactona grandis) is one of the most valuable quality timber known for its mellow color and durability. Teak has high oil content and is known for its stability. It is used for indoor and outdoor furniture, boat decks, countertops, etc. Teak majorly grows in countries such as India, Indonesia, Malaysia, Sri Lanka and Myanmar. Hence, the demand of teak furniture is highest in these developing countries. Furthermore, increasing use of online sales platforms for buying furniture further fuels the demand for teak furniture market. Pepperfry, FabFurnish, and Urban Ladder are some of the popular online platforms for buying furniture in India.
Factors driving of growth of teak furniture market
Growth in disposable income of the people and recovery of the residential housing sector are the major driving factors for growth of teak furniture market. The overall demand for furniture has increased among urban households, as people in urban areas furnish their homes to increase comfort. For instance, disposable personal income in Thailand increased to US$ 586,575.6 million in 2017 from US$ 253,848.24 million in 2016.
In commercial segment, teak furniture market has applications in hotels, resorts, etc. Usage of teak furniture is increasing in the commercial sector, as the demand for aesthetically appealing and quality furniture is increasing in commercial spaces. This is expected to drive growth of the commercial segment in the market, registering a CAGR of 6.2% over the forecast period.
However, price of teak wood furniture is high as compared to the price of plywood. This is expected to be the major factor restraining the market growth.
Regional analysis of teak furniture market
On the basis of the region, teak furniture market is segmented into North America, Europe, Asia Pacific, Latin America, Middle East, and Africa. Among regions, Asia Pacific region is expected to account for the largest market share over the forecast period. The growth of this region is attributed to increasing demand from residential sectors in countries such as China and India. Consumers are preferring luxurious furniture for their home decor due to rising disposable income. For instance, in China, according to National Bureau of Statistics (NBS), rural and urban disposable income reached US$ 5,658.45 from US$ 2,107.2 in 2018.
Key players in teak furniture market
Key players operating in the teak furniture market include, Waifair LLC., Westminster Teak, Inc., Polyteak, Bajanusa Furniture, Frontgate, Gloster Furniture GMBH, Nusantara Teak, Teak Heirlooms, Raft Furniture, Wihardja, Artisera, Teak & Mahogany, Dania Furniture, Danish Teak Classics, Casateak Teak wood furniture, Teak Vogue Sdn Bhd, CV.Jepara Crafter Furniture, Wisanka Indonesia, Kalingga Jati Furniture, Republic Furniture Group, and Cv. Raisa House Indonesia.
Taxonomy of Teak Furniture Market
Teak furniture market is segmented on the basis of furniture type, product type, distribution channel, end users, and region