Reports Description

India Furniture Market was valued at USD 15,880 Million in 2024 and is expected to reach USD 32,298.7 Million by 2033, at a CAGR of 7.73% during the forecast period 2024 – 2033.

Furniture is a household and commercial commodity generally made of wood, metal, plastics, marble, glass, fabrics, or related materials. Furniture and its product ranges widely from the simple pine chest or stick-back country chair to the most elaborate marquetry work cabinet or gilded console table. Furniture is used for variety of purposes such as preparation of sleeping, seating, and working, among other necessary functions.

India Furniture Market: Growth Factors

Rapidly Expanding Commercial Construction Industry

The commercial and residential construction industry is rapidly expanding in the India due to growing urbanisation and increasing disposable income. Furniture products are the key part of commercial construction projects because it’s designed to be durable, easy to maintain, and meet safety standards.

India’s commercial construction sector is rapidly expanding due to trends like co-working spaces, smart buildings, and a focus on sustainability. Furthermore, supportive government policies such as Union Budget has announced the setting up of the Urban Infrastructure Development Fund (UIDF), allocating USD 1.5 Bn per year to public agencies, to create urban infrastructure in Tier 2 and Tier 3 cities.

Thus, such ambitious projects and policies are generating considerable demand for quality furniture products such as such as bathroom furniture and wardrobes. In commercial spaces the furniture is used, which in typically made of durable materials such as steel, hardwood, laminate, and commercial upholstery.

Key players operating in the market are heavily investing in the product innovations and new product developments. Companies are incorporating the fire-resistant and stain-resistant materials can be used to meet safety and hygiene standards, especially in areas such as healthcare facilities and restaurants.

Growing Home Décor Activities

The growing trend of home decoration and renovations across the India is mainly boosting the consumption of furniture across India. Rising demand for custom made home décor products with personalized décor options such as monogrammed items and do it yourself (DIY) is expected to drive the product sales across India.

Furthermore, growing renovation and reconstruction activities across the Tier 1 and metro cities is expected to fuel the demand for furniture products. The demand for aesthetically appealing and eco- friendly luxury products to decorate the homes, offices, hotels and restaurants with exclusive furniture’s is increasing across the homes, offices, hotels, and restaurants with exclusive furniture, wooden flooring.

After Covid 19 pandemic home renovation and reconstruction industry is seeing an unimaginable surge in demand because many service sector companies switched to work from home (WFH) and the need for upgraded personal and workspaces emerged as a follow-up trend.

The increasing urbanisation due to growing migration from rural to urban areas boosting the consumer spending on the home decoration, which in turn boosting the consumption of furniture products across India.  Growing spending on customized furniture items featuring easy entryway options, storage solutions, and home-office product upgradation capabilities accelerate product demand is expected to drive the overall market growth.

India Furniture Market: Restraints

Fluctuation in Raw Material Prices

Furniture is made of various raw materials like wood, cane, metal, leather, and fabrics. These raw materials are most used for contemporary furniture production. The prices of these raw materials are fluctuating periodically due to fluctuations in raw material supply.

The uneven supply of these raw materials is increasing the overall production cost of furniture, which in turn increasing the selling prices, thereby reducing its adaption of profit margin.  For instance, the prices of the metal and teak wood, major raw materials for furniture production, increased approximately by 10% and 15% respectively between the 2021 to 2024 due to demand supply gap.

This volatility poses a challenge for manufacturers in maintaining profit margins and competitive pricing.  Additionally, lack of universal directives pertaining to production and applications of furniture products is also restraining the market growth.

Every state in India has their own set of rules and regulations pertaining to production of furniture products. Key players operating in the market finds it very difficult to comply with such state’s wide regulations, which in turn discouraging the new investment in the market, thereby restraining the market growth.

India Furniture Market: Opportunities

Growing Presence of E-Commerce Channels

The increasing penetration of E-commerce channels is creating the lucrative opportunities for the furniture manufacturers across the globe. The growing proliferation of internet and increasing smart phone penetration have increased the online shopping in India.

The Key players operating in the market are launching their own E-commerce websites and collaborating with third party E-commerce channels to enhance their market presence and product penetration. The consumers are preferring the online furniture shopping because it made easier for consumers to access a wide range of furniture options from the comfort of their homes and alluring discounts offered by the E-commerce platforms.

For instance, many online platforms such as Pepper fry, IKEA, FabFurnish are some of the largest and most popular e-commerce company for furniture and furnishings, with a curated product catalogue.

Major furniture manufacturers are collaborating with third party E-commerce channels. For instance, recently Urban Ladder collaborated with Amazon.in to sell furniture online. This partnership will give homes across India access to products curated.

The E-commerce platforms are helping the furniture companies to enhance their product outreach across the India and leverage the data driven insights. By analysing the data provided by e-commerce platforms, furniture industry stakeholders can make well-informed decisions regarding product assortment, pricing, and effective marketing strategies.

Development of Furniture Hubs Across the India

Government of India and state governments are providing the financial and institutional support to the key stakeholders operating in the Indian furniture industry. Government of India has developed furniture hubs such as International Furniture Park in Tamil Nadu, Karnataka, Madhya Pradesh, Uttar Pradesh and Andhra Pradesh.

Such supportive policies are encouraging the entry of international key players and international brands. Growing investment in the residential and commercial infrastructure projects coupled with the presence of large consumer base are mainly attracting the international furniture manufacturers in India.

Furthermore, supportive government policies such recently government of India has introduced the Quality Control Orders (QCOs) to ensure that furniture products meet safety, quality, and environmental standards. India’s strategic location and abundant raw materials make it an attractive sourcing hub for furniture manufacturers. India’s furniture export market is growing rapidly, with the US being the largest destination for Indian furniture exports.

India Furniture Market: Segmentation Analysis

India Furniture market is segmented by product, by material, by type of material and by region. By Product, India furniture market is segmented into modular and semi-modular kitchen furniture, bedroom furniture, bathroom furniture, wardrobes and other home furniture. Among all of these, bedroom furniture segment dominated the market and is expected to keep its dominance during the forecast period owing to growing usage of furniture in the bedroom applications.

The growing disposable income and increasing urbanisation boosting the demand for high end furniture products in the bedroom applications. Furthermore, growing inclination of Gen Z and millennial people towards gaining advanced and convenient bedrooms is expected to create the lucrative opportunities for this segment during the forecast period.

By material, wood segment dominated the market and is expected to keep its dominance during the forecast period owing to growing production and consumption of furniture across the globe.  Various factors such as increasing consumption of wood-based furniture due to low cost, easy availability of raw materials, growing inclination towards the sustainable furniture raw materials are some of the factors are mainly driving the market growth.

Growing usage of wood-based furniture in various commercial and residential commercial applications such as offices, hospitals, and hospitality infrastructure are expected to create opportunities for this segment during the forecast period.

Plastic segment is expected to grow at fastest CAGR during the forecast period. The growing demand for plastic based furniture due to easy availability of plastic raw materials and low weight of these materials. Metal material segment is expected to grow at substantial growth rates during the forecast period.

The growing demand for high performance and low weight metal material in the furniture manufacturing industry is expected to create lucrative opportunities for market during the forecast period. Key players operating in the market are launching innovative metal designed plastic furniture products. Thus, such factors are expected to drive the overall market growth.

By distribution channel, market is segmented into online channels, home centres, specialty stores and other distribution channels. Among all these channels, speciality stores segment dominated the India furniture market and is expected to keep its dominance during the forecast period owing to growing presence of speciality stores across the metro cities and tier 1 and tier 2 cities.

Consumers are generally preferring the purchasing of furniture through speciality stores due to presence of availability of the furniture product availability. The key players operating in the market are launching their own speciality stores and collaborating with many speciality stores companies to enhance their product outreach.

Online distribution channel segment is expected to grow at fastest CAGR during the forecast period owing to growing internet penetration and increasing smartphone penetration across India. Key players operating in the market are collaborating with third party E-commerce platforms to enhance their product outreach and revenues.

Furthermore, many key players have launched their own E-commerce channels to monetize this trend. E-commerce trend is fuelled by the convenience of browsing extensive product selections, comparing prices, and reading customer reviews.

By end use industries, residential segment dominated the India furniture market and is expected to keep its dominance during the forecast period. Growing usage of furniture in residential applications across the country is mainly driving the market growth of this segment. Various factors such as increasing investment in the residential constructions and growing disposable income across the country are mainly boosting the demand for furniture products in the residential applications segment.

Additionally, the growing usage of furniture applications in the various residential applications such as comfort, rest, relaxation, work, and storage. The various types of furniture products used for residential activities include tables, chairs, beds, desks, dressers or cupboards.

Commercial application segment expected to grow at fastest CAGR during the forecast period owing to growing usage of furniture in the commercial applications. Various commercial institutions such as hotels, restaurants, office spaces, educational institutions and hospitality sectors are the main end users of the furniture products. The renovation and reconstruction of the office spaces and expanding hospitality sector is fuelling the demand for products.

Report Scope

India Furniture Market: Regional Analysis

By region, India Furniture market is segmented North India, South India, East India, West India. Among all of these, North India region held highest market share in 2023 and is expected to keep its dominance during the forecast period. The Presence of well-established manufacturing hubs, easy availability of raw materials and skilled labours are mainly driving the market growth of this region.

Key states such as Andhra Pradesh, Tamil Nadu, Karnataka, Telangana and Kerala are mainly driving the market growth of this region.  Various factors such as supportive government policies, well-established end-use industries, rapidly expanding residential construction sector, growing investment in the furniture industry are mainly driving the market growth of this region.

North Indian states such as UP, Delhi, Himachal Pradesh, Uttarakhand are expected to cerate lucrative opportunities for market during the forecast period. The North India region’s significant manufacturing sector drives the demand for furniture sector.  Furthermore, rapidly expanding end use industries coupled with growing investment in the residential construction sector is expected to create lucrative opportunities for market during the forecast period.

List of the prominent players in the India Furniture Market:

• Godrej & Boyce Manufacturing Company Limited
• Inter IKEA Systems B.V.
• Wakefit Innovations Pvt. Ltd
• Nilkamal Limited
• Cello World private Limited
• Zuari Furniture
• Durian Industries Limited
• Usha Shriram Enterprises Pvt. Ltd.
• Damro Furniture Pvt. Ltd.
• Supreme Industries Ltd.
• Wipro Furniture Private Limited
• IKEA
• Ashley Furniture Industries Inc.
• RH (Restoration Hardware)
• Williams-Sonoma Inc.
• Others

The India Furniture Market is segmented as follows:

By Product

• Modular and Semi-Modular Kitchen Furniture
• Bedroom Furniture
• Bathroom Furniture
• Wardrobes
• Other Home Furniture

By Material

• Wood
• Plastic
• Metal
• Glass
• Others

By Type of Market

• Organized
• Unorganized

By Distribution Channel

• Home Centres
• Specialty Stores
• Online
• Other Distribution Channels

By Application

• Residential
• Commercial