Furniture prices to go up in autumn 2010

2010-08-07

The prices of furniture in Poland are expected to increase in autumn of 2010, as a result of the growing prices of raw materials. By the way of example, Meble Agata, one of the largest furniture distributors in Poland, plans to raise the prices from several to 10% in autumn 2010. Also Abra the furniture producer, expects an increase of several percent.
Another rise is to be seen in 2011 after the planned VAT increase that will go up by 1 p.p. to 23%. The market analysts estimate that the higher tax will lower the demand for furniture, which has been going down since the beginning of the financial crisis in Poland.
Also, the prices of mattresses are to go up as the raw materials for their production are growing more expensive. The management of Komfort Sun XE "Komfort Sun" , a leading mattress producer in Poland, explained that in the last two months the prices of raw materials have increased by up to 20%.
Despite the fact that during the summer season the demand for furniture is growing in Poland, the industry representatives do not expect the situation on the market to improve in 2010 or 2011.
Still, the market analysts claim that eventually Poles will start buying more furniture. At present, the average spending on furniture totals to PLN 400 (€100) a year, while the average Western European sales are four times higher.