Exports of furniture, paper and forestry products increased by 30% in the first half of the year.
Exporters believe that the demand for Turkish furniture in Russia will continue to grow until the end of the year. The growth of furniture imports from Turkey was facilitated by anti-Russian sanctions and the decision of the Swedish furniture company IKEA to sell four factories in Russia and reduce the scale of business in Russia.
“Today, Turkey ranks 8th among furniture exporting countries in Russia. Last year, exports to the Russian Federation amounted to about $40 million, but in the first half of the year it rose to $65 million. We intend to reach a level of more than $100 million by the end of the year and break the absolute record,” Nuri Gyurjan, head of the Association of Furniture Industry Entrepreneurs, told the agency.
Overall, furniture exports from Turkey in 2021 amounted to $4.3 billion, and in the first half of 2022 showed $2.4 billion, he added. According to him, demand has grown in France, the US and Germany, buying furniture at a high mark-up.
On July 27, it was also reported that the segment of the furniture market in Russia is ready to be partially filled in the main department of the Federal Penitentiary Service (GUFSIN). The press service of the department for the Sverdlovsk region told Izvestia that the GUFSIN has been offering the business community for many years to invest in this area of activity and entrust prisoners with orders for the manufacture of furniture.
On June 16, IKEA announced to employees that it was selling its business in the Russian Federation and disbanding its staff. The corporation has promised to pay compensation to laid-off workers in the amount of seven months’ salary. On June 27, it was noted that the co-founder of the Russian furniture manufacturer Mr. Doors Maxim Valetsky. On July 5, IKEA started selling off leftovers from warehouses in Russia.