Poland\u2019s wood and furniture industries, once among the country\u2019s most competitive export sectors, are losing momentum as rising costs and regulatory pressures erode profitability, industry representatives warn.<\/p>\n
After more than a decade of strong growth, sector revenues have stalled since 2022. Furniture exports \u2013 which account for around 90% of production \u2013 and the wider wood industry now face declining margins, falling employment, and intensifying competition from Asia.<\/p>\n
\u201cSystemic actions will determine the future of the wood and furniture sector,\u201d said Jaros\u0142aw Michniuk, vice president of the Polish Chamber of Commerce of Furniture Manufacturers (OIGPM) and CEO of Paged Meble. \u201cWithout corrective measures, we risk a reduction in scale, mass layoffs, and even bankruptcies.\u201d<\/p>\n
High costs undermine competitiveness<\/strong><\/p>\n Industry turnover has more than doubled since 2010, reaching over PLN 60 billion (\u20ac14 bn) annually. Growth was driven by stable raw material prices, low labor costs, and heavy investment in technology. But according to Michniuk, these advantages have largely disappeared.<\/p>\n Poland now faces the highest wood prices in Europe, restrictions on sourcing from State Forests, steep increases in minimum wages, and some of the highest electricity costs on the continent.<\/p>\n Profitability fell by 20% in the furniture industry in 2024, and by 30% to 80% in the woodworking segment. Employment has dropped by almost 30,000 from a peak of 170,000 workers.<\/p>\n At the same time, imports from China are rising, while the US has introduced restrictions on European goods. New EU regulations, including the Deforestation Regulation (EUDR) and the Ecodesign for Sustainable Products Regulation (ESPR), add further compliance costs.<\/p>\n Call for state intervention<\/strong><\/p>\n Michniuk argues that government action is crucial. He proposes stabilizing and reducing wood prices from the State Forests, which generate annual net profits of PLN 700\u2013900 million (\u20ac163\u2013209 m). Lower prices, he says, would boost sector activity and generate higher tax revenues.<\/p>\n Other priorities include easing energy costs through energy transformation, aligning minimum wage growth with productivity, and improving dialogue with EU institutions.<\/p>\n The industry is also waiting for the creation of a Wood and Furniture Council at the Chancellery of the Prime Minister, a body announced earlier but not yet implemented.<\/p>\n Exports at risk<\/strong><\/p>\n The wood and furniture sector accounts for about 15% of Poland\u2019s exports. Any downturn would not only hit company earnings but also reduce state revenues.<\/p>\n \u201cThe furniture sector is one of Poland\u2019s export champions. Weakening its position would directly translate into economic losses at the national level,\u201d Michniuk warned.<\/p>\n Industry looks to Congress for answers<\/strong><\/p>\n These issues will be discussed at the 10th National Furniture Congress in Pozna\u0144 on Sept. 10, held alongside the DREMA trade fair. For the first time, representatives of EFIC, the European Furniture Industries Confederation, will join the debate, alongside Polish manufacturers.<\/p>\n The Congress will mark the 30th anniversary of OIGPM and aims to define a joint industry position on competitiveness and sustainability.<\/p>","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":50658,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[5204,5812],"tags":[],"class_list":["post-96787","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news","category-global-trends","area-europe","area-global"],"acf":[],"yoast_head":"\n