“We had hoped to grow by 10 percent in lei. We increased slightly more than that, but the deterioration of the exchange rate which appeared toward the end of the year cancelled our growth computed in euro,” Sucu added.
The business of Silvarom, one of the traditional furniture producers in Bucharest, likewise stagnated. Ioan Marginean, the company’s Economic Manager, said he expects a five percent annual drop in business in 2009.
Elvila, the second-largest domestic producer, announced a rise in net sales of some three percent, to €115 million, in 2008, below initial growth estimates of 7-10 percent, due to the economic crisis, according to Mihaela Mihai, the company’s Marketing Manager, quoted by the Mediafax news agency. The company had previously estimated a five percent decline in business for 2009, due to a drop in consumption.
Staer International registered RON 98.7 mln (€26.8 mln) worth of business in 2008, down some three percent year-on-year. “The deadlock of the real estate sector, as well as the liquidity shortage of banks, is affecting most related fields, including the furniture market,” said Stefan Nicolae, the company’s Chairman of the Board, quoted by Mediafax.
According to the Romanian Furniture Manufacturers Association (APMR), the local market soared 14 percent in 2008, to €1.35 billion.
