CebuX brand set for global promotion

The furniture export industry in Cebu will embark on an aggressive overseas promotion of the CebuX brand immediately after this year's Cebu International Furniture and Furnishing Exhibition or CebuX 2006 was successfully held.

"Our present strategy is to bring CebuX abroad to major international furniture fairs. This is part of our tactic to promote the CebuX brand to the world market," said Cebu Furniture Industry Foundation Inc. (CFIF) executive director Ruby B. Salutan.

The upcoming Singapore fair will be one of the global shows where Cebu furniture industry will bring a selection of furniture companies representing the image of CebuX under one pavilion, she said.

"Another show we are looking at to participate in the next few months is the Mebel show in Russia and one other European show which we will have to identify," Salutan said.

The recently concluded CebuX was able to weather the threat from the political instability, which prompted some buyers to cancel their trip to Cebu to witness the CebuX 2006.

Two days before the CebuX was opened, the Philippine government proclaimed a "National State of Emergency" that triggered new buyers, or first time visitors to cancel their scheduled visit to Cebu.

The Cebu furniture industry is trying to hardly penetrate the potential emerging markets like Europe, Russia, and the Middle East. Salutan said most supposedly first time foreign buyers who were set to come to the show, canceled their trips because of the unpleasant picture of security in the Philippines, due to political unrest.

Still, despite the uncontrollable situation, Salutan said Cebu furniture industry is not giving up instead it will intensify its promotion in the world market, especially in the emerging markets, like Russia, Europe and other continents in the world.

She said Moscow is one of the potential emerging markets being looked at by the furniture exporters right now.

"There is good money there [Moscow]. Their purchasing power is very high. People there are demanding for contemporary to modern furniture designs," she added.

In the next few days, CFIF will be releasing the result of sales bookings made in this year's CebuX which ended last Wednesday (March 1, 2006).

Last year's CebuX generated a four percent increase in sales from the 2004 show at US$27.4 million with the Middle East as the largest purchase accounting for 32 percent of the total sales.

In the last six years from 2000 to 2005, the Philippines' furniture export experienced a negative growth rate of five percent while the rest of its Asian neighbors are experiencing positive growth rates.

In the past, the Philippine furniture export was ranked top 11 out of all furniture exporting countries in the world. Today, Philippine furniture exports which 70 percent comes from Cebu, fell down to 36th place.

Despite its huge potential, the Philippines has only captured .35 percent of the total furniture market in the world.