Furniture has become a priority for Brazilians

The furniture industry celebrates successful results and forecasts a positive second half
 
Furniture has become one of the priorities for Brazilians. Sales in the furniture and home appliances have grown at a much higher rate than the general retail in Brazil. The sector grew by 16.6% in 2011, while the general growth amounted to 6.7%. The first half of 2012 saw a growth of over 14.1% over the same period last year, while the overall rate was 9.1%. The figures show that this is one of the fastest growing segments in the country.
 
Recent research shows furniture as one of the main priority items of Brazilian consumers. The GS&MD institute surveyed 360 Paulistas who have risen socially in the last five years, and the research showed that 7% of the respondents’ main dream is to buy furniture. The Data Popular institute was hired by Sindmóveis of Bento Gonçalves to construct a profile of the consumer in the new Brazilian middle class. In 2011, purchases by this segment totaled R$ 1 trillion of which R$ 19.4 billion in furniture. 
 
The nominal growth rate of turnover from January to July this year was 10.6% higher than in the same period last year, as predicted by Sindmóveis. In the first half, exports by the furniture center in Bento Gonçalves (largest furniture producer in Brazil) grew by 6.6% over the same period in 2011.
 
Two other good pieces of news that must boost the sector in the second half of the year are initiatives taken by the federal government. A further extension of the reduction on the tax on manufactured products (IPI) over furniture until the end of the year, although with limited effect. The other is the a credit line offered by Caixa Econômica Federal – Cred Móveis Caixa – aimed at the purchase of furniture and white goods offered to the participants in the My House My Life Program.