The Calibrated Plywood experienced significant fluctuations in profitability throughout 2023, facing challenges primarily attributed to timber supply shortages, despite being a highly discussed product in the Indian market. However, there is optimism for 2024 as an improvement in demand and market acceptance is anticipated. The calibrated plywood market is reported to have strengthened by 10% in consumption so far, with expectations that it will double in size compared to the previous year.
Despite having continuous pressure on margins because it has to fight with normal plywood, the genuine calibrated plywood manufacturer will continue to struggle for profit, but the market will slowly gain momentum in 2024 because of increasing consumption in the ready-made furniture sector. The majority of OEMs are going to depend more on Indian-origin-manufactured calibrated plywood, predicts Ply Reporter’s study.
So far, there have been approximately 45 calibrated plywood manufacturing units in India. However, by 2024, this number is expected to double. Insights from calibrated plywood machinery manufacturers indicate a widespread growth of manufacturing plants across the country, spanning the North, South, East, and West regions.
The impact of stringent regulations, particularly the mandatory BIS mark on plywood if applied as per issued timeline, has led to evident constraints on imports. Currently constituting between 8% and 10% of the entire market, it is projected to grow significantly, reaching up to 25% in 2024. This prediction suggests a notable shift in the market dynamics and consumer preferences toward calibrated plywood in the coming year.