The month of June reported bringing big relief to small and mid-segment plywood producers, located in North India and Kerala as they reached about 50 per cent capacity in the last week of June albiet all uncertainties due to COVID Pandemic. Reports received from Ply Reporter’s correspondents from Yamunanagar, Punjab, UP and Kerala indicated a good recovery in the demand of economical grade plywood, block boards and flush doors.
Further report suggests that the commercial and MR grade plywood, having a price range of 40-45, received good demand from tier 2, tier 3 and rural market PAN India. Distributors from different large cites confirmed that they have receiving many small orders from small towns and suburb markets, which is helping explore new markets. They also say that all new orders post COVID are in advance payment mode, which is a huge relief for them to run their businesses smoothly.
Plywood Distributors have successfully achieved its 45 to 50 per cent sales as compared to pre-COVID but 80 per cent of these sales come from economical range plywood. They say that premium grade plywood demand has been restricted to limited customers and mainly to those pockets where work had started from pre-COVID time.
Big plywood brands are also upbeat about catering to the demands of these economical grade plywood, and are aggressively presenting their economical brands at reasonable rates with good service. Dealers say that there is tough price competition of economical grade plywood in the market, and they are getting good prices and offers from the top branded companies as well.