Industry news

The fact that the monetary policy has remained fairly volatile is shown by the high inflation of 20% at the end of last year, something which still plagues the country. The huge devaluation of the Turkish currency, the lira, has had an extremely adverse effect on the spending power of the average Turk and, obviously, this also affects us because it has created huge price disruption due to the currency devaluation for industrial products which are made both in Turkey and in other countries.

Carpet leads the way

And so, what about flooring? What stands out mainly is how Turkey has enjoyed fame and renown since time immemorial for the export of carpets. This is linked to the country’s traditionally strong position in the fields of textiles and clothing. In recent decades, the country has clearly progressed from a price product to a quality product. Some figures: In the first half of 2019, carpet producers sold their products to about 177 countries. They earned over one billion euros from the export of carpets and other flooring materials (we didn’t find any figures, but there is nevertheless a growing trend towards vinyl floors, PVC, and laminate, supplemented by wood).

For those who want more figures: At present, the worldwide export of carpet accounts for a market share of about 15%, whereby Turkey is in second place behind China. In recent years, the Turkish export trade has actually increased staggeringly. For instance, exports from the past five years have accounted for almost 10 billion dollars, 2.2 billion dollars of which were exported in carpets and other flooring materials in 2018 alone.

According to the Turkey Exporters Assembly (TİM) Carpet Sector Council, the export of carpets makes a huge contribution to the country’s economy. In terms of the provinces, we note that the city of Gaziantep accounts for 782 million dollars of the total export, followed by Istanbul with 281 million dollars, Usak with 43 million dollars, Bursa with 18 million dollars, and Denizli with 7 million dollars.

Construction drives the market

What also stands out is how the market is driven mainly by building activities which are in progress in the country and worldwide. This is supported by a growing industrialisation and a rapidly growing middle class. Expenditure for utility and commercial construction also contribute largely to the income of the flooring market.

A document from the renowned Mordor Intelligence, which regularly issues industrial reports, shows in its conclusion why Turkey has made such huge strides (certainly until the new bang at the end of 2021). The report considers the major players operating on the Turkish flooring market, together with their product portfolio, main financial details, and developments.

To sum it up, we notice here how the report concludes that the flooring market is being transformed rapidly via a boom in technological progress through product innovation. According to Mordor, there has quite clearly been a shift in the interests of the leading market players. They have also invested heavily in launching on the market ecological floor materials which can be recycled and they have done so for both residential and non-residential applications.

Sources: Wikipedia, Mordor Intelligence report, Market Overview Turkey Report, and Fedustria.

The laminate flooring sector’s recovery post-COVID shows no signs of stopping as EPLF members sales grow by 5,3% in 2021

Brussels, 25 February 2022 – For the second year in a row, EPLF members have continued to prosper thanks to their focus on innovation and sustainability. In 2021, EPLF members’ sales growth persisted with an increase of +5,3% compared to 2020, and a total of 483.4 million m² of flooring sold. Members had already benefited from the consumer craze for DIY and interior design in 2020 by growing their business by +2,7% compared to 2019. Despite the difficulties in sourcing raw materials and the disruptions in the supply chains, our members have shown extraordinary resilience, and a capacity to seize any opportunities to foster business growth. Looking at the global markets, Latin America witnessed the biggest growth in 2021, with +61,5% in comparison to 2020, and 22.8 million m² of flooring sold. Sales in Western Europe reached 231.5 million m² in 2021, an increase of +2,59% compared to 2020. In line with previous years, Germany remains our most steady market, with 49.4 million m² sold in 2021, despite a decrease of -6,12% compared to 2020. Our second strongest market, France, grew by +13,30% compared to 2020, with a total of 42 million m² sold in 2021. Great Britain places itself in third position, despite a decrease of -5,72% since 2020, with 34.6 million m² sold this year. In Eastern Europe, Russia, the biggest market continued to grow with +16,24% compared to last year, and a total of 53.6 million m² of flooring sold. Poland comes second with 30 million m² sold (+3,64% compared to 2020). Romania comes in third place this year, ahead of Ukraine, with a growth of +3,14% compared to 2020 and 9.8 million m² of flooring sold. Meanwhile, sales in Ukraine decreased by -18,63% (8.4 million m² sold). Georgia is the country to have experienced the biggest increase in the region, with +37,74% compared to 2020. In 2021, North America experienced a decrease in sales, with the US witnessing -21,46% compared to 2020. Canada on the other hand pursued its growth, with +16,80% sales and 12.8 million m² flooring sold. Contrary to 2020, Latin America, Asia and Australia/Oceania have all seen an increase in sales this year, with each region recording +61,58%, +30,45% and +12,78% respectively. Finally, all other countries however reported a decrease in sales of -22,59% compared to 2020 (and 1.81 million m² of flooring sold). Consumers around the world are more and more aware of the sustainability challenges that our societies are facing. Laminate products are made with wood, our most renewable resource. By reducing their carbon footprint and managing their wood supply in an eco-friendly way, our members positively contribute to overcoming today’s global challenges. Our members are dedicated to innovating and offer the best products to enhance the attractiveness and the quality of their designs. It is therefore very gratifying to see more and more consumers are buying our products. This boosts the confidence of EPLF and its members for a bright future with Laminate.