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Supply challenges expected to ease
Global supply capacity is expected to recover later this year, according to figures examined by British Furniture Manufacturers (BFM) in its latest economic update.
But challenges to meet rising demand – including supply disruption and labour shortages exacerbated by the ‘pingdemic’ – are expected to continue in the near term.
Supply chains, labour shortages and consumer confidence were all examined by BFM MD Nick Garratt as part of the association’s Monthly Economic Review.
The report evaluates economic trends and figures from The Bank of England’s Monetary Policy Report and the Office for National Statistics, as well as data from XpertHR, CBI, GfK and the Consumer Prices Index.
BFM members benefit from insight into the UK economic recovery, inflation and employment trends, as well as Nick’s assessment of the risks and opportunities for furniture manufacturing over the coming months.
Nick says: ““The furniture industry continues to benefit from strong demand, with strong retail sales volumes reflecting the easing of coronavirus restrictions.
“The home continues to be a major beneficiary, whilst restrictions on travel and experiences limit consumer spending in these areas.
“The major threat to businesses continues to be cost and supply based – both labour and materials.”
BFM MD Nick Garratt
The BFM Monthly Economic Review is available for members and those with an interest in the furniture sector at https:// www.bfm.org.uk/resources/ documents/bfm-economicreview-july-2021/
Softwood imports hold strong despite record growth in demand
The Timber Trade Federation (TTF) reports that the volume of the main timber and panel products imported in May 2021 are nearly +58% higher than in May 2020.
This comes as the total volume of imported timber and panel products in the five months to May 2021 exceeds 5 million m3, which is 1.5 million m3 higher than the same period in 2020.
The growth in May 2021 over the previous year follows on from the record +103% growth in April 2021 over April 2020, which was highlighted last month.
Softwood is a major driver of this growth, with 3.29 million m3 of softwood imported during this time, which is about +52% higher than in the same period last year, and +13% higher than in 2019.
Hardwood import volumes over the five months to May 2021 were +18% higher than 2020 showing a strong bounce back, but, at a total of 0.2 million m3, they are yet to exceed 2019’s imports figures.
A similar story to hardwood imports can be seen across both plywood imports and particleboard imports.
OSB and MDF import volumes have, however, seen significant growth.
TTF chief executive, David Hopkins, says: “RMI and new-build housing are the main drivers of softwood imports, and in both areas, there has been unprecedented growth – so unsurprisingly timber has followed.
“The softwood sector is working at full pace to meet this incredible level of demand and to help support the realisation of the CPA summer forecast for double-digit growth in the construction industry – as well as the UK-s economic recovery from Covid-19. As the pandemic eases and normal spending patterns return, with consumers spending more on going out and travelling and less on home improvement, we do expect that some of the tension in the market will be relieved.
“However, there remains many unknowns which may constrain growth in the market. This includes rising demand from a global construction ‘supercycle’, a shortage of raw materials, skilled workers, and disrupted supply chains.
“This makes it incredibly hard to predict the exact time we will see a resumption of more regular activities in the UK economy, but we are confident that by Q4 a clearer picture will be formed of the timber market.”
www.ttf.co.uk
New customer support technician at J & C O’Meara
J & C O’Meara has announced the appointment of Damian Sharp as its new customer support technician.
Damian brings with him a wealth of over 20 years’ experience from the panel-processing industry, and has previously worked for some of the largest names in the office furniture, shopfitting, panel fabrication and composite panel industries.
Damian started his career as a trainee wood machinist, quickly earning his NVQ Level 3 in performance and manufacturing, and worked his way up to become shift manager for a large shopfitting company in Wigan. Damian then moved firstly to one of the UK’s largest panel fabrication companies and was then headhunted to work for one of the UK’s largest office furniture manufacturers. During his time at these companies, Damian was employed primarily as a machine operator, working on several different types of beam saw, and is fluent with the optimisation programs. He also worked on various CNC machines and edgebanding machines. Damian also has experience of processing a broad range of materials, from MFC and MDF to Trespa, epoxy-based materials and fire-retardant materials.
J & C O’Meara’s new facility is located at Unit 4A, Dakota Business Park, Dakota Way, Burscough, Lancashire L40 8AF.
01704 893109 www.ukwoodworkingmachinery. co.uk
UK visit by ambassador helps promote Indonesian wood products
In a bid to encourage UK timber importers to increase their purchase of legal and sustainable timber from Indonesia, a delegation from the Embassy of the Republic of Indonesia has visited a number of manufacturers across the country.
With FLEGT and legal and sustainable timber products at the top of their agenda – and led by Indonesian Ambassador to the UK, HE Desra Percaya – the delegation visited James Latham, Hanson Plywood, Lambson Building Products, and caravan manufacturer Willerby.
During his visit, the Ambassador reiterated his commitment to further strengthen the mutually beneficial partnership between Indonesia and the UK: “We should seize the momentum of the implementation of UKIndonesia FLEGT-VPA by seeking creative ways to increase supply sustainability of legal and sustainable timber products from Indonesia and ensure that such high-quality timbers remain as the critical part of the UK industry’s supply chain.”
“Co-operation should be intensified to add more value to
(L-R) Mochamad Rizalu Akbar, Trade Attache, Indonesian Ambassador to the UK, H.E. Desra Percaya and Adi Winarso, Minister Councillor of Economic Affairs As part of their trip, the delegation enjoyed a visit of the Hanson Plywood warehouse where they inspected Indonesian Timber products
Indonesia’s FLEGT-certified timber products and to replicate a similar mechanism with other forest and agriculture commodities. A holistic approach which involves all relevant stakeholders is indispensable. Business and industry associations, as well as consumers and NGOs, play a critical role in shaping perspective and demand, while governments and parliaments from both countries could provide regulatory and market incentives support as stated in the UK-Indonesia FLEGTVPA.“
UK sales agents and representatives for supplier of premium-quality timber products from Indonesia, Pacific Rim Wood, which supplies a number of timber products to these manufacturers, helped organise the visit.
MD Shaun Hannan commented: “It has been an honour to host the visit, which has already been heralded as a major success in helping to raise awareness of Indonesian FLEGT-licensed timber products, as well as encouraging UK importers and stakeholders to increase their purchase of legal and sustainable timber products from Indonesia.”
Kite delivers on being carbon neutral in 2021
Kite Packaging has been committed to protecting the environment since its founding in 2001. After stocking specialist enviro-products, establishing a compliance scheme to help companies to fund its recycling of plastic waste in the UK and launching a Plastic Reduction Campaign in 2019, achieving carbon neutrality was the natural next step.
Inherent within Kite’s business model is the idea of wanting clients to be successful. By using less packaging, reducing costs and elevating their environmental consciousness, the business will naturally benefit. Shopping with a carbon-neutral supplier strongly supports this approach toward growth.
As a large-scale logistics operation, Kite had two main carbon contributors – fuel and energy. Firstly, the company offset its truck fuel at source, bringing its carbon footprint in this category to zero. As an ISO14001-accredited company, energy consumption was already being strategically reduced, but to achieve carbon neutrality Kite initiated a move toward renewable tariffs utilising wind, wave or solar energy.
Carbon Neutral Britain verified this achievement in 2021, and neutralised the carbon that was not offset at source using Verified Carbon Credits.
Constant growth and development is at the heart of Kite’s culture – the upcoming move into a new, state-of-the-art site, will make the business capable of championing further eco-friendly initiatives with “uncapped creativity”.
The building will be entirely carbon neutral through solar technology, with the potential to be carbon negative.
www.kitepackaging.co.uk
Organisations with social aims join forces to simplify National Procurement Service procedure
Ministry of Furniture, the company which emerged from Remploy Furniture, is collaborating with Merthyr Tydfil Institute for the Blind (MTIB) to combine key competencies for the benefit of National Procurement Service (NPS) members in the provision of workplace and education furniture.
The collaboration will allow purchasers the opportunity to benefit from a simplified procurement procedure, while simultaneously working with two Welsh manufacturers with social aims and demonstrable expertise in remanufacturing and the circular economy.
To engage with these collaborative organisations, NPS members are given the option to support lot 3 of their contracts.
When opting for lot 3, purchase orders will be placed with Ministry of Furniture, which will provide the first point of customer engagement.
The company will also provide project management, estimating, interior design, bid management, light manufacturing and installation services. It will be the prime ‘contractor’ on any live project, and provide the financial ledger for invoicing and applications for payments.
Merthyr Tydfil Institute for the Blind (MTIB) is a charity and company limited by guarantee, whose mission is to provide people with disabilities the opportunity for sustained employment.
Founded in 1923 to support local blind miners, MTIB has been successfully providing training, development and employment opportunities for people with disabilities and health conditions for almost 100 years.
Alongside the delivery of its employment and training programmes, MTIB’s 90%-disabled workforce operates its supported business manufacturing facility, which supplies wooden frames, card, fibreboard and furniture components to the furniture and office furniture industries.
MTIB will be the primary
Ministry Group CEO Graham Hirst, centre, and his team
manufacturer and supplier of furniture under lot 3 of the NPS contract. It will also help to develop bespoke product solutions alongside Ministry of Furniture’s design team, and will provide production labour, materials and appropriate storage for the furniture it produces.
Paul Griffiths, head of commercial delivery and capability at the Welsh Government, says: “We are delighted to see Ministry and MTIB working together. It brings together two Welsh social enterprises who are dedicated to helping the disadvantaged find real and fulfilling employment.
“Being two Welsh-based manufacturers, they’re a powerful example of how our foundation economy can support economic recovery, lessening Wales’ dependency on global supply chains. Their remanufacturing capabilities fully embrace Beyond Recycling – our Circular Economy Strategy for Wales.”
Graham Hirst, Ministry Group CEO, says: “We are delighted to be collaborating with MTIB to produce furniture solutions for businesses and educational institutions throughout Wales.
“This collaboration will provide a compelling solution for NPS customers that want to deliver a sustainable solution for their workplace and education furniture requirements. It will also give the added value of delivering tangible and impactful high-value community benefits for the Welsh economy.”
Richard Welfoot, MTIB CEO, adds: “MTIB are excited to be collaborating with Ministry, as it provides the organisation with the opportunity to significantly develop its product range and service offering to customers. However, more importantly, it will help sustain the employment of our existing disabled workforce, and provide further job opportunities for people with disabilities and health conditions within our Welsh localities.”
www.ministryoffurniture.com www.mtib.co.uk
Three talented RPW Design alumni join AD Associates
AD Associates (AD) has added three new members to its design team. All formerly with RPW Design, Heather McLellan, Rick Snow, and Alessandro Tessari have taken up senior design positions at the London-based experiential and spatial design studio.
AD is best known for its design projects within the hospitality and travel sectors. Therefore, the agency was a suitable career move for the three designers, all having extensive experience in this space.
Heather joins as a design associate. She is passionate about creating enduring, functional and inviting environments. She is an experienced designer with strong technical knowledge and creative skills in both spatial and furniture, fixtures and equipment design.
Heather has an extensive background in high-end hospitality and cruise design. She has successfully taken numerous small- and large-scale projects from concept to completion, from P&O Cruises,to across the Marriott, Hilton and IHG portfolios, both within the UK and internationally. In addition, she has worked on refurbishments, new builds, and listed buildings.
Heather says: “It is exciting to continue to design within the hospitality sector amongst a talented and growing team, while at the same time working alongside some familiar faces! There are unique projects on the horizon for us, which is refreshing after a tough year for the industry.” Heather will work with other senior leaders to oversee the interior architectural project teams, and the wider studio team to deliver projects.
Rick and Alessandro both join as senior designers. They will bring a wealth of creative knowledge to the team and work on projects from concept to completion.
Rick is an accomplished residential and hospitality designer. He has worked on projects for globally renowned brands including InterContinental and Four Seasons.
Rick says: “I look forward to bringing my many years of hotel design experience to AD’s extensive hospitality and travel knowledge to create new and exciting projects together – both at sea and on land!”
Alessandro adds: “I am delighted and enthusiastic about joining the team, and look forward to the exciting project pipeline. I’m also amazed by the view from the studio, and the opportunity to work from a desk overlooking St Paul’s Cathedral – a Christopher Wren masterpiece!”
Alessandro is an experienced senior designer and qualified architect, belonging to both RIBA and ARB. He also has extensive international hospitality and cruise design experience, working on projects for global brands such as Marriott and P&O Cruises.
Chris Finch, the agency’s founder & CEO, says: “I am delighted three wonderful talents have joined the team. This is a proud and exciting moment for the studio as the world slowly recovers from the pandemic, a turbulent time for our industry and the sectors we serve. There’s no doubt, Heather, Rick and Alessandro will all bring something unique and special to our team and client projects.”
www.adassociates.london
dRMM’s Timber Beacon shortlisted for COP26
dRMM has designed a reusable timber pavilion for COP26 – the UN climate change talks to be held in Glasgow in November 2021.
Timber Beacon is dRMM’s response to the collective brief of a unique global timber industry collaboration. The 25+ strong alliance of innovators in engineered mass timber and wood-based products, global forest growth and development, is led by the UK Timber Trade Federation and CEIBois, the European Confederation of Woodworking Industries.
“As world leaders discuss our global responsibilities and collective response to climate change during COP26, our message for the future will be powerfully three dimensional – in wood there is hope,” says dRMM’s founding director, Professor Alex de Rijke.