Furniture Industry in Saudi Arabia

The Furniture Industry in the Kingdom of Saudi Arabia is one of the manufacturing industries that has been expanding in the Saudi market due to population growth and the increasing demand for its products. It includes wooden, metal, and other types of furniture products.

History of the furniture industry in Saudi Arabia

The furniture industry in Saudi Arabia was historically based on a variety of handicrafts, owing to the diversity of environments in the regions where it was produced. This diversity gave certain cities and regions distinctive crafts and products, while others shared common characteristics. Traditional handicrafts in Saudi Arabia included woodwork, metalwork, palm crafts, pottery, leatherwork, and textiles.

These traditional crafts formed an integral part of Saudi culture and heritage, and some continue to be passed down through generations.

In modern times, furniture styles in Saudi Arabia have shifted toward more uniform patterns. This is attributed to local and imported furniture factories whose products are distributed by companies across Saudi Arabia, creating a shared and widespread taste.

Contemporary furniture in Saudi Arabia is generally based on two styles: Eastern and Western. Whether locally manufactured or imported, examples include 'Kanab' (sofas), a Western-style of furniture found in Saudi homes. Some people refer to it as Tafsil (custom-made), as certain shops produce and upholster it according to the customer - or client - preference. Another key element in Saudi homes is the majlis or traditional floor seating, which includes a carpet, backrest, and cushions. These are typically placed in outdoor annexes or dining rooms, locally known as Al-Maqlat, or in one of the house’s rooms if space allows.

Modern Saudi furniture also includes fabric curtains covering windows, the installation of modern kitchens and bedrooms, as well as televisions and the use of various modern tools and appliances, whether locally manufactured or imported.

Furniture manufacturing regions in Saudi Arabia

Riyadh Province, Qassim Province, Hail Province, and Northern Borders Province host factories specialized in furniture manufacturing in Saudi Arabia, particularly Riyadh Province, which plays a role in exporting these products to other regions, as its production volume exceeds that of the rest.

Development of the furniture industry in Saudi Arabia

The wooden products industry in Saudi Arabia has developed over time to keep pace with modern systems and techniques of furniture manufacturing. A number of factories specializing in different types of wooden products were established, and in 2009, the number of operating establishments in this sector reached about 365, including factories and workshops.

The increasing demand for furniture, driven by population growth, contributed to the expansion of this industry. In 2011, the furniture and furnishings market in Saudi Arabia was estimated at more than SAR4 billion. Output from furniture factories and workshops accounted for more than 50 percent, with annual sales reaching about SAR1.339 billion.

By 2023, the total number of furniture manufacturing establishments registered with the General Organization for Social Insurance had reached around 6,275.

Growth of furniture manufacturing in Saudi Arabia

The number of furniture factories in Saudi Arabia increased, reaching about 317 by the end of 2017. In 2020, furniture-producing factories witnessed a 258 percent growth in new licenses compared to 2019, with around twenty-two factories starting production that year. By the end of the second quarter of 2021, the number of operating furniture factories was about 301, with a capital of SAR2.530 billion.

With the recovery of the Saudi market following the 'COVID-19' pandemic, the growth of the furniture and wood products sector continued. By the end of the second quarter of 2021, there were about eighty-one furniture factories under construction, with a capital of SAR430 million.

The total number of furniture factories in Saudi Arabia continued to rise. During the second quarter of 2021, eighteen new licenses for furniture factories were issued, while thirteen factories began production.

In June 2024, the General Authority for Statistics recorded a 0.8 percent decline in furniture manufacturing activity in Saudi Arabia, affected by the decline in mining and quarrying activities.

Furniture exports from Saudi Arabia

The products of the furniture industry in Saudi Arabia have not been limited to meeting local demand but have also reached external markets, creating distinctive brands. Furniture was exported to neighboring countries with high levels of efficiency and quality. Saudi Arabia’s exports of furniture and other related products amounted to about SAR1.563 billion in 2015, before slightly declining to around SAR1.411 billion in 2016.

Funding the Furniture Industry in Saudi Arabia

In 2017, the Saudi Industrial Development Fund (SIDF) financed four new wooden furniture projects, bringing the cumulative total to sixty-five projects. The number of wooden product projects financed reached two, with a cumulative total of twenty-six projects.

Financial support for these factories continued, as the cumulative value of industrial loans approved by SIDF for the wooden furniture sector reached SAR35 million, with a cumulative total of SAR521 million. For wooden products, loans amounted to SAR11 million, with a cumulative total of SAR303 million.

SIDF has continued to support the furniture and wooden products industry in Saudi Arabia, contributing to its growth and development. In 2021, the fund extended three loans to the wooden furniture industry worth SAR29 million, while the cumulative number of loans reached eighty-nine, with a total value of SAR636 million.

Expansion of furniture activity in Saudi Arabia

In February 2021, the Ministry of Industry and Mineral Resources announced that the number of industrial licenses issued in January had increased by 58 percent compared to December 2020, reaching 115 new industrial licenses.

Industrial indicators for January 2021, issued by the National Center for Industrial and Mining Information, also revealed that several industries had entered actual production to meet the growing consumer demand.

In January 2024, the Ministry of Industry and Mineral Resources issued about 152 new industrial licenses with investments estimated at SAR6.2 billion. The report issued by the National Center for Industrial and Mining Information indicated that during January 2024, seventy-nine factories went into production with investments of SAR1.3 billion. Among the leading industries were furniture factories and basic metal factories, with about six factories each.

Furniture exhibitions in Saudi Arabia

Saudi International Furniture and Decoration Exhibition

Wooden furniture products in Saudi Arabia receive attention from commercial and industrial institutions. These products are showcased annually in exhibitions that gather leading producers and highlight the significance and role of the industry in the national economy. The Saudi International Furniture and Decoration Exhibition is held annually at Dhahran International Exhibitions Company, 'Dhahran Expo.'

The exhibition reflects the added value of the furniture and decoration industry in Saudi Arabia and its role in both local and foreign markets, where Saudi products are recognized for their quality and demand. It also supports the 'Made in Saudi Arabia' initiative.

The exhibition provides Saudi exhibitors and producers with a significant opportunity, offering them a marketing and commercial platform to develop their products and meet consumer preferences. It presents and displays the latest products and services, focusing on a diverse range of advanced products across different categories.

The Saudi furniture and wood products industry is distinguished by multiple product options, including wooden, glass, and aluminum doors, paints, fiberglass, electrical and electronic appliances, as well as furniture, furnishings, carpets, home communication devices, decorative items, landscaping, and other products meeting the needs of consumers in the Saudi and regional markets.

Saudi International Furniture and Design Exhibition 'Decofair'

The Saudi International Furniture and Design Exhibition 'Decofair' is held in Jeddah. It is an event for the furniture and design sector, serving as a key platform for meeting local demand in furniture, design, arts, and decoration. The exhibition provides an opportunity to engage with leading local and international companies in the furniture industry and trade, with the aim of fostering cooperation, communication, and knowledge exchange.

Saudi Furniture and Decoration Exhibition 2024

The Saudi Furniture and Decoration Exhibition 2024 (Mobedex), held in Jeddah, served as a platform for local, regional, and international companies specializing in furniture and decoration. It showcased innovations and modern trends, and presented products by interior designers and architects to visitors. The exhibition also offered participants and visitors the chance to attend workshops and lectures delivered by experts in decoration and interior design, enabling knowledge sharing and professional exchange.