The Plywood industry’s Capacity vs Demand Gap has widened where capacity is higher by 50% or can say there is double the capacity than demand. Unlike laminate where you need design and marketing sense to grow, in plywood you just need to reduce the price to finish your stock. And that is why plywood industry has begun bleeding and soon its impact shall reach to traded retailers as well.
Plywood is a commodity material, though in India it is sold like branded products. Consumer does ask for brand recognition, but percentage of such people is merely 5-7%, and growing. Plywood is largely purchased on the basis of recommendation from Dealers, Carpenters and even sometimes referred/ specified by Architects-Interior designers. According to the market demand patterns analysed by us at Ply Reporter of past 12 years, retail sales dominate in Plywood.
Read Full Article:- http://www.plyreporter.com/article/20200/producing-plywood-why-big-volumes-if-not-selling-10-margin-on-30-45-days-payment-schedule
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