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The success story of UAFM members: EXPORT

Thanks to what Gusyatinsky furniture makers “chic”
There is nothing to prove that the producer will be successful, including in the export of his products, if he offers a product of high quality, cheap and profitable than competitors. But he will ensure even greater success and even competitiveness if he produces what others cannot offer the market. Even if his product is not cheap. This story is about a company that has such a product.
Private enterprise Шик Галичина меблева фабрика in the Ternopil region (district center Gusyatin), produces veneer with unconventional wood for this – with solid porosity. And not only veneer, but also such furniture and furniture components from it – as lamellas and lamella lattices, and with their use, in turn, upholstered furniture is ready.
“However, who works with wood,” says Vasily Sagan, company service manager in more detail, “it’s known that hornbeam in terms of density and then strength is dominated by oak and beech. It’s difficult to work with hornbeam, and we have learned, and these acquired knowledge and skills are a very valuable asset of the company, which gives us the opportunity to be a special producer. It gives us the opportunity to provide lamellar products and plywood to 70 percent of the leading Ukrainian furniture manufacturers, to be the leading Ukrainian exporter of such furniture components.
– But as for the production of plywood, which, as far as I know, is also your strategic export product, is it traditional, that is, birch? What ensures her market success?
– Our plywood, although traditionally birch, is still unique too. Than? The format of the letters. All plywood manufacturers produce it with a standard size of 150 by 150 cm. For this format, created presses and veneer equipment. We have it exclusive, created for the production of plywood with a format of 160 by 210 cm. Which is convenient and advantageous for the production of sofas and beds: to create a standard size bed, you do not need to connect two plywood sheets, shortening one of them. It is technologically more convenient, and less waste, cost-effective for furniture makers.
The upholstery factory “Chic” began with the home workshop of its founder. But thanks to the fact that it was able to offer the market something that its other players could not, it rapidly developed into a leading furniture maker and exporter in the industry. Its export history is longer than the experience of Mr. Vasily in it. Of course, by offering unique products, you can find customers for them wherever they produce high-quality furniture and require high-quality materials and components for such production. For many years, “Chic” has been selling its unique hornbeam lamellas, “unformatted” plywood and upholstered furniture made of natural wood, as they say, to all parts of the world: to Romania and northern Europe only furniture, to Poland – plywood and lamellas, to Georgia and furniture and materials, in Israel – furniture and solid fuel briquettes (another product that also has in stock). It is noteworthy that such a comprehensive cooperation with some customers began on their purchase of Gusyatinsky furniture makers of their upholstered furniture, and subsequently they found it profitable to expand their imported product range. For example, Georgians quickly realized that although Gusyatinsky furniture was really “chic”, but no less “chic” and their hornbeam lamellas and plywood in a convenient format. So why, using their uniqueness, and not produce your own furniture? Also an Israeli customer. I started by importing furniture from Gusyatin, and then I discovered that solid fuel briquettes from Shika were no less profitable. So far, only sofas are sold in the Baltic states, and soon, there is a chance it is worth buying plywood and slats there.
However, no matter how branched the export scheme, each exporter still has one or two strategic directions, a country where there are more products sold, where close partnerships are established, where the policy or atmosphere is better facilitated. At Shik, such a strategic export direction is Northern Europe and the Baltic states, in particular Lithuania, Estonia, Finland, Sweden. It’s convenient to work in that direction, because there is an intermediary company in Lithuania that accumulates Ukrainian furniture in its warehouses, selling it itself in the future throughout the Baltic region.
– The fact that Poland buys plywood and lamellas from you is not surprising: that is, one of the leading furniture-making countries in the world. And the fact that the North Baltic countries that export plywood themselves intend to buy your plywood, of course, does you honor. And for upholstered furniture I don’t think they have a shortage …
– The Baltic countries, although wooded, do not differ in powerful furniture. If there is furniture and furniture, then mainly with products of higher price segments. Economy furniture is usually imported. Of course, China first of all rushed to consolidate its export expansion in this market, but the Chinese were let down by the quality of furniture.

Then the Balts turned their attention to Ukraine and found in us exactly what their mass market needed. Therefore, it is not surprising that many Ukrainian furniture makers have a Baltic direction now in export priority.
The Baltic states and other northern countries, where environmental friendliness is a high priority, appreciate upholstered furniture made from natural wood and from good wood species. They can also buy those from chipboard, but bargain until you sell them to them almost for nothing. If the basis is natural wood, then for the price, as they say, they will not stand.
It will surprise you even more if I say that export of our furniture to Italy is not ruled out. I don’t know how much a potential Italian client will be able to sell our furniture directly in his country, but he also has access to the markets of the Middle East. With his assistance, we plan to pave a new export route, bearing in mind primarily the United Arab Emirates and Qatar. The first attempts at contacts showed that the conditions there will set us difficult, but we are not new to the export business, we will adapt.

The section “Success Stories” was founded as part of a grant project with the support of the Swiss Cooperation Bureau in Ukraine, the name of the project: “Improving the level of cooperation and trust with joint participation in international and national public procurement” – TENDER TOGETHER.

 

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