Furniture Industry Factors & Challenges Affecting Supply Chains

If you’re looking for new furniture for your home, there are many factors and challenges affecting the furniture industry that may make it more challenging to find the perfect furniture. Listed out below are some of the issues causing production delays, limited availability and longer than normal lead-times, but be assured Lakdi The Furniture Co and our vendor partners are doing everything possible to overcome these challenges, and deliver the quality and value you want and expect!

Covid Shutdowns: Keep in mind that shutdowns occurred worldwide and didn’t just coincide with our State and Local schedules here in India.  Many Factories and Distribution Centers were closed, and many still operate at reduced capacity/output due to social distancing requirements and labor shortages.

Tariffs on Imports: Over the last few years Tariffs have been placed on imports of complete merchandise, parts and components, and even raw materials from numerous countries including Canada, Mexico, Brazil and of course China.  Manufacturers continue to deal with Tariffs and struggle to find cost-effective, reliable sources of steel, lumber, fabric, and other components.

Severe Weather and Natural Disasters: Over the past two years the India’s region east to west, east to south, & east to west have dealt with a number of natural disasters including 2019 Bihar floods, 2019 India alcohol poisoning, 2019 Indian floods, 2019 Karnataka floods, 2019 Kerala floods, 2019 Kullu bus accident, 2019 Mumbai foot overbridged collapse, 2019 Pune flood, 2020 Cyclone Amphan, Covid-19 etc. This has impacted major manufacturers of upholstery, motion furniture, and foam in these states, severely reducing production and increasing lead-times even further.

Transportation Issues: The Trucking and Shipping Container business has been struggling and impacting the furniture industry as well.  During the COVID crisis, shipping containers were relied upon heavily to transport PPE, but so many were left sitting empty at their destinations it created a shortage of containers worldwide and costs skyrocketed. At the same time, demand for Trucking in the India has exploded. In last year for example there were 13 loads of freight available for every Semi-Truck in the India, again creating long delays and premium prices.

Domino effect: Any one issue above impacting a single part would cause a delay, and for the past year or more all of this has been occurring – so, estimated production times have been subject to set-backs and revisions. But while the old adage “Anything worth having is worth waiting for” may be true, Lakdi and our vendor-partners are doing everything possible to avoid the disruptions.

If you need furniture right away, we’re buying and bringing-in more available stock every week. And Custom Orders are being tracked and your Sales Associate will keep you updated on their progress, and hopefully as life returns to (its new) normal, then materials, parts and transportation delays will all fade away!

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