LONDON--(BUSINESS WIRE)--Despite challenges in certain regions, the global carpet market is poised for substantial growth over the near future thanks to government initiatives and changing aesthetic preferences amongst consumers worldwide. Details on this market and its current state are some of this week’s top stories on BizVibe. BizVibe is the world’s smartest B2B marketplace and allows users to discover high quality leads, contact prospects, and source quotes. Register today to connect with over seven million companies around the globe.
Government Initiatives to Boost India’s Carpet Industry
Handmade carpets in India are set to receive a government trademark and set standards. This initiative will require manufacturers to adhere to government-mandated benchmarks in order to sell their products in the Indian market, increasing overall market and product quality. The government will reportedly also put into place training standards so that weavers can meet certification norms and help combat the growing popularity of machine-made rugs.
This government trademark is expected to boost shipments of Indian carpets, which are currently growing at a rate of 10% annually, and will attract customers from currently un-tapped regions. It is also expected to reduce the threat of competition from Chinese machine-made rugs, which are this market’s main source of competition.
Pakistan’s Carpet Market Seeing Struggle
Since the 11th century, Pakistan has been one of the leading and most popular carpet suppliers in the global home textile market—however, lack of government support and investment is causing the market to lose its share and influence. The export value of Pakistan’s handmade carpets has dropped by a staggering 50% over the last decade, shrinking from USD 278 million in 2005-06 to USD 97.7 million in 2015-16.
The global financial recession in 2008 had a severely negative impact on the carpet industry in Pakistan with hundreds of carpet manufacturers going out of business and thousands of workers losing their jobs. The industry’s recovery is also currently being restrained by other issues, including insufficient promotion of the industry and its products in trade fairs and lack of early release of refunds, concessions, and credit financing.
Global Carpet Market to Experience Positive Growth
The global carpet market is expected to reach an estimated USD 39.1 billion by 2021 and grow at a CAGR of 2.6% from 2016 to 2021. The residential end user segment currently makes up the majority of the global carpet market, and this trend is expected to continue steadily over the next five years. The main drivers propelling the growth of this market are substantial increases in housing renovation and new residential construction.
North America currently holds the largest share of the global market, but is expected to see competition from APAC due to its economic growth, rising income levels, and increasing construction activities. India is currently the world’s largest producer and exporter of handmade carpets in terms of value and volume, and around 75% of carpets manufactured in India are exported.
In addition to carpet companies and companies in Pakistan and India, BizVibe is home to a total of over 100,000 textiles companies. The BizVibe platform allows you to discover the highest quality leads and make meaningful connections with your companies of interest in real time. Claim your company profile for free and let BizVibe connect you with potential business partners.
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