Particle Boards prices inching near Plywood Rates

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Particle board prices have witnessed a sharp upward spike during last 3 months. At few the places the prices of particle board per square feet basis, are now matching up with economy grade plywood. The particle board prices in retail market are ranging from Rs 37-38 onwards whereas plywood prices are available with a starting price in almost similar range. The equality in both the material prices is again here after a long gap of two decades especially since when India was largely importing particle boards.

A furniture manufacturer based at Nala Road, Patna uses around 20 trucks of economical grade plywood and particle boards, both for making affordable range of furniture such as bed, dining table, wardrobe, Computer table etc. While speaking to the Ply Reporter, he commented that prices of both products be it Plywood or Particle Board, have reached to same level for his needs. In smaller cities, the unorganized furniture makers and even contractors who use both materials to produce cheap furniture to be sold in retail markets are finding the particle prices at par with economy plywood hence they are choosing to use plywood as a premium product pitch for getting better margins. A few of such furniture people with whom the Ply Reporter team spoke to, in Pune, Ahmedabad, Vadodara regions, pointed out advantage to cheap plywood. The single common logic was, if the particle board prices reaching to Rs 40 levels and above for furniture makers then why not plywood on same levels.

A Pune based furniture manufacturer has similar opinion but he says that he prefers particle boards even if particle boards prices would go up further, he may try economical grade plywood or MDF. He says that he buy 16 mm semi calibrated plywood for kitchen shutters as per requirement of customers. The escalating prices of raw materials, including wood flakes, chemicals and melamine. The particle boards’ manufacturers have increased the particle board prices.

The Pre-laminated boards prices are effectively higher by almost 25 percent compared to price levels in August 2020. The Particle Boards producing companies are of the view that if raw material availability, containers availability and chemical prices do not ease up, the prices may rise further due to demand-supply mismatch. In past 3 months, the cost of timber, resins and décor paper used for lamination, have increased sharply compelling factories to pass on the cost effect to markets

In last 5 months, the uses of Pre-lam particle boards have grown significantly s there are large pending orders at factories. Most of plants are reportedly running at its maximum capacity. Reduced imports are also helping domestic plants to support their capacity utilization.

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