Economy


Holiday decor sales to pick up as producers target BRIC, US




Posted on December 06, 2011


SALES OF holiday decor will see a recovery in 2012 with the pickup of the global economy as local producers shift to higher-end markets in rapidly developing countries to avoid stiff competition with China, an export group said in a statement on Friday.

The Philippine Exporters Confedaration, Inc. (PhilExport) noted in a statement the success of the holiday sector as the top-grossing exhibitors during the Manila FAME trade fair in October as bulk of the booked orders under negotiation are slated for delivery next year.

“Holiday decor was the highest-selling (sector during the trade show). Our target is the BRIC (Brazil, Russia, India, China) countries, but we will continue selling in the United States because in the last Manila FAME show, it remained the biggest buyer of Philippine exports even as it is experiencing financial difficulties,” Romeo P. Balderrama, Jr., Christmas Decor Producers and Exporters Association of the Philippines president, said in a statement.

The official urged exporters to set themselves apart from their Chinese counterparts with unique, higher-quality products. The suggestion came as exporters reported difficulty in meeting the target prices of many discount stores abroad.

“To counter [China], you have to focus on things that they can’t produce [namely] labor-intensive and high-end products,” he said.

Particularly, decor producers must also tap higher-end markets in emerging economies experiencing rapid retail development, as noted by the 2011 Global Retail Development Index (GRDI) produced by US-based consultancy firm A.T. Kearney, Inc.

In a separate statement on Friday, Dennis A. Orlina, Philippine Chamber of Handicraft Industries, Inc. president said: “Many developed markets have been slower to recover from the global economic downturn than emerging markets and are often over-stored and facing wary customers.

“Global expansion is more than knowing where to go; it is knowing when and how to do it,” he continued. -- Eliza J. Diaz