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Modern or High Standard Office and Household Furniture


1.      Product Description: Products to be included in this project are high quality chairs, bead, tables, cup goods, frames etc. for office and household uses. They are to be made form processed wood and fabricated metal.

 

2.      Rational: During the last 10 years, the demand for high quality household and office furniture in the region has increased substantially. This is mainly caused by the establishment and expansion of government offices due to the decentralization of the country’s government structures and the construction of many residential, hotels, commercial and other buildings in the region. There are a number of small office and household furniture making units in come of the bigger urban centers of the region. But, unfortunately they are not organized and equipped to produce quality products, though there is a gradual improvement in the quality of some of their products. Consequently, most high quality furniture especially office furniture are bought form Addis Ababa or are imported through Addis Ababa. To substitute these imported furniture by regional production, there is a need and a captive market in the region for a plant which will produce high quality office and household furniture.

 

3.      Market Potential: Considering the volume of building constructors being undertaken in the main urban centers of the region, and the volume of imports of furniture from Addis Ababa, one can assume that there is enough demand for high quality office and household furniture in the region.

 

4.      Source of raw Material: Partly to be obtained within the region and partly to be imported form outside the region and from abroad.

 

5.      Process and Technology: The process of making furniture is simple. It requires cutting different parts of the furniture according to predetermined sizes, putting together the different parts, polishing and painting where necessary. All parts of furniture are processed potions of wood, metal and other materials. Main machinery include electrical driller and cutter, rolling and bending machine, sequin machine, riveting machine and several had tools.

 

6.      Estimated Investment: for a plant that will produce about 3000 units of different furniture per year, the estimated investment will be the following.

§  Building shade 200 m2 at Birr 1500/m2                300,000

§  Machinery                                                         100,000

§  Working Capital                                                100,000

                                                               500,000

 

7.      Benefits: Saves the region’s financial resources, introduces new skills and technology.

 

8.      Location: Bahir Dar, Combolcha. 


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