Furniture factories raise prices by 15% as dollar climbs

Home furniture factories have raised prices by 10% to 15%, as a result of the dollar’s rise against the Egyptian pound and the industry’s heavy reliance on imported production inputs. Furniture showrooms have followed suit, imposing similar increases, according to four sources who spoke to Al Manassa.

At the end of last month, the dollar climbed to a record high of more than 56 Egyptian pounds at banks before falling below 54 pounds at the National Bank of Egypt.

Alaa Nasr El-Din, deputy head of the Wood and Furniture Industry Chamber at the Federation of Egyptian Industries, said traders had raised prices for wood and other production materials by 10% to 15%. He said the impact of higher import costs typically takes around three months to reach the market because of shipping cycles. Some traders, however, have already passed on the increases.

Prices had risen across the board for production inputs, as Egypt relies almost entirely on imports for wood and raw materials, including plywood, MDF, glue, and furniture fittings, Nasr El-Din told Al Manassa. This leaves the sector particularly vulnerable to exchange-rate fluctuations and higher import costs.

Mounir Ragheb, head of the Wood Division at the Cairo Chamber of Commerce, said the furniture market was experiencing a sharp slowdown, with sales activity down by around 40%. He attributed the decline to consumers postponing purchases in anticipation of possible price cuts.

Changing household spending priorities, with most income now going toward essential goods, had further weakened demand for furniture. Purchases are now largely limited to people preparing for marriage and furnishing new homes, Ragheb explained.

Regarding Black Friday promotions, he said discounts remained limited to traders’ and companies’ profit margins, with sellers unwilling to offer deals that would result in losses. Prices and discounts vary from one showroom to another, depending on the area and market conditions.

He added that bedroom sets in lower-income neighborhoods cost between 20,000 and 25,000 pounds ($370–$463), while dining sets range from 30,000 to 35,000 pounds ($556–$648). Living room sets start at 20,000 pounds ($370).

The latest furniture price increases come amid continued inflationary pressure across goods and services. Prices in the furniture, household equipment, appliances and maintenance category rose 15.1% year on year in September 2026, according to the Central Agency for Public Mobilization and Statistics (CAPMAS).

Hassan Youssef, chairman of MAG Furniture, said the price of an MDF panel, one of the most widely used materials in furniture manufacturing, had risen from 1,040 to 1,150 pounds ($19 to $21). Pine wood prices increased by around 17%, while furniture fittings prices were up approximately 10%.

Although acknowledging the rise in production costs, Youssef told Al Manassa that some of the increases imposed by importers were unjustified, particularly as they still held substantial inventories of raw materials. Those stocks, he argued, did not warrant passing on the latest price increases to consumers so quickly.

Ahmed Younes, owner of the Vivo chain of furniture showrooms, said factories had notified retailers at the end of last month that they would raise prices by 10% to 15%. The increases covered all types of furniture, including bedroom sets, children’s bedroom sets, dining sets and living room furniture.

Younes told Al Manassa that the increases had already been reflected in showroom prices. A bedroom set that previously started at around 31,500 pounds ($583) now costs nearly 35,000 pounds ($648), an increase of 3,500 pounds ($65). Children’s bedroom sets, which previously started at 22,000 pounds ($407), now cost 24,500 pounds ($454).

He said: “Orders placed before we were notified of the increases will be delivered at the originally agreed prices. Once a customer has paid a booking deposit, the price cannot be changed. Showroom owners will therefore have to absorb the additional costs.”

Egypt’s home furniture exports surged to $428 million in 2025, up 23% from the previous year, marking the highest value in the sector’s history and surpassing the previous record of $394 million set in 2016, according to the Furniture Export Council.