From Timber to Trade: SADC’s drive to build a stronger furniture industry

Southern Africa has timber resources, manufacturing expertise and strong demand for furniture. At SADC Industrialisation Week, governments and industry explored how better connecting these strengths could create more competitive businesses while retaining more value and jobs in the region.

28 September 2026, Johannesburg: A school desk, mattress or board of engineered timber represents more than a finished product. Behind each item is a value chain of growers, processors, component suppliers, manufacturers and transport operators. The more of this chain southern Africa can sustain within its borders, the more opportunities it can create for investment, skills development and employment.

Yet regional trade patterns reveal a persistent imbalance: SADC supplies primary wood products while importing far more processed goods.

A concept document prepared for SADC Industrialisation Week reports that, between 2010 and 2019, member countries were net exporters of approximately US$3.44-billion in primary wood products. Over the same period, they were net importers of US$9.07-billion in secondary wood products and US$6.5-billion in tertiary wood products. Across these selected categories, the cumulative net trade deficit was about US$12.13-billion.

Although historical, these figures sharpen a pressing industrial question: which products could southern African businesses process and manufacture competitively within the region?

That question brought forestry, timber, furniture, pulp and paper stakeholders together at the ninth SADC Industrialisation Week (SIW), recently held in Durban.

An industry conversation with commercial consequences

SIW brought governments, businesses, investors and development partners together to advance regional industrialisation, attract investment and strengthen cross-border value chains.

The South African Furniture Initiative (SAFI), Forestry South Africa, Sawmilling South Africa, the Paper Manufacturers Association of South Africa (PAMSA) and PG Bison contributed to the forest-products discussion. A dedicated agro-processing session examined how regional resources and manufacturing capabilities could support deeper industrial cooperation.

Industrialisation Week brings interconnected challenges into one conversation. Manufacturing investment, skills, resource management and cross-border trade cannot be addressed in isolation. Government, business and labour each have a role in making the value chain work.

For SAFI, participation also ensured that manufacturers’ commercial realities informed the discussion. “Regional industrialisation needs businesses at the table from the outset,” says Greg Boulle, SAFI’s CEO. “Manufacturers understand customer requirements, production constraints and the trade barriers affecting competitiveness. That knowledge is essential when priorities are set.”

A market worth competing for

According to information supplied by the dtic, more than 70% of South Africa’s furniture exports go to SADC markets.

Comtrade data in the supplied forestry briefing shows that, from 2020 to 2023, South Africa and other SADC countries imported an annual average of approximately US$741 million in selected furniture and seating categories from outside the region.

Regional suppliers have nevertheless lost ground. Average annual imports from South Africa into other SADC countries in these categories fell from approximately US$167-million in 2010 to 2019 to US$124-million in 2020 to 2023: a massive decline of 26%.

These period averages do not explain every cause of the decline, but they show why existing regional trade relationships need attention.

“We cannot simply assume that regional buyers will choose regional products,” says Boulle. “Businesses must understand the specifications, prices, delivery commitments and after-sales support their customers expect, then build an offer that competes on those terms.”

The concept document identifies school furniture, seating, beds, couches and mattresses as opportunities for further investigation. For bulky products, manufacturers could assess whether component supply, local assembly or production closer to customers would reduce delivered costs.

Connect resources with processing capacity

Angola, Mozambique and Tanzania have substantial forest resources, while South Africa has a more developed processing and manufacturing base. The session presented these complementary strengths as a foundation for cooperation, rather than a reason for each country to develop every stage of production independently.

The dtic’s forestry cooperation agreement with Mozambique provides an existing example. As outlined in the concept document, it covers investment in Mozambique’s forestry value chain, timber exports into South Africa for further processing and research cooperation.

“The aim is to identify where complementary capabilities can support mutually beneficial business relationships,” says Boulle. “That means looking at reliable inputs, processing capacity, market demand and opportunities to transfer knowledge and create local value.”

Sustainability remains fundamental. Forest cover is not the same as commercially available timber, and investment must distinguish responsibly managed commercial production from the depletion of natural forests.

Make borders work for business

Participants identified high logistics costs, inefficient border processes, and infrastructure gaps as major constraints. Differences in customs procedures, regulatory standards and phytosanitary requirements create further friction. The session called for greater harmonisation and recommended a dedicated trade protocol for the forestry value chain to address sector-specific needs.

These recommendations require further work and are not yet completed reforms. Businesses can, however, help set priorities by documenting shipment delays, duplicated requirements and unexpected compliance costs.

“Manufacturers need predictable costs and delivery times,” says Boulle. “Specific business examples can turn a broad discussion about trade barriers into an actionable industry agenda. SAFI’s role is to bring those practical realities into the wider conversation.”

The session also recommended sharing best practices in logistics, certification, pest management and cost benchmarking. Better information can help firms improve operations while broader policy changes are pursued.

Invest in capability, not just buildings

The session advocated optimising existing processing infrastructure while exploring industrial parks, regional processing hubs, incubators and centres of excellence.

The aim is not simply to construct facilities, but to connect production capacity with skills, modern technology and market access. The report identified technical skills shortages, ageing equipment and limited research investment as key constraints, particularly in furniture and engineered wood products.
Recommendations therefore included youth training and workforce upskilling, alongside joint ventures and public-private partnerships that transfer knowledge and deliver local benefits.

“Investment must strengthen the capabilities businesses need to compete,” says Boulle. “Shared facilities, training and technology partnerships should respond to proven industry needs and commercially viable opportunities.”

The SADC Forestry Strategy 2020 – 2030 provides a framework for investment roundtables, matchmaking and regional business collaboration. Potential investors can contribute by presenting proposals supported by evidence of demand, dependable supply and clearly defined financing needs.

From recommendations to results

The session recognised certification as a competitive asset and carbon credits as a potential forestry investment opportunity, while acknowledging the related upfront costs and certification requirements. Its overarching message, however, was the need for implementation.

Businesses should identify viable buyers and partners, assess unused capacity, define skills needs and document trade barriers. Government and industry bodies should then translate those inputs into prioritised initiatives with clear responsibilities.

“SIW provides the platform,” says Boulle. “It’s lasting value will depend on the cooperation and measurable progress that follow.”

The business case is not merely to grow more timber. It is to build more enterprises that convert that timber into products, incomes and livelihoods.

ENDS
Released on behalf of SAFI (https://furnituresa.org.za) by The Line (ant@theline.co.za).

ABOUT SAFI
The South African Furniture Initiative (SAFI) works to strengthen the competitiveness, growth and sustainability of South Africa’s furniture manufacturing industry. Through collaboration with manufacturers, government, labour and industry partners, SAFI supports skills development, market access, export opportunities and sector advocacy. Its initiatives help businesses connect with buyers, explore new markets and respond to changing manufacturing requirements. SAFI also provides a platform for addressing shared challenges, including trade barriers, workforce development and industrial modernisation. By encouraging cooperation across the furniture value chain, it aims to build stronger businesses, support employment and advance the industry’s contribution to South Africa’s broader manufacturing economy.