The laboratory furniture market is estimated to grow at a CAGR of 2.76% to reach US$1,815.156 million in 2026 from US$1,500.314 million in 2019. Furniture of the laboratory that includes laboratory tables, laboratory IPS unit, pedestal laboratory furniture, and others are specially designed to support experiments and withstand the harsh conditions of the laboratory environment as it is made of a special type of material that prevents the growth of the bacterium.
Laboratory furniture is a specialized class of furniture that is for laboratory usage. Laboratory furniture is modular and utilizes a much more effective design for mobility compared to traditional furniture
The laboratory furniture market is segmented based on the end-users, the type of the product, the need of the end-users, and the distribution channel.
The most common lab furniture categories include laboratory benches, forensic cabinets, apparel dispensers, carts, chemical cabinets, drawers, and general cabinets.
There has been a significant investment in the chemical, pharmaceutical, and educational sectors in the last three years. The government has also increased its investment significantly in the R&D infrastructure arena. Lab furniture manufacturers have seized these opportunities and provided the equipment and services accordingly.
Healthcare modification has become highly impulsive with the introduction of various healthcare act. Use of environment-friendly material in the production of the laboratory furniture among other factors such as the use of 3D visualization services by the manufactures to decrease the furniture design & layout errors, increase in government spending on education and research and increase in demand of the modular lab furniture is expected to increase the market growth.
The increase in the consciousness of health has compelled the healthcare providers to have medical equipment financing to avoid the risk of limited capital budgets, thus this has also increased the adoption of purchasing the medical pieces of equipment on finance. Though the claim process of the medical equipment financing is easy, the premium cost has increased which has become a challenge for many end-users of the medical
Earlier in 2020, the announcement was made as a part of the Union Budget 2020-21 where the Union government had moved to hike customs duty on imported furniture from the existing 20% to 25% to safeguard the interests of India’s micro, small and medium enterprises.
CII’s set of recommendations said higher taxes are detrimental for most retailers as it prevents them from keeping costs low for end-consumers. “Recently we have seen that customs duty on furniture products and raw material to manufacture furniture products has been increased substantially. This has resulted in a disturbance in the furniture industry. This further has resulted in inflation for the final customers," CII said.
CII has sought a reduction in customs duty for furniture products and raw material used to manufacture furniture and asked the government to avoid frequent changes to the rates.
Heavy tariffs and the high cost of real estate are some of the factors hampering the growth of the laboratory furniture market in the forecast period of 2020 to 2027.
COVID-19 Impacts on the Market
The COVID-19 pandemic had disrupted the industry due to the lockdown of the manufacturing facilities and the trade barriers which were imposed across the globe. However, the market is gradually recovering and is speculated to return to the pre-COVID level soon.
The Covid-19 has impacted consumer behavior and manufacturing trends and that has raised the importance of digitalization and automation for the furniture industry. Digital technology has advanced and using this, new products are being developed for medical usage. As the communication method has advanced, the executives are responding faster to the changes in the market such as the consumer demand, boosting their operational efficiency, and the gain cost-saving benefits.
The laboratory furniture market has a competitive landscape and is fragmented where the players in the market are encouraged to boost their market share by deploying tools like branding, innovation, mergers, launching of the new products, acquisition, funding for the research, and government initiatives. The market uses the strategic moves and they make sure that the company profits from the move.
The market is also marked by the presence of a large number of regional and global vendors. The vendors compete with each other based on price and product differentiation with unique value propositions offered by them.
The major players in the laboratory furniture market among others are Mott Manufacturing Ltd., Labtec LLC, PSA Laboratory, and Thermo Fisher Scientific Inc.
With the increase in competition, the players are investing in R&D and continuously innovating their product to keep up with the change in the consumer demands and to maintain goodwill for instance the increase in the use of environment-friendly material in the production of laboratory furniture and developing the products according to the international standards of aesthetics.
Currently, Europe dominates the market of laboratory furniture due to the presence of good medical infrastructure and the rising demand for the new medical Labourites to enhance the growth of the medical research activities in Europe.
Europe’s laboratory is followed by the Asia Pacific region.
The Asia Pacific is estimated to experience prominent growth in the laboratory furniture market shortly owing to the rising population. This increasing population is expected to lead to an increase in consciousness of health or in the rise in health conditions in the Asia Pacific region. This will cause the demand of the medical Labourites to proliferate. With an increase in medical Labourites, the growth of the laboratory furniture market will also increase.
In India, the demand is inclined towards frugal engineering and low-cost solutions, the players in India of the laboratory furniture market have started gearing up to comply with the global standards.
Growing Use of the Furniture
The laboratory furniture is mainly used in education like school and college labs, Government labs, Industry, research, and pharmaceutical research. With government incentives and corporate social responsibility (CSR)to education and research, the demand for laboratory furniture is expected to increase.
In the laboratory furniture market, several trends including globalization, overcapacity in the developed markets, technology advancement, and environmental concerns have increased the use of eco-friendly material, and adoption of green technology in the production of laboratory furniture is leading to product and material innovations in the furniture market.
Now the end-users like school and college labs are concentrating more on the furniture designs that match the core values of the systems and also which are more appropriate and comfortable to the children. The key players shave also adopted the use of 3D visualization services by the manufactures to decrease the furniture design & layout errors and increase the production of the modular lab furniture as per demand are expected to increase the market growth of the laboratory furniture.
Frequently Asked Questions (FAQs)
Q1. What will be the laboratory furniture market size by 2026?
A1. The laboratory furniture market is estimated to reach a total market size of US$1,815.156 million by 2026.
Q2. What are the growth prospects for laboratory furniture market?
A2. The global laboratory furniture market is estimated to grow at a CAGR of 2.76% during the forecast period.
Q3. What is the size of global laboratory furniture market?
A3. Laboratory Furniture Market was valued at US$1,500.314 million for the year 2019.
Q4. Which region holds the maximum market share of the laboratory furniture market?
A4. The Asia Pacific is estimated to experience prominent growth in the laboratory furniture market shortly owing to the rising population.
Q5. Who are the major players in the laboratory furniture market?
A5. The major players in the laboratory furniture market among others are Mott Manufacturing Ltd., Labtec LLC, PSA Laboratory, and Thermo Fisher Scientific Inc.