Philippines Christmas Decorations Industry

An Expert's View about Gifts, Games and Toys in the Philippines

Posted on: 5 Apr 2010

Exporters in the Philippines have maintained a strong foot hold in the highly competitive Christmas decorations industry, due mainly to their focus on exclusive and innovative handcrafted products.


The creative use of natural and indigenous materials is also a key factor that distinguishes suppliers from their competitors in mainland China, Taiwan and Hong Kong.


Overseas shipments of Christmas decorations from the Philippines remain stable, growing at a modest 1 to 3 percent annually over the past few years. The industry is slowly recovering from the significant decline in export revenue in 2001 and the Asian financial crisis, when overall shipment value dropped by more than 30 percent.


Since then, companies have increased efforts to attract new buyers and remain competitive, upgrading designs through more elaborate handcrafting techniques and material innovation. Most are also providing value added services, with an emphasis on flexible order quantities and prompt delivery.


Despite the challenges of rising production costs and a volatile currency, overseas demand is expected to strengthen steadily over the next few years.


The following are some of the key trends we see in the Philippines’ Christmas decorations industry:

• Exports in the line are expected to rise moderately in 2008, with increased demand coming mainly from Europe.

• Companies will continue to release mostly midrange to high-end designs, highlighting unique craftsmanship and ornate details.

• For 2008, suppliers are focusing product development on functional tabletop ornaments, a line that is expected to be in high demand. Makers will also launch styles with modern color schemes and motifs.

• Most companies will increase export prices by more than 10 percent in the first half of 2008 as raw material and operating costs continue to escalate.



The above is extracted from the Executive Summary of China Sourcing Report: Philippines - Christmas Decorations


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Posted: 05 April 2010