Demand for furniture, fixtures and fittings in the UAE and the region is set to grow at an average of 20 per cent during 2009, experts have predicted.

Several UAE based companies are looking to expand across the GCC and are planning to tie up with new dealers. With construction work on several ongoing projects nearing completion, many new residential developments are expected to be completed in 2009.

"We are expecting 2009 to be as robust as 2008 and 2007," said Santosh TS, Managing Director of In Step Trading, one of the leading providers of wood floors, parquet and external decking. "The industry has been growing at around 20 per cent during the past few years. Next year we are expecting a growth of almost around 25 to 30 per cent."

According to estimates, Dubai alone is expected to see a supply of around 60,000 new housing units in 2009 and another 37,000 units in 2010.

Pradeep Kumar, Sales and Marketing Manager of UAE based Elegance Shades and Décor said: "These are projects that have already been there and nearing completion. The budget for them has already been allocated and money set aside. The economic crisis will have absolutely no impact on the release of new apartments."

According to him, the impact could be felt to some extent by manufactures and suppliers of luxury goods, as owners and developers may spend less on furnishings.

"Our company has been operating in the UAE since the past 25 years. We deal mainly in window decoration products, shading, curtains, canopies and blinds. The business has been growing at around 40 to 50 per cent so far and we expect it be around 60 per cent in 2009," said Kumar.

"Our business is not just linked to the new developments. We deal with end user clients as well as developers. It is a mixed clientele. There are a large number of people moving to the UAE in search of new opportunities. Most of them move into rental properties and require furnishing. As far as new projects are concerned our involvement comes following recommendation by consultants. There are some approved suppliers and the companies are chosen based on their quality and service factor," said Kumar.

The company is presently working on several projects, including the Dubai Mall.

Elegance has offices in Abu Dhabi and supplies materials to Saudi Arabia, Nigeria, Kenya and Eastern Africa. "We are also dealing with traders in Doha and Oman. Our main focus during 2009 will be to strengthen our operations across the GCC," said Kumar.

The market according to him is just witnessing "a short crisis".

"But we are confident that it will not last beyond 2009. We are expecting it to pick up by the middle of next year itself," he said.

According to Vanitha SV, Marketing Manager of In Step Trading, the furnishing industry in the UAE will see a small slump in 2010. "In fact we are not planning to participate in any major exhibitions in 2010, because we know it will be of no use. There are several projects that have been put on hold and others that are on the design table that have not taken off. But if the situation improves by then, it will be a great relief to the industry," she added.

The local market according to her will face severe competition from companies based in Europe and America, who are flooding to the Gulf. "The recently concluded Index is a clear example. There were many new participants from Germany, France, Belgium and other parts of Europe who had flown in with their products," said Vanitha.

Frank Verschuere, Director of Belgium-based Brick in the Wall, said he managed to successfully find dealers in the UAE for its unique and innovative lighting solution.

The companys product is made of heat resistant plaster and can just be inserted into a wall.

"It is a simple technology and many developers including those from Nakheel have shown interest," said Verschuere.

Similarly Dominico Codoni, General Manager of Chiari Luce from Italy said he is hoping that customers in the UAE would prefer his innovative product – emotion doors. "The doors are fitted with glass doors and lights that can be adjusted to reflect the mood. "UAE is our first stop. We are planning to target the rest of the GCC based on our success here at Index 2008," said Codoni.