Lebanon Businessnews News

Citi Furniture in Tanzania
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Citi Furniture, a local manufacturer and exporter of home furniture, will open a showroom in Tanzania’s capital, Dar Al Salam, in late February.

Nicolas Abdel Nour, General Manager of Citi Furniture, said: “We found that expanding to Africa is feasible, as all Middle East countries are suffering from unstable security situations and competition in Europe is fierce.”

According to Abdel Nour, there is a large demand coming from the middle to high income bracket in Tanzania, in addition, it is a large market that comprises 60 million people.

The total space of the showroom will measure 4,000 square meters. The investment in the project reached $3 million, including the furniture to be displayed, the distribution fleet and the equipment required for installation.

The showroom will employ around 34. The showroom will employ both Lebanese and Tanzanian staff. Citi Furniture will initially import the furniture from Lebanon and China. “We have plans to open a factory at a later date, after we have studied the market to choose the designs, colors, prices and kinds of materials demanded in this market,” said Abdel Nour.

Furniture prices will be 25 percent higher than the prices in Lebanon, said Abdel Nour, because the Customs fees imposed on furniture in Tanzania is 40 percent, and the Value Added Tax, 18 percent.
Reported by Rania Ghanem
Date Posted: Feb 10, 2015
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