MDF market in Southern Asia

Earlier Report Observations

Production of MDF in Southern Asia rose steadily from 2 827 thousand m³ in 2018 to 4 617 thousand m³ in 2023. The market size expanded from 3 759 thousand m³ to a peak of 5 364 thousand m³ in 2022, before contracting to 4 699 thousand m³ in the following year.

A sharp increase in imports, which more than doubled from 927 thousand m³ in 2019 to over 1 600 thousand m³ in 2021 and 2022, was a key driver of market growth during that period. However, imports collapsed to 208 thousand m³ in 2023, which—alongside consistent export volumes—led to a smaller overall market despite higher domestic output.

For 2024, industry developments highlight the influence of India's real estate boom, driven by government policies and consumer spending, which boosts demand for construction materials including MDF. The humid climate in major cities like Bengaluru is also favoring the adoption of moisture-resistant MDF variants, spurring product innovation and shaping local market preferences.

Production MDF in Southern Asia

In kind, 2017-2020, K m³

Top producers of MDF, 2017-2020

World map of production of MDF, 2017-2020

Southern Asia's MDF production has grown for the third year in a row. In 2020, the region produced 3,167 thousand cubic meters of MDF, marking an 8.6% increase from the previous year. Looking at the period from 2017 to 2020, production rose by 41.2%, with an average annual growth rate of 12.2%.

Annual dynamics of production in Southern Asia in kind, 2017-2020, K m³

Exports MDF from Southern Asia

Exports in kind, K m³

Southern Asia's foreign MDF supplies have fallen for the second consecutive year. In 2020, exports stood at 30 thousand cubic meters, a sharp decline of 46.4% compared to 2019. Over the 2017-2020 period, exports dropped by 50.6%, translating to an average annual decrease of 20.9%. The highest export volume was recorded in 2018 at 83 thousand cubic meters, which also saw the largest increase of 38.4%.

Annual dynamics of product's exports from Southern Asia in kind, 2017-2020, K m³

An analysis of exports in volume terms from 2017 to 2020 reveals a wide distribution across numerous markets. Iraq accounted for 13.3% of exports, the United Arab Emirates for 3.0%, and Kuwait for 2.0%. Together, these three countries made up just 18.3% of total flows, while the remaining 81.7% went to various other partners.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Southern Asia in kind, 2017-2020

Exports in value, M $ US

Southern Asia's MDF exports in value terms have declined for the second year in a row. In 2020, exports totaled 23.3 million US dollars, representing a significant year-on-year drop of 21.0%. Between 2017 and 2020, exports fell by 35.1%, with an average annual decline of 13.4%. The peak value was reached in 2018 at 37.4 million US dollars. The largest decrease occurred in 2019 at 21.1%, while the biggest increase was in 2018 at 4.1%.

Annual dynamics of product's exports from Southern Asia in value, 2017-2020, M $ US

From 2017 to 2020, the partner landscape for exports in value terms was diverse. Iraq contributed 20.7% of exports, the United Arab Emirates 2.7%, and Kuwait 2.1%. Combined, these three countries accounted for only 25.5% of total flows, with the substantial majority of 74.5% distributed among many other nations.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Southern Asia in value, 2017-2020

Imports MDF to Southern Asia

Imports in kind, K m³

MDF deliveries to Southern Asia have decreased for the third consecutive year. In 2020, imports amounted to 921 thousand cubic meters, a slight reduction of 0.6% from 2019. Over the 2017-2020 period, imports fell by 35.5%, corresponding to an average annual decline of 13.6%.

Annual dynamics of product's imports to Southern Asia in kind, 2017-2020, K m³

From 2017 to 2020, Thailand, China, and the United Arab Emirates were the primary sources for imports in volume terms. Thailand accounted for 45.2% of imports, China for 13.9%, and the United Arab Emirates for 11.9%. Together, these three countries represented 71.0% of total import flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Southern Asia in kind, 2017-2020

Imports in value, M $ US

After two years of decline, Southern Asia's MDF imports in value terms saw an uptick. In 2020, imports totaled 213.7 million US dollars, a moderate year-on-year increase of 5.3%. However, over the 2017-2020 period, imports decreased by 40.1%, with an average annual decline of 15.7%. The lowest value was recorded in 2019 at 203.0 million US dollars, and the largest drop occurred in 2018 at 37.5%.

Annual dynamics of product's imports to Southern Asia in value, 2017-2020, M $ US

Throughout 2017 to 2020, Thailand, China, and Turkey were the core sources for imports in value terms. Thailand made up 42.0% of imports, China 15.5%, and Turkey 11.8%. Collectively, these three countries accounted for 69.4% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Southern Asia in value, 2017-2020