FURNITURE and furnishing manufacturing companies are complaining about the allegedly steep exhibit rates in next year’s international trade exhibit.
The complaining companies said the Cebu International Furniture and Furnishings Exhibition (Cebu X) might have fewer
exhibitors if the rates are not lowered.
The companies voiced their views during the launching of the Cebu X 2009 at the Waterfront Cebu City Hotel and Casino Thursday. The Cebu X will be on its 20th year in 2009, during which the exhibit will reinforce Cebu’s goal to be considered the design destination of Asia.
The Cebu Furniture Industries Foundation (CFIF) has decided to raise exhibit rates for next year’s Cebu X by five percent.
Charles Streegan, CFIF board of trustee, said that considering the rising prices of fuel and other goods, the increase is “minimal.”
Mona Padilla of Arte Cebuano said one of her foreign buyers in Cebu X 2008 told her that the “organizers (of Cebu X) were crazy” for not offering the booths at discounted rates to fill up the whole venue.
She added that with fewer exhibitors, international buyers might no longer consider the Cebu X worthy.
Clayton Tugonon of Classical Geometry, suggested that organizers extend discounts, instead of a free full-page advertisement in the Cebu X magazine directory, to early bird applicants.
He said the discounts would be more useful to loyal exhibitors than ad space.
He also said that with lowered rates, more companies will participate and allow Cebu X to recapture international buyers it had “lost.”
But Eric Casas, president of CFIF, said extending discounts is not feasible, considering that almost everything in the market has increased.
“It is also not sustainable,” he said, adding that CFIF, organizer of Cebu X, still have to come up with other concessions to help members in the industry.
He pointed out that aside from the free full-page ad for early registrants to the exhibit, exhibitors will also get free space on the Cebu X website.
Cebu X 2009 exhibitors will be featured in the Cebu X newsletter, as well.
Casas also revealed that CFIF received a grant of P8 million from the Export Development Council (EDC). Part of the amount, he said, will be used to subsidize the participation of Cebu X exhibitors in an intensive design and product development program.
Details of the program will be released next month.
Casas said the EDC fund is not a “dole out from the government,” and will be used for specific activities, like design development programs. “We are not allowed to use that fund to subsidize the exhibitors’ (participation in the exhibit),” he added.
Aside from rising prices, he said rates for the Cebu X 2009 are also higher than this year’s because CFIF anticipates fewer sponsors for the future event.
He said that while there were many sponsors who helped defray the costs of Cebu X 2008, next year’s exhibit has difficulties attracting assistance.
“The industry is having a hard time balancing its financials,” he said.
Streegan said the exhibit has to make money to sustain CFIF.
He called on for different companies to understand the organizers as he is confident that CFIF will bring a “much more exciting show” next year. He also encouraged other companies to join the different committees so that more ideas can be discussed.
“Companies should rise up to the challenge…. There’s no question, times are very difficult,” he said.
CFIF officials said, however, that they are not bothered if there will be fewer exhibitors as long as those who will remain will “represent the best of the Cebu industry.”
Part of the EDC funding will also be used to subsidize student designers. CFIF will expand the coverage of its student design program that will now include three schools–the University of the Philippines, University of San Carlos and the De La Salle College of St. Benilde.
Since the industry has difficulties attracting new and young designers, student internship programs will also be rolled out.
Carlo Coraro of Cebu Fil-Veneer Corp. suggested that empty spaces at the exhibit be used so student designers can display “new ideas.”
The Cebu X 2009, which will run from March 5 to 8, will have a total budget of P20 million. Sixty-one percent of the total budget will go to promotion efforts in the international and local markets.
Regional exhibitors can enjoy free freight for the first 20-footer container, free 10 to 14 day storage of exhibit materials and products prior to the show’s ingress and pre-negotiated hotel accommodation rates.
Buyers will also be given VIP treatment, which will include free refreshments and Internet connection, at a lounge at the Mactan-Cebu International Airport.
Regular buyers, on the other hand, will be given a VIP bag or luggage tag, which will be mailed to them in advance. (DME)
