RUGS / CARPET VALUE CHAIN

-By Tanvi Munjal

Carpets are widely used in residential and workplace floor coverings. The exact origins of carpets remain mysterious, yet evidence suggests that woven floor coverings existed as far back as the Neolithic Age (7000 BC). Despite the unanswered questions surrounding carpet evolution, its undeniable existence persists without written records. Carpets have taken on various forms across different regions. These include hand-knotted, tufted woollen, pure silk, Persian, and Iranian rugs.

Discover the extraordinary expertise and meticulous artistry woven into every thread as we uncover the secrets behind the making of these stunning additions to your space. Prepare to be enamoured by the hidden intricacies and awe-inspiring process that elevate rugs and carpets to a level of true artistry.

ABOUT PRODUCT

Product name	Rugs / Carpets
Brief	Rug and carpet, any decorative textile normally made of a thick material and now usually intended as a floor covering.
Category	The product category of Rugs / Carpets falls under the “Home Textiles” category as they are moveable floor covering, often a heavy fabric with a nap or pile, that provide warmth and noise reduction on a hard flooring surface.
Benefits	The major application of carpet is to decorate the interiors and enhance the thermal comfort in place of its use. It reduces heat loss through the floor, and its excellent thermal insulating properties rely on trapping air to reduce convective heat transfer.
Application industry	Residential Commercial Industrial  Institutional
Duration of product	5 – 15 years

ABOUT MARKET

Market Size – INDIA	India’s Carpet and rug Market is estimated to be USD 5.29 Bn in 2023 and is expected to reach USD 7.13 Bn by 2028, growing at a CAGR of 6.15%.
Market Size – GLOBAL	The Carpet and rug market’s revenue amounted to US$48bn in 2023. The market is expected to grow annually by 4.29% (CAGR 2023-2028).
Growth Rate	The market is expected to grow annually by 4.29% (CAGR 2023-2028)
The Growth Rate of the Industry belongs to	United States (US$17,260m in 2023)
Substitute of Product	Vinyl floor rugs and mats
Highest Import	United States
Highest Export	Turkey

PRODUCTION PROCESS 

• Raw Wool: Building the Foundation

Raw wool, sourced mainly from sheep, is the primary material used in rug and carpet production. This natural fibre is known for its durability, resilience, and ability to hold dyes effectively.

• Scouring: Purifying the Wool

To remove impurities such as dirt, grease, and sweat from the raw wool, it undergoes scouring. This process involves washing the wool with mild detergents and warm water, ensuring its cleanliness while preserving its natural characteristics.

• Woollen Yarn Spinning: Transforming Wool into Yarn

Once the wool is cleaned, it moves on to the woollen yarn spinning stage. The clean wool fibres are drawn, twisted, and spun to form yarn. This yarn will later be used for weaving rugs/carpets.

• Yarn Dyeing: Infusing Colors

To add vibrancy and character to the yarn, it goes through the dyeing process. Different dyeing techniques and colour combinations create an array of captivating shades. This step allows manufacturers to meet market demands and keep up with design trends.

• Yarn Opening: Preparing for Weaving

To enhance the aesthetics and ensure an even distribution of yarn, it undergoes yarn opening. This process involves untangling and loosening the fibres, making them easier to work with during the weaving stage.

• Designing: Unleashing Creativity

Designing is crucial in the rug/carpet production process. Skilled artisans use specialized software or hand-drawn designs, incorporating patterns, motifs, and textures that cater to the desired style. This stage showcases the expertise and creativity of the designer.

• Weaving: Intertwining Threads to Create Magic

The mesmerizing step weaving, brings the entire production process together. This is where the warp and weft threads intertwine, forming the rug or carpet. The weaving process can be done manually on traditional looms or using mechanized techniques.

• Raw Washing: Cleaning the Weaved Product

Once the weaving is complete, the rug/carpet undergoes raw washing. This cleansing process is vital to eliminate any lingering dirt or residue from the production process, ensuring the final product meets quality standards.

• Shearing: Achieving a Polished Look

To give the rug/carpet a refined finish and uniform texture, shearing is performed. This step involves trimming the fibres to a consistent length, enhancing the overall appearance and feel of the final product.

• Embossing: Adding Texture and Depth

Embossing is an optional step where the rug/carpet is treated with heat and pressure to create raised patterns or design elements. This technique adds a unique touch and enhances the visual and tactile experience.

• Binding and Seinging: Securing the Edges

To prevent fraying and ensure durability, the edges of rugs/carpets are either bound or seinged. Binding involves stitching a fabric or tape around the edges, while seinging utilizes a hot iron to melt and seal the edges with a thread-like finish.

• Final Washing, Drying, and Stretching: Perfecting the Final Product

After the initial raw washing, a final washing is performed to remove any remaining impurities. The rug/carpet is then carefully dried and stretched, allowing it to retain its shape and size before the finishing touches.

• Final Clipping and Finishing: The Final Flourish

In this stage, any uneven fibres or imperfections are meticulously trimmed through final clipping. The rug/carpet goes through quality checks to ensure it meets the desired specifications and any necessary adjustments or repairs are made. Finally, finishing touches such as protective coatings or treatments are applied, enhancing the durability and lifespan of the product.

• Packing and Bailing: Ready for Market

Once the rugs/carpets have undergone rigorous inspection and passed all quality standards, they are carefully packed and prepared for distribution. Appropriate packaging materials protect the product during transportation, ensuring it reaches its destination in pristine condition.

INDUSTRY OUTLOOK

Top 10 Manufacturers of Rugs / Carpet

GLOBAL 

COMPANY	COUNTRY
AFI Licensing LLC (Armstrong Flooring Inc)	United States
Balta Industries NV	Belgium
Beaulieu International Group	Belgium
Brumark (Exploring Inc.)	United States
Dorsett Industries, Inc.	United States
Interface Inc.	United States
Mannington Mills Inc.	United States
Milliken & Company	United States
Mohawk Industries Inc.	United States
Shaw Industries Group Inc. (Berkshire Hathaway Inc.)	United States

INDIAN 

COMPANY	STATE
Obeetee Rugs	Uttar Pradesh
Miras Carpet Industries	Karnataka
Jai Amba Carpets	Haryana
Nandhi Carpets	Tamil Nadu
Carpet Couture by Rashi	Delhi
Jaipur Carpet Studio Gallery	Rajasthan
Shri Ramana Textile	Tamil Nadu
Vikram Carpets	Uttar Pradesh
Karpets by RKS	Delhi
Kaleen Carpets	Mumbai

Top 10 Brands of Rugs / Carpet

INDIAN	GLOBAL
TAUHID CARPET – THE ART OF WEAVING WITH DEVICE OF TC	Proximity Mills
AKIRA CARPETS	Doma
Carpet Mahal	Paradiso
imra carpet	Newton
Solimo	Shaw
Regal Carpet	Phenix
Brand Zone	Lifeproof
Arsalan Rugs	Stainmaster by Lowes
Hi-Fi Carpets	Dream Weaver by Engineered Floors
DORNIER RUGS	Anderson Tuftex

SWOT Analysis

The Rug / Carpet industry plays a significant role in both residential and commercial spaces, adding comfort, warmth, and aesthetic appeal to interior spaces. However, like any other industry, it has its own set of strengths, weaknesses, opportunities, and threats. To gain a deeper understanding of this market, let’s conduct a SWOT analysis to explore the key factors affecting the industry’s growth and performance.

STRENGTHS

• Versatility: Rugs and carpets come in a wide range of materials, patterns, colours, and sizes, offering endless possibilities for customization to suit diverse interior design preferences.
• Durability: High-quality rugs and carpets are known for their durability, which ensures their long lifespan, making them a wise investment for homeowners and businesses alike.
• Enhancing insulation: Rugs and carpets act as insulators, improving energy efficiency by reducing heat loss and providing a cosy atmosphere during cold seasons.

WEAKNESSES

• Maintenance: Some types of rugs and carpets require regular maintenance, including vacuuming, cleaning, and addressing stains, which can be time-consuming and costly for owners.
• Susceptibility to wear and tear: Rugs and carpets in high-traffic areas may deteriorate faster, leading to the need for replacements or repairs sooner than expected.
• Allergen trapping: Rugs and carpets can trap allergens such as dust mites, pet dander, and pollen, potentially causing health issues for individuals with allergies.

OPPORTUNITIES

• Growing demand for eco-friendly options: With increasing environmental consciousness among consumers, there is a rising demand for rugs and carpets made from sustainable materials, such as recycled fibres and natural fibres like jute and wool.
• Online retail growth: The e-commerce sector has grown substantially, allowing rug and carpet manufacturers to reach a broader audience and increase sales through online platforms.
• Technological advancements: Innovative technologies, such as 3D printing and advanced weaving techniques, allow manufacturers to create intricate designs and high-quality products, attracting consumers seeking unique and visually appealing options.

THREATS

• Competition from other flooring options: Rugs and carpets face competition from alternative flooring options, such as hardwood, laminate, and vinyl, which offer different advantages and cater to varying consumer preferences.
• Economic uncertainty: The industry is susceptible to changes in the economic landscape, as consumer spending on discretionary items such as rugs and carpets may decrease during economic downturns.
• Imports from low-cost countries: The availability of cheaper imported rugs and carpets from countries with lower production costs poses a threat to local manufacturers, potentially impacting their market share and profitability.

Conclusion

The rugs/carpet value chain is a fascinating process involving various stages, from sourcing raw wool to producing high-quality rugs and carpets. The industry has a rich history, dating back thousands of years, and continues to evolve with changing consumer preferences and technological advancements.

Rugs and carpets offer numerous benefits, including decoration, thermal comfort, and noise reduction, making them popular for residential and commercial spaces. The market for rugs and carpets is substantial, with significant growth expected in India and the global market.

The production process involves intensive craftsmanship and attention to detail, from scouring and spinning the wool to yarn dyeing, weaving, and finishing touches such as shearing and embossing. Each stage contributes to the exceptional quality and beauty of the final product.

The industry’s outlook presents strengths such as versatility, durability, and insulation properties but also weaknesses such as maintenance requirements and allergen trapping. However, there are opportunities for growth, including the demand for eco-friendly options, the rise of online retail, and technological advancements.

Nevertheless, the industry faces threats from alternative flooring options, economic uncertainty, and competition from low-cost imports. By understanding the strengths, weaknesses, opportunities, and threats, stakeholders can navigate the market and drive further growth and innovation in the rugs/carpet industry.