Sanctions have worked for Turkey: The market is left to Turkish companies!

Russia’s mutual sanctions attacks with Europe started to cause serious deficits in the economy market. After these developments Turkeyas the fifth largest textile producing country in the world and the sixth largest apparel producer in the world, RussiaHe aspired to close the gap in the textile sector, which remained vacant in .

“There has been an important orientation towards Turkish brands”

The Union of Chambers and Commodity Exchanges of Turkey (TOBB) Apparel and Ready-to-Wear Industry Assembly Chairman Şeref Fayat announced that after the Russia-Ukraine war, multinational companies started to leave Russia with the sanction decision taken by their country.

Regarding the impact of this development on Turkey, Fayat also said:Thanks to the sanctions, the American, French and German companies, that is, the European companies, left the market, which naturally increased the demand in the same regions. They have become less competitive. Therefore, there has been an important orientation towards Turkish brands both in opening new stores and making new investments.” made the statement.

American and European firms left the market

Expressing that there was a serious pause in the two sectors with Russia’s war on Ukraine, Fayat stated that, unlike Ukraine, Turkish companies became less competitive as the companies of the American and European Union (EU) countries left the market in Russia.

Recommendation for Turkish companies to invest in Russia

Fayat stated that this situation is an important direction for Turkish companies in both opening new stores and making new investments in Russia, and predicted that Turkish companies will be positively differentiated from other companies if the sanctions continue.

“Turkey has the advantage of being close to Europe”

Reminding that there was a harsh pause all over the world at the beginning of the pandemic, Fayat said, “Some of our companies were closed for about six months, some of them were opened and closed from time to time. We took advantage of short-time working allowances. Our customers did not want the goods. We couldn’t make shipments. Then, from the second half of 2020, there was a very high demand. We have gained a period in which shopping from the nearby geography has become much more important. The container crisis, the difficulty of not being able to shop from afar, the prolongation of the times, the tenfold increase in transportation costs, positive that Turkey is very close to its main market, the European Union, and it is ready for the second half of 2020 and 2021 with an export exceeding 20 billion dollars, breaking records. Textile companies had a very successful time with an export of more than 13 billion dollars in clothing. When we returned to this path, the success continued in the first six months, but unfortunately there is a bit of stagnation for the future.” he said.

Two big customers of Laleli shopkeepers

Fayat, “Actually, Russia and Ukraine are two important countries that collect 50 percent of the market we call ‘Laleli’, Zeytinburnu, Esenler and Bayrampaşa. In fact, Russia makes up the majority of it. But when the war first started, there was a very clear stance in both markets. There are nearly two hundred Turkish brands and stores in Ukraine. For now, it may not be correct to say that we have reached the pre-war figures, but when we think that these sanctions will be prolonged, Turkey will differentiate a little more positively about stores.” He explained the situation he was in.

There are serious targets to important markets

According to the news of İHA, Fayat stated that they are constantly in search of a new market, as well as the target countries America, Japan and Korea. “Shopping from close geography, which is an advantage for us during the pandemic period, naturally makes it difficult for us to go far; because it is difficult to transport goods there and commute. It is not easy to say that we have replaced those distant markets very quickly in this period, but there are serious targets for important markets. I think that in a few years we will achieve the required target there as well.” said.

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