Exporters see more profitable year ahead

Büyükekşi, speaking to the Anatolia news agency yesterday, stated that exports have been adversely affected by the latest economic stagnation throughout the year; however, he added, a recovery has started to take place considering the improvement in macroeconomic figures, which leads them to be more optimistic about the coming year. “It is clear that we are at the end of the crisis. 2010 will be a year of recovery, and global trade will be rejuvenated with this recovery. Our target for 2010 is to raise exports to $111 billion.”

Underlining that they will continue to seek alternative export markets next year, too, Büyükekşi continued by saying they attach great importance to neighboring and regional countries. Since there have been agreements with some countries on political issues, economic cooperation with these countries has also been successful, he said, adding that they hope that commerce between Turkey and these countries will develop further in the year ahead. African countries along with Latin American and Far East markets are also of great importance for Turkish exporters, Büyükekşi stressed, adding that trade with these markets will continue. Büyükekşi stated that they also hope exports to developing countries will grow in 2010 as the economic recovery picks up pace in global markets.

İstanbul Textile and Raw Materials Exporters’ Union (İTHİB) Chairman İsmail Gülle also said they expect the textile sector’s exports to increase by about 15 percent in 2010, indicating deferred demand and depleted stocks as the driving forces behind this rise. The textile sector might achieve $6 billion to $6.5 billion in exports by the end of 2010 by exporting $500 million in goods per month, he added. İbrahim Burkay, the president of the Uludağ Textiles and Raw Materials Exporters Union (UTİB), also said they foresee the textile sector recovering in 2010, adding that the downturn in the sector slowed in October and November.

Uludağ Clothing and Ready-to-Wear Exporters Union (UHKİB) President Şenol Şankaya said 2009 was a grim year and that they expect 2010 to be a better year; however, he added that they are not yet expecting a great recovery.

“Considering the general picture, we don’t envision great gains.”

İstanbul Ferrous and Non-Ferrous Metals Exporters Association (İDDMİB) President Tahsin Öztiryaki, stating that the rise seen in exports in the last quarter of 2009 will continue in the coming year, said ferrous and non-ferrous metal exports are expected to total around $5 billion by the year’s end and that their target for 2010 is to raise this figure to $6.5 billion.

İstanbul Mineral Exporters’ Union (İMİB) President Ali Kahyaoğlu, stating that the mining sector is hopeful about exports in 2010, said: “We have already achieved a significant increase [in exports], which we predict will continue into the new year as well,” he said, adding that they expect to see $3 billion in total mining sector exports in 2010.

Ferit Sünneli, head of the Uludağ Automotive and Sub-Industry Products Exporters’ Union (UTAYSİB), said according to the best case scenario, they expect auto exports to increase to $20 billion in 2010, on the condition that incentives for the auto sector in EU countries continue and target markets see a boost in business. However, he added that the government should introduce a cash-for-clunkers incentive and reductions in value-added tax (KDV) for commercial vehicles in a bid to  reinvigorate the domestic market, which will have a positive impact on exports, too.

The worst case scenario, however, foresees exports of the sector to total between $14 billion to $15 billion in the year ahead, Sünneli said. “Yet the expected scenario is that if incentives in EU countries continue for a while longer and if the effects of the crisis will be eased to a certain degree in 2010, then we expect the auto sector to see $17 billion in exports in the coming year.”