Chairman of ITHIB İsmail Gülle evaluated the year of 2012 to Textile World Magazine and stated that they fall behind the export target of 10 billion dollars. Expressing that the sector which grew by 20 % in 2011 did not grow this year, Gülle stated that: “2012 was period of stagnation due to recession in the EU market as well as the political developments of our region. Thus, we could not exceed 8 billion dollar, export figure of the previous year. “. Emphasizing that this figure can not be underestimated, Gülle stated that this situation was beyond expectations.
Stating that manufacturing and exporting sectors have been affected greatly by the internal and foreign crises so far, Gülle continued his explanation as follows: “At home, high labour cost and financing costs including energy disturbed competitiveness of the sector. However, the actual reason of the stagnation experienced in 2012 stemed from the political world. When uncertainties of the global sector combined with the recession of EU market, we, of course, got affected as the other sectors and countries. I presume that 2013 will be a period of recovery. In the coming periods, we believe in that a new and great thrust will be maintained.”
Laws are not sufficient alone
Making important evaluations about the additional tax practice, İsmail Gülle stated that additional taxes were imposed to make the internal market and the firms investing in Turkey survive. Expressing that Turkey is one of the most vulnerable markets of the world,Gülle added that: “We should not ignore the background of the additional tax decisions. In a period when unlawful competition increased at a unique level, it is wrong to make a speculation over this issue. Turkey is a big textile and apparel country. We have no problem in terms of established capacity, production capability and competitiveness. General level of the prices depends on the form of global trade. It is not possible to talk about a situation peculiar to the law.”.
Stating that companies relaxed with the legal arrangements, Gülle explained that 2012 became an important year in terms of law non incentives. Emphasizing that Turkey faces the most comprehensize and detailed incentive law in its history, İsmail Gülle stated that he believes in that they will yield more clear and positive results the next year. He also added that: “The law is not sufficient alone, there is a need for an appropriate investment environment. In a period when there is no real growth, everybody prefers waitin, analysing the investments yields wrong results. If we think that inbalance in the regional development will decrease continously and logistics is developing constantly in our country, we can see that Turkey is on the eve of new investments not only in textile but also in the other sectors.”
Sector Stagnation will Decrease in 2013
Reminding that they pass through a period when economy policies are not clear, Gülle also emphasized that there is also pressure in the internal market. Gülle also stated that actual growth plans of the textile sector are directed to the foreign market and in this respect, 2013 will be a year when negative situations will disappear. Pointing out to the growth of 20 % in 2011, Gülle concluded by saying: “Turkish textile sector always has a positive and strong growth potential, we can manage the existing global pressure well provided that there is not a real recession. We will continue these efforts in 2013. We develop projects to spread our efforts aimed at R&D, innovation, design and brand-centered competition throughout the sector. If a global conflict environment does not arise, EU will recover in terms of main markets such as Germany and Italy. Also, we presume a good development in such markets as North Africa, Russia, Eastern Europe and South America.