A SNAP-SHOT. THE TURKISH CLOTHING INDUSTRY AND
THE CURRENT CHALLENGES
ŞEREF FAYAT, CHAIRMAN, TGSD
TURKISH CLOTHING MANUFACTURERS’ ASSOCIATION
• Founded in 1976 with the purpose of preparing the environment
necessary for the development of clothing industry in Turkey
• TGSD has approximately 400 members from all kinds of the sector,
mostly ready wear
• TGSD has become an «Association for Public Benefit» with a
Government Decree in 2003.
• TGSD represents Turkish clothing industry abroad; member of
International Apparel Federation (IAF) and European Textile and
Apparel Federation (EURATEX)
• www.tgsd.org.tr
TURKISH ECONOMY
2013
2014
2015
ESTIMATIONS
TURKISH LIRAS AGAINST DOLLAR (YEARLY AVERAGE)
1,91
2,19
2,60
ECONOMIC GROWTH %
4,2
2,9
3,0
NATIONAL INCOME BILLION DOLLAR
823
800
790
10.822
10.404
10.000
TOTAL PRIVATE SECTOR CONSUMPTION GROWTH %
5,1
1,3
2,5
INVESTMENT GROWTH %
4,4
-1,3
3,0
INDICATORS
PER CAPITA INCOME DOLLAR
TURKISH ECONOMY
2013
2014
2014
ESTIMATIONS
EXPORT BILLION DOLLAR
151,9
157,6
160,0
IMPORT BILLION DOLLAR
251,7
242,2
235,0
FOREIGN TRADE DECIFIT BILLION DOLLAR
-99,8
-84,6
-75,0
CURRENT ACCOUNT DEFICIT BILLION DOLLAR
-65,1
-45,8
-38,0
CURRENT ACCOUNT/GDP %
-7,9
-5,7
-4,8
CONSUMER PRICE INDEX %
7,4
8,2
7,5
PUBLIC DEFICIT /GDP %
-0,8
-1,0
-0,8
BUDGET DEFICIT /GDP%
-1,2
-1,5
-1,0
INDICATORS
READY MADE CLOTHING INDUSTRY EXPORT
EXPORT BILLION DOLLAR
20.00
18.74
17.35
18.00
16.18
16.11
2011
2012
16.00
14.60
14.00
12.00
10.00
8.00
6.00
4.00
2.00
0.00
2010
2013
2014
READY MADE CLOTHING INDUSTRY EXPORT
EXPORT BILLION EURO
16
14.1
14
12
13.2
11.1
11.7
12.3
10
8
6
4
2
0
2010
2011
2012
2013
2014
READY MADE CLOTHING INDUSTRY EXPORT; SUB GOODS AND ARTICLES
READY MADE CLOTHING EXPORT BILLION DOLLAR
12
10,15
10
9.23
8.42
8.39
8
7.73
6,26
6
5.12
4.64
5.71
5.43
4
2.14
1.84
2
2,33
2.19
1.90
0
2010
2011
KNITTED GOODS
2012
WOVEN GOODS
2013
OTHER GOODS AND ARTICLES
2014
REDAY MADE CLOTHING INDUSTRY EXPORT, VOLUME AND UNIT VALUE INDEXES
EXPORT VOLUME AND VALUE INDEXES 2010=100
120.0
118.0
115.0
113.3
111.4
112.8
110.0
106.0 106.0
106.9
105.0
100.0
100.0 100.0
98.4
95.0
90.0
85.0
2010
2011
VOLUME INDEX 2010=100
2012
2013
UNIT VALUE INDEX 2010=100
2014
READY MADE CLOTHING INDUSTRY EXPORT; SELECTED UNIT GOOD PRICES (EURO/KG)
2010
2011
2012
2013
2014
KNITTED MEN’S
SHIRTS
25,4
29,8
34,3
33,7
36,0
KONITTED WOMEN’S
BLOUSES AND
SHIRTS
22,4
26,3
27,4
28,9
29,4
MEN’S SUITS
JACKETS, TROUSERS
23,0
24,6
24,9
26,1
28,0
WOMEN’S SUITS,
JACKETS, DRESSES,
SKIRTS
29,3
32,4
32,7
34,5
35,3
WOMEN’S BLOUSES
AND SHIRTS
46,4
55,1
54,5
57,7
59,8
READY MADE CLOTHING INDUSTRY EXPORT, MAIN MARKETS
2010
2014
MARKET
EXPORT
MILLION DOLLAR
SHARE %
MARKET
EXPORT
MILLION DOLLAR
SHARE %
1
GERMANY
3.623
24,7
GERMANY
3.913
20,9
2
UNITED KONGDOM
2.067
14,1
UNITED KINGDOM
2.489
13,3
3
FRANCE
1.192
8,1
SPAIN
1.634
8,7
4
SPAIN
1.167
8,0
FRANCE
1.125
6,0
5
ITALY
731
5,0
NETHERLANDS
956
5,1
6
NETHERLAND
724
4,9
ITALY
699
3,7
7
DENMARK
437
3,0
IRAQ
674
3,6
8
USA
421
2,9
DENMARK
507
2,7
9
BELGIUM
401
2,7
ROMANIA
501
2,7
10
RUSSIA
280
1,9
USA
464
2,5
11
SWEDEN
279
1,9
POLAND
445
2,4
12
IRAQ
208
1,4
BELGIUM
405
2,2
13
ROMANIA
200
1,4
RUSSIA
351
1,9
14
AUSTRIA
144
1,0
UKRANIA
314
1,7
15
ISRAEL
134
0,9
SWEDEN
294
1,6
READY MADE CLOTHING INDUSTRY BRANDED GOODS EXPORT TO EMERGING MARKETS
EXPORT 2010
MILLION DOLLAR
EXPORT 2014
MILLION DOLAR
2010 -2014
CHANGE %
IRAQ
208
674
224
ROMANIA
200
501
151
RUSSIA
280
351
25
UKRAINE
77
314
308
S.ARABIA
95
289
204
LYBYA
66
144
118
EGYPT
58
128
121
TUNUSIA
92
99
8
IRAN
84
72
-14
ISRAEL
134
228
70
LEBANON
58
67
16
GREECE
132
116
-12
U.A.E
76
150
97
ALGERIA
70
164
134
1.630
3.297
103
MARKETS
TOTAL
READY MADE CLOTHING INDUSTRY EXPORT, EUROPEAN MARKETS
EU CLOTHING IMPORT AND TURKEY EXPORT TO EU BILLION EURO
160
146.4
142.6
140
137.8
135.3
130.1
120
100
80
60
40
20
10.7
11.2
11.1
11.5
11.8
0
2010
2011
2012
EU CLOTHING IMPORT
TURKEY CLOTHING EXPORT TO EU
2013
2014
READY MADE CLOTHING INDUSTRY EXPORT, EUROPEAN MARKETS
SHARE OF TURKEY IN EU CLOTHING IMPORT
8.40
8.30
8.33
8.25
8.21
8.20
8.10
8.06
8.00
7.90
7.82
7.80
7.70
7.60
7.50
2010
2011
2012
2013
2014
READY MADE CLOTHING INDUSTRY IMPORT
IMPORT BILLION DOLLAR
3.50
2.96
3.00
2.80
2.87
2013
2014
2.56
2.50
2.34
2.00
1.50
1.00
0.50
0.00
2010
2011
2012
READY MADE CLOTHING EXPENDITURES
CLOTHING EXPENDITURES BILLION DOLLAR
30.0
28.0
26.4
27.0
26.3
26.9
25.0
20.0
17.6
16.2
17.5
14.1
15.0
12.4
10.0
5.0
0.0
2010
2011
HOUSEHOLDS CLOTHING EXPENDITURES
2012
2013
ORGANIZED RETAIL MARKET CLOTHING EXPENDITURES
2014
READY MADE CLOTHING EXPENDITURES
SHARE OF ORGANIZED RETAIL EXPENDITURES %
70.0
65.1
65.1
2013
2014
65.0
61.9
60.0
55.0
50.2
50.0
47.0
45.0
40.0
2010
2011
2012
READY MADE CLOTHING EXPENDITURES
TOURISTS CLOTHING EXPENDITURE MILLION DOLALR
4,000
3,660
3,428
3,500
3,060
3,000
2,500
2,746
2,335
2,000
1,500
1,000
500
0
2010
2011
2012
2013
2014
FABRICS IMPORT
FABRICS IMPORT MILLION DOLLAR
3,500
3,180
3,000
2,684
2,500
2,511
2,497
2013
2014
2,343
2,000
1,500
1,000
500
0
2010
2011
2012
TEXTILE MACHINERIES IMPORT
TEXTILE MACHINERY IMPORT MILLION DOLLAR
2000
1,787
1800
1,659
1600
1,471
1,450
2011
2012
1400
1200
1000
852
800
600
400
200
0
2010
2013
2014
DEVELOPMENTS IN THE TURKISH CLOTHING SECTOR WHILE TRANSFORMATION
2005-2014
POSITIVE DEVELOPMENTS BETWEEN 2005-2014
HIGH VALUE
ADDED
PRODUCTION
COTTON
DROP IN
PRODUCTION
IMPORT
DEPENDENCY
TEXTILE
DECREASE
IN PRODUCTION
COMPETTIVENESS
CLOTHING
PRODUCTION
NEW RETAIL
BRANDS
ENLARGING
DESIGN
CAPACITY
DESIGN
İSTANBUL
FASHION
ACTIVITIES
FASHION
BRANDING
MODERN RETAIL
ACTIVE
MARKETING IN
FOREIGN
MARKETS
INCREASE
CAPABILITY
MARKETING
ORGANIZATION
DECREASE
IN PRODUCTION
COMPETTIVENESS
SAFEGUARDS
(PROTECTIONISM)
MEASURES
NEGATIVE DEVELOPMENTS BETWEEN 2005 – 2014
READY MADE CLOTHING INDUSTRY EXPECTATIONS FOR 2015
2014
2015
ESTIMATIONS
EXPORT BILLION DOLLARS
18,74
19,0-19,5
IMPORT BILLION DOLLARS
2,87
2,80
INDSUSTRIAL PRODUCTION GROWTH %
0,1
1,0
CLOTHING EXPENDITURES BILLION DOLLARS
26,9
26,0
ORGANIZED RETAIL CLOTHING EXPENDITURES BILLION DOLLARS
17,5
17,0
INDICATORS
TURKISH CLOTHING SECTOR 2023 OUTLOOKS
TCMA CONTINUES AS A DRIVER FOR THE SECTOR BY “HORIZON 2023”
52 BILLION
DOLLAR
EXPORT
HORIZON
2023
ROAD MAP FOR THE
TURKISH CLOTHING
SECTOR
50 BILLION
DOLLAR
LOCAL
MARKET
TO BE COMPETITIVE
FOUR MAIN STRATEGY FOR TURKISH CLOTHING SECTOR
INCREASE COMPETITIVENESS IN
PRODUCTION AND CONTINUITY IN
PRODUCTION
BECOME QUALIFIED AND HIGH
VALUE ADDED SUPPLIERS OF
GLOBAL APPAREL BRANDS
HIGH VALUE ADDED
PRODUCTION
CREATE REGIONAL AND
GLOBAL BRANDS AND
EXPORTING WITH OWN
BRANDS
READY MADE CLOTHING INDUSTRY EXPORT, US MARKET
EXPORT MILLION DOLLAR
470
464
460
450
450
446
442
440
430
421
420
410
400
390
2010
2011
2012
2013
2014
Previous Speakers in Istanbul
Fashion Conference:
14-15 EKİM / OCTOBER 2015
Please visit www.tgsd.org.tr for more info
Nino Cerruti; Cerruti
Paolo Zegna; Ermenegildo Zegna
Yoshihiro Kunii; Uniqlo
Pier Luigi Loro Piana; Loro Piana
Don Baum; Polo Ralph Lauren
Remo Ruffini; Moncler
William Fung; Li Fung
Jonathan Akeroyd; A. McQueen
Antonio Berrardi; Fashion Designer
Luigi Orsogna Bucci; Tom Ford
David Shepherd; Arcadia
Giuseppe Miroglio; Miroglio
Colin McDowell; Journalist