Karadeniz: “Turkey’s Oil is Production”
The Plastic Industry's Roadmap for Production Power and Competition Was Discussed on EKOTÜRK
PLASFED President Ömer Karadeniz evaluated the current outlook of the Turkish plastics industry and its priorities for the future on the program “Yönetim Katı” (Management Floor) hosted by Zeliha Saraç. Addressing critical topics on the industry's agenda—ranging from global geopolitical developments to raw material and petrochemical investments, export performance to exchange rate costs, and access to finance to the green transition—Karadeniz pointed out that Turkey needs to strengthen its production capacity.
Increasing uncertainties in the global economy, geopolitical tensions, energy and raw material costs, and problems in accessing finance are reshaping the competitive power of industrial sectors. This picture directly affects the plastics industry, which is heavily dependent on oil and petrochemical products. Being a guest on the program “Yönetim Katı” hosted by Zeliha Saraç on EKOTÜRK, PLASFED President Ömer Karadeniz evaluated the position of the Turkish plastics sector during this challenging period and explained the steps that must be taken for the sustainability of production and exports.
The Plastics Industry is Resilient Against Global Shocks
Stating that Turkish industry has faced numerous economic and global shocks in recent years, particularly the pandemic, Karadeniz expressed that this experience has enabled industrialists to gain significant resilience against crises.
Recalling that the critical role of plastic products in health, hygiene, packaging, and daily consumption areas became more prominent during the pandemic period, Karadeniz said that this period also created new opportunities for the sector. The increasing need for plastic products in many areas ranging from medical products to packaging, and e-commerce to logistics, once again revealed the strategic importance of the sector.
Exchange Rate Costs Challenge Exporters' Competitive Power
One of the issues Karadeniz emphasized in particular was exchange rate costs. Stating that inflation and production costs in Turkey running above the increase in the exchange rate create a significant competitive problem for exporters, Karadeniz said that this situation affects not only the plastics sector but all exporters in Turkey.
Stating that exporters face costs such as labor, energy, raw materials, and logistics, Karadeniz emphasized that the inability to increase export prices to the same extent as production costs rise weakens the competitive power of companies.
Drawing attention to the fact that Turkey competes with countries such as France, Italy, and China, particularly in the European market, Karadeniz stated that the increase in costs could make it difficult for Turkey to protect its existing markets and open up to new ones.
“Turkey’s Oil is Production”
Pointing out that Turkey has a strong production capacity despite being limited in terms of energy resources, Karadeniz stated that industry is one of Turkey’s most important economic resources.
In this evaluation, which can be summarized with the approach “Turkey’s oil is production,” it was emphasized that agriculture and livestock, alongside the manufacturing industry, are also parts of the production economy.
Access to Finance is a Critical Problem Ahead of Investments
Access to finance was cited as one of the most important problems preventing the industry from increasing its production capacity. Stating that many investments have been postponed or halted due to high inflation and financing costs, Karadeniz said that it is critical for industrialists to be able to access finance under favorable conditions for the sustainability of production.
This content has been translated using artificial intelligence technology.