Ömer Karadeniz: "A Strong Economy Is Only Possible With Strong Industry"
Ömer Karadeniz, Chairman of the Board of the Federation of Plastic Industrialists (PLASFED), was a guest of Alara Akgün, host of the Fokus program broadcast on Bloomberg HT. Assessing the capacity utilization rate, real sector confidence index, and the outlook for the plastics sector, PLASFED President Karadeniz emphasized that while maintaining confidence in the industry is positive, policies that will ensure this turns into production, investment, and exports must be implemented.
Evaluating the decline in the manufacturing industry capacity utilization rate to 73.8% in July, Karadeniz stated that this level indicates approximately one-quarter of production capacity remains idle. Expressing that industrialists have a desire to invest, Karadeniz said the biggest obstacles to investment decisions are high financing costs, difficulty in accessing credit, energy costs, and weak domestic demand.
Noting that it is significant that the Real Sector Confidence Index remained above 100 in July, despite falling from 102 to 101.2, Karadeniz said, "Real sector confidence being above 100 points to a positive expectation in terms of production and investment. However, confidence alone is not enough. It needs to turn into production, investment, and exports.”
Pointing out that one of the most important problems for exporters is exchange rate policy, Karadeniz said that the disruption of the balance between inflation and the exchange rate weakens competitive power. Stating that costs are constantly increasing, which makes it difficult for Turkish exporters to maintain prices in international markets, Karadeniz expressed that financing conditions need to be improved and policies supporting competitiveness must be implemented for the sustainability of exports.
Touching on the discussions of deindustrialization, Karadeniz emphasized that production is the fundamental element of Turkey's development, stating, "Production means employment, added value, and prosperity. A strong economy is only possible with a strong industry. Therefore, steps to increase production, encourage investment, and strengthen exports must be maintained with determination."
This content has been translated using artificial intelligence technology.
