Time for Sectoral Transformation for Sustainable Growth

Kağan Yeşil

Bursa Association of Plastic and Packaging Industrialists (BURPAS)

Chairman of the Board

The plastic and packaging sector plays a critical role in Turkey’s industrial production and economic development. However, unfair competition, high taxation, difficulties in accessing financing, and challenges in securing raw materials pose significant barriers to sustainable growth in the sector.

As the Bursa Association of Plastic and Packaging Industrialists (BURPAS), we are proud to represent the plastic and packaging sector, which plays an important role in the economic development of our country and region. However, the recent economic fluctuations and sectoral regulations have directed us towards developing new strategies and reviewing existing policies.

When addressing the fundamental issues faced by the sector, unfair competition, taxation policies, difficulties in accessing financing, and challenges in securing raw materials stand out as priority problems. I would like to summarize these issues under major headings and share our proposed solutions accordingly.

UNFAIR COMPETITION AND TAXATION POLICIES

The fixed charging policy applied to plastic bags creates an environment of unfair competition in our sector. The non-taxation of cloth bags and their free pricing adversely affect plastic bag manufacturers.

DIFFICULTIES IN ACCESSING FINANCING

High credit interest rates and banks' tendencies not to provide loans in relation to check amounts disrupt our businesses’ growth and investment plans. This situation reduces the competitive power of our sector and hinders sustainable growth.

CHALLENGES IN SECURING RAW MATERIALS

The high taxes applied to the import of raw materials that have limited production in our country increase costs and weaken our competitiveness in the international market.

We can list our proposed solutions within a strategic approach as follows:

FAIR TAXATION AND INCENTIVE POLICIES

Eliminating the tax disparity between plastic and cloth bags will create a fair competitive environment in the sector. Additionally, encouraging environmentally friendly production by firms will contribute to our sustainability goals.

DEVELOPMENT OF FINANCIAL SUPPORT MECHANISMS

Implementing policies that facilitate access to financing for SMEs will increase our sector’s investment capacity. In particular, providing low-interest loan opportunities and reorganizing banks’ credit evaluation criteria is necessary.

TAX REGULATIONS IN RAW MATERIAL IMPORTS

Revising the taxes applied to raw material imports and making arrangements according to the needs of our sector will reduce costs and increase our competitive power.

CONCLUSION AND FUTURE PERSPECTIVE

The plastic and packaging sector holds strategic importance in our country’s economic development. However, to solve the existing problems, strengthening cooperation between the public and private sectors is essential. As BURPAS, we will continue to fulfill our responsibilities to ensure the sustainable growth of our sector and enhance our international competitiveness.

It should not be forgotten that the future of our sector will be shaped by the decisions we make and the steps we take today.

Translated by Artificial Intelligence