Kağan Yeşil
Chairman of Bursa Plastics and Packaging Industrialists Association (BURPAS)
The world seems to be on the brink of a new era in artificial intelligence and robotic systems. We must seize this transformation at both the country and sector levels. In addition to essential concepts such as R&D, innovation, and sustainability, we must find a way to integrate ourselves while closely following this technological transformation. Otherwise, we risk missing this fast train and relegating ourselves to mere consumers.
The Turkish packaging industry, which has managed to improve its position in the global market every year, achieved an export of 3.32 billion dollars in the first half of 2024, a 7% increase compared to the same period last year. With an export surplus of 1.15 billion dollars, the sector is expected to complete the second half of 2024 with even better export performance. On the other hand, Turkey's exports in October increased by 3.6% to reach 23.6 billion dollars. The automotive sector was the highest exporter with 3.5 billion dollars, while the chemical sector ranked second with an export of 2.47 billion dollars in October.
It seems that the time has come for Turkey, which has been stuck around 250 billion dollars in exports in recent years, to set new strategies. Especially in textiles, automobiles, and agriculture, it seems we have reached a limit. It is unlikely that these sectors, in their current structure, can elevate the country's exports significantly. According to 2023 data, Turkey ranks 34th in the world in exports and needs a new roadmap. One of the sectors with growth potential and a clear advantage is undoubtedly chemicals and their products. Moreover, this sector, which has been known for years as a category of value-added products, has a surplus in foreign trade. Each year, we record an average deficit of 100 billion dollars between our exports and imports. Yet, our packaging industry has recorded a total export of 3.32 billion dollars in the first half of the year while already generating a surplus of 1 billion dollars.
The export performance for the first nine months of 2024 shows a 6.7% increase compared to 2023. By the end of September, sector exports reached 7.67 billion dollars, and it is expected to reach 10 billion dollars by the end of the year.
Global Market Size: 1.03 Trillion Dollars
When viewed globally, the packaging sector reached a market size of 1.03 trillion dollars in 2023, and it is anticipated that this volume will increase to 1.05 trillion dollars in 2024. Additionally, the sector's global market size is forecasted to reach 1.44 trillion dollars by 2034.
Turkey's share of such a large market remains a drop in the ocean. The Turkish industrialist possesses the potential and vision to grow this market. With the right incentives and a solid strategic plan, the sector could quickly reach an annual export of 100 billion dollars. However, pressures from exchange rates, high inflation, high interest rates, difficulties in accessing financing, wars, and the environmental conflict that persists, combined with global economic instability and the recession in Europe, as well as the climate crisis and its consequences, all pose obstacles to industrial production. Despite all these challenges, the Turkish industrialist continues on their path with determination.
We Expect a Decline in Inflation and Interest Rates
Finally, we can consider that the outcome of the American election environment will significantly affect 2025. The steps taken by President Trump will impact the entire world, both positively and negatively. The success of the economic program implemented in Turkey is undoubtedly critical for us. We expect a decline in inflation and consequently in interest rates starting next year. At the same time, the world seems to be on the verge of a new era in artificial intelligence and robotic systems. We must grasp this transformation in terms of country and sectors. In addition to essential concepts such as R&D, innovation, and sustainability, we must find a way to integrate ourselves while closely following this technological transformation. Otherwise, we risk missing this fast train and relegating ourselves to mere consumers.
Translated by Artificial Intelligence
