Ready-to-Wear Sector Increases September Exports

Mustafa Gültepe, Chair of the Istanbul Ready-Made Clothing and Apparel Exporters Association: "In September, we achieved record-high monthly exports of USD 1.948 billion. In the January-September period of 2021, we posted our highest 9-month performance with USD 14.810 billion." "We expect to close the year with exports around USD 20 billion. Our highest annual exports to date were USD 18.7 billion in 2014. Barring major disruptions, we will break our annual export record in 2021." "We are increasingly feeling the positive effects of changes in the global supply chain. In September, the sector approached pre-pandemic capacity utilization rates at 81 percent. Capacity utilization at export-oriented firms exceeded 85 percent. Some companies have switched to shift systems to keep up with orders." The ready-made clothing and apparel sector achieved exports of USD 1.948 billion in September, up 9 percent year-on-year, and USD 14.810 billion in the January-September period, up 22.3 percent, as rising demand brought the sector double records. According to Turkish Exporters Council (TİM) data, Turkey's exports reached USD 20.8 billion in September, up 30 percent from the same month last year. This marked the first time monthly exports exceeded the USD 20 billion threshold in the history of the Republic. In the January-September period of this year, exports reached USD 161 billion, up 36 percent compared to the same period last year. The annualized export value achieved a new Republic record at USD 212.2 billion. With this figure, the year-end Medium-Term Program (OVP) target of USD 211 billion in exports was also surpassed. The ready-made clothing and apparel sector, which exported USD 1.788 billion in September last year, reached USD 1.948 billion in exports in the same period this year, up 9 percent. The sector posted USD 14.810 billion in exports in the January-September period of this year, up 22.3 percent. Of the sector's exports last month, USD 1.345 billion came from Istanbul. Istanbul was followed by Bursa with USD 165 million and Denizli with USD 140 million.

Largest exports to Germany

In the ready-made clothing and apparel sector, Germany was the leading export destination last month with USD 303 million. Germany was followed by Spain with USD 295 million and the United Kingdom with USD 204 million. Looking at the country groups with the highest exports in the sector last month, EU countries ranked first with USD 1.159 billion, other European countries second with USD 271 million, and Middle Eastern countries third with USD 144 million. According to TİM data, the ready-made clothing and apparel sector, which exported to 177 countries and regions in September, accounted for 9.4 percent of the country's total exports in the same period.

"Some companies have switched to shift systems to keep up with orders"

TİM Vice Chair and İHKİB Chair Mustafa Gültepe, in comments to Anadolu Agency, emphasized that the ready-made clothing sector holds a place among Turkey's strategic sectors due to its high-value production, contribution to employment and exports, and annual net foreign exchange earnings exceeding USD 16 billion. Noting that the sector experienced a difficult period at the beginning of the pandemic but gained increasing momentum from June 2020 onwards, Gültepe stated: "We are increasingly feeling the positive effects of changes in the global supply chain. In September, the sector approached pre-pandemic capacity utilization rates at 81 percent. Capacity utilization at export-oriented firms exceeded 85 percent. Some companies have switched to shift systems to keep up with orders. Rising demand brought double records in September. In September, we achieved record-high monthly exports of USD 1.948 billion. Comparing Septembers, we are up 9 percent from 2020 and 29.8 percent from 2019. In the January-September period of 2021, we posted our highest 9-month performance with USD 14.810 billion. Looking at January-September periods, we achieved 22.3 percent export growth compared to 2020 and 11.5 percent compared to 2019." Gültepe noted that they reached USD 19.8 billion in exports in the last 12 months and said, "We have three months ahead. If we continue at the same pace, we expect to close the year with exports around USD 20 billion. Our highest annual exports to date were USD 18.7 billion in 2014. Barring major disruptions, we will break our annual export record in 2021. From now on, I wish our sector, our nation and our country success and good fortune."