MESSAGE FROM THE MINISTER

To reach unique opportunities in Turkey, Ministry of Economy is always ready to assist Turkeys potential partners in trade and investment fields with its valuable sources. First of all, I would like to invite you to look into the new investment incentives program of Turkey. The new program brought significant novelties such as attractive benefit packages for strategic investments, remarkable supports to labor cost for investments to be made in developing regions and possibility of benefiting from tax deduction incentive of a new investment before the investment project is completed for earnings from existing activities. Other valuable sources include the Country Desks and Sectoral Studies of our Ministry which will help you find potential partners and benefit from trade and investment opportunities in Turkey. In this brochure series, you can find brief information about production and export trends of Turkish export sectors, leading trade fairs in the sector and useful links to sectoral organizations. For more information about sectors, you can use the means provided by our Ministry which will help you penetrate into the Turkish market and find potential business partners; The Buy Turkish Products Directory on the Ministry website (www.economy.gov.tr) allows you to search for Turkish exporters. By following the Turkey Contact Point (TCP) Blog via http://blog.tcp.gov.tr and subscription to the bi-weekly e-bulletin, Trade Channel Newsletter, you can have access to the latest information on economic developments, trade opportunities and upcoming events in Turkey. Our Commercial Representative in your country is there to actively play role in facilitating, strengthening and establishing successful commercial relations between Turkey and your country. Last but not least, whenever you need information on Turkeys export, export sectors, new investment opportunities and more, you can contact TCP Call Center 24/7 from anywhere in the world to submit trade related questions and get them replied instantly. I hope this brochure will contribute to establish new business relations between our countries. Zafer ALAYAN Minister of Economy

Republic of Turkey Ministry of Economy, 2012

CLOTHING INDUSTRY
PRODUCTION
Textiles and clothing are among the most important sectors of the Turkish economy and foreign trade. Accounting for about 6-7% of the GDP together, these two sectors are the core of Turkish economy in terms of GDP contribution, share in manufacturing, employment, investments and macroeconomic indicators. These sectors had a 18,5% share in total export volume in 2011. There are more than 40,000 textile and clothing companies in Turkey with an estimated workforce of 750,000 employees. Turkey is one of the main actors in the world clothing industry. Turkey ranks 8th in world cotton production and 4th in world cotton consumption. Turkey also ranks 3rd in organic cotton production after India and Syria. The Turkish clothing industry is the 6th largest supplier in the world, and the 2nd largest supplier to the EU. It has a share of 4% in knitted clothing exports and it ranks 5th among the exporting countries. With a share of 2,6%, Turkey ranks 10th among the woven clothing exporters in the world. The Turkish textile industry, which is listed in the worlds top ten exporters, is also the second largest supplier to the EU. The Turkish textile and clothing industry has a significant role in world trade with the capability to meet high standards, and can compete in international markets in terms of high quality and a wide range of products. The established capacity of woven production in Turkey is estimated to be around 1.350.000 tons while that of knitted products is around 2.250.000 tons. In recent years, pantyhose, tights, stockings, socks and other hosiery production in Turkey shows a faster growth and with the new investments it is estimated to have reached a production capacity of 200 million dozens per annum.

Istanbul: City of Fashion

Istanbul is proud of its designers, fashion and shopping centers where it has kept its unique Occidental-Oriental, old-meets-new, and East-meets-West characteristics. Istanbul is becoming a leading fashion and shopping center due to both foreign and local investments recently. The worlds largest shopping centers are opening in Istanbul. Many tourists have added Istanbul to their itinerary for shopping. As a global sourcing hub for both Asia and Europe, Istanbul attracts a number of international buying offices, trading houses, major retailers and department stores. Istanbul Fashion Week is organized twice a year to gain recognition for Turkish designers and brands in national and international tribunes where they present their latest collections. Since Istanbul is becoming a fashion and shopping center, most of the companies have shifted their production facilities to the inner provinces. Izmir, Bursa, Ankara, Denizli, Gaziantep, Kayseri, Tekirdag, Adiyaman, Kahramanmaras and Adana are now major cities for textile and clothing production.

Republic of Turkey Ministry of Economy, 2012

EXPORTS
Turkish clothing exports have continued to increase even after the expiration of the global textile quota system at the end 2004, as agreed under the World Trade Organization Agreement on Textiles and Clothing (ATC). The sector continues to maintain and enhance its competitiveness. In 2011 the total value of clothing exports was US$ 13.5 billion. The sector exports about 65% of its production. Approximately 80% of the clothing exported is cotton clothing. Knitted clothing and accessories, with an export value of US$ 8.4 billion, had a share of 62,1% in total clothing exports, and woven clothing had a share of 37,9% with a value of US$ 5.1 billion in 2011. T-shirts and pullovers are the most important export products in knitted clothing sector. Exports of t-shirts and pullovers were US$ 3 billion and US$ 1.3 billion respectively in 2011. In addition, as the second largest manufacturer in the world, Turkeys hosiery exports amounted US$ 1 billion in 2011. Knitted or Crocheted Clothing Exports of Turkey (US$ 1,000)
HS 6101 6102 Products 2009 42.408 35.084 198.936 816.290 204.027 590.276 82.427 251.374 2.398.379 1.079.975 71.163 63.749 188 173.245 881.063 2.495 34.466 6.925.548 2010 36.192 27.981 189.608 1.052.618 186.692 626.984 77.406 262.798 2.755.467 1.205.348 83.499 69.957 199 165.458 952.721 2.712 35.570 7.731.212 2011 40.285 30.817 215.840 1.123.845 199.125 622.049 90.991 269.726 3.049.125 1.320.569 103.611 69.746 408 150.264 1.056.734 2.945 39.554 8.385.636 Change (%) 2010/2011 11,3 10,1 13,8 6,8 6,7 -0,8 17,5 2,6 10,7 9,6 24,1 -0,3 104,4 -9,2 10,9 8,6 11,2 8,5

Men's/boys' overcoats, capes, cloak etc Women'/girls' overcoat, cape, cloak etc Men's/boys' suits, jackets, trousers etc 6103 & shorts Women's/girls' suits, dresses, skirt etc 6104 & shorts 6105 Men's or boys' shirts Women's or girls' blouses, shirts & shirt6106 blouses Men's/boys' underpants, nightshirts, 6107 pyjamas, bathrobes etc Women's/girls' slips, panties, pyjamas, 6108 bathrobes etc 6109 T-shirts, singlets and other vests Jerseys, pullovers, cardigans, 6110 waistcoats etc Babies' garments and clothing 6111 accessories 6112 Track-suits, ski-suits and swimwear Garments, rubberised or impregnated, 6113 coated or covered with plastics or other materials Special garments for professional, 6114 sporting or other purposes Pantyhose, tights, stockings, socks and 6115 other hosiery 6116 Gloves, mittens and mitts Clothing accessories, parts of garments 6117 or of clothing accessories Total Source: Ministry of Economy

Republic of Turkey Ministry of Economy, 2012

Women's or girls' suits, jackets, dresses skirts etc. and Men's or boys' suits, jackets, trousers etc. are the most important export products in woven clothing sector. In 2011 exports of Women's or girls' suits, jackets, dresses skirts etc. and Men's or boys' suits, jackets, trousers etc. were US$ 2 billion and US$ 1.4 billion, respectively. Woven Clothing Exports of Turkey (US$ 1,000)
HS 6201 Products 2009 79.912 68.113 1.191.933 1.704.684 411.644 431.978 38.937 154.875 30.445 2010 84.751 85.703 1.284.584 1.853.798 458.266 447.905 46.110 152.811 34.984 2011 81.330 96.503 1.382.184 2.069.654 546.768 511.728 47.635 150.675 68.601 Change (%) 2010/2011 -4,0 12,6 7,6 11,6 19,3 14,2 3,3 -1,4 10,3

Men's/boys' overcoats, capes, windjackets etc. Women's/girls' overcoats, capes, 6202 wind-jackets etc. Men's or boys' suits, jackets, trousers 6203 etc & shorts Women's/girls' suits, jackets, dresses 6204 skirts etc & shorts 6205 Men's or boys' shirts Women's or girls' blouses, shirts and 6206 shirt-blouses Men's or boys' singlets, briefs, 6207 nightshirts, pyjamas, bathrobes etc Women's or girls' singlets, slips, 6208 briefs, pyjamas, bathrobes etc Babies' garments and clothing 6209 accessories Garments made up of felt or nonwovens, whether or not 6210 impregnated, coated, covered or laminated Track suits, ski suits and swimwear; 6211 other garments Brassieres, girdles, corsets, braces, 6212 suspenders etc & parts 6213 Handkerchiefs Shawls, scarves, mufflers, mantillas, 6214 veils and similar articles 6215 Ties, bow ties and cravats 6216 Gloves, mittens and mitts Clothing accessories and parts of 6217 garments or clothing accessories Total Source: Ministry of Economy

16.891

16.184

15.688

-3,1

56.124 64.766 332 29.683 4.817 1.158 8.538 4.294.831

56.587 66.740 257 31.361 3.659 886 11.536 4.636.123

65.612 67.523 253 34.225 3.318 854 11.906 5.124.460

15,9 1,2 -1,6 9,1 -9,3 -3,6 3,2 10,5

EU is the most important market for Turkeys clothing exports. In 2011 Turkey exported clothing of US$ 11 billion to the EU, which was equivalent to 81,6% of Turkeys total clothing exports. Main markets among the members of EU were Germany and the UK. Clothing exports to these countries were US$ 5.2 billion, which was nearly half of Turkeys clothing exports to the EU.

Republic of Turkey Ministry of Economy, 2012

Turkeys Clothing Exports by Countries (US$ 1,000)

Countries Germany UK Spain France Netherlands Italy Denmark Belgium Sweden Russian Fed. Iraq USA Poland Romania Saudi Arabia Israel Czech Rep Switzerland Austria Greece Ukraine Algeria United Arab Emirates Norway Others Total Source: Ministry of Economy 2009 2.769.045 1.686.019 900.757 869.982 571.468 593.766 391.672 286.758 238.310 108.012 161.414 173.353 75.746 96.277 52.004 91.719 103.875 94.811 131.478 148.075 84.375 161.669 45.071 65.585 1.319.136 11.220.379 2010 3.004.829 1.934.011 1.075.028 979.105 612.605 616.352 420.949 360.091 255.633 206.496 171.022 214.682 96.220 174.921 65.954 110.721 104.575 98.805 100.014 98.083 46.652 80.259 61.496 75.489 1.403.340 12.367.335 2011 3.215.964 1.947.819 1.295.889 1.047.690 740.799 721.098 445.082 383.137 260.795 232.117 227.483 220.754 147.345 136.112 129.558 127.229 121.990 107.677 103.316 98.479 96.477 92.476 82.986 76.570 1.451.251 13.510.096 Change (%) 2010/2011 7,0 0,7 20,5 7,0 20,9 17,0 5,7 6,4 2,0 12,4 33,0 2,8 53,1 -22,2 96,4 14,9 16,7 9,0 3,3 0,4 106,8 15,2 34,9 1,4 3,4 9,2

With its fashion-oriented and quality products, Turkey has been increasing her share in the main markets, especially in the European market which has high standards and sophisticated customer needs. In 2011, Turkish companies exported to more than 170 countries in the world.

Republic of Turkey Ministry of Economy, 2012

TRADE FAIRS IN TURKEY

Many Turkish clothing companies have expanded their marketing and distribution channels in global markets by opening stores and chain stores all over the world. To increase awareness of Turkish fashion in international markets, they participate in many fashion shows and international fairs on abroad. In addition, the Turkish clothing products are exhibited in international and national fairs organized in Turkey. Major fairs which will be organized in 2013 are: IF Wedding Fashion, Izmir, 13-16 February 2012 (Wedding Dresses, Suits and Evening Gowns and Accessories) ifwedding.izfas.com.tr IFEXPO 2013 10th Hosiery Underwear Fair, Istanbul, 31 January-2 February 2013 www.ifexpo.com WintExpo 2013, 25th International mothers, Babies Children and Clothing Accessories Fair, Istanbul 22-25 August 2013, (Babywear, Boys-Girls Clothing, Underwear, Coats, Pullovers, Cardigans, Maternity Wear, Stockings, Accessories etc.) www.wintexpo.com

Republic of Turkey Ministry of Economy, 2012

USEFUL LINKS
Istanbul Textile and Apparel Exporters Associations www.itkib.org.tr Aegean Exporters Associations www.egebirlik.org.tr Uluda Exporters Association www.uib.org.tr Denizli Exporters Association www.denib.gov.tr Mediterranean Exporter Associations www.akib.org.tr Southeast Anatolia Exporters Associations www.gaib.org.tr Turkish Clothing Manufacturers Association www.tgsd.org Aegean Clothing Manufacturers Association www.egsd.org.tr Turkish Textile Employers Association www.tekstilisveren.org The Fashion Designers Association of Turkey www.mtd.org.tr United Brands Association of Turkey www.birlesmismarkalar.org.tr The Association of the Registered Trademarks www.tescillimarkalar.org.tr The Association of Denim Industrialists and Businessmens of Turkey, www.denimder.org.tr Turkish Knitwear Industrialists Association www.trisad.org Osmanbey Textile Manufacturers Association www.otiad.org.tr Laleli Industrialists and Businessmen Association, www.lasiad.org.tr Merter Industrialists and Businessmen Association, www.mesiad.org.tr Turkish Bridal Manufacturers and Exporters Association, www.gelinlik.org.tr Socks Manufacturer Association, www.csd.org.tr Turkish Fashion and Apparel Federation www.mhgf.org.tr

Republic of Turkey Ministry of Economy, 2012

Laleli Industrialists and Businessmen Association, www.lasiad.org.tr Merter Industrialists and Businessmen Association, www.mesiad.org.tr Turkish Bridal Manufacturers and Exporters Association, www.gelinlik.org.tr Socks Manufacturer Association, www.csd.org.tr

Republic of Turkey Ministry of Economy, 2012