Turkiye's logistics and infrastructure investments boom country's exports
By Orhan Orhun Ünal
Logistics and infrastructure investments changed Turkiye’s destiny in exports. Projects such as Istanbul Airport, Marmaray, and Northern Marmara Highway were effective in reaching the record export figure of $254bn in 2022. The road map is ready for the export of $400bn, which was set as the target for 2026. Innovations in areas such as increasing digitalization in customs, rapid access to the end user, e-commerce, and export incentives will be further developed.
Exporting a record $254bn in 2022, Turkiye owes this success to its 20-year foreign determination. In an environment where the pandemic conditions adversely affected the national economies, households around the world went to save money, and there was a freight crisis in global trade, our exporters did not leave a country, so to speak. Reaching more than 230 countries and regions, exporters set an export target of $400bn for 2026.
Turkiye became an alternative production base in the pandemic
Turkiye took important steps towards becoming a logistics base in its region during the period when European countries were experiencing shipping problems due to issues with supply originating from China. Thanks to the steps that turned the crisis into an opportunity, Turkiye’s peaceful policies in the Russia-Ukraine war helped the development of regional trade. While the orders of the European Union and Middle East countries were directed to Turkiye, investment opportunities of Turkish companies in Russia, which was under the clamp of sanctions, increased thanks to rational policies.
Infrastructure investments turned crises into opportunities
Turkiye, which has developed land, sea, and air trade thanks to projects such as Marmaray, Yavuz Sultan Selim Bridge, and Northern Marmara Highway, has taken its place in the new equation after the pandemic. According to many experts, without these investments, Turkiye could not be expected to be an alternative to many countries, especially China. Thanks to transportation and port investments, the producers in different cities of Anatolia were able to send their goods abroad quickly and with the advantage of affordability.
Being the busiest in Europe in 2022, Istanbul Airport drew attention with its logistics investments. Having increased the export support of TRY4.4bn ($230m) in 2022 to TRY7.7bn ($400m) this year, Turkiye also steers the passenger transportation sector with its overseas offices and commercial attachés in different regions.
Turkiye's logistics and infrastructure investments in recent years have changed the fate of the country's exports. Many investments such as Istanbul Airport, Marmaray, and Northern Marmara Highway were effective in reaching the record export figure of $254bn in 2022.
With transportation projects, a producer in Anatolia sent its goods to different parts of the world quickly and with a cost advantage. Thanks to these investments, Turkey has turned into an alternative supply base in its region during the pandemic and the Ukraine War.
The road map that will lead Turkiye to export $400bn in 2026 is also ready. The AK Party is expected to further develop innovations in areas such as the increase in digitalization in customs, rapid access to the end user, e-commerce, and export incentives after the election.
Special attention to the retail industry
In addition to exports, Turkiye also drew attention to its developing domestic market. There are 3.1 million businesses in total in Turkiye and 723,000 of them operate in the retail sector. According to the data of the Ministry of Commerce, approximately 2.1 million people work in the sector. The turnover in the sector is TRY710bn ($36.60bn) and this turnover corresponds to 11.5 percent of the TRY6.2trl ($0.32trl) turnover generated in all sectors. The share of retail trade services in the GDP, which is approximately TRY3.1trl ($0.32trl), is at the level of 12 percent with TRY368bn ($19bn).
---
Follow us on Twitter @AzerNewsAz