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YOUR COMPLIMENTARY COPY

7

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PANORAMA Analytical Comprehension of Big Data BRIEFING International Media Forum Was Held In Antalya IN DEPTH Turkey, Heaven On Earth BRANDS Arçelik Wins Prestigious Ruban d’Honneur

JUNE 2017 ISSUE 47

ECONOMY BUSINESS FOREIGN TRADE ANALYSIS


The Turkish Perspective

Contents 36 COVER 05 FIRST 05 | Erdoğan urges for more investments 06 | Turkey, Germany to produce submarine for Indonesia 07 | Plastics industry growing above expectations 08 | Net profit in Q1 up by 371% 09 | Sales of automotive companies traded exceed TL 13B in Q1

09

TURKEYAS AN POLITIC AND ECONOMIC ATTRACTION CENTER

13 BRIEFING

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13 |Let’s Build The Future Together

Turkey’s export performance and its export goals for 2023 were discussed in Forum Istanbul.

57 | DİMES GROWS GLOBAL FOOTPRINT

Turkey’s top fruit juice producer and a leading soft drinks brand, DIMES continues to expand and grow its international markets.

16 |TURKEY’S EXPORTS SOAR IN APRIL

59 | Arçelİk Wins Prestigious Ruban d’Honneur

According to TİM April exports were 11 billion 866 million dollars with an increase of 4 percent compared to the same period of last year.

24

57 BRANDS

Arçelik A.Ş. has been the recipient of the prestigious Ruban d’Honneur Medal.

18 | THE MOST IMPORTANT MEETING OF ENERGY SECTOr

The 23rd International Energy and Environment Fair and Conference opened its doors to all stakeholders in the industry.

28 | INTERNATIONAL MEDIA FORUM WAS HELD IN ANTALYA The International Media Forum 2017 Meeting held at a hotel in Antalya’s Belek Tourism Center on May 21-25 by Ministry of Culture and Tourism, the Ministry of Economy and TİM.

30 | Fenerbahçe Crowned Turkish Airlines EuroLeague Champions

Fenerbahçe, Champion of the 2016-2017 Turkish Airlines Euroleague Season, won the coveted Cup against Olympiacos Pireus.

30 | President Erdoğan calls for more investments in Turkey

President Erdoğan came together with CEOs and fund managers of top US companies.

62 AGENDA FAIRS, EXHIBITIONS, SUMMITS, MEETINGS IN THE NEXT MOUNTH

63 FIGURES THE BASIC INDICATORS OF TURKEY IN THE MAY 2017

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2 Online

Online

MANAGEMENT

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Publisher on Behalf of Turkish Exporters Assembly/ CHAIRMAN of The Turkish Exporters Assembly

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The Turkish Perspective Digital

The Turkish Perspective website is to be launched soon. A new medium to learn, analyze and monitor everything about Turkish economy and business, is born. The Turkish Perspective Digital will share the latest news, interviews with decision makers, provide in-depth analyzes and will be the foreigner’s guide in Turkey regarding regulations and legislations.

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Business Culture t Investmen ce S and cien Innovation ay D e th Video of News keting d B r a n Ma r

european COORDINATOR İnanç atılgan GULF COORDINATOR FEYZA GÜMÜŞLÜOĞLU contrıbutıng reporters KEMAL TUNÇSEL RAMAZAN GÜZYURDU ALPEREN ÇEVİKASLAN design CREATIVE DIRECTOR AHMET SAİD ÇELİK

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kEYUSTTORYCATC 4.0 TURIND

ECONOMY BUSINESS FOREIGN TRADE ANALYSIS

7

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PaNORaMa Tailor Made Incentives for Project Based Investments BRIEFING Turkish Bureaucracy Concentrates on Energy IN DEPTH Trumponomics, Turkey and Infrastructure Investments

FEBRuaRy 2017 ISSuE 43

ECONOMy BuSINESS FOREIGN TRaDE aNaLySIS

TuRKEy’S TOP

GAME OF TRANSFORMATION

SERVICE EXPORTERS

wORLD IS GOING ThROUGh A pOLITIC TRANSFORMATION pROCESS wITh ThE ELECTIONS hELD IN 2016 AND wILL BE hELD IN 2017 RISING STARS OF ThESE ELECTIONS pROMISE NEw ECONOMIC ORDER IN ThE wORLD. whERE DO TURkEY STAY IN ThIS pORTRAIT? wILL TURkEY MOvE TOwARDS TD ShANGAI pACT? hOw wILL ThE FUTURE ShApE?

Explore the achievements of Turkey’s service sector explained by the skilledworkforce, cost effective service compared to international standards.

GET READY!

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YOUR COMPLIMENTARY COPY

ExCLUSIvE INTERvIEw

The Minister of Economy expresses his views on economic developments in Turkey.

APRIL 2017 ISSUE 45

ECONOMY BUSINESS FOREIGN TRADE ANALYSIS

Discover your own story with Turkish economy’s comprehensive transformation process.

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TH YEAR

PANORAMA Q&A on Turkey’s Attraction Centers Program

YOUR COMPLIMENTARY COPY

BRIEFING Startup Business House Project By TİM and TEB

ECONOMY BUSINESS FOREIGN TRADE ANALYSIS

7

TH YEAR

PANORAMA Analytical Comprehension of Big Data BRIEFING International Media Forum Was Held In Antalya IN DEPTH Turkey, Heaven On Earth

IN DEPTH Invest to learn, Learn to invest

MAY 2017 ISSUE 46

BRANDS Arçelik Wins Prestigious Ruban d’Honneur

JUNE 2017 ISSUE 47

ECONOMY BUSINESS FOREIGN TRADE ANALYSIS

More than a magazine, the Turkish Perspective will now be more interactive and responsive, as expected from Turkey’s main voice for international audience.

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contact T. + 90 212 216 19 48 info@medyatr.com.tr www.medyatr.com.tr Neither text nor photographs from this publication may be reproduced in full or part without acknowledging the source and securing prior permission from the publisher.

june 2017 ISSUE 47


The Turkish Perspective

Editorial MEHMET BÜYÜKEKŞİ PRESIDENT (TIM)

Turkish Brands Gain Momentum with “Brand Turkey”

World Trade Organization released foreign trade data of 65 countries whose share constitute around 90 per cent of all trade done in March.

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ccordingly, global exports

increased by 13.1 per cent when compared to the figures from the same month of the previous year, while total imports for the same period increased by 12.7 per cent. Turkey’s exports, with a total of 14.5 billion dollars, rose by 13.6 per cent in March. Turkey’s export is having an upward curve, thanks to an increase in global trade and the incentives introduced by the Turkish Government. We are very pleased with these developments, but we, as Turkish Exporters Assembly, will continue to come up with new ideas and activities to set the bar to a higher level in our pursuit of rendering a more competitive vision for our exporters. One of our aims is to increase the share of Turkey’s export of high-valueadded products. In accordance with this objective, we regularly highlight the importance of producing high-valueadded goods. Thus, we will continue our efforts to keep Turkish exporters’ attention on R&D, innovation, design and branding until we succeed in having a structural transformation. Our leading activity regarding branding is our projects on Turkey’s national brand. As well known, we introduced “Brand Turkey” campaign under the auspices of Turkey’s President, Recep Tayyip Erdoğan, in September, 2014. Since then, we have ambitiously been continuing our activities about Turkey Brand under the leadership of Ministry of Economy,

and presenting our products to all over the world with “Turkey Discover the Potential” slogan. Apart from these, we also continue the Turquality project in order to further improve Turkish brands’ image throughout the world. Furthermore, we launched a brand new campaign to promote Turkish business environment and also to clear the negativity caused by July 15th coup attempt. With the idea of “Let’s not talk about ourselves, but let the people who are doing business with us talk about Turkey” in mind, we launched our campaign in Germany, USA, France, UK, Italy, Russian Federation and UAE. In another attempt to strengthen Turkey’s image, we concluded the

conference series of “Brand Turkey 2017” under the patronage of the Ministry of Economy during May 25-26th in İstanbul. With these conferences, our aim was to create an environment to discuss everything about Turkish brands and the roadmap to create worldwide ones. Our purpose was to emphasize the importance of branding to Turkish society, especially to exporters. As the representative of 67 thousand exporters, Turkish Exporters’ Assembly will continue to assist all companies in creating worldwide brands. With the momentum gained from “Brand Turkey”, Turkish brands’ rise will accelerate, bringing us one step closer to 2023 goals.

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The Turkish Perspective Content: Erdoğan Urges For More Investment P05 Pioneerıng The Global Development P06 Plastics Industry Growing Above Expectations P07 Net Profit in Q1 up by 371% P08 Joint Venture with US Company in Metal Recycling P09 Editor: Serpil Kasap

First

ınvestment, energy, defence, avıatıon, trade, technology...

ınvestment

Erdoğan urges for more investments

“We showed Turkey’s support for international investors at the highest level thanks to this meeting.”

Turkey’s President Recep Tayyip Erdoğan encouraged approximately 40 international investors during his visit to the U.S.

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urkey’s President Recep Tayyip Erdoğan encouraged approximately 40 international investors he met during his visit to the U.S. on May 15 and 16 to intensify investments in Turkey, a written statement from the meeting’s coordinator, the

Investment Support and Promotion Agency of Turkey (ISPAT), said on May 17. Among the potential investors who Erdoğan met were top representatives of the Abraaj Group, Cargill, CDPQ, Coca Cola, Dow Chemical, the European Bank for Reconstruction

and Development (EBRD), International Finance Corporation (IFC), GE Aviation, Glaxo Smith Kline, Lockheed Martin, PepsiCo, Raytheon International, Uber, American Turkish Council and American Chamber of Commerce. ISPAT President Arda Ermut said the

president’s clarification of the Turkish government’s strategies for international investors was very significant. “We showed Turkey’s support for international investors at the highest level thanks to this meeting, and we saw great interest in Turkey and

President Erdoğan. The support he showed to international investors had a big impact,” Ermut was quoted as saying in the statement. The investors’ meeting where Turkey’s economic reforms, Turkish-U.S. trade, the possibility of technology investments and international funds.

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First

defense

Turkey, Germany to produce submarine for Indonesia

energy

pioneerıng the global development Turkey set to become leader in geothermal energy. According to the statement made by ThinkGeoEnergy, although the global geothermal power installed capacity is continuously growing, Turkey is a pioneer in the development of this sector. Turkey, with the addition of over 800 megawatts (MW) in various stages of development, is on track to be a world leader. Alexander Richter, the principal of ThinkGeoEnergy, an Iceland-based geothermal-focused advisory firm, said that Turkey ranked seventh with an installed capacity of 858 MW. Over the last decade, the growth in Turkey’s natural gas and energy demand was second only to China. The country is geographically located in close proximity to more than 70 percent of the world’s proven oil and gas reserves. JUNE 2017 ISSUE 47

energy

Turkish and German naval specialists signed May 10 a letter of intent to cooperate on a contract.

T

urkish and German naval specialists signed May 10 a letter of intent to cooperate on a contract to build variant of the Type-214 diesel-electric submarines for the Indonesian Navy, according to a report by defensenews.com The deal was signed at the IDEF’17 defense and aerospace exhibition in Istanbul between STM Defense Technologies and Engineering Inc, a government-controlled defense engineering company operating under Undersecretariat of Defense Industries and Germany’s ThyssenKrupp Marine Systems.

The Type 214 is a derivation of the Type-209 SSK built by Germany’s HowaldtswerkeDeutsche Werft, or HDW. The Type-214 features design innovations from the HDW Type-212. It displaces 1,700 tons and has eight torpedo tubes which can deploy heavyweight torpedoes and anti-ship missiles, such as the Harpoon and Exocet. Under a contract worth 2.5 billion euros (US $2.7 billion), six Type-214 submarines are being built for the Turkish Navy. Some of the subsystems will be locally built.

avıatıon

Turkish Airlines starts distributing laptops

Business class passengers departing from Istanbul’s Atatürk Airport to the United States will now be able to demand laptops during their flights.

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urkish Airlines has begun distributing laptops to its business class passengers flying to the US following a ban preventing passengers from keeping large electronic devices in the cabin in flights from a number of Middle Eastern countries and Turkey to the United States and the United Kingdom.

The company stated that business class passengers departing from Istanbul’s Atatürk Airport to the United States will now be able to demand laptops during their flights after submitting their electronic devices larger than mobile phones to airline staff, starting early on May 6.

Turkey provides TL 1.7 billion for renewable energy The amount of support paid for electricity generated as part of YEKDEM increased by TL 587.5 mln. in April. The Turkish government has raised the amount of support paid for electricity produced under its Renewable Energy Resources Support Mechanism (YEKDEM) in April by TL 587.5 million ($163.34 million), compared to the same month last year, reaching TL 1.7 billion in total. Under YEKDEM approximately 4.2 billion kilowatthours of electricity was generated from hydroelectric power plants, while 950.8 million kilowatthours of electricity was produced at wind farms; another 521 million kilowatthour electricity was produced from biogas, biomass, geothermal, and landfill gas.


The Turkish Perspective

ınvestment

foundation for recordbreaking Kuwait airport The new terminal is the largest contract to date for a Turkish company in the Gulf state. The Turkish Limak Holding and its Kuwaiti partner, Al-Kharafi International, laid the foundation stone for a $4.3 billion airport terminal project - the largest tender won abroad in a single package by Turkish contractors – with a ceremony in the Gulf country on May 9. The expansion of the Kuwait International Airport will triple its capacity to 25 million passengers a year.The new terminal was initially scheduled to be completed within six years, but Limak chairman Nihat Özdemir said it may be done within four years. The development plan is expected to be completed in 2020. Turkish firms have been involved in projects worth a total of $6.5 billion (5.9 billion euros) in Kuwait. Turkish companies have been awarded around $51 billion (46.79 billion euros) of contracts across the Gulf Cooperation Council (GCC) over the past 14 years, Turkish President Recep Tayyip Erdoğan said at the ceremony.

export

ınvestment

Plastics Industry Growing Above Expectations According to January-March 2017 figures plastics production in Turkey increased 14% vs same period of the previous year.

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ccording to a report by

PAGEV, plastics production in the January-March period increased by 14 percent reaching 2.3 million tons with an 11 percent value increase, reaching $8.8 billion. 2.1 million tons of this production were consumed by exporting industries including automotive, packaging, construction and electronics, and other consumers. Amount of exports in plastics industry in the first quarter became 389 thousand tons reaching $1.011 billion in value.

According to January-March 2017 figures announced by the Turkish Plastics Foundation (PAGEV), plastics production in Turkey increased 14% reaching 2.3 million tons with an 11% value increase, reaching $8.8 billion vs same period of the previous year. Out of 2.3 million tons of plastics production during the first quarter of 2017, plastic packaging took the lead with 936 thousand tons, followed by plastic construction materials with 515 tons.

plastics industry used its full capacity

Plastics industry representatives invested $204 million on machinery and equipment during the January-March period.

389

11%

tons Amount of exports in plastics industry in the first quarter

value ıncrease ın the ındustry

thousand

BILLION

8.8

$

BILLION

plastics production in the January-March period

TurkishBritish joint venture

BNA signed a deal with German company to develop and produce electronic aircraft engine control system.

BNA, a recently established joint venture between Turkey’s Nurol Holding and the United Kingdom’s BAE Systems, signed a deal with Germany-based AES Aerospace Embedded Solutions on May 10 to develop and produce electronic aircraft engine control systems for the company. AES, headquartered in Munich, is a joint venture between Germany’s MTU Aero Engines and France’s Safran Electronics & Defense with 50 percent of shares each for the development of safety-critical hardware and software for military and commercial aviation applications. The deal was signed on the sidelines of the 13th International Defense Industry Fair (IDEF’17), which is taking place from May 9-11 in Istanbul. BAE Systems also enjoyed a successful industrial partnership in the sector in Turkey through Nurol and FNSS Savunma Sistemleri (FNSS).

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TRade

TP deal sealed as largest privatization transaction of 2016

technology

Net profit in Q1 up by 371% Turkey is striving to increase its share of interest-free participation banking in the finance sector.

The number of filling stations belonging to the Turkuaz Petrol oil company has soared to 700 after it purchased the stateowned Turkish Petroleum Corporation (TP). The sale has been tagged as the largest privatization transaction of 2016. Placing the highest bid of TL 490 million ($137.73 million) during the TP privatization tender, Turkuaz Petrol, a subsidiary of Zülfikarlar Holding, purchased 100 percent of TP - now named the largest privatization transaction of 2016.

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he net profit of Islamic banks, known locally as participation banks, surged by 371.4 percent, reaching TL 330 million, while their asset size stood at TL 136.3 billion, a 12.3 percent rise in the first quarter when compared to the same period last year. Turkey is striving to increase its share of interest-free participation banking in the finance sector and expand collaboration to that end, resulting in participation banks creating a net profit of TL 330 million.

The unconsolidated asset size of participation banks operating in Turkey, Albaraka Türk, Kuveyt Türk, Türkiye Finans Katılım Bankası, Vakıf Katılım and Ziraat Katılım, was TL 136.308 billion as of the end of March, a 12.3 percent increase compared to the same period last year. The net profit of participation banks in the first quarter skyrocketed by 371.4 percent, reaching TL 329.613 million. The net profit for the sector was TL 70 million in the first quarter of 2016, TL 222 million in the first quarter of 2015.

Turkcell, Huawei join forces on 5G technology Turkcell and Huawei are to deepen efforts to develop 5G technology. Turkey’s largest cellphone operator Turkcell and Chinese smartphone manufacturer Huawei are to deepen efforts to develop 5G technology, as well as concentrating on domestic production and mutual R&D work. Both companies, which have been working together for two years on 4.5G and 5G technologies, signed a deal during President Recep Tayyip Erdoğan’s recent official visit to China for the Belt and Road Forum. Huawei’s Senior Vice Chair Tian Feng said that the firm regarded Turkey as an important center, connecting Asia and Europe and happy to collaborate with Turkey.

rısıng of partıcıpatıon banks

The net profit of Islamic banks, known locally as participation banks skyrocketed by 371% in the first quarter when compared to the same period last year..

JUNE 2017 ISSUE 47

330

12,3%

mıllıon TL the net profıt of partıcıpatıon banks in Q1

ıncrease ın unconsolidated asset sıze vs the same perıod of last year

70

mıllıon TL the net profıt of partıcıpatıon banks in 2016

371,4% the share of the net profıt of partıcıpatıon banks in Q1


The Turkish Perspective

trade

Road’s trillions worth potential for Turkish industrialistsM The president emphatically explained the trillion-dollar potential of the modern Silk Road for Turkish businesspeople. The echoes of President Erdoğan’s visit to China still reverberates in Turkish economic circles, as the president emphatically explained the trillion-dollar potential of the modern Silk Road for Turkish businesspeople. Particular reference was made to his visit to Chinese capital Beijing, where he attended the Road and Belt Forum with the leaders of 28 countries and discussed the investment opportunities the modern Silk Road presents as he highlighted that the Belt and Road project’s potential is worth trillions of dollars.

export

Sales of Automotive Companies Traded Exceed TL 13B in Q1 Car production in the first four months of the year exceeded 400,000, up by 42 percent compared to the same period last year.

trade

joint venture with US company in metal recycling Tosyalı Holding has announced that it has established a joint venture with Harsco Corp.

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he net sales of seven automotive companies traded at Turkey’s only stock market, the Borsa Istanbul, increased by 24 percent in the first quarter of this year compared to the same period of the previous year, reaching around TL 13.35 billion. The net profits of Anadolu Isuzu, Doğuş Otomotiv, Ford Otosan, Karsan Otomotiv, Otokar, Tofaş Otomobil Fabrikası A.Ş. and Türk Traktör in the first quarter of 2017 were around TL 624.47 million. In other words, profits pointed to an increase of 13.3 percent compared to the same period last year. Further, Ford Otosan carried out the highest net sales in the first quarter of the automotive companies in Istanbul with TL 5.39 billion, followed by Tofaş Otomobil Fabrikaları AŞ with TL 4.98 billion and Doğuş Otomotiv with TL 2.85 billion. In this

period, Otokar was the company with the highest increase in sales compared to the same period of 2016 with 58 percent. Moreover, the company was followed by Tofaş Otomobil Fabrikaları AŞ with 51 percent and Ford Otosan with 29 percent. While Otokar was the company that increased its profit the most with 355 percent, it was followed by Karsan Otomotiv with 36 percent and Ford Otosan with 34 percent. Also, the company that made the most profit in the first quarter was Ford Otosan with TL 272 million, followed by Tofaş Otomobil Fabrikaları AŞ with TL 262 million and Türk Traktör with TL 55 million. Despite the contraction in the first quarter, car production in the first four months of the year exceeded 400,000, up by 42 percent compared to the same period last year and broke a 10-year record.

“Turkey’s Tosyalı Holding has announced that it has established a joint venture with American industrial giant Harsco Corp in metal recycling and slag sales at its steel facilities in the southern province of Osmaniye. According to a written statement by the company on May 10, Tosyalı and Harsco, quoted in the NYSE, are preparing to contribute to the Turkish industry and economy by recycling the inactive slag which is stored in their iron and steel plants into value added products. The company, which offers effective solutions to turn production waste streams into useful commercial use, currently operates in more than 30 countries.

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The Turkish Perspective

Panorama By İNANÇ ATILGAN

Analytical Comprehension of

Big Data

Christian Rudder, one of the founders of the well-known matchmaking site OkCubid, introduces the big data in the digital revolution of today, as the DATACLYSM concept.

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his word is an idiolekt created by Christian Rudder. The

word inspired Rudder is actually an Ancient Greek word “KATAKLYSMÓS”. The meaning is “flood” and it means destruction, catastrophe that is destroying everything. According to Rudder, the amount of data in the digital environment is a vast ocean, just like the Noah Flood. The Noah’s Flood is a metaphor for both its catastrophic dimensions and its concern for the future of the digital world. (Christian Rudder: Inside Big Data. München 2016, P. 29. (Orijinali: Dataclysm. Who We are When We Think No One’s Looking. New York 2014) Charles Joseph Minard was a pioneer French engineer

who used datas as graphics in the 19th century. His real contribution to the history of mankind was to begin practicing the analytical concept most closely today. The most important contribution of the French engineer to the statistical science is to show the elements that caused the failure of the Russian campaign of Napoleon in 1812 through a graph. This method has revolutionized the visual presentation of quantitative information. What did Minard do? In fact, he did not reveal “unknown”. That “unknown” already existed, but it was not easy to see or understand. In short, Minard’s success; was to visualize the fact that many words couldn’t express at first sight. It was two centuries ago.

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Panorama

Minard’s data was not digital. The gathering of data in the history of mankind has gained two new dimensions with the digital revolution, that is, the creation of the world of information by technology. s adaptation of the revolutionary presentation style of two centuries ago to the digital world.

A new science field: Data Science

comprehension of this pile is a great and indispensable requirement for the media, the financial world, private and public institutions. Turkey is a country that has made significant progress in the field of Big Data analysis. Thanks to advanced information technology, it is being considered not only in higher education institutions such as Kemerburgaz or Sabancı Universities, but also in the private sector, especially in finance sector. A unique inovation like Diplomacy. Live can be a good example here in relation to Turkey: Diplomacy.Live provides services to governments, companies and NGOs in fields such as algorithmic regulations, competition and social media analysis on big data links in the digital world. All the banks of the country follow their daily expenditures through credit card analysis and produce marketing strategies accordingly. Because Turkey has a young and vibrant population, she is also ahead Europe in communication through the analytical concept of the digital world. The latest technological services in the banking system are available in Turkey. The analytical method of comprehension, which we can also call “speaking digital data”, is a goal to be emphasized and the developments in this area are of great importance both in the world and in Turkey. Data / data collection methods are constantly evolving. 90% of the data collection methods we use today are developed in the last three to four years. Thanks to Big Data, the decision-making process, decision-making content and optimizing this process have a different feature.

The most important contribution of the French engineer to the statistical science is to show the elements that caused the failure of the Russian campaign of Napoleon in 1812 through a graph.

The new platform for the scientific process that takes us to this reconnaissance adventure is undoubtedly “Data Science” This new scientific discipline with mathematical and informatics technology involves finding and using the methods necessary to collect, compile, analyze and reach the results of a large and broad digital world. Although the data science examines the current programs and software since the beginning of the 21st century, its main goal is to focus on how the resulting data can be used more effectively and how an analytical mechanism can be built at the decision-making stage. Undoubtedly, the studies to be done in order to evaluate the digital data collected and made available to human beings on health, environment, politics, economics and many other areas will be one of the main topics of this science branch. The digital world, with its revolutionary progress, brought together incredibly large amounts of data generated in seconds and minutes. At every stage of daily life, in online processes, in short, complex, processed and unprocessed digital information about all our movements in the internet world is collected. The compilation and analytical

A data map from 205 years ago: Charles Minard’s graphical map of Napoleon’s 1812 Russia Expedition This presentation is a two-dimensional presentation of 6 different data sets. Number of Napoleon units, locations related to distance, heat, latitude and longitude, direction of campaign and special dates.

JUNE 2017 ISSUE 47


The Turkish Perspective Content: Turkey’s Exports Soar In April P16 The Most Important Meeting of Energy Sector P18 TİM-TEB Startup Business House is Teaching How To Be A Business P20 The Most Conspicuous Organization In Defense Industry P22 Fenerbahçe Crowned Turkish Airlines EuroLeague P30 President Erdoğan Calls for More Investments in Turkey P32 Editor: Mustafa Yiğit

Briefing

eXPORT, TECHNOLOGY, ENERGY, STARTUP, DEFENsE, MARKETING, ınvestment...

Turkey has important goals to realize before the centennial of the Turkish Republic.

ECONOMY

Forum Istanbul 2017:

Let’s Build The Future Together

Turkey’s export performance and its export goals for 2023 were discussed in the Forum. By ramazan güzyurdu

S

etting out with the motto “Building Tomorrow 2023 Vision,” and aiming to contribute to Turkey’s dream of becoming a strong country not only in its region but also in the world, Forum Istanbul 2017 took place at Swissotel The Bosphorus on 4-5 May. Various topics, such as the future of the global economy, the post-Brexit period, antiglobalization and protectionist trade policies, the reforms

required for more extensive growth and economic stability in Turkey, were discussed in the Forum. Speaking at the meeting held for the promotion of this year’s event, the chairman of the Turkish Exporters’ Assembly (TİM), Mehmet Büyükekşi, said that Forum Istanbul talks have been organized since 2003 in association with TİM.

Büyükekşi stressed that Turkey has important goals to realize before the centennial of the Turkish Republic and he said that the aim is to secure 1.5 percent of global trade.

“Breakthrough Year in Exports” In the first session of Forum Istanbul 2017, which was held in the afternoon, some topics were discussed such as; ‘What will be the increase in competitiveness with the revision

of the Customs Union?’, ‘How can the doors be opened while a new wave of protectionism is spreading in the world?’, ‘Tourism and transportation sectors’, ’Financing sources for investment projects’ in the session titled “Breakthrough in Exports” and the economic situation and future of Turkey in 2017 were analyzed. Speaking on the panel, Economy Minister Nihat Zeybekci expressed that

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Briefing

Turkey is a country that can’t fulfill the production, distribution and sales channels.

Turkey’s future has been reshaped and that Turkey will no longer be a passive country. Zeybekci also emphasized that we should be a country capable of determining the rules. Noting that Turkey is a country that can’t fulfill the production, distribution and sales channels, Zeybekci said that they continue to increase exports to the EU.

“We want to become the number one Eximbank in the world” Zeybekci remarked that we are a successful country in terms of its ability to make very rapid production and its ability to make distribution in a very short period of time: “Predictability in trade has declined. Nobody orders 1 million units 6 months in advance. He orders it 2 weeks beforehand and supplies it directly to the store. Due to its geographical JUNE 2017 ISSUE 47

advantages and rapid production in Turkey, it is advantageous position in this regard. Consumption and distribution networks around the world in e-commerce. In China, e-commerce accounts for 15 percent of the total trading share. It grows every year. We are at 2 percent. But we close this gap. Technology 4.0 will not be talked about until the old. Because it will be outdated. Both Eximbank resources and investment incentives create an investment incentive system.

Economy Minister Nihat Zeybekci expressed that Turkey’s future has been reshaped and that Turkey will no longer be a passive country.

There is an application above TL 20 billion. We agreed with someone. There are two more applications. The total investment to be made with these 3 applications will be 11 billion TL. With Eximbank we provide the necessary support to our exporters. After 2017, we want to pass South Korea and become the number one Eximbank in the world.”

“We will continue to grow” Zeybekci pointed out that they made everything from their hands in order to increase the share of the technology in exports from 4 percent to 15 percent and emphasized that they would pass to an influential country if they come to this level. “We grow bigger. Our relations with the EU are going well. We will catch economic stability. We will continue to grow,” he said.

“We are moving towards our goal with confident steps” Speaking after the speech of Economy Minister Nihat Zeybekci, Turkish Exporters Assembly President Mehmet Büyükekşi said: “We have put forth economic scenarios as TİM. The scenario was what world trade would be in 2023. Foreign trade was realized as 16.5 trillion dollars in 2015 and 15,950 trillion dollars in 2016. It is expected to be 17.3 or 17.7 trillion dollars in 2017. When we examine the numbers, there is progress in the share we have received in world foreign trade. We are moving towards our goal with confident steps. We are striving for exports to be the breakthrough year of 2017. After the study we conducted with our government, we provided our exporters with a green passport,” he added. Büyükekşi stated that despite the economic


The Turkish Perspective

fluctuations in the global arena, they will reach the targets set in the middle valley: “We want to go 155 billion dollars by passing our 153 billion dollar target. 8.8% increase in the first four months is promising, “he said. Büyükekşi noted that trade and politics must be separated from one another. “We have been suffering from political ties with Israel for 6-7 years, but there is a 50% increase in our trade. A community of developed countries in the EU is also involved in politics in the trade. We think negotiations should be started as soon as the customs union agreement is updated,” he said. Büyükekşi underlined the fact that CEOs of 17 international companies

Büyükekşi stated that despite the economic fluctuations in the global arena, they will reach the targets.

in 7 countries have taken the initiative and launched advertising campaigns in order to bring the perception of Turkey to the desired level: “Our target is to reach 550 million people through important newspapers in these countries. Likewise, we want to reach 1.1 billion people via TV,” ended his speech.

“We are already focused on marketing to major countries” Temsa General Manager Dinçer Çelik who came to Our target is to reach 550 million people through important newspapers in these countries.

the conference to make his speech: “Temsa has been exporting to 66 countries for the last 15 years. The last time, the turnover had reached 900 million TL. We exported about 128 million dollars. For the last three years we have been a leader in the Turkish bus market. We developed Turkey’s first hundred percent local and fast-rechargeable buses with ASELSAN. We think that 30% of the 2023 bus market will consist of electric buses. We are already

focused on marketing to major countries,” he said. In order for Turkey to be successful in bus exporting, Çelik said that the companies have been working seriously on both technological and fuel consumption since 1995: “We have to do these studies about electricity. Battery costs are about three times the cost of the vehicle. If we can reduce the costs, we can make electric vehicles even more widespread and we can take part in this area.”

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Briefing

EXPORT

TURKEY’S EXPORTS SOAR IN APRIL

According to Turkish Exporters Assembly (TİM), April exports were 11 billion 866 million dollars with an increase of 4 percent compared to the same period of last year. By kemal tunçsel

T

urkish exports

advanced four percent year-on-year to reach almost $11.9 billion in April on the back of performances by the steel, automotive, mining and jewelry sectors, the country’s main exporters’ association said on May 1. The Turkish Exporters’ Assembly (TİM) said total exports in the first four months of the year also surged by 6.7 percent from the same period last year. TİM revealed Turkey’s value of total exports in the last 12 months rose by four percent to stand at almost $145.7 billion compared to the previous 12 months. In April, the highest increase among all sectors was seen in steel exports with a $326 million rise, according to TİM. Other prominent export sectors that climbed in the month was the automotive sector with a $253 million hike, followed by the mining and jewelry sectors’ increases of $112 million and $100 million respectively, according to TİM figures. However, agricultural sector exports decreased 1.3 percent in the month. The drop in the ready-made textile sector’s exports - 1.1 percent - had a limiting effect on the country’s increase. In the first four months of the year, the automotive sector made the highest exports - a

JUNE 2017 ISSUE 47

Steel

Automotive

Mining

Jewelry

$326 $253 $112 $100 million

increase

million

million

increase

increase

million

increase

Exports to North America

Exports to EU

rise, compared to April 2016

increased, compared to April 2016

$2.1

%28.7

billion

Data: TİM

Büyükekşi said his organization was expecting an economic recovery with what he described as the disappearance of uncertainty and the realization of postponed investment and consumption decisions.

nearly $1.7 billion increase compared to the same period last year. Exports to the European Union, Turkey’s main trading partner, rose by 3.2 percent in the month; they had increased by $2.1 billion in the first four months of the year compared to same period last year. Turkey’s exports to its second-biggest trading partner, North America, jumped by 28.7 percent in the month compared to April 2016.

The most remarkable increases were seen in Turkey’s exports to Malta by 351 percent, the United Arab Emirates by 99 percent and Canada by 50 percent, TİM said. In April, Turkey’s exports to Russia also rose by 5.4 percent year-on-year; these constituted 30 percent of the increase seen between January and April of this year. “Although Turkey focused on its referendum agenda, it achieved an increase in its exports in April. We will focus on the economy now,” TİM President Mehmet Büyükekşi said. Büyükekşi said his organization was expecting an economic recovery with what he described as the disappearance of uncertainty and the realization of postponed investment and consumption decisions. “We believe that (Turkey’s) exports will have a stronger increasing trend in the upcoming periods,” he added. In April, exports of 47 cities increased, while exports of 33 cities declined. The most remarkable development among the cities experiencing the increase was in the province of Sakarya. The exports in Sakarya, which is one of the important automotive exporters, increased by 179.3 percent in April. TİM President Mehmet Büyükekşi also stated: “Another development that made us happy is the increase in exports of our cities which are remembered with terrorism events. In April, Şırnak, Hakkari and Van exports increased by 19.8 percent, 65.4 percent and 109.5 percent respectively. It is extremely important for us that economic activity is accelerating with the establishment of peace in the region and this has the effect of increasing our exports”.


The Turkish Perspective

‘IBB developed numerous software systems’

technology

World Cities Expo İstanbul:

FROM Urban Centers Into Smart Cities By Ramazan GÜZYURDU

A

s a part of the Big

Smart Istanbul project, the Istanbul Metropolitan Municipality (IBB) has introduced the World Cities Expo Istanbul’17 to bring together nearly 3,000 businesspeople and more than 300 international and national members of the press as well as over 10,000 professionals. More than 100 global and local companies will attend the event with nearly 10 national pavilions to underline the “Smart Cities” concept. The Big Smart Istanbul project has been introduced by the city’s municipality to offer innovative solutions for Istanbulites in the fields of transportation, energy and environment. The project was brought to an international level with the World Cities Expo. As Istanbul and other of the world’s most popular

metropolises are being transformed into smart cities with developing technology, the pioneers of this change met at World Cities Expo Istanbul 2017. On the first day of the fair, which opened with speeches from Istanbul Governor Vasip Şahin and Istanbul Metropolitan Mayor Kadir Topbaş, the future of

As a part of the Big Smart Istanbul project, the Istanbul Metropolitan Municipality (IBB) has introduced the World Cities Expo Istanbul’17.

smart cities was discussed in sessions titled, “Technology and Innovation,” “Digital Entrepreneurship” and “Education and Cultural Life.” During his opening speech, IBB Chairman Kadir Topbaş pointed out that high standards of living in major cities are only realizable through business co-operation, going on to say that that the sharing of information and technology has become a crucial aspect of development and that public administrators have been given great tasks in this regard. Indicating that cities need to allocate $1.5 trillion for this by 2020, Topbaş said that they expect to save approximately $22 trillion by 2050 with simple applications such as smart public transport systems, smart energy-saving buildings and environment and waste management.

Underscoring that they have been working to further improve the standard of living for all people, the mayor said: “As IBB, we have developed and put into service numerous software systems. We gained serious momentum in the context of the smart city concept. We have put into full service applications such as IBB Mobile Cep Trafik and IBB Navi. As the metropolitan municipality, we have gathered our own software and all mobile applications on a single platform and Istanbulites can easily access them,” said Topbaş. The mayor noted that high-level technology is not adequate to meet the needs of smart cities, saying, “Technological transformation also requires a transformation at the societal level, for which the society must be prepared.” Stating that cities get used to benefitting for the suitable technologies, he remarked that as the demand for technology increases, urban areas are being transformed into smart cities. The World Cities Expo’s participant profile included international and local public institutions and organizations, leading urban technology companies, national pavilions, sectoral nongovernmental organizations, smart home platform providers, educational institutions, healthcare providers, insurance companies, sectoral publications and media outlets, municipalities, mayors and managers, technoparks, city managers, telecom operators, city technology ministers, urban planning ministers and technology providers.

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Briefing

energy

ICCI 2017

THE MOST IMPORTANT MEETING OF ENERGY SECTOR The 23rd International Energy and Environment Fair and Conference opened its doors to all stakeholders in the industry. By kemal tunçsel

I

CCI 2017 - 23rd International Energy and Environment Fair and Conference, held in Istanbul Expo Center on 3-5 May 2017, brought together ministry, institution and NGO officials with investors, suppliers, equipment and service providers in the energy sector and met them with national and international travel and purchasing delegations. As a result of the

JUNE 2017 ISSUE 47

partnership between PennWell International and Hannover Fairs Turkey Fair, organized by the motto of “ICCI Powered by POWERGEN” this year, nearly 200 companies directing the sector are exhibiting innovations related to the energy sector. Participating companies; In addition to Turkey, Middle East and Balkan countries, especially from various countries, came together with

professional coupons to get new business connections and agreements. The fair was also hosted by major buyers from Greece, Jordan and Kosovo. At the ICCI 2017 event, ABB, Nordex and Garanti Koza Energy are special sponsors; Siterm is the gold sponsor; and TEKSAN Generator is the technology sponsor. It brings together all the components of the industry with the support

of the Ministry of Energy and Natural Resources, the Ministry of Environment and Urbanization, the Ministry of Economy and Energy Market Regulatory Authority (EPDK). ICCI 2017 brought together fairs, conferences and bilateral business meetings under one roof. Today, when the energy sector is on the verge of a significant change, ICCI 2017 also has a mission to provide information on innovations. ICCI Conferences, which has shed light on developments in the energy sector for 23 years, shed light on the future of the industry with important topics and guests this year. Concurrent sessions organized at four different halls addressed key topics such as New Technologies and Applications in the Energy Sector, Renewable Energy Sources, Domestic Energy Sources, Energy Infrastructure Systems, Coal


The Turkish Perspective

ICCI Conferences, which has shed light on developments in the energy sector for 23 years, shed light on the future of the industry with important topics and guests this year.

The conference welcomed many valuable international speakers this year.

Technologies, and Nuclear Energy. Brand new topics such as Energy Storage and New Technology Storage Systems, Energy Industry Digitalization, Gas Trading Center, Domestic Equipment Production in Renewable Energy Sector, the effects of 5,000 MW and YEKA on the Turkish Wind Industry, Unlicensed GES Roof Applications and its obstacles were the top headlines this year. The conference welcomed many valuable international speakers this year. Admir Softic, Minister of Energy Sector of the Ministry of Foreign Trade and Economy of Bosnia and Herzegovina, shared information on “Investment Opportunities in Bosnia Herzegovina - Wind Power Plants / Hydroelectric Power Plants”. Mohammed Satkin, Director of the Wind and Wave Energy Department of the Iranian Renewable Energy Agency, took part

in the presentation titled “Raising the High Potential of Wind Energy Development in the Middle East.” Tariq Saddozai, President of Pakistan’s National Electricity Energy Regulatory Authority (NEPRA), delivered important information on “Energy Relations Between Turkey & Pakistan: Investment Opportunities in Pakistan’s Energy Sector (Production & Transmission)”. The Ministry of Energy and Natural Resources Undersecretary Fatih Dönmez made a speech at the opening ceremony and said: “Let’s not get lost in the changes. Let’s be a sector that manages these and is in the center of the changes”. He pointed out that renewable technologies in the world are now seen as mature technologies. He said that one of the most important problems in energy conversions is legal legislation. Dönmez stated: “Court

decisions are a part of energy politics. As the energy bureaucracy, we follow the developments in the world, but do the courts follow the developments in the world as much as we do? Laws, regulations have to change as technology changes, and in the energy sector this change is very rapid. Even the most successful specialists in the world can be mistaken even with a six-month forecast. Perhaps the laws should leave more room for secondary legislation and institutions only by determining the principles, otherwise the sector and bureaucracy can lose a lot of time”. Dönmez also stated that they want to be in the panel, the inverter and the intelligence of the renewable transformation of Turkey and they will be followers of this process until the end EPDK President stated that we should focus on tomorrow, not just yesterday and today. He said: “We do not focus on tomorrow and today but tomorrow. We are proud of our work in renewable energies and the fact that Turkey does not have any city that cannot reach natural gas, but we need to work more for a cleaner Turkey. We have a lot of work to do with the public-private sector business association”. Yılmaz stated that the main virtue is to turn the projects into efficient energy

sources. He added: “We do our related feasibility studies. The concept of environment and energy is looked upon as enemy siblings. But protecting our environment is our primary duty. We will continue to work for a Turkey that has completed environmentally sensitive technology and smart meter conversion”. DEİK Chairman Ömer Cihad Vardan stated that ICCI, which has been organized since 1994, has developed and grown over time, which is the most beautiful indicator of sustainability. Vardan said: “As you follow, our state has made comprehensive and meaningful initiatives in the recent period. In this context, the national energy mobilization also started. I wish that the diversity of resources would increase to ensure energy security and to ensure that this mobilization focused on localization will be beneficial for our country in the first place to observe the needs of the market and the consumer”. Vardan stated that for Turkey to be a more prosperous Turkey and for a more robust Turkish economy, continuous, sustainable, reliable and clean energy is a very important touchstone. He underlined that all work done and done in this area is highly valuable.

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Briefing

startup

TİM-TEB

The company’s expertise is gathering customer data from different sectors.

STARTUP BUSINESS HOUSE IS TEACHING HOW TO BE A BUSINESS

KC Tech, one of the companies supported by TİM-TEB Startup Business House, enables the companies to organize and track the processes of measuring this experience easily and quickly by gathering feedback from different channels with the application they have developed. By KEMAL TUNÇSEL

E

ntrepreneurs and companies participating in the TİM-TEB Startup Business House program, which has been carried out by the TİM and the Turkish Economy Bank for the purpose of supporting entrepreneurs who are developing export-oriented technology and software, continue to contribute to the export of Turkey. Founded in 2011 with the goal of developing innovative software solutions supported by Mersin TİM-TEB Startup Business House, KC Tech develops web-based JUNE 2017 ISSUE 47

specialized software solutions for corporate firms and is passionate about its hightech initiatives. The company’s expertise is gathering customer data from different sectors and making that data meaningful. It carries out the measurement of customer experience in terms of data received from customers (feedback, age, gender, profession...). This is serviced to customers with Qulak application developed by the company. KC Tech CEO Hüseyin Şimsek says that after the development of

the Qulak application, they have started to work on their presence in the international market as a result of their work on the target markets.

KC Tech develops web-based specialized software solutions for corporate firms and is passionate about its high-tech initiatives.

TİM-TEB Startup Business House is guiding firms on topics such as “how to manage a business” and “how to manage the finances” Şimşek said that the TİMTEB Startup Business House visited the Mersin Teknopark. During their visit, he talked about their products and targets at a meeting and that they


The Turkish Perspective

were warmly welcomed to the project and directed to İstanbul. He said: “We went to Istanbul for about six months and got counseling. Later, one day, we learn that a TİM-TEB Startup Business House will be opened in Mersin. This made us very happy. Because there are about 60 R&D companies in Mersin, these companies are working on very valuable projects. Continuation of the program is completed at Mersin TİM-TEB Startup Business House and we are still in service there” and told how they met TİM-TEB Startup Business House. Hüseyin Şimşek stated that the TİM-TEB Startup Business House has guided them in many subjects. He said: “Many entrepreneurs in Turkey start entrepreneurship after graduating from technical fields. For that reason, they do not have much information on issues such as business management or financial management. This ignorance is constantly preventing them. At this point, TİM-TEB Startup Business House enters the situation by guiding companies on how to manage the business and how to manage the finance. It helps the firms by giving them information about exports and even supports them on their first export”. Raised 85 percent from 4 percent Expressing that the concept of customer experience measurement is an emerging market in recent years, Şimşek continues: “In many different sectors, firms have no idea about the current customer experience and habits. Research and questionnaires based on this subject are based on ordinary

marketing techniques and the share of reality is very low. This ratio is around 4 percent on average. Within the scope of the project developed by our company, companies vary between 15 percent and 85 percent depending on the customer experience measurement sectors. The customer experience actually comes from many parameters and is constantly changing. For this reason, companies need to follow these parameters with a sustainable strategy. As customer experience changes, these changes need to be aligned with the regulations and the effects on the customer of the regulation must be followed”. Offers instant measurement Developed by KC Tech, the Qulak application collects feedback from different channels, enabling companies to organize and track processes for measuring this experience easily and quickly. With Qulak application you can ask the customers in a short time like 3-5 seconds and you can instantly measure the real feelings and experiences of your customers who visit your business and arrange the jobs that are not going right before the customer

leave the location. Or if you do not have such a fast sector, it might be able to guide you in decision making at future meetings. How does the Qulak work? KC Tech CEO, who gave information about the function of the Qulak application, said: “The Qulak application is based on the touch kiosk units that are conveniently placed in operation thanks to the tablet software developed by our company. Thanks to intuitive interface-supported queries to be asked at these kiosk points, customer data is quickly collected and sent to the Business Intelligence (BI) server in the cloud environment. Managers

Qulak application is widely used in shopping malls, telecom, banking, electronic markets retail chains and transportation companies.

are able to instantly access customer experiences and metrics in their businesses by tracking replies instantly through the cloud system. We also measure customer experience by collecting feedback from all areas of the business by measuring the same metrics integrated into the system, including email, qr code, website and social media extensions. In 2016, our current customers reached the success of collecting 2 million human feedbacks. And given that many new decisions have been made in the exchange of businesses. With these metrics, there is a decrease in expenses while there is a turnover-based increase in companies that manage the change well. Qulak application is widely used in shopping malls, telecom, banking, electronic markets retail chains and transportation companies”. Speaking of their new work, Şimşek says that their company, which is continuing its R&D studies in 2017, is prepared to drive a new IOT-based experience measurement device to the market. With this device, he stated that the purpose is to make satisfaction information management of objects with internet features. Şimşek said: “We also aim to develop a system that will enable the transfer of experience information from all other IOT devices to large systems via this system. Thanks to this device, you can instantly rate your satisfaction level of a service worker who comes to your home, or you can notify a manufacturer of a product you are using and do not like. Feedback of the objects’ internet will be measured by this system and transferred to the producers”.

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Briefing

DEFENSE

IDEF, as a high technology defense industry fair, incorporating main defence industry branches and their subordinates.

IDEF 2017

The Most Conspicuous Organization In DefenSe Industry IDEF, which is the biggest defense industry fair in Eurasian region held at TÜYAP Fairs and Exhibitions Organizations Inc. between May 9 and 12, 2017. By Ramazan güzyurdu

I

DEF’17, 13th International Defense Industry Fair, which was held under the auspices of the Presidency of the Republic of Turkey and hosted by the Ministry of National Defense and under the management and responsibility of Turkish Armed Forces Foundation (TAFF), was realized by the cooperation of Tüyap Fairs and Exhibitions Organization Inc. between May 9-12, 2017. IDEF International Defense Industry Fair has been held once in every odd year since 1993. IDEF has played an essential role on the development of friendship and cooperation between participant countries.

JUNE 2017 ISSUE 47

IDEF, as a high technology defense industry fair, incorporating main defence industry branches and their subordinates, is an essential international marketing arena for defense industry companies. IDEF is the biggest defense industry fair in Eurasian region and one of the top five in the world with an increasing trend in terms of the number of participating countries, delegations and companies. IDEF’15, hosted 781 company and company representatives from 53 countries, 493 HighLevel Foreign Delegates responsible for defense supply for their countries; 18 of whom were Ministers,

IDEF has played an essential role on the development of friendship and cooperation between participant countries.

19 were Deputy Ministers, 6 were Chiefs of General Staff, 3 were Deputy Chiefs of General Staff, 8 were Force Commanders, 15 were Undersecretaries for Defense Industries and defence procurement officials from 76 countries and 1 International Institutions. In addition, 59.715 domestic and foreign professionals from 110 countries visited the show. There had been 2.230 prearranged meetings among 23 high-level procurement officials from Turkish Ministry of Defense, Armed Forces and General Directorate of Security, participants and foreign delegates. Within the scope of this information, it was proven


The Turkish Perspective

Groundbreaking Developments The leading institutions of the Turkish defence industry have introduced domestic and national solutions in the fair.

Unmanned Aerial Vehicles

one more time that IDEF Fair was placed within the most successful and conspicuous organizations realized on the international platform in Defense Industry. ASELSAN exhibited 317 products and systems with the biggest participation of the fair. The ASELSAN booth which opened the biggest booth in the IDEFs with the exhibition area of approximately 5 acres to date is equipped with a wide range of products including marine systems, air systems, air defense systems, bordercoastal security systems, communication systems, electronic warfare systems, electro-related products. Korkut Air Defense Ball System developed against navigation fighters and similar threats, HİSAR Low and Medium Altitude Air Defense Systems; “AntiDrone” System, designed against the increasing “drone” threats in recent years; The Public Safety Management System, developed to meet the security requirements against terrorist acts, is among the remarkable products of ASELSAN.

New Version of ALTAY Tank

STM Defense Technologies Engineering and Trade Inc. introduced the first kamikaze and surveillance autonomous drone systems in Turkey. The products originally developed by Turkish engineers will be used in asymmetric warfare, anti-terrorism and security operations with their superior tactical characteristics. The “drone”, whose production will be started soon after the completion of the tests, also draws attention with their names. The names “Alpagu”, “Kargu” and “Togan” are coming from the military icons aiming to defend.

Otokar is presenting a new version of ALTAY at IDEF. The new version ALTAY, developed for peace support operations in accordance with asymmetrical battle conditions, was one of the most interesting products of the fair. A total of 15 vehicles and tower systems were exhibited at Otokar’s booth. FNSS has launched the launch of new vehicles as well as the last point where the latest platforms have arrived in the fair. Visitors to the FNSS booth also had the opportunity to touch the future of land platforms.

The armed HÜRKUŞ and ANKA, the model of Unmanned Aerial Vehicle Weapon Integration exhibited for the first time in IDEF by TAI (Turkish Aerospace Industries). For the first time, the similitude model of National Warriors Flight took its place at the stand. Besides, T129 ATAK Attack and Tactical Reconnaissance Helicopter, which is in use by the Turkish Armed Forces together with these products, appeared in IDEF. Gökdoğan and Bozdoğan, Turkey’s first national air filters, developed by the Scientific and Technological Research Council of Turkey (TUBITAK) the Defense Industries Research and Development Institute (SAGE), were introduced in the fair. Gökdoğan and Bozdoğan’s development studies are targeted to be completed in 2019.

The simulators produced for the training of ATAK helicopter pilots were exhibited for the first time in a special version. In the simulator, where everything is integrated from the power poles in the vicinity to the heights of the land, besides the general use, there will be trainings about the negativities that may be experienced or the ability of the pilots to get over it in case of an accident. Katmerciler also introduced the 4x4armored ambulance with high ballistic and mine protection levels for the first time in the fair. HIZIR, developed with the cooperation of Katmerciler and ASELSAN, Turkey’s first hybrid concept armored vehicle, was exhibited at IDEF.

Great Interest to TAI

ATAK Simulator and Armored Ambulance

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Briefing

MARKETING

THE UNSTOPPABLE RISING OF INFLUENCER MARKETING Some people call them phenomenons, some call them influencers… While the digital world continues to push the limits, they are writing “the rules of the digital world.” By kemal tunçsel

Mısır, the phenomenon of social media phenomenons is gaining more importance with the rise of the Influencer Marketing trend, and the use of these phenomenons is one of the indispensable elements of marketing. This causes the phenomenons to work more professionally and produce better quality content. Mısır says that the WOM effect they created with their followers is quite high. He says: “The impact of traditional promotional elements such as advertising, personal sales and direct marketing on consumers is decreasing. This pushes brands into new quests to reach consumers with more effective ways”.

They are increasing brand interaction…

I

n last 10 years, digital

media changed our life so much and in this process, it created its own fames and opinion leaders. Now there are more bloggers instead of journalists at the press conferences and more influencers instead of celebrities on advertising zones. They are signing high-paid agreements and are becoming faces of the brands. Influencers move the masses with one tweet to millions of followers or a short video they shared. As influencers consolidate their dominance on social platforms, their collaborations with brands are increasing

JUNE 2017 ISSUE 47

Influencers move the masses with one tweet to millions of followers or a short video they shared.

exponentially. However, real danger is starting to emerge from here. Because the interest in “Influencer Marketing” makes it difficult to differentiate brands using this strategy day by day. How should brands use “Influencer Marketing”? What are the points to pay particular attention to when choosing a name? What are the underlying causes of this increase in the use of influencers? Here are the answers...

“Influencers will be an essential for marketing” According to the Socialfamous Founding Partner Bahadır

Muse CEO Serdar Ekrem Şirin says that the number of influencers is increasing in marketing communication, and there are even brands that recognize their effect earlier and include influencers in their annual marketing plans. Şirin also stated: “Much more of the interaction that a brand makes in communication can be achieved through influencers”. Şirin also notes that influencers are effective in many sectors, especially in cosmetics, clothing and technology. Şirin says: “The make-up videos, the videos of a YouTuber who got thousands of views for an ice cream brand, can get a lot of views and good comments. Some of these phenomenons have huge impact. People are following everything they do and buy things that they recommend on their posts. There are brands that decide to become publishers and start producing regular video content, and as good examples emerge, these other brands also encourage”.


The Turkish Perspective

The winners are the ones who knows how to communicate Pure Media Business Development Director Batuhan Süze says: “There is a habit of following celebrities since the days we hang a poster of them on our walls and this habit will continue in the future”. And he adds: “In the past, we learned the brand of the jacket that an artist we loved wears from the separator at the end of a TV Show. Now we learn it while watching the videos of our favorite phenomenon”. Süze says: “Although we often think that influencers are effective in communication targeting young people, we see and experience that it will be effective in all sectors, with the right tone of communication, the right choice of phenomena, and good ideas”.

Campaign-based strategy CC Media House Director Güven Çelikkaya stated that creating a successful Influencer Marketing campaign is not possible when brands only work with influencers who has a high number of followers, and that the integrity of the campaign should be considered. He listed the 8 recommendations required for a successful campaign:

2. Make sure the Influencer is compatible with your brand The most important question that needs to be asked to make an impact on social media is whether the influencer you choose is someone who wants to represent your brand. Just because he or she is popular does not mean that this influencer will have any effect on your brand and working with an Influencer that is not related to its target mass, it

3. Do not let the number of followers fascinate you The number of followers alone does not make sense. When compare an account with 6.5 million followers and another with 30 thousand followers, the account which has less followers may have the chance to be more successful.

4. Agree with influencers on price before working Influencers often charge a per-post fee. Determining influencer fees earlier in the campaign is important for budget control. Your budget control will help you coordinate the number of influencers you work with.

1. Allow influencers to have creative freedom Influencers need to prepare their content while promoting your brand or service. Influencers who are constantly interacting with their followers know what their followers will react positively or negatively. When you allow them to use their creativity, the message will reach and spread to the target audience in a more organic way.

can affect both your brand and the image of the related Influencer in the negative direction.

5. The top content is recommendation There are brands that recognize their effect earlier and include influencers in their annual marketing plans.

When the product is marketed, the content “buy this product” is not welcomed. The creation of organic content is much more effective than the “buy” message. For this reason, advice-based content forms the basis of Influencer Marketing.

6. Do not forget the micro-influencers Micro-Influencers should be part of your campaign. In small budget campaigns it is possible to reach massive amounts with the help of micro-influencers. Microinfluencers are unique and have specific followers of interest. For this reason, the interaction rates are also high.

7. Keep track of your campaign, measure and analyze The number of likes or comments a post received is not a sign of a successful campaign. Did you notice a large increase in sales in line with your goal? Has your brand’s social media accounts increased in followers and engagement numbers? Based on the answers to these questions, you need to evaluate the results of your campaign.

8. Do not neglect your other marketing campaigns You can make Influencer Marketing a part of your integrated marketing activities. Integrated marketing communication is more effective than other marketing strategies in achieving goals.

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26

Briefing

Cupica eti, sederox medo, que is nonducid pecrimuracio inc videmedit. Bem te tem, sis; inihillaric tum

awards

CHAMPIONS OF CHEMICAL EXPORT CROWNED BY İKMİB

Chemical industry keeps its finger on the pulse of Turkish industry and ensures employment for more than 300,000 persons. By ramazan güzyurdu

C

hemical industry, one of the top three exporting sectors in Turkey, carried out exportation of $14 billion in 2016. Istanbul Chemicals and Chemical Products Exporters’ Association (İKMİB) awarded the most successful exporters of last year. The award ceremony was held at Raffles Istanbul Zorlu Center, where 115 prizes were given to winners in 23 categories. Istanbul Chemicals and Chemical Products Exporters’ Association (İKMİB), which represents 7,000 exporting companies in various subsectors, including plastics, cosmetics, pharmaceutics and paint, encourages the

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members for further success after an export volume of $ 14 billion in 2016. Chemical industry keeps its finger on the pulse of Turkish industry and ensures employment for more than 300,000 persons. Accordingly, the industry has set an export target of $ 15.5 billion for 2017. Morales are high in the sector thanks to the export figures increasing by 17.41% to $ 5.639 billion in the first four months, compared to last year. Stars of Export Ceremony 2016 was organized by İKMİB to honor and encourage member companies. 115 prizes in 23 categories were awarded at

Stars of Export Ceremony 2016 was organized by İKMİB to honor and encourage member companies.

the organization. İKMİB Board Chairman Murat Akyüz was the host of the ceremony at Raffles Istanbul Zorlu Center, and TİM Chairman Mehmet Büyükekşi, Istanbul Chamber of Industry Chairman Erdal Bahçıvan, İTO Assembly Chairman Şekip Avdagiç, İTHİB Board Chairman İsmail Gülle, İSTOÇ Board Chairman Nahit Kemalbay, Rubber Association Chairman Nurhan Kaya, TKSD Board Chairman Timur Erk, İMMİB Secretary General Armağan Vurdu, İKMİB Board Members, AKMİB Board Members and member companies were


The Turkish Perspective

among participants. Top 5 companies with highest export in chemical subsectors and product groups were awarded. Besides, new categories such as “Export with Highest Added Value,” “Export to Target Countries”, “Rise in Number of Markets”, were set in order to award the successful members. In his speech at the ceremony, Murat Akyüz, Board Chairman of Istanbul Chemicals and Chemical Products Exporters’ Association (İKMİB), congratulated the winners: “We left behind a hard year for our country. Thanks to our synergy, we minimized the effects of all negative political and economic incidents. Our exporters, who have full faith in their country and people, overcame all challenges and succeeded in preserving the positive overview of national economy. Chemical sector provides various products in many fields including plastics, cosmetics, pharmaceutics and paint. Our sector cements its place among the most dynamic sectors in Turkey, thanks to recent export thrust. The sector carries out exportation in a vast geography including Africa, South America and Far East, in addition to Europe. Thus, we gradually become more competitive. I congratulate all our companies for displaying their utmost effort in 2016 and handing their products to more than 200 countries. We believe that the Stars of Export Awards will motivate the companies for further success.” Murat Akyüz informed that chemical industry attained an export figure of $14 billion in 2016, repeating the target of $15.5 billion for 2017. “After a difficult year, our exporters began 2017 with record

“After a tough yearm in Turkey and on the world, we slowly leave behind all difficulties in 2017.”

breaking rise. Compared to January-April last year, chemical exports soared by 13.60% to 6,590,000 tons in quantity and by 17.41% to $5.369 billion in value. The The top ten destinations were United Arab Emirates, Germany, Iraq, Singapore, Egypt, USA, Italy, Spain, Iran and Malta. We maintained our third place, after automotive and garment industries. In the light of record-breaking figures in the first four months, we should easily reach the prescribed target of $15.5 billion for 2017,” Akyüz added. Mehmet Büyükekşi, Chairman of Turkish Exporters Assembly (TİM), expressed his gratitude to İKMİB and Chairman Murat Akyüz for their contribution to chemical sector and Turkish economy. “After a tough year in Turkey and on the world, we slowly leave behind all difficulties in 2017. Our economy and export are recovering. Protectionism has proliferated all around the world; accordingly, commodity prices underwent extraordinary declines in last two years. However, prices are finally on the rise in 2017 and global economic developments seem quite

EXPORT NUMBERS BY İKMİB

$15.5 billion Export target of the industry for 2017

6.6

million tons

Chemical export in quantity between January-April 2017

%increase 8.8 in value chemical sector in first four months

positive for us. Our export increased by 8.8% in first four months. We had already said that 2017 would be the year of thrust in exportation. As of first four months, we are taking determined steps towards our targets. Every sector has and should contribute to this rise. Chemical industry, in particular, displays great performance this year. As commodity prices began to rise and chemical sector began to recover since the end of 2016, Turkey enjoyed a boost of 8.8% in export, while chemical industry attained a rise of 17.4%. The industry carries out notable R&D activities. Thanks to value added production, we may see successful Turkish companies at global scale. R&D expenditures have exceeded 1% in Turkey. Once rational effort meets the elbow grease, innovative products follow. This is why we have to hold on R&D. As TİM, we carry out some import activities for this purpose. Now, the objective is to increase Turkish exportation. Following the referendum period, we will enter an era without elections for two years. Thus, we will be able to focus on economy,” Büyükekşi said.

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medıa

INTERNATIONAL MEDIA FORUM WAS HELD IN ANTALYA

The International Media Forum 2017 Meeting held at a hotel in Antalya’s Belek Tourism Center on May 21-25 by Ministry of Culture and Tourism, the Ministry of Economy and TİM. By kemal tunçsel

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he International Media Forum was

organized in Antalya on May 21-25, 2017, under the slogan “Turkey – Discover Your Power and Potential” of Turkey Discover the Potential (TDP) promotional activities. Selected media representatives from 52 countries attended the Forum. The Forum, which deals with issues of economy, tourism, culture and media, is considered the widest participatory international event of the world media. Turkey continued its promotional activities at full speed. One of the important pillars of the Turkey Discover the Potential (TDP) promotional events, which was launched in order to explain Turkey’s strength and potential, was the forum that brought together the representatives of the international media. Global Connection Media SA (GC), based in Switzerland, has hosted dozens of media representatives from 52 different countries within the context of the promotional campaign in Antalya, Turkey’s major tourist destination. The International Media Forum, supported by the Ministry of Economy and the Turkish Exporters Assembly (TİM), was held at the Maxx Royal Hotel in Antalya Belek between May 21-25, 2017. JUNE 2017 ISSUE 47

“Cultural relations are an important element of cooperation and partnership between countries”.

The forum, which was focused on economic, cultural and media issues, is considered the widest participatory international event of the world media.

The forum, which was focused on economic, cultural and media issues, is considered the widest participatory international event of the world media. In the statement made by Global Connection, it was stated that “contributing to the development of international media relations by bringing the leading media members of different countries together in Antalya”. “Cultural relations are an important element of cooperation and partnership between countries,” it is stated. “Intercultural and international communication is supported by special media projects prepared by international journalists together with our valuable partners”. The International Media Forum, planned by Global Connection in the framework of its TDP promotion activities in France, Germany, Italy, Russia, BAE, the United Kingdom and the United

States, is a platform for new approaches in the media field. GC organized the TurkeyRussia Media Forum in Antalya again on 31 August 2016 within the framework of the development of relations between Turkey and Russia. The Turkey-Russia Media Forum, which was attended by dozens of top-level journalists from Russia and Turkey, was the biggest civilian venture between the two countries. Minister Avcı, speaking at the opening of the International Media Forum 2017 Meeting held at a hotel in Antalya’s Belek Tourism Center, stated that Turkey needs to explore the potential in tourism. Avcı pointed out that Turkey has become the 6th largest tourism destination in the world thanks to the tourism movements that Turkey launched in the 1980s. Avcı stated: “The tourism movement initiated by


The Turkish Perspective

“Turkey is not just about sea, sand and sunlight, it is above the potential.”

Turgut Özal has been shaped mostly by the coastal tourism. Turkey is not just about sea, sand and sunlight, it is above the potential. If we could be the 6th biggest destination of the world with only sea, sand and sun, there is no reason why we should not come to a further point when we move our other tourism potentials”. He said that no matter where you are located in Turkey, there will be many undiscovered beauties around you when a circle of 10 kilometers is drawn. Avcı also emphasized that this potential of the country could not be evaluated as it is today. “We need partnership to leave a good world for our children” Noting that last year, 6.5 million tourists arrived in Antalya, Avcı continued as follows: “We have Antalya Archaeological Museum near us. It’s number one in terms of Aphrodite sculptures preserved for completeness. Such beautifully preserved historical artifacts do not exist in any museum of the world. However, the number of tourists visiting the museum last year was 68 thousand. It is unbelievable. This is not the fault of our guests. So we have

not been able to introduce this beauty enough. We are also a very rich country in terms of religious heritage sites, but we have not been able to introduce them well enough. Highland and gastronomic tourism are the same”. Minister Avcı stated that Turkey is hosting a settlement and civilization basin over 10 thousand years and said that even today Turkey has possession of fertile lands that different cultures meet. Avcı said that Turkey is the country where the east and the western meet in the most harmonious way, and that this is a situation for thousands of years. Pointing out that the past thousands of years showed

not only the archaeological artifacts but also the example of how the differences should be treated, Avcı said: “Turkey has very important values to present to the world especially today. We have a very deep culture. The culture that will give the positive message that you need in the world is fermented in this soil. One is the enemy you do not know. We will know each other better with the contribution of the members of the press we invited here. We need this unity to leave a better world for our children”. “The number of foreign investors is increasing” In his speech, Mehmet Büyükekşi, the President

of the Turkish Exporters Assembly (TİM), reminded that world news occasionally contained negative news about Turkey and its economy. Explaining that they organized this meeting in order to show the foreign journalists that these reports were not true, Büyükekşi stated that the economy has become the main agenda again with the public’s initiative to the doubleheading of the country. Taking into consideration that foreign investment in Turkey increased by 25 percent in March, Büyükekşi reported that the number of foreign companies that reached 55 in Turkey increased day by day. Büyükekşi emphasized that the share of Turkey in the world trade which has very important young population potency is also increasing. The forum, organized jointly by the Ministry of Culture and Tourism, the Ministry of Economy and TİM, is attended by close to 140 members from 50 countries.

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AVIATION

Europe’s Best Airline Meets Europe’s Best Basketball Team İstanbul-based Fenerbahçe won against Olympiacos, becoming the Champion of Turkish Airlines EuroLeague, Europe’s top-tier basketball competition carrying the name of Europe’s Best Airline.

he four best European teams have competed this weekend in the Final Four, the final stage of the Turkish Airlines Euroleague 2017, held in Istanbul. Curiously, all of them already disputed the 2015 Final Four of two years ago in Madrid, even with the same semi-finals matchups. CSKA Moscow and Real Madrid played to be the third on Sunday 18:00 (local time) which ended 94:70 with CSKA Moscow’s victory. With CSKA Moscow finishing third, the final game of Turkish Airlines EuroLeague started at 21:00 (local time) after which Fenerbahçe emerged as the Champion. The game started well for Fenerbahçe with the score being 26 against 18 in the first period, however the second period Olympiacos almost caught up, reducing Fenerbahçe’s lead to 5 points. Right before the third period, Hidayet Türkoğlu, President of the Turkish Basketball Federation handed over a symbolic basketball to the local basketball authorities of Belgrade, Serbia which will host the finals in 2018. During the rest of the match, Fenerbahçe dominated the game and became the best team of 2017 Turkish Airlines EuroLeague with a score of 80:64. In this edition, CSKA Moscow came to Istanbul as the great favourite to rise the cup while, on the other hand, the disputed semi-finals between the Spanish team and the Turkish one also had great expectation due to the competitiveness between both of them. Fans from all over the world didn’t want to miss this great sports show and have come to Istanbul to enjoy a historic finale at the Sinan Erdem Dome, in one of the most magical cities in Europe. Finally, after Friday’s matches, Fenerbahçe team has emerged victorious against Olympiacos with 80:64 and have been able to lift the coveted Turkish Airlines Euroleague 2017 trophy. Real Madrid and Fenerbahçe played a historic game at 20.30 h. on Friday that ended with the victory of Zeljko Obradovic’s team, Fenerbahçe. The ‘white team’ is the most successful in the history of the EuroLeague since it has won nine times. The Turkish crowd strongly supported their team at every minute

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This incredible show has offered to all sports lovers a truly unique experience.

and proved to be excellent hosts –must be noted that this was the first time a Turkish team played the Final Four in its own country-. This incredible show has offered to all sports lovers, both in Istanbul and around the world, a truly unique experience, in line with various enjoyable activities performed by the expert teams both from Turkish Airlines and EuroLeague Basketball. It has also been the perfect occasion to launch once again the solidarity initiatives carried out by OneTeam, Euroleague’s corporate social responsibility program, created with the airline’s support in 2012. The Euroleague Basketball was created in the 2000/2001 season. In 2010 Turkish Airlines, flying to more countries and international

photograph byLOREM IPSUM

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photograph byLOREM IPSUM

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The Turkish Perspective

Fenerbahçe Captain Melih Mahmutoğlu received the Cup from Euroleague CEO Jordi Bertomeu and Turkish Airlines Chairman of the Board and the Executive Commitee, M. İlker Aycı.

photograph byLOREM IPSUM

photograph byLOREM IPSUM

Ekpe Udoh, was voted Most Valuable Player of the 2017 Turkish Airlines EuroLeague Final Four and won 1.000.000 miles from Turkish Airlines.

destinations in the world, became the official sponsor of the most important basketball competition in Europe, as well as its final round. For this season, the flag company has celebrated the Final Four in Istanbul, which has made this collaboration even more special. More than 18.000 spectators have enjoyed the best European basketball to encourage CSKA Moscow, Olympiacos Pireus, Real Madrid and Fenerbahçe. The Turkish Airlines sponsorship to the EuroLeague Basketball will extend for three more years. Turkish Airlines, priced with the Skytrax World Airline Award for Europe’s Best Airline for the consecutive sixth time last year, has endorsed sports on an international level for

many years. In addition to sponsoring the EuroLeague Basketball and its acclaimed final round, and UEFA Euro 2016, the company had remained linked to the sports sphere and its important values of effort and improvement, through different collaborative actions with F.C. Barcelona or Manchester United and with athletes like Messi or Kobe Bryant. Beyond basketball and football, the company also supports other disciplines such as the European Professional Club Rugby Championship since November 2015, the Turkish Airlines Open Golf - included in the European Tour Final Series since 2013 - or the Chio Aachen in Germany, the most prestigious horse competition in the world.

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INVESTMENT

President Erdoğan calls for more investments in Turkey

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photograph byLOREM IPSUM

President Erdoğan came together with CEOs and fund managers of top US companies at an executive meeting held by ISPAT in Washington D.C. photograph byLOREM IPSUM

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The Turkish Perspective

The relation between the two countries is defined as “model partnership” in the fields of politics, military, economy, and humanity.

photograph byLOREM IPSUM

photograph byLOREM IPSUM

P

resident Recep Tayyip Erdoğan came together with around 40 US top executives and international fund managers during his official visit to Washington D.C. on May 16, 2017. The US was the fifth stop on his presidential roadshow, which also saw Erdoğan visit India, Russia, Kuwait, China, and Belgium. During the executive meeting, convened with the coordination of the Prime Ministry Investment Support and Promotion

Agency of Turkey (ISPAT), President Erdoğan offered the representatives of US corporate giants insights into Turkey’s economic agenda and invited them to boost their investments in Turkey. Of particular focus were the latest regulations and incentives affecting Turkey’s investment climate. Attendees included top executives of prominent companies from sectors such as defense and aviation, chemicals, healthcare, ICT, and manufacturing, as

well as from major fund management companies. The list of attendees at the meeting included executives from Abraaj Group, Cargill, CDPQ, Coca-Cola, DOW Chemical, EBRD, IFC, GE Aviation, Glaxo Smith Kline, Lockheed Martin, PepsiCo, Raytheon International, and Uber. Also at the meeting were top executives of the American-Turkish Council (ATC), the Emerging Markets Private Equity Association (EMPEA), and the US Chamber of Commerce. Commenting on the event, ISPAT President Arda Ermut said the meeting was of vital importance as it offered the US investors the opportunity to hear first-hand about the Turkish government’s effective and decisive economic policies. Ermut added, “We showcased Turkey’s support for international investors at the highest level by means of this meeting, which brought President Erdoğan together with chairmen and CEOs of leading US companies. In this vein, we saw a huge interest in our country and our President - a result of the substantial support he extended to investors in person. Moreover, President Erdogan said during the

meeting that ISPAT would personally support investors in solution-requiring issues through engagement with relevant ministries and state institutions, and instructed that such issues should be directly conveyed to him – points both very influential on investors.” Ermut continued, “In similar occasions during March and September 2016, President Erdoğan came together with international investors. Also today, we had quite a productive meeting with significant interest and participation of US companies. Continuation with economic reforms, support from US investors for a Free Trade Agreement between Turkey and the US, investment agendas of technology companies, and the intention of global fund management companies to augment their investments in Turkey provided highlights of the meeting. We witnessed the confidence of international investors in Turkey’s investment climate, political stability, and future vision with respect to the new outlook in the aftermath of constitutional referendum.” The relation between the two countries is defined as “model partnership” in the fields of politics, military, economy, and humanity. With regard to foreign trade, the US stands out as the 5th largest export market of Turkey, accounting for a 4.6 percent share in Turkish exports. On the investment side, total FDI inflow from US to Turkey was USD 2 billion in the period of 2015 and 2016. Meanwhile, bilateral trade volume jumped to USD 17.5 billion in 2016, up from USD 6.5 billion in 2002. There are currently more than 1,700 companies with US capital operating in Turkey as of end-2016.

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meetıng

Venture Capital Anatolia Meetings The first in a series of Venture Capital Anatolia Meetings convened in Gaziantep on May 12, 2017.

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he goal of the meeting series is to increase averseness of venture capital and private equity funds in Turkey and to bring successful Turkish companies together with fund managers. Organized with the cooperation of the Turkish Presidency Economy Monitoring and Coordination Department and the Union of Chambers and Commodity Exchanges of Turkey (TOBB), the Venture Capital Anatolia Meetings will take place throughout 2017 across nine different provinces in Turkey, including Adana, Bursa, Denizli, Izmir, Kayseri, Konya, Manisa, and Samsun in addition to the inaugural meeting in Gaziantep.

Managers from several venture capital and private equity funds shared ideas on how to assist companies during their investments in Turkey.

The meeting in Gaziantep featured a presentation by ISPAT Coordinator Ahmet Cüneyt Selçuk on the relation between FDI and

venture capital. In addition, there was a panel discussion where managers from several venture capital and private equity funds shared ideas

on how to assist companies during their investments in Turkey. Several Gaziantepbased companies participated in the event, and the second edition of the Venture Capital Anatolia Meetings is slated for July in Konya.

Renewable Energy Workshop IN PARIS

The Turkish Embassy in Paris hosted a roundtable meeting to brief French energy companies about the latest developments in Turkey’s renewables sector.

I

SPAT Coordinator Esra Doğan Tulgan, Country Advisor Utku Bayramoğlu, and Project Director Zeynel Kılınç attended the meeting, with the latter delivering a presentation on Turkey’s investment climate in regards to the energy industry. Kılınç in particular focused on the Turkish government’s targets concerning current and future wind and solar energy tenders. The workshop was jointly organized by ISPAT and the French Renewable Energy Association (SER). JUNE 2017 ISSUE 47


The Turkish Perspective

MedIA

companies contributed to panel discussions covering a variety of issues, including culture, history, tourism, and investment opportunities in Turkey. During the Forum, ISPAT President Arda Ermut delivered a keynote speech on Turkey’s investment

environment. Stating that ISPAT is trying to counter the negative perception of Turkey in parts of the international press, he talked to those gathered about the advantages of investing in Turkey and the opportunities that are currently available.

Speaking on the influence of media on society, Ermut emphasized that media interaction is crucial to convey the right messages to the public. “Turkey has overcome all the obstacles, particularly in the last two years, thanks especially to the common sense of our people, and Turkey is proceeding on its way full steam ahead. But this still goes to show that no matter how successful you are, or how right you are, it is very difficult to get a successful result if you cannot interact with the media and cannot convey the right messages to the public,” Ermut said. Ermut concluded his speech by showcasing the lucrative and dynamic investment environment in Turkey. The audience learned about the opportunities and advantages of Turkey, which include its robust economy, strong domestic market, easy access to regional markets, strategic location, favorable demographics, availability of skilled labor, lucrative incentives, and a business-friendly investment climate.

m

that included Turkish parliamentarians, ministers, and cabinet secretaries. ISPAT Department Head Ahmet Burak Dağlıoğlu contributed to the conference as a panelist in a session entitled the Economic Forum

on Business Climate in Turkey. He explained why Turkey is an attractive and competitive FDI destination for international investors, focusing in particular on new incentives being made available to them.

International Media Forum

Turkey’s tourist hub on the Mediterranean, Antalya, played host to the International Media Forum between May 21-25, 2017. Turkey is an attractive and competitive FDI destination for international investors.

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he event brought together journalists, media professionals, and representatives from over 50 countries to discuss developments and trends in the worldwide media. During the event, high-ranking government officials and top executives of local and global media

36th Annual Conference on US-Turkey Relations The 36th Annual Conference on US-Turkey Relations, organized by the American-Turkish Council (ATC) and the Turkey-US Business Council (TAIK), brought together in Washington D.C.

ore than 500 leaders

and visionaries from across the private, government, and non-profit sectors. Attendees included CEOs, entrepreneurs, investors, members of the US Congress, and a delegation

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Donald Trump hosted Recep Tayyip Erdogan at the White House for their first face-toface meeting.

Xi and Erdogan called for greater counterterrorism cooperation after Erdogan’s visit to China for Belt and Road Forum.

Russia-Turkey relations “fully recovered” said Putin and Erdogan after the meeting held in Sochi.

“Turkey pins great attention to boosting economic ties with Kuwait “said Erdogan in this visit to Kuwait.

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The Turkish Perspective

TURKEYAS AN POLITIC AND ECONOMIC ATTRACTION CENTER Turkey is at the very heart of one of the regions where conflicts are highest throughout the history of the world. Despite the current economic, political and sociological complexities in the region, Turkey remains a role model for regional countries with a stable political stance. By MUSTAFA YİĞİT

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Turkish President Recep Tayyip Erdogan’s Delhi visit was his first foreign visit after the referendum victory.

he Republic of Turkey was founded in 1923, taking over the legacy of the Ottoman Empire, which was injured from one of the most bloody wars of world history. From the day it was founded until today, Turkey has left very difficult days behind as a destiny of its own geography. As the young republic is preparing to celebrate the 100th anniversary, it passes through a critical turn. In the last two or three years, the centuries-old state has again faced the intensities that have been experienced throughout its history. Turkey, succeeding in surviving in the 2008 economic crisis that swept the whole world, did not compromise its political stability despite the years of war in the neighboring geography. In addition to all these negativities, Turkey overcame a failed military coup attempt that took place in July 2016. The Turkish democracy, which has strengthened even more after this coup attempt against the legitimate and elected government, successfully carried out a constitutional referendum containing some amendments in the government system and constitutional reform.

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ith the approval of the constitutional amendment by the people in the referendum, the dualism in the executive system of the Republic of Turkey has come to an end. The prime minister’s office was abolished and the duties of the prime minister and the authorities were transferred to the President who was directly elected by the people. With the election to be held in 2019, the new system, which will go into full force, is expected to create a more stable political structure in Turkey. Turkey, already one of the leading nations of the region, is expected to be a stronger actor in the international public opinion. It is a fact that this system, which is called the presidential government system, has already given Turkey a new and stronger identity. President of Turkish Republic Recep Tayyip Erdogan, who is the architect of this political system, began a long-term overseas tour after approval of the new system by his nation in the referendum. Erdogan visited India, Russia, Kuwait, China and the USA as part of his international visits since April 30th. During all his visits, the President made agreements and talks to increase Turkey’s economic and commercial co-operation with the host countries. In addition, Erdogan received support from guest countries to act jointly against local and global terroris

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India April, 30

President Recep Tayyip Erdogan made an official visit to India on 30 April-1 May 2017. Erdogan first met with the CEOs of leading companies in the country, in India. At the meeting held at Taj Palace New Delhi Hotel, where President Erdogan is staying, Foreign Minister Mevlut Cavusoglu, Minister of Economy Nihat Zeybekci, Minister of Energy and Natural Resources Berat Albayrak, Minister of Culture and Tourism Nabi Avci, Transport, Maritime and Communications Minister Ahmet Arslan also took part.


The Turkish Perspective

Economic Messages “It is a fact that the potentials of Turkey, the 17th largest economy in the world and India, the 7th largest economy, are well above these figures.” “Turkey has become an important economic actor with its young and qualified work force, large domestic market, disciplined finance sector, developed infrastructure, competitive private sector and its region and the world.”

Politic Messages On Monday May 1, 2017 at the Presidential Palace in India, President Pranab Mukherjee and Prime Minister Narendra Modi Erdogan met with an official ceremony. President Erdogan, who came to the presidential palace in the accompaniment of 21 gun salute and horse ceremonial union, shook hands with the Indian President Mukherjee and Prime Minister Modi and gave a picture to the press members. Later, President Erdogan passed on to the Mahatma Gandhi Monument and put a wreath at the memorial to the political and spiritual leader of Indian Independence Movement and signed the memorial book. President Erdogan, who attended the India-Turkey Business Forum along with Indian Prime Minister Modi, also made a speech here. President Erdoğan addressed the audience by attending a ceremony held on the occasion of the title of honorary doctorate which Jamia Milia Islamic University presented to him.

The world is bigger than five. If one of the five countries says ‘no’ in the UN Security Council, it is not possible to make a decision there. Is there justice in the UN Security Council now? Never! Those who identify terror with a geography make mistakes. I expect the sensitivity shown against ISIS to be shown to organizations like YPG.

Turkey has become an important economic actor with its young and qualified work force and large domestic market.

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THE cooperation on Turkish Stream and Akkuyu is proceeding sensitively.

Economic Messages

Russia

“Today we have exchanged ideas on the steps to be taken, especially economic and commercial issues. Our cooperation on Turkish Stream and Akkuyu is proceeding sensitively.”

May, 3

President Erdogan met with Krasnodar Regional Governor Veniamin Kondratiev, Russian Federation Foreign Ministry Soch Representative Anatoliy Shostak, Sochi Mayor Anatoliy Pahomov and other officials in the development of Sochi International Airport. President Erdogan, who passed from here to the Residence of the President, came together with the President of the Russian Federation Putin and joined the delegation to work. President Erdoğan and Russian President Putin held press conferences following the talks and answered the questions of the press members. JUNE 2017 ISSUE 47

“Our economists often come together in Moscow and Ankara. Our commercial and economic cooperation is working hard to remove obstacles in front of us.”

Politic Messages “We are living a period in which we have important responsibilities. I believe that the step that Russia and Turkey will take here will change the fate of the region.” “We will continue our work in coordination with Russia. The most important issue for us is the protection of the territorial integrity of Syria.”


The Turkish Perspective

“The peace of the world depends on the stability of our region, and the stability of our region depends on the stable hold that we show.”

Politic Messages

Kuwait May, 8*9

President Erdogan made a visit in Kuwait on Tuesday, May 9, 2017 to meet with Kuwait Emir el Sabah and attend the groundbreaking ceremony of Kuwait International Airport’s new terminal building. Erdogan was welcomed with an official ceremony by Kuwait Emir Sheikh Sabah Ahmed Cabir al-Sabah at a remote landing at Kuwait International Airport. Following a welcome ceremony, President Erdogan met at the airport for a while with Kuwait Emir el Sabah and then attended the groundbreaking ceremony of Kuwait International Airport’s new terminal building. President Erdogan then met with Kuwait Emir el Sabah at the Beyan Palace. Kuwait Emir el Sabah President Erdogan gave lunch for his honor.

“The peace of the world depends on the stability of our region, and the stability of our region depends on the stable hold that we show. Cooperation between Turkey and Kuwait in the resolution of the problems in our region will open the doors of important developments that will prevent the images that hurt our heart..” “We all want peace, tranquility and stability in our region. We want the people to live a prosperous life away from conflict.

The relations of the two countries have a lot of development potential especially in the fields of investment.

Economic Messages “I wish that more Turkish companies will be involved in the infrastructure projects that Kuwait will carry out within the framework of the 2035 Development Plan.” “The relations of the two countries have a lot of development potential especially in the fields of investment, trade, defense industry cooperation, tourism in particular.”

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China May, 12

President Recep Tayyip Erdogan made a visit to the People’s Republic of China on 12-15 May 2017 to attend the Generation and Road Forum for International Cooperation in Beijing and to hold talks with Chinese President Shi Cinping.

On Saturday, May 13th, 2017, President Erdogan met separately with Greek Prime Minister Aleksis Çipras, Pakistan’s Prime Minister Nawaz Sharif, Hungarian Prime Minister Viktor Orbán and Serbian Prime Minister Aleksandar Vucic, together with United Nations Secretary General Antonio Guterres. President Erdogan later met with the President of the People’s Republic of China, Shi Cinping. President Erdogan, who was welcomed with an official ceremony by Chinese President Shi, was chaired by delegation talks. After the meeting, some agreements were signed between the two countries in the presence of President Erdogan and Chinese President Shi. President Erdogan attended the opening ceremony of the Generation and Road Forum held on May 14, 2017 in Beijing, China’s capital city. The opening ceremony of the state and government head of 29 countries on the generation route, also called ‘the modern Silk Road’, took place at the China National Congress Center in Beijing Olympic Center. Following the shooting of the family photo of the JUNE 2017 ISSUE 47

some agreements were signed between the two countries in the presence of President Erdogan and Chinese President Shi.

participating country’s leaders, the opening session was held. President Erdogan made a speech during the opening session. President Erdoğan then met with Uzbekistan President Şevket Mirziyoyev; Poland accepted Prime Minister Beata Syzdlo. President Erdoğan attended the opening evening dinner and cultural gala program for International Cooperation in the scope of his contacts in Beijing with his wife Emine Erdogan. President Erdogan attended the Generation and Road Forum leaders’ session for International Cooperation on Monday, May 15, 2017. Prior to the session held at the Yanqi Lake Island Convention Center, President of the People’s Republic of China Shi Cinping shook hands with President of the Republic of China Erdogan and the governments and heads of state of the other countries represented in the forum. Later on, President Erdogan, who was in a round table format and attended the leaders’ headline with the title ‘Synergy in Politics for a Close Partnership’, made a speech at the session. After the session, President Erdogan, who took part in the group photo shoot with Khan and Que, together with the heads of state and government, then went to work at the forum. President Erdogan, who has completed contacts with China’s capital Beijing, went to the United States.


The Turkish Perspective

China’s Silk Road economic corridor initiative is integrated with the Central Corridor Project.

Economic Messages

“We want to move with China and other routes countries...”

“China’s Silk Road economic corridor initiative is integrated with the Central Corridor Project, which aims to link our country to Central Asia through Asia Minor and then to China. As it is known, the Middle Corridor is a commercial road project finally found in China, going from Turkey to Georgia and Azerbaijan, going beyond the Caspian Sea, including Turkmenistan, Kazakhstan, Uzbekistan, Afghanistan and Pakistan. We want to move with China and other routes countries in this framework..”

Politic Messages “This initiative, especially against the emerging terrorism in the world, will be an attempt to destroy terrorism. I think this cooperation that will benefit everyone will succeed as a model. As Turkey we are ready to give all kinds of support for this.”

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Economic Messages “We would like to increase cooperation between the two countries in the fields of economy, trade, investment, energy and defense industry.”

USA May, 15

President Recep Tayyip Erdogan made a visit to the United States (USA) on May 15-16, 2017 to meet with US President Donald Trump and to hold various contacts. President Erdogan, welcomed by the authorities in his arrival to Washington’s Andrews Air Base in Washington, later moved to Blair House, where he was staying. President Erdogan met with the White House official ceremony on Tuesday, May 16, 2017 by US President Trump. President Erdogan, who greeted the journalists by shaking hands with US President Trump on his way down from the authority, then signed the honor book. President Erdoğan and US President Trump held a press conference after their first meeting in the Oval Office. President Erdogan attended the lunch given by US President Trump in honor of the White House after the press conference. Meetings were also held between the delegations in the dinner. Later, President Erdogan, who accepted the CEOs and fund managers of US opinion leaders and leading US companies, returned to Turkey after his contacts.

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Politic Messages “In fact, we are already in close cooperation with United States in key organizations such as the the UN, NATO and the G-20. In the upcoming period, we intend to further increase dialogue and solidarity in each area.” “It is of great importance that we have a common solidarity against all the terrorist organizations in our region, especially ISIS. We are determined to fight without discriminating against the terrorist organizations that threaten our common future.” “Likewise, we should not allow those who wish to change the belief and ethnic structure of the region by pretending to be the activities of terrorist organizations. Those who want to turn the chaos in Syria, Iraq, Yemen and Libya will eventually lose it. Solidarity and close cooperation of the two allies are the cradle to eliminate the murderous bloody networks.” “I would like to express my gratitude to Mr. President for his kind invitation and hospitality and to welcome them to our country in the near future with his family.”


The Turkish Perspective

fdı ınflow to rıse ın fırst half of 2017

According to the Ministry of Economy, in the period between 2010 and February 2017, 140 billion dollars of direct capital income came to Turkey, of which 128.5 billion dollars came from 20 countries. In other words, the share of the 20 countries in the total investment was recorded as 91.7 percent.

A

fter the economic crisis that started in the US in 2008 spread to the world, foreign direct investments in the world have come to an end point. But as the fluctuations in world economy slowed down and sent signals of recovery, the amount of foreign direct investment began to return to levels before the 2008 crisis. In many recent data releases, it is possible to see signs of a recovery in foreign direct investment. According to the World Investments Report of United Nations in 2015, global flows of foreign direct investment rose by about 40 percent, to $1.8 trillion, the highest level since the global economic and financial crisis began in 2008. In this period, the rate of foreign direct investment made in developed economies increased by 12% to 576 billion dollars. This figure shows that developed economies have a share of only 39% of the total foreign investment made around the world. This data shows us that the developed countries are going through the period of the least direct foreign investment in their history. In the same period, the amount of foreign direct investments made in developing economies has reached a record level of 759 billion dollars. Among the developing economies, the region with the highest direct foreign investment inflow is the Asian region. In this list Asia is followed by South America, Caribbean and Africa.

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FDI in Turkey

Turkish government makes room for new investors as Turkish economy is open economy which impact Turkey’s growth positively over the last decade and Turkey has growth potential among developing countries. In particular, Turkish government makes reforms and has an advantageous for demographic structure approximately 74.6 million because this involves in dynamic, skilled workforce, a stable political and economic environment. Thanks to the emerging markets, Turkey plays a crucial role in the global economy and world trade. Direct foreign investment amounts are also trending in parallel with global trends in Turkey. Having experienced one of the highest foreign direct investment inflows in the Republican history in 2008, the year of the global economic crisis, Turkey succeeded in attracting foreign direct investment at the level of approximately 20 billion dollars in 2008. However, the amount of foreign direct investment that started to fall in the global world with the 2008 crisis showed itself in the Turkish economy as well. While the amount of foreign direct investment in Turkey in 2009 was around 8.6 billion dollars, the foreign direct investment figure for 2010 was 9 billion dollars. In parallel with the recovery in the world economy, the amount of direct foreign investment in Turkey, which has risen significantly in 2011, has been realized as 16 billion dollars in the year. After a decrease of $ 3 billion in 2012, the amount of foreign direct investment in Turkey in 2013 was recorded as $ 10.1 billion. Since the beginning of 2014, the recovery in the global economy has also been reflected in the Turkish economy.

FDI INFLOW TO TURKEY US BILLION 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006

12.8 12.9 13.6 9.1 8.6

17.6 16.2 19.9

22.0 20.2

0

5

10

15

20

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Data: Central Bamk of the Republic of Turkey

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The recent positive developments in foreign direct investment in Turkey reveal an important fact. The increase in foreign direct investment is not only dependent on the performance of the local economy, but also on the course of the global economy. Besides the global economic climate that will enable the existence of the capital that can be used as a foreign direct investment as well as the experience of the last period of Turkey, Turkey’s recent economic growth as well as the high economic growth shown by the Turkish economy will be of interest to foreign investors. However, it should be emphasized that it is necessary to make legal arrangements which can provide convenience for foreign investors with taxation or procedural transactions, such as economic performance is not enough to attract direct foreign investment, complementary to that of Turkey, and they should be supported by a consistent incentive mechanism. Turkey has a profitable geographical location and large domestic market. In regard to this, these conditions enable them to become global business location which enhances Turkey to become a center of operations for multinational companies. It tenders investors to have confidence and there lots of the privatization

Turkey has a profitable geographical location and large domestic market.


The Turkish Perspective

Top 20 Countries Invest in Turkey According to the Ministry of Economy, in the period between 2010 and February 2017, 140 billion dollars of direct capital income came to Turkey, of which 128.5 billion dollars came from 20 countries. In other words, the share of the 20 countries in the total investment was recorded as 91.7 percent.

20 Lebanon An investment of 1 billion 285 million dollars has been made from Lebanon to Turkey between 2010-2016. January-February 2017 direct investment amount is 1 million dollars. The share of investment from Lebanese companies in total direct investment is 0.9 percent.

19 Qatar

of state-owned companies which encourage investors to make an investors in order to increase the rate of FDI. Providing that policymakers remove the barriers to foreign direct investment, Turkey will enhance in FD. However, Turkish government handles these problems. Thanks to incentives policies and tax regulations generate new working conditions for investors. In conformity with Article 4875 of foreign direct investment law, the principles contribute to encourage for foreign direct investments and this regulation implies to protect the rights of foreign investors, to raise foreign direct investments through established policies. In addition to this regulation, foreign investors shall be subject to equal treatment with domestic investors. Moreover, there are no transfers problem as foreign investors can freely transfer abroad which are net profits, dividends, proceeds from the sale or liquidation of all or any part of an investment, compensation payments, amounts arising from license, management and interest payments arising from foreign loans through banks or special institutions. Taking everything into account, Turkish government has reinforced investment in all industries by creating a conducive and competitive investment climate.

Qatar has invested $ 1 billion 476 million dollars in Turkey between 2010 and 2016. January-February 2017 direct investment amount is 10 million dollars. The share of investment from Qatar companies in total direct investment is 1.1 percent

18 Kuwait Between 2010 and 2016, an investment of $ 1 billion 579 million came from Kuwait to Turkey. JanuaryFebruary 2017 direct investment amount is 2 million dollars. The share of investment from Kuwait companies in total direct investment is 1.1 percent

17 Saudi Arabia Saudi Arabia invested 1 billion 949 million dollars to Turkey in 2010-2016. January-February 2017 direct investment amount is zero. The share of investment from Saudi Arabian companies in total direct investment is 1.4%

16 Japan Between 2010 and 2016, Japan invested 2 billion 199 million dollars to Turkey. January-February 2017 direct investment amount is 18 million dollars. The share of investment from Japanese companies in total direct investment is 1.6 percent

15- Switzerland Between 2010-2016, an investment of 2 billion 448 million dollars came from Switzerland. JanuaryFebruary 2017 direct investment amount is 28 million dollars. The share of investment from Swiss companies in total direct investment is 1.8%

14 Italy Italy invested 2 billion 959 million dollars to Turkey in 2010-2016. January-February 2017 direct investment amount is 8 million dollars. The share of investment from Italian companies in total direct investment was 2.1 percent

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13 United Arab Emirates United Arab Emirates invested 4 billion 165 million dollars between 2010 and 2016 to Turkey. January-February 2017 direct investment amount is 4 million dollars. The share of investment from UAE companies in total direct investment is 3.0 percent

12 Azerbaijan Azerbaijan invested 4 billion 899 million dollars in Turkey between 2010-2016. January-February 2017 direct investment amount is 129 million dollars. The share of investment from Azeri companies in total direct investment was 3.6 percent

11 Russia Russia has invested 5 billion 182 million dollars to Turkey in 2010-2016. JanuaryFebruary 2017 direct investment amount is zero. The share of investment from Russian companies in total direct investment was 3.7 percent

10 France France has invested 6 billion 850 million dollars in Turkey between 20102016. January-February 2017 direct investment amount is 6 million dollars. The share of investment from French companies in total direct investment is 4.9 percent

9 Greece Greece invested 6 billion 867 million dollars in Turkey between 20102016. January-February 2017 direct investment amount is 6 million dollars. The share of investment from Greek companies in total direct investment is 4.9 percent

8 Spain Spain invested $ 7 billion 636 million between 2010 and 2016. JanuaryFebruary 2017 direct investment amount is 19 million dollars. The share of investment from Spanish companies in total direct investment was 5.5 percent

7 Belgium Between 2010 and 2016, Belgium invested 8 billion 209 million dollars. January-February 2017 direct investment amount is 3 million dollars. The share of investment from Belgian companies in total direct investment is 5.9 percent JUNE 2017 ISSUE 47

6 Germany Germany has invested 8 billion 851 million dollars to Turkey in 20102016. January-February 2017 direct investment amount is 51 million dollars. The share of investment from German companies in total direct investment is 6.4 percent

5 Luxembourg Luxembourg invested 8 billion 985 million dollars in Turkey between 2010-2016. January-February 2017 direct investment amount is 20 million dollars. The share of investment from Luxembourg companies in total direct investment is 6.4 percent

4 UK Between 2010 and 2016, 9 billion 538 million dollars of investment came from United Kingdom. January-February 2017 direct investment amount is 10 million dollars. The share of investment from British companies in total direct investment is 6.8 percent

3 Austria Austria invested 9 billion 759 million dollars in Turkey between 2010-2016. January-February 2017 direct investment amount is 55 million dollars. The share of investment from Austrian companies in total direct investment was 7.0 percent

2 USA Between 2010-2016, 11 billion 198 million dollars of investment came from the United States. January-February 2017 direct investment amount is 16 million dollars. The share of investment from US companies in total direct investment is 8.0 percent

1 Netherlands The Netherlands has invested 22 billion 15 million dollars in Turkey between 2010-2016. JanuaryFebruary 2017 direct investment amount is 89 million dollars. The share of investment from Dutch companies in total direct investment is 15.8%


The Turkish Perspective

Steps to Become

Natural Hub Despite all the negativities that have taken place, 2016 has been a year in which Turkey has made many breakthrough moves in various fields.

O

ne of the major breakthroughs realized is the energy field. Turkey is not a selfsufficient country in terms of energy. The country, whose resources are limited by energy, meets its demand by importing its energy needs. This import is one of the most important factors of Turkey’s current account deficit. This import volume is one of the most important factors of Turkey’s current account deficit. Again, this import volume makes Turkey dependent on the outside and poses a problem in terms of security policies. In 2016, Turkey has developed a policy consistent with its foreign policy to provide energy supply security. Instead of meeting its energy needs from a single geography and region, Turkey has contacted with various geographies that is close and far from herself. On the basis of this policy, Turkey has increased its efforts in energy supply security and resource diversification. In this context, Turkey has taken pioneering steps to guide global energy trade with countries such as Russia, Qatar and Azerbaijan. Turkey’s energy consumption continues to grow with each passing year, along with the growing economy. On the one hand, Turkey, which meets most of its needs from foreign markets in order to meet the energy demand, is also working on using its domestic resources. The first step of this policy is to promote domestic resource use in Turkey, to reduce the share

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of natural gas in electricity generation and to increase the share of renewable energy, and to have a certain nuclear energy power to secure energy supply security. Having maintained its stability in its economic growth, Turkey has gone to meet the increasing energy demand for the provision of energy supply security from different countries and sources. In particular, the high dependence on natural gas imports to Russia stands as a driving force in Turkey’s energy resource diversification. When the developments experienced in 2016 are observed, there have been many developments that can be shown as an example of this situation. Turkey is among the fastest rising countries with the demand for energy within the Organization of Economic Development and Cooperation (OECD) countries, whose energy requirement is increasing every year with the developing economy. The share of coal, oil and natural gas in the energy consumption of Turkey, which has the highest energy demand increase after China, is quite high. The amount of coal consumed by Turkey in 2015, which is devoid of energy resources, is equivalent to 34.4 million tons of oil, 38.8 million tons of oil and 43.6 billion cubic meters of natural gas. In 2016, large energy projects have made an important echo. The future of the Turkish Stream natural gas pipeline became uncertain after the Russian plane shot in November 2015. However, there has been no negative development in energy between the two countries, which are dependent on each other in natural gas trade. Turkey, which meets more than 50% of its natural gas needs in this country, continued to import natural gas from Russia throughout 2016. During the ongoing process, the differences of views between the two countries have been reduced and opinions have been exchanged on the Turkish Stream project. In this context, an intergovernmental agreement was signed by the President of Russia Vladimir Putin on October 10, 2016 in the 23rd World Energy Congress in Turkey. It is planned that the Turkish phase of the Turkish Stream project, which envisages transporting some of the Russian natural gas to Turkey and Europe, will be two pipelines in total. This project, which will carry 31.5 billion cubic meters of natural gas in total. JUNE 2017 ISSUE 47

Turkey is among the fastest rising countries with the demand for energy within the Organization of Economic Development and Cooperation (OECD) countries.

The construction works of TANAP, another project that reveals the advantages of Turkey’s geographical location as well as the Turkish Stream project, continued at the latest speed in 2016. It is expected that TANAP, the most important phase of the Southern Gas Corridor (GGK), which plans to transport Azerbaijani natural gas to Turkey via Europe, will start to work in 2018 and will deliver 6 billion cubic meters of natural gas to Turkey in the first stage. In 2016, talks between Turkey and Israel energy ministers and negotiations on the possibility of delivering Israel’s natural gas to Turkey’s EU markets were started. The fact that Turkey is the least costly route to exporting Israel’s natural gas makes it clear that these negotiations will bring about new agreements in the coming periods. One of the sources that will support Turkey’s energy resource and market diversification policy is liquefied natural gas (LNG). Turkey, which continues to strengthen its position in the LNG market and

accelerates its investments in this direction, imported 7.5 billion cubic meters of LNG according to the data of the year 2015. In the ranking of the world LNG importing countries, Turkey ranks eighth. Turkey, which has to invest in new terminals in addition to two gasification terminals it owns, also needs to benefit from the LNG prices that have fallen in recent years. In this context, it is expected that the share of LNG in total gas consumption will increase in the coming periods, which has started to gain an important place in Turkey’s energy policy. Another one of the most critical issues discussed during 2016 is the future of natural gas storage facilities. TANAP and Turkish Stream projects, as well as new projects, increased the need for Turkey’s natural gas storage facilities. In this context, in addition to the Silivri natural gas storage facility with a capacity of 2.6 billion cubic meters, the construction of a 1.1 billion cubic meters capacity Tuz Gölü natural gas storage facility has been accelerated. In addition to all these, efforts towards energetic domestic production have been accelerated throughout 2016. Domestic production, which will contribute to the security of energy supply, has come to the fore in recent years. November 1, 2016 held on the “1. Coal Action Plan Workshop “, it is stated that investments on domestic coal production will be accelerated. In addition to the domestic production planned to be increased, it is expected that the investments will give serious contribution to the economy of Turkey in the fields of employment, development and strategy in the coming periods.


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The Turkish Perspective

TURKEY, HEAVEN ON EARTH Turkey has long been a major tourism destination for tourists from diverse regions of the world. Touristic activities offered by Turkey are astonishingly various, increasing the country’s potential to a higher level than that of an ordinary country. By mustafa yiÄ&#x;it

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I

n the early seventies Turkey was an insider’s tip for hippies, backpackers, globetrotters and a few enthusiasts of history and culture. But with the beginning of the eighties Turkey witnessed a steady boom in tourism and double-digit growth rates almost every year. This boom started with the decision of Turgut Özal, the former prime minister and president of the Republic of Turkey, a visionary politician who understood that tourism is a very important branch of world economy. His government declared several suitable places at the southern coast of Turkey as tourism development regions and allowed the building of new hotels on plots of lands rented for 49 years and also endowed many companies with necessary credits in order to start them into business. Beginning with this decision Turkey has witnessed at least one new hotel built every month, and the generousness of these new Turkish hotels along with the generosity of Turkey concerning food, culture and beautiful landscapes enthused millions of Europeans within a few years. Turkey all of a sudden emerged as the most preferred holiday destination of many tourists, travellers with cultural interests or just looking for recreation, but also for many people looking out for luxury and lifestyle. With the breakup of the Soviet Union at the beginning of the nineties and the subsequent opening of this huge mass of land for voyages abroad Turkey all of the sudden became the very first holiday destination for the first Russian tourists, and later on one of the best-loved, maybe even the holiday destination par excellence for most Russian citizens. Thus the number of Russian tourists visiting Turkey steadily year by year increased, and with this new and very big group of visitors emerged facilities catering to their tastes: luxury hotels with pretentious rooms, very big wellness and spa departments, and also Turkish nightlife in the region of

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Turkey can be reasonably sure to have a foreign currency inflow amounting up to 30 billion USDollars from April until the end of November each year.

Antalya all of a sudden evolved into a major entertainment industry with international stars and starlets. Along with this the Turkish economy in general witnessed wonderful growth rates, thus supporting an increase in congresses, meetings and political summits held in Turkey, which on their part awoke the interest of national and also international investors, leading to new sports and maritime sports facilities built along with the new hotels. For instance the number of marinas in Turkey increased considerably, and some of them received worldwide recognition.

TOURISM’S: IMPACT ON ECONOMY

Tourism always had a very good effect on the general economy of Turkey as well, because Turkey can be reasonably sure to have a foreign currency inflow amounting up to 30 billion USDollars from April until the end of November each year, which circulated in the economy creating a mostwelcome affluence and providing small companies, retailers and tradespeople on the coast with a guaranteed income due to the many visitors from abroad. Turkey´s success was not limited to the building and management of very good hotels meeting the demands of millions of European guests but amazingly companies led by Turks or Europeans from Turkish origin in Russia, China, Europe, Germany and also Latin America who started to send visitors by way of the tour operator companies founded by them. Along with these companies Turkish Airlines, from a relatively moderate


The Turkish Perspective

Turkey will strive to become more independent from a few select countries, but also from the so far limited number of tourist and product profiles in order to achieve more flexibility.

airline, within just 15 years was developed into the biggest airline of the world in terms of number of flight destinations world wide, but also hotel sales and marketing managers and travel agency sales managers from Turkey are seen everywhere in the world. According to these facts we could say that very good marketing abroad along with a very high quality offered in Turkey are the best means used by Turkish tourism managers to develop and support their sector. All these helped Turkey to experience about 15 years of trouble-free times of success in tourism. Even wars in the vicinity, global economic crises, major political turbulences on several continents, all these have not been able to harm Turkish economy and tourism against all expectations. On the contrary, tourism in Turkey emerged of all these crises even stronger than before – until last fall.

WHAT WILL HAPPEN IN THE FUTURE?

The situation changed a little bit all of a sudden last fall, when the shooting of a Russian military jet became the reason for a sharp decrease in the number of Russian tourists, followed by the bomb attack on German tourists in January 2016 on the Sultan Ahmet square in Istanbul, which resulted in the drop of visitors from Europe and mainly from Germany. Tourism Minister Nabi Avcı told Anadolu Agency he expected better visitor numbers in 2017, after a “difficult year”. “Last year was a difficult year in terms of Turkish tourism (but) a serious bottleneck passed,” Avcı said, adding the industry was recovering and the number of tourists coming to Turkey so far this year had increased about 50 percent. He also noted the Russian market had shown a serious recovery. “If European

politicians minimize their racist and xenophobic discourses to influence their citizens negatively, we will see that the number of [European] tourists will increase much faster for Turkey,” Avcı added. Hakan Duran, chairman of Professional Hotel Managers’ Association on Thursday said his members expected to host about 3.5 million Russian and 1.5 million Ukrainian tourists in Turkey’s southern province of Antalya this year. He said there had been a 3,500-visitor increase compared to the same period of last year. After a short period of stagnation and waiting at standby, the leaders of tourism in Turkey are planning to use this very serious crisis in tourism as the starting point for structural changes, especially relating to topics like products, quality, tourist profiles, new markets, and new visions. Turkey will strive to become more independent from a few select countries, but also from the so far limited number of tourist and product profiles in order to achieve more flexibility. Thus Turkey will try to develop new sending regions in Latin America, Far

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East, Middle East, and Scandinavia and also in Africa, Turkey will make new contracts and will open up ways for new visitors to reach Turkey. Recovery from crisis for tourism managers in Turkey means diversification, class instead of mass, and a healthy mixture of customers and products. Since the Turks are well known to be open-minded, quick, flexible, industrious and resilient, we will witness a new kind of tourism economy developing in Turkey – and this is an expectation also supported by some important international institutions observing and studying tourism. This new tourism will not rely on beautiful landscapes and the traditional hospitality of the Turkish people but also emphasize investment opportunities and business partnerships along with cooperation with all kinds of interested international companies and businessmen. Speaking to foreign journalists at the International Media Forum 2017 in the Turkish Mediterranean resort province of Antalya, Avcı noted that preparing a common tour package along with regional countries would be a significant development. “It could be a serious development if we can include Greece, Egypt, Spain and Italy in the [project],” he said, adding that Israel was also willing to join such an exclusive tour package. Avcı noted that Turkey should turn to alternative markets rather than depend on markets such as Russia or Germany. The Middle East has become a new market for the Turkish tourism sector, he added, saying that Arabs choose Turkey for its proximity, quality of service and

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Turkey’s tourism potential is comparable to that of a continent, not a country.

reasonable prices. “Turkey is a country as safe as Germany, France, Belgium and the United States,” he said. “Turkey is one of the safest countries in the world.” Turkish tourism will become more self-supporting and stable, but also more open and sustainable. Times are not easy – but they offer new opportunities as well. This is the slogan prevalent amongst top tourism leaders in Turkey. The country is now planning to increase the awareness that although it has been a target for terrorist attacks, it is the only stable, secular and democratic country in the region with a long, serious tradition, strong ties with all prominent countries in the world. As attacks in Paris or other European cities caused solidarity and support, not fear and abandonment, Turkey expects the same and conveys its message to the rest of the world. Main advantage of the country is its diverse touristic offerings: Turkey’s tourism potential is comparable to that of a continent, not a country. One can experience winter sports, sun & beach activities, cultural tours and all other kinds of unique activities within the same season. What’s more, Turkey offers all these at an affordable price and all income-based classes are able to find opportunities for their taste and income. This strength, combined with Turkey’s promotional campaigns and firm determination to demonstrate that terrorism is not going to daunt the country’s battle against all kinds of terrorism, will surely bear fruits.


Brands / Lorem

The Turkish Perspective

Content: Dimes Grows Global Footprint P57 Arçelik Wins Prestigious Ruban d’Honneur P59 Choosing The Right Nickel For Increasing Productivity P60 Editor: Mustafa Yiğit

food, Award, export...

food

Foodex Japan 2017:

DİMES GROWS GLOBAL FOOTPRINT

It is among our priorities to create value for Turkey and its farmers with our valueadded products and exports.

Turkey’s top fruit juice producer and a leading soft drinks brand, DIMES continues to expand and grow its international markets. . By serpil kasap

T

urkey’s first national fruit juice investment, DİMES is today the largest producer and a leading soft drinks brand. The DİMES is also available in more than a hundred countries that form the company’s export markets in a vast geography. DİMES made a strong move towards its goal to grow in Japanese market, and showed presence in Supermarket Trade Show and the Foodex Japan 2017

fair – which gathered over 82 thousand participants from 78 countries. These two events are considered as the most important trade gatherings in the market. “Our exports were at TL 30 million in 2016, and exports to Far East markets constitute 26 % of our international sales” said Ozan Diren, DİMES General Manager. He stated that the Far East markets, namely Japan,

China, Hong Kong, Malaysia and Philippines presented a strong growth potential for the company’s products. “Fresh Side of Life is beyond a simple brand motto for us” said Diren, “It summarizes our philosophy to see a different side of life; to see the major impact towards better than can be achieved by seemingly simple choices in everyday lives. This is how we look at life and our business; and

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this is the source for our Respect for Humans, Respect for Nature principle, which resonates strongly with consumers in this geography. Far Eastern people have a long history of placing wellness and naturalness in the center of their lives and lifestyle choices. They look differently, and see a Fresh Side of Life, just as we do as a brand. This shared value is the source of the growing consumer interest on our 100% Fruit Juice products.” Value Added Exports with 100 % Fruit Juice, Made from Turkish Oranges “We believe in the miracle of fruits, and think that this miracle should benefit anyone, anytime, anywhere” said Ozan Diren, “Our 100% fruit juice products make this real, for they form a healthy and fun way to enjoy fruits in liquid form, when and where ever there is a taste for it. These products also offer added value for farmers, with better income. We think that our industry has a responsibility for Turkish economy; and it is among our priorities to create value for

The Story of Dimes

These products also offer added value for farmers, with better income.

Turkey and its farmers with our value-added products and exports. For instance, we are the first producer to use Turkish oranges for 100 % juice production, with a dedicated line in our Aydın production facility” A Market with High Potential, but Not Without Challenges Japan is a big importer for agricultural goods; and the country’s food imports, in line with its strong dynamics, exceed $ 60 billion a year. However, Japan forms a unique, challenging market

profile, due to the country’s uncompromising approach for quality in food imports, joined by the consumer profile shaped by strong personal choices and principals. “We Appeal Not Only the Pallets, But Also the Hearts & Minds” DİMES’ 100 % Fruit Juice products and the company’s vertical integration production system, which ensure total quality from sapling to product, are its strongest assets as the brand journey evolves in this

As the first fruit juice brand that was established with domestic capital in Turkey, it is sure about the quality of DİMES’ products for several generations because they manage all processes from seeds to the moment, when DİMES products reach your house, based on our deep-rooted quality values. They make all choices with sense of responsibility, including selection of suitable fruits for DİMES, transportation of that fruits to our factories by our own trucks within a period of 24 hours, and get inspired by using traditional storage methods in production. DİMES do not use any preservatives in their products, because they have witnessed this miracle of fruits for many years and aware of the importance of a little choice and how it can make a big difference. Today, DİMES keeps working tirelessly thanks to our passion for the plain form of fruit; pride and responsibility for being the biggest fruit juice producer and being the most consumed fruit juice brand in households in Turkey and export their products to over 100 different countries.

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promising, yet challenging market. “We were thrilled by the interest on our brand and products in both fairs in Japan” said Diren; “the interest was specifically focused on our DİMES 100 % Moments products, which is a line of 100 % products presented in 700 ml glass bottles. Japanese consumers, as well as our business partners in the region make their choices based on their meticulous valuation of not only the products, but also of the producer philosophy for life and business. On the other hand, though, there is a tremendous potential, if you can win and sustain their trust. We are enjoying growth in this market with products that appeal pallets, as well as our corporate sprit and character winning hearts and minds, and forming a strong bond.” Ozan Diren also said that they aimed to expand the growth in other Far Eastern countries: “We have seen signals of strong potential, especially in our contacts during the Foodex fair. We aim to be an everyday life choice for Far Eastern people, with our products and corporate principles.”


The Turkish Perspective

importance of stakeholder engagement and social dialogue to ensure a better future.” This year the European Business Awards engaged with over 33,000 businesses in 34 countries across Europe. It is widely recognized as Europe’s largest and most significant crosssector business competition and is supported by key business influencers. The guiding principles of the Awards are “Innovation, Ethics and Success”.

Multi-Phase Award Process In the first phase of the EBA

award

Arçelİk Wins Prestigious Ruban d’Honneur

Arçelik A.Ş. has been the recipient of the prestigious Ruban d’Honneur Medal awarded by the “European Business Awards (EBA 2016/2017). By Ramazan Güzyurdu

T

he European Business Awards 2016-2017 (EBA), which recognizes and promotes business excellence and the best practices in the business world, were granted at an award ceremony held on 4th of May in Dubrovnik, Croatia. Arçelik A.Ş. was rewarded with one of the most prestigious awardsRuban d’Honneur medal - in the category of “Environment and Corporate Sustainability” Adrian Tripp, the Chief Executive Office of the European Business Awards presented the awards to Fatih Özkadı, Arçelik Sustainability and Corporate Affairs Director. In this award, Arçelik has thus become one of the top 10 companies across Europe, to receive this award in the category of “Environment and Corporate

Sustainability”. Özkadı expressed his gratitude by saying: “The European Business Awards is a widely recognized and internationally acclaimed platform, which gathers together the most dynamic businesses throughout Europe. We are very proud to be awarded this medal, which is an endorsement of our diligent efforts in environmental and corporate sustainability. As a responsible, conscious manufacturer, we are pioneering the production of energy efficient products in Turkey, as well as designing recyclable products. We are working eagerly to exceed beyond requirements in the scope of environmental, social and corporate governance and believe in the

In this award, Arçelik has thus become one of the top 10 companies across Europe, to receive this award in the category of “Environment and Corporate Sustainability”.

award evaluation process, Arçelik A.Ş was selected as one of the 10 National Champion who would compete for the higher categories. During the second phase a team from Arçelik A.Ş. were invited to Amsterdam to present the company’s highlight activities in environmental sustainability. Arçelik emphasized its waste management and recycling operations in the selection process. Arçelik A.Ş who is the first and only company to establish its own recycling facilities demonstrated its works in 2 recycling facilities in Eskişehir and Bolu. Following the assessment of a distinguished jury (comprising Head of the Jury, President of the International Customer Service Institute Philip Forrest; Former Italian Minister of Environment Hon. Alfonso Pecoraro Scanio, Partnership Director of the Climate Group Ben Ferrari, Utrecht University Adviser Prof. Jacqueline Cramer and Head of European Environment Agency Lars Mortensen), Arçelik A.Ş. was deemed worthy of the Ruban d’Honneur award.

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Brands / Vilmeks

export

VILMEKS:

CHOOSING THE RIGHT NICKEL FOR INCREASING PRODUCTIVITY

Vilmeks has begun to organize sectoral meetings in order to clarify and correct common mistakes about nickel metal.

Vilmeks organized an important event in collaboration with Nikkelverk, a Glencore company of which it acts as the exclusive distributor in Turkey. By SERPÄ°L KASAP

A

t the sectoral meeting, leading Turkish companies using nickel in their production operations or dealing with nickel plating business were given tips for choosing the right nickel for increasing productivity in addition to disclosure of the up-to-date information about the nickel market. Vilmeks is the exclusive Turkish distributor of Nikkelverk that is an affiliate

JUNE 2017 ISSUE 47

of Glencore, one of the largest natural resource commodity companies in the world. Vilmeks has begun to organize sectoral meetings in order to clarify and correct common mistakes about nickel metal. As a company meeting more than half of the nickel requirement of Turkish industry, Vilmeks organized the first of these meetings on May 11, Thursday at Istanbul, SwissĂ´tel the Bosphorus in

Nickel is used in various industries including but not limited to electricelectronic, automotive, white goods, furniture, chemicals etc.

collaboration with Nikkelverk, known for producing nickel of the highest purity in the world, hosting around 150 representatives from companies either using nickel in their production operations or dealing with nickel plating business. Shareholders, senior managers, engineers and procurement officers of leading Turkish automotive, white goods, electric-


The Turkish Perspective

electronic, furniture, fittings and packaging manufacturers and sub-industrial companies as well as companies dealing with nickel trade participated in the meeting with a view to receiving important up-todate information about nickel. “Vilmeks meets more than half of nickel requirement of Turkish industry” Mine Ürer, Vilmeks Metal Division Manager, held the opening speech of the seminar focusing on technical information about “Proper practices for nickel anode selection and operation”. Mine Ürer pointed out that Vilmeks supplies a wide range of raw materials mainly consisting of iron-steel products, nickel metal and nickel salts, and ferroalloys to industrial customers and traders around the world as one of the largest trading companies in Turkey. Indicating that Vilmeks meets more than half of the nickel requirement of Turkish industry, Ürer underlined that the company also acts as the exclusive Turkish distributor of Nikkelverk, a company affiliated to global naturel resource giant Glencore and Vilmeks meets more than half of the nickel requirement of Turkish industry.

recognized for producing nickel of the highest purity in the world. Nickel which is used for producing steel and non-ferroalloys including, specifically, stainless steel is widely preferred for electroplating processes thanks to being a quite hard and strong metal with high resistance against corrosion. Ürer said: “Nickel plating adds a decorative outlook to products with its polished surface in addition protecting other metals. In addition to being easily processed in cold and hot form, nickel can preserve its resistance in high temperatures and its consistency and toughness in temperatures below zero. Having a wide range of use based on chemical

and physical properties, nickel is used in various industries including but not limited to electricelectronic, automotive, white goods, furniture, chemicals, energy, construction, foodstuff, transportation and telecommunication as well as production of metallic commodities such as kitchenware, fittings, construction hand tools and medical equipment.” Glencore owns the three largest nickel production plants in the world The meeting continued with the presentation made by Owen Gibbs, Manager of Glencore who provided information about Glencore, the global natural source giant, and Nikkelverk, one of the most productive nickel refineries in the world in addition to updating participants about the developments in nickel market. Owen Gibbs began by explaining that Glencore owns 150 plants operating on mining, metallurgy, oil drilling and agriculture all over the world and went on: “As a company which owns the

three largest nickel production plants in the world, we produced 153 thousand tons of nickel including third party productions in 2016. Glencore is one of the largest recycling and processing companies for nickel and cobalt based substances in the world thanks to an annual volume of around 60 thousand tons. We are dealing with the trade of a wide range of nickel products from nickel ore to nickel with a purity as high as 99.99 per cent. We consider sustainability an indispensable part of our operating methods according to which we continuously strive for upholding our performance in terms of human rights, health and safety, environmental protection and compliance with laws.” Global demand for nickel is expected to rise As Gibbs evaluated the current developments in global nickel market, he stated that the global demand for nickel continued to grow in 2016 thanks to various factors including the vitality in Chinese stainless steel industry, strong developments with battery industry and stability and early vitality signs in oil and gas market. Expressing that the positive signs in nickel market continue as of early 2017, Gibbs concluded his words by assuring the participants that “Nickel will be valuable for the future societies based on the increasing resource efficiency, requirement for long-lasting products, lightness, energy efficiency in production and utilization phases as well as its reusability and recyclability. Hence, nickel industry will continue to grow in a sustainable manner.”

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Agenda

FAIRS, EXHIBITIONS, SUMMITS AND MEETINGS IN THE NEXT MONTH

08-10 JUNE

İSKİF 2017 İstanbul Career and Employment Fair ISTANBUL EXPO CENTER

JUNE

06-08

İstanbul Career and Employment Fair is a B2B event organized by İstanbul World Trade Center and focused on education, training, defense technology and security industries.

Dosso Dossi Fashion Show

Chinese Homelife Turkey 2017

TİTANİK HOTEL BELEK ANTALYA 08-13 JUNE

İSTANBUL EXPO CENTRE 01 – 03 JUNE

At the Dosso Dossi Fashion Show to be held in Antalya from 8 to 13 June, the top model Adriana Lima, as well as Victoria’s Secret Angels Isabeli Fontana and Ana Beatriz Barros will walk on the podium. Dosso Dossi Fashion Show’s Brazilian angels will turn the podium at The Land of Legends Theme Park into a Rio Carnival. The Dosso Dossi Fashion Show will be unforgettable because it will be the first event in Turkey that which four angels of Victoria’s Secret walk on the podium. Laser, water and light shows will take place in The Land of Legends Theme Park after the fashion show.

JUNE 2017 ISSUE 47

WOW KREMLIN PALACE ANTALYA

Leather and Fur Garment Products Fair is a B2B business activity. Leather and Fur Garment Fair organized by ARTI Fairs aims to bring together international exhibitors and visitors in Leather Processing and Shoe Machinery, Leather and Shoes and Handbags sectors.

The 4th edition of the China Homelife Trade Show Turkey will bring you over 700 superior Chinese suppliers from the home products category, presenting a lucrative opportunity for importers, traders and buyers to source high quality products directly from manufacturers at competitive prices. China Homelife is organized annually in 11 countries across the world –Turkey, Poland, Mexico, Egypt, Brazil, Jordan, Kazakhstan, South Africa, India, UAE, Iran. With 22 years’ experience in the market, Meorient International Exhibition Co Ltd is committed to maximizing network opportunities for importers, wholesalers and volume buyers with dependable Chinese manufacturers.

Leather and Fur Garment Fair

JUNE

02-21

36th Book and Culture Fair ANKARA KOCATEPE MOSQUE

The “Book and Culture Fair”, which will be held this year, will meet book lovers in Kocatepe Mosque courtyard in Ankara and Beyazıt Square in İstanbul. Organized by Turkish Religious Foundation Vakıf Fairs Company, the application process started for the participation of publishers.


63

Figures THE LEADING COUNTRIES OF TURKEY’S EXPORT

Turkey’s export are continuing to grow with an unstoppable rising among these countries. thousand $

1.097.021

GERMANY

729.169 716.169 692.701 673.112

UK USA ITALY IRAQ

517.275 490.791 426.470

SPAIN FRANCE UAE

291.990 276.199

SAUDI ARABIA

2017

GROWING FORCES OF TURKEY

aprıl STEEL EXPORTS TO ALL THE WORLD

According to Turkish Exporters Assembly (TİM) data, April 2017 exports were 43 billion 427 million TL with an increase of 34 percent compared to April 2016.

Change rate in steel exports made to different regions in the first four months of 2017 compared to the first four months of 2016

NETHERLANDS

APR 2016

APR 2017

CHANGE RATE%

Steel

1,97 bln. TL

3,74 bln. TL

89,66

Jewellery

0,70 bln. TL

1,27 bln. TL

80,99

Olive and olive oil

45,56 mln. TL

101,1 mln. TL

121,89

Automotive

5,79 bln. TL

8,14 bln. TL

45,09

TOTAL

32,34 bln. TL

43,42 bln. TL

34,2

SECTORAL EXPORT

Olive and olive oil, steel, jewellery and automotive sectors took the lead with the most increase rate among the other sectors.

Data: TİM

REGIONS

1 JAN.– 30 APR. 2016

1 JAN.– 30 APR. 2017

EUROPEAN UNION

643mln.$ 1.33 bln. $ 107,35

NORTH AMERICA

318mln.$ 519mln.$

63,01

CENTRAL AND SOUTH AMERICA

121mln.$ 258mln.$

113,49

GRANDTOTAL

2,8bln.$

42,79

4 bln. $

CHANGE RATE%


64 Figures

GERMANY

9,28

BELGIUM

1,98

NETHERLANDS

2,33

FRANCE

4,21

UK

5,96 USA

5,12

share of tOP 20 COuNTRIES IN total export (%) Turkish export shares to most prominent 20 markets in April 2017.

SPAIN

3,99

poland

2,07

ITALY

RUSsıa

5,62

1,36

ROMANIA

1,91

BULGARIA

1,66

china

1,80

IRAN

ıraq

5,70

saudı arabıa

2,03

Algerıa

1,27

Data: TİM

JUNE 2017 ISSUE 47

2,10

ISRAEL

2,12

EGYPT

1,47

UAE

2,55


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