Turkey

TURKEY – STEADILY INCREASING EXPORTS OF INDIAN MMF TEXTILES

Turkey is one of the leading markets for Indian Man-Made Fibre Textiles. The exports to this market have been growing steadily and reached a level of 19% during 2013-14 and this trend has continued in the current year. It is expected that exports will show a higher growth in 2014-15.

GROWING TEXTILE MARKET

Turkey is a major supplier of Ready-made garments to the European countries. Despite the country domestically produces raw-materials and intermediaries like fibre, yarn and fabrics for its flourishing garmenting sector, these are inadequate and hence it imports substantial quantity of these textile material. Thereby, offering big scope for sourcing yarns and fabrics from India. Turkey’s total import of Textile and Clothing from World was over nearly US$ 12 billion in 2013. Its global import of textiles also was about US$ 10 billion during 2013 in which around 56% (US$ 6 billion) was of man-made fibre textiles. However, India’s share in Turkish total import of Man-made fibre textiles during 2013 was around US$ 557 million accounting for 9%. Hence, there is further scope for increasing exports of Indian MMF textiles to Turkey.  Product share in the export basket of Indian MMF textiles to Turkey was Yarn 71%, fibre 18%, fabrics 5% and Made-ups 6%. Main countries which supplied MMF textiles to Turkey were China, India, Indonesia, Korea Rep. Malaysia, Germany, etc.

IMPORT OF TEXTILE AND CLOTHING

Value in USD MN

Source: UN COMTRADE

IMPORT DUTY STRUCTURE OF TURKEY

Turkey’s import Tariffs (percent ad valorem) for Textiles and Apparel are as follows:

Additional Import Taxes and Fees

Customs surcharges including a VAT (value added tax) are levied on most imported, as well as domestic, goods including textiles. The importer is responsible for paying the VAT.  The VAT is calculated on a C.I.F. basis plus duty rate and any other applicable charges levied before the goods cleared at customs. A reduced VAT rate of 8% is applied on contract manufacturing for textile and ready-to-wear works.

Temporary Entry/Samples

Samples of no commercial value are admitted duty-free. Other samples are assessed duties and taxes at the time of import, but these are refunded if the samples are re-exported within six months from the date of import.

Major Countries exporting Man-Made filament products cover under Chapter 54 to Turkey

Major Import of textile products made out of Man-made filament (covers under chapter 54) by Turkey

Turkey currently imports a significant amount of MMF yarn from India and the major varieties are yarns, Polyester Filament Yarn, Synthetic Filament yarn, Polyester Viscose Yarn, etc. India’s main competitors in exports of yarns to Turkey are China, Indonesia, Vietnam, Korea Rep and Malaysia.

Major Countries exporting Man-Made Staple Fibre products cover under Chapter 55 to Turkey

Main Man-made Staple Fibre covered under chapter 55 imported by Turkey

Source: UN COMTRADE

Viscose Staple Fibre was one of the major MMF textile products  imported by Turkey during 2013 followed by Polyester staple fibre and yarn of Polyester staple fibre, etc.

INDIAN MMF TEXTILES EXPORT TO TURKEY

Turkey is a potential market for Indian MMF textiles as per the statistics given below:

Value in USD MN

Source : DGCI&S

India's main Items of export to Turkey during 2013-14

Fabrics       Polyester Filament Fabrics, Synthetic Filament Fabrics, Polyester Blended Fabrics, Polyester Viscose Fabrics                   Polyester Spun Fabrics

Made-ups    Muffler, Other Made-up, Shawls/Scarves                     

                   Blanket, Motifs                                                    

Yarn            Polyester Filament Yarn, Polyester Viscose Yarn                     

                   Polyester Spun Yarn, Polyester Cotton Yarn                           

                   Nylon Spun Yarn                    

Fibre           Viscose Staple Fibre, Polyester Staple Fibre

SRTEPC PROMOTIONAL PROGRAMME

The Council, as part of its Promotional Programmes had organized successful Events/Exhibitions in Turkey in recent past with encouraging results.  This time also the Council is planning to organize an exclusive Indian Textile Exhibition in Turkey during February 2015. The Council would like to organize this proposed Event in association with leading Business Chamber in Turkey with active support from Indian Embassy and the Consulate General of India. The Council requests all its member-exporters to participate in the Event massively and take advantage of the same

OPPORTUNITIES

Exports of Synthetic and Rayon textiles to Turkey were valued USD 556.87 Mn during 2013-14, registering a growth of 19% as compared to the previous year.

Yarn constitutes 71% of the total exports followed by fabrics 5%, Made-ups 6% and fibre 18%.

In the Yarn segment Polyester Filament Yarn, Polyester Viscose Yarn and Polyester Spun Yarn etc. were the main products exported to Turkey during 2013-14. However, there exist ample opportunities for increasing export of MMF textiles to Turkey. Since currently India’s share is below 10% of Turkey’s total import of these textiles from the World.