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Turkey will become increasingly important as a procurement market for strategic purchasing. We understand the dynamics of the German and Turkish business world and have many years of experience. Our company offers great potential and combines the advantages of both business worlds for your benefit.
Demographics
Geography
Comparing Turkey and Germany, there are many similarities in terms of population. Turkey has more than 85 million inhabitants and thus has a large reservoir of skilled workers for various industries and fields of work. Moreover, the population is younger and growing year by year. The average age is only 28.8 years, which leads to young and motivated Turks moving to the emerging economic centres of Istanbul, Izmir, Ankara and Bursa. Demand for low-wage jobs will remain high for the foreseeable future. As early as 1961, the labour recruitment agreement with Turkey brought large numbers of workers to Germany. The influx has led to successful cooperation between the two countries.
Productivity
Quality
Der höchst interessante Beschaffungsmarkt Türkei bietet aus globaler Sicht ein enormes Zukunftspotenzial und gilt auch als einer der attraktivsten Märkte in Europa. Türkische Unternehmen haben in der Vergangenheit hiesige Einkäufer bereits lange Zeit mit Produktionskosten überzeugt, die teilweise rund ein Drittel unter dem mitteleuropäischen Niveau lagen. Moderne Betriebe, gut ausgebildete und motivierte Arbeitskräfte machen die Türkei als Beschaffungsland sehr attraktiv. Das Land ist strategisch günstig zwischen Europa und Asien gelegen.
Infrastructure
Logistics
Turkey: Bridge between Asia and Europe. Due to its geographical proximity to Europe, Turkey is also logistically better and faster connected than China and the Far East. The main advantage: transport times are sometimes less than 3 days with significantly higher frequencies compared to shipments from the Far East, which take at least four weeks. In addition, express deliveries from China are made exclusively by air freight, which leads to very high transport costs. The result is rising costs that are above the level of Western Europe. The distance between Istanbul and Munich is just 1,800 kilometres. Overall, Turkey benefits as a procurement market from its geographical proximity to Central Europe. The country is ideally located on the Bosporus and is also close to the markets in the Near and Middle East. International logistics service providers have already established large warehouses and goods hubs there over time (such as in Dubai and Qatar). Logistics costs for truck transports from Turkey amount to about € 3,000 compared to container loading from China, which incurs costs of about € 15,000. In addition, pre-financing is required for container orders, which can amount to up to 150,000 €. The deliveries take between 3 and 5 months until the customer receives his goods. This leads to unnecessary capital commitment, high freight costs and a considerable loss of time. The negative effects speak for themselves.
Outsourcing
Nearshoring
Many companies have already adopted "global sourcing" as their own business principle. Identifying and using procurement markets with high development potential is now one of the strategic tasks of many purchasing departments. Turkey also benefits from nearshoring by European companies, so the procurement market in Turkey should not be underestimated as a matter of principle. Our motto is: "Bridge between you and Europe". Few companies have the necessary competencies to fully penetrate the foreign procurement market. Both manufacturing and sourcing in Turkey can significantly reduce purchasing costs, increase margins, improve product quality and secure or even expand a company's position in the market. Manufacturing goods or purchasing in Turkey can achieve savings of 10% to 60% compared to other countries.
EU internal market
Customs clearance
Turkey: Bridge between Asia and Europe. Due to its geographical proximity to Europe, Turkey is also logistically better and faster connected than China and the Far East. The main advantage: transport times are sometimes less than 3 days with significantly higher frequencies compared to shipments from the Far East, which take at least four weeks. In addition, express deliveries from China are made exclusively by air freight, which leads to very high transport costs. The result is rising costs that are above the level of Western Europe. The distance between Istanbul and Munich is just 1,800 kilometres. Overall, Turkey benefits as a procurement market from its geographical proximity to Central Europe. The country is ideally located on the Bosporus and is also close to the markets in the Near and Middle East. International logistics service providers have already established large warehouses and goods hubs there over time (such as in Dubai and Qatar). Logistics costs for truck transports from Turkey amount to about € 3,000 compared to container loading from China, which incurs costs of about € 15,000. In addition, pre-financing is required for container orders, which can amount to up to 150,000 €. The deliveries take between 3 and 5 months until the customer receives his goods. This leads to unnecessary capital commitment, high freight costs and a considerable loss of time. The negative effects speak for themselves.
Dynamic
Domestic Market
Turkey is an emerging market with high growth potential and a young, growing population of around 85 million. The procurement opportunities are attractive for German companies due to high quality standards at comparatively low procurement costs and are also favoured by the geographical proximity and well-developed infrastructure. The most important sectors are the textile, automotive, automotive supplier and food industries. Turkish mechanical engineering is the country's seventh-largest industry. Apart from the automotive sector, Turkish companies mainly export goods whose production requires little expertise but involves a high proportion of manual labour. Mechanical engineering, which is mainly located in the northwest of the country and near Izmir and Ankara, also produces tools for carmakers and manufacturers of household appliances, provided the injection moulding, sheet metal forming, casting and stamping tools are not too technologically complex.