Turkish suppliers are undergoing significant transformations in their strategies to boost exports and mitigate the challenges posed by the devaluation of the Turkish Lira and rising fuel costs. These efforts are driven by the need to enhance foreign currency income and remain competitive in the global market.
To achieve their goals, Turkish suppliers are adopting various strategies including:
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Hiring export executives and managers
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Intensifying language training for their staff
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improving warranty terms and after-sales services for international customers
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Providing round-the-clock online support.
These initiatives are already yielding positive results, with Turkish exports consistently surpassing year on year records despite adversities like the COVID-19 pandemic, hyper inflationary pressures, and earthquake disasters in 2023.
The Rising Costs of Importing Fossil Fuels have been a significant concern for Türkiye. Although efforts are being made to reduce reliance on imported fuels through the discovery of natural gas reserves in the Black Sea, the full impact of these developments will take time.
Currently, Türkiye imports a significant portion of its natural gas needs, primarily from Russia, while its oil reserves meet only a small fraction of its demand. This reliance on imported fuels has compelled Turkish factories to explore innovative solutions and increase foreign income to mitigate the impact of rising costs.
The Devaluation of the Turkish Lira has also posed challenges for Turkish manufacturers. Their local clients pay in Liras where funds are released over lengthy agreements, payment terms, bank guarantees, and security bonds. The combination of inflation, currency devaluation, and rising operational costs has affected the profitability of suppliers and the ability to properly value their costs when pricing their products and services.
As an importer, you have the opportunity to benefit from the ongoing efforts of Turkish suppliers to enhance the quality of their products and services while maintaining competitive pricing. Their commitment to innovation and resilience makes them reliable partners in the global marketplace.
By collaborating with Turkish suppliers, we can strengthen trade partnerships and leverage their dedication to overcome challenges and drive mutual success. The transformation in Turkish supplier strategies presents a valuable opportunity for importers to access exceptional quality products and services in a cost-effective manner.
Together, let us seize this opportunity and build prosperous alliances with Turkish suppliers, fostering growth and prosperity in today’s challenged global business landscape.