TUSİD/Topuz: We Predicted a 15% Rise, But We’ll Close with an 8% Drop

The export figures for the industrial kitchen sector, which is one of the sectors in Turkey with the highest foreign trade surplus, have been announced for October and the first ten months of the year. In October, the sector's exports increased by 18.2% compared to the same month last year, reaching 208 million USD, while the January-October exports were recorded at 1.92 billion USD, representing a decrease of 3.7%.

Bekir Topuz, Chairman of the Board of the Association of Industrial Kitchen, Laundry, Service, and Catering Equipment Manufacturers and Businessmen (TUSID), stated that the sector has been going through challenging times due to the additional customs duty on stainless steel and the anti-dumping investigation. He noted, "At the beginning of the year, we had predicted a 15% increase in exports, but due to the increase of the customs duty from 8% to 12% and the subsequent anti-dumping investigation, we will close the year with around an 8% decrease. The 40,000 companies and 1 million employees in the sector are at risk."

The industrial kitchen sector, which completed the previous year with an export of 2.31 billion USD, reported its export figures for October and the first ten months of the year. The October exports rose to 208 million USD, up 18.2% compared to the same month last year, while exports from January to October were recorded at 1.92 billion USD, down 3.7%. The export per kilogram during January-October increased by 3.61% compared to the same period last year, reaching 4.71 USD.

In 2023, the industrial kitchen sector achieved a foreign trade surplus of 2.04 billion USD, one of the sectors with the highest foreign trade surplus in Turkey. The sector's foreign trade surplus for the ten-month period was 1.67 billion USD.

During the January-October period, the highest exports were made to the United Kingdom at 194.4 million USD, followed by the United States at 168.3 million USD, Germany at 163.7 million USD, Italy at 102.9 million USD, and France at 99.4 million USD. Among the top 10 countries where exports were made, Egypt showed a notable increase of 38.8%, Morocco 35.6%, and Iraq 21%.

'WE SAID WE WOULD INCREASE BY 15%, BUT WE WILL CLOSE WITH A 8% DECREASE'

Evaluating the export performance of the sector, TUSID Chairman Bekir Topuz stated that they could not achieve the desired performance this year due to the additional customs duty and the anti-dumping investigation on stainless steel. He mentioned that not only the industrial kitchen sector but the entire kitchen industry has experienced a decline. "At the beginning of the year, we predicted a 15% increase in exports, but due to the increase of the customs duty from 8% to 12%, as well as the initiation of the anti-dumping investigation, we will close the year with around an 8% decrease."

Topuz indicated that the customs duty on stainless steel has negatively impacted not only producers but also consumers. "Stainless steel is used everywhere, from refrigerators in your home to kitchen sets, televisions, and washing machines. With the addition of customs duty, the prices of all products have increased, and the anti-dumping investigation has disrupted exports. We have failed to understand why this additional customs duty was introduced and why the anti-dumping investigation was initiated. While the 40,000 companies and 1 million employees in the sector are suffering from this situation, only one company benefits. We urgently request that this customs duty be reverted to its previous level and that the investigation be halted in order for our sector to recover and maintain employment. Otherwise, we will be at risk of losing the foreign markets we have painstakingly gained over the years."