Zeki Demirtaşoğlu, President of the Association of Mill and Sector Machinery Manufacturers (DESMÜD), announced that in 2018 and 2019, they presented an investment plan of $120 million for the mill machinery sector.
According to a statement from Tüyap Fair and Exhibition Services Inc., the World Mill Tech Exhibition, focusing on Mill Machinery Technologies and Ancillary Industries, will take place in Istanbul from March 29 to April 1.
The exhibition will host a wide range of visitors, from seed producers to international grain and legume buyers, from mill managers to food company executives, from NGOs to academics. More than 120 participants from 96 brands and 16 countries will come together in a 30,000 square meter exhibition area spanning 4 halls.
"Sector exports increased by 50%"
DESMÜD President Zeki Demirtaşoğlu, whose views were included in the statement, noted that mill and sector machinery manufacturers invested around $100 million in 2017.
Demirtaşoğlu reported that thanks to these investments, Turkey's sector exports have increased by 50%, stating:
"While the export price per kilogram in Turkey is around $1.5, the export value of our sector is around $12.5. One of the most important advantages of the mill machinery sector is having four major competitors in the international arena. Turkish manufacturers do not face any competition issues due to the high prices of these companies' products, although their qualities are the same as Turkish goods. Thus, profitability rates are maintained. Domestic manufacturers in the international arena only compete in terms of prices among themselves. We continue our efforts to overcome this situation."
"Total market is over $3 billion"
Zeki Demirtaşoğlu stated that the total market for mill machinery worldwide exceeds $3 billion, saying, "In export figures, the Turkish mill machinery sector ranks second in the world after China. With the exhibition, our goal is to become the leader."
Demirtaşoğlu pointed out that more than 90% of Turkish mill machinery is exported, stating that companies provide a wide range of services from mill machinery production to flour mill installation.
Demirtaşoğlu said, "The cost of a turnkey factory, including machinery costs, machinery layout, and grain storage areas, ranges from one million dollars to twenty million dollars. We export flour from Sudan to China, Thailand to Indonesia, Iraq to the Caribbean. We have a strong role in milling with a $1.077 billion export volume. We provide increasing foreign exchange inflows to our country in a momentum that is increasing every year."
Demirtaşoğlu announced that the mill machinery sector also presented a $120 million investment plan for 2018 and 2019, stating:
"We aim to implement this plan to further improve product quality and increase product export figures from $12.5 to $18-20 per kilogram. Thus, we can create more added value to the country by producing technological and strategic products. We anticipate a growth of at least 40% in our export figures this year and between 30-40% in 2019."
"Main problem is mid-level staff"
DESMÜD President Demirtaşoğlu emphasized that the main problem in the sector is trained mid-level staff and education, stating that they plan to implement the project they prepared with the Ministry of National Education within 2-3 years to overcome this problem.
Demirtaşoğlu also pointed out that the increase in input costs due to the rise in the exchange rate is another negative situation for the sector, stating, "To prevent the damage caused by this increase, the support given by the state to products not produced in Turkey should be facilitated and increased, especially young entrepreneurs should be brought into the industry. In addition, urgent solutions should be found to the electricity, water, communication, road, and infrastructure problems in the industrial and organized industrial zones where our producing companies are located in order to rapidly increase the country's production and export volume."
Tüyap Deputy General Manager Yeşim Ulusoy also stated that important buyers worldwide, from Europe to Asia, from Russia to the Middle East, from Africa to Turkish Republics, will participate in the fair, saying, "The fair will be an important step for the Turkish mill sector, which is influential worldwide, to rise to leadership."
