2016 will be a dynamic year

The Economic Advisor of the Association  of Turkish Construction  Material Producers (IMSAD) Prof. Dr. Kerem Alkin said that, “We observe  that Turkey is far better than its competitors in view of commodity exports.  Local demand will continue contributing to growth in 2016 as well.”  Alkin stated that it is important to support exports in order for the Turkish economy to grow between 4 and 5 percent in 2016 and that net exports  play an important role in growth. In the meeting held by IMSAD; an important event to be held in Turkey for the first time was announced as well. The SBE16  ISTANBUL Conference  will be hosted  by IMSAD Turkiye for the first time in Turkey in October 2016 within the framework of The Sustainable Built Environment Conference  Series  which were held in more than 50 countries  worldwide since the year 2000.  Supported  by our country’s  leading universities  and non- governmental organizations,  the main theme of the conference  was defined as “Smart Metropolises – Integrated Solutions  for Sustainable and Smart Buildings and Cities” and it will be held with the collaboration  of the Ministry of Energy and Natural Resources.

The Minister of Development Cevdet Yilmaz stated that 2016 will be a year of economic leap. Yilmaz said that they have drawn up two main strategies  and added,  “The first one is to decrease dependence  on external sources  by increasing  savings.  The second  one is to improve the investment  climate compared to our competitors  and to implement reforms.  Turkey has made its preparations.”

The Air Conditioning  Council of The Union of Chambers  and Commodity Exchanges  of Turkey (TOBB)  prepared a comprehensive  report including a course  of action for the sector  to reach its 2023 goals.  According to the report, it is estimated that exports  of the Turkish air conditioning sector  will increase  to 25 billion dollars and that the internal market size will reach 35 billion dollars in 2023.  It was stated that 60 percent of this is predicted to be met through products  and services produced in Turkey. In the report, it was mentioned that the total size of the sector  is expected  to reach 39 billion dollars in 2023.

The CEO of Daikin Turkey Hasan Onder, said in his review of 2015 that although the economy and the construction sector  have slowed down, the air conditioning sector continued its growth. Onder said,  “Our sector  has reached a growth rate of nearly 8-10 percent this year as well by surpassing the general average.  An increase  of about 20 percent was observed  in the demand for air conditioners  in the months of July and August this year. This increase  was entirely experienced  in view of inverter air conditioners. We are expecting the air conditioning sector to grow within the range of 8-10 percent in 2016.  As for the air conditioner market, the demand for split air conditioners  is expected to grow by 10 percent whereas the demand for inverter air conditioners  is expected to grow by nearly 30 percent.” According to the statement made by the Turkish Statistical  Institute (TUIK), Turkey’s  production and distribution within the electric,  gas, vapor and air conditioner sector has risen by 4.1 percent in October on a yearly basis considering  the seasonally  adjusted data.

As the Turkish housing industry is getting ready to finalize 2015 with the sale of over 1 million 200 thousand houses, the stakeholders  of the sector are estimating that new projects will increase  housing sales  in 2016.  The Chairman of KONUTDER  Omer Faruk Celik estimated that the housing industry will experience  a growth of over 4 percent in 2016.  The Turkish Contractors’ Association  report stated that infrastructure  investments  are expected  to continue with port, high-speed  train, metro and highway projects in 2016.  The report mentioned that “it is estimated that the ongoing integrated health premises  and hospital projects as well as the urban transformation process  and housing sales  will continue adding dynamism to the internal market.”

The world is discussing the notion of 4.0th Industrial Revolution. Turkey intensified  its studies  on the competitive courses  of action which will help it obtain a decent position within this competition along with professional organizations, academic environments  and industrial constituents. The business community has focused  its energy on 2016 after the economic stress  of the elections  and the regional political upheavals  making 2015 a difficult year. Despite  the difficulties experienced  in 2015,  foreign investments  in the air conditioning sector  continued without any slowdowns.  Foreign investments  are expected  to continue in the renewable energy sector  in the new year as much as those in the air conditioning sector. The Foreign Direct Investment  (FDI) inputs of Turkey in the third quarter of 2015 actualized  as 12 billion 604 million $. This amount shows  that a 32% growth was experienced  compared to the same period of the previous  year. The 2014 FDI amount was reached through this input recorded as of the first 9 months of 2015.

Oya BAKIR Ph. D.
Editor
oyabakir@dogayayin.com