Union of Chambers and Commodity Exchanges of Turkey

TOBB Board Member Sadıkoğlu said at the opening of the meeting that they had come together to assess the situation of the sectors, and that the pandemic and the problems brought about by it continue.

Sadıkoğlu said that they welcomed the increase in exports, “First quarter exports of the furniture and forest products sector reached $1.5 billion, an increase of 15% compared to the same period last year. Furniture accounted for $962 million of that. Thus, we have become the 8^th largest exporter of furniture in the world. We have set a goal of being in the top 5.”

Emphasizing that this increase in demand in the furniture sector has significantly increased the need for raw materials, Sadıkoğlu said, “Recently, it has been reported from all over our country that there is difficulty in the supply of furniture raw materials such as MDF, chipboard and sponge. The continuing supply problems make it difficult for us to maintain the momentum of the increase in our furniture exports. In fact, we are experiencing this situation in all raw materials. Many raw materials, from plastic raw materials such as polyethylene, PVC, stainless sheet and flat glass to rebar, both increase the price and prolong the procurement processes.”

Sadıkoğlu said that they are in constant contact with the Minister of Commerce and the Minister of Industry regarding this problem in raw materials, that Trade Minister Pekcan has brought together the relevant sector representatives in the Ministry and listened to their problems, prioritizing the furniture and forest products sectors.

Underlining that they are actually far ahead in forest products, Sadıkoğlu said, “We are first in Europe and second in the world in MDF production. Our production capacity continues to increase day by day in both MDF and chipboard. In furniture, the export value, which reaches 3 dollars per kilogram, is 2 times higher than the general average, so it gains significant added value from here in our country. Therefore, it is very important that we solve the raw material problem by listening to all sides. Because our furniture and forest products sector cannot considered separately. Let's not forget that we are all in the same boat.”

Sadıkoğlu stated that another issue is the shortage of containers, “We have products to export, but we cannot export because we cannot find containers. All sectors suffer from container shortages. Our industrialists have problems accessing raw materials and cannot sell the product they produce.”

Noting that they are at risk of losing their export markets, Sadıkoğlu said that he believes that if they overcome these difficulties, they will raise the bar on exports even higher.

In addition to the revival in the European and US markets, Sadıkoğlu stressed that the new trade agreement with the UK, implemented with the great efforts of Trade Minister Pekcan, offers significant opportunities and that Turkey should use its production power and proximity to the market in the most efficient way.

Sadıkoğlu stated that they know that Trade Minister Ruhsar Pekcan is closely following these issues and believe that the Ministry will help them solve all these problems.

After the opening speeches, Deputy Minister of Commerce Reza Tuna Turagay listened to the problems and solutions of the sector representatives.