FOOTWEAR SECTOR IN TURKEY
 

There are about 400.000 people working in the sector and the sector has a 2, 3 million dolars of local and foreign trade capacity. The sector has the power to provide Turkey’s needs totally and  export.

The sectors’ total investment share is 2%. The sectors’ production capacity per year is 500 million pairs. 67% of the production is supplied by industrialized companies, 33% of the production is supplied by semi-industrialized and manuel working companies. The sector has an esteemable guild tradition and as a charecteristic of this tradition there is a master-apprentice relationship in the sector. The experient staff in the sector and qualified staff especially in holstery is in high numbers.
 
The sectors’ income rate per person  is 1,4 %. Generally sector’s 30% of the inputs are imported while 70 % is locally manufactured.

The sectors’ performance mainly depends on export.  The registered export rates accounts for   0,4 % of Turkey’s total export activities and if the luggage trading rates are added, the rates increase to 1 %. The main export markets of the sector are firstly Russia, Saudi Arabia, Poland, Ukraine, Kazakhstan, France, Hungary and Germany.

The sectors’ import activities has rised especially after 1996 and reached a troublous amount. The  shoes which are made of leather are imported from Italy and Spain; the shoes which are made of plastic and rubber are imported from China, Taiwan, Korea and Indonezia; the soles and components are also important import materials.

Turkey’s most important rivals in the foreign market are; China which is the largest manufacturer, consumer and exporter in the sector with a total rate of 50%, India, Brazil, Indonesia, Italy, Mexico, Thailand, and Pakistan.
 

Graphic 1: Footwear Sectors’ Export, Import Rates and Estimations



*: First 11 months’ data


* Source: Istanbul Chamber of Industry Publications, No: 2004-3, Leather and Footwear Sector in Turkey
 



TURKISH FOOTWEAR INDUSTRY SUPPLIERS SECTOR


The Footwear Industry Suppliers sector shelters the companies which manufactures over 50 pieces of products for the sector. Starting from 2002, the monetary grade of the production is 47 million dolars which contribute the income per person rates by 3%. Sector’s total investment shares are also alike.

In some fields of the sector there is no local production such as mounting machines are all imported, on the other hand thermostatic and plastic injection machines, cutting presses, sewing machines are produced locally and meets the demands of the sector adequetly.

Although footwear industry suppliers sector has adequate product varieties, it is stil open to investments. In some fields the sector’ s production quality is lower than the worldwide rivals. But the quality of chemicals, in-soles, soles and textile products have the same quality or even beter.

In Europe Turkish footwear industry suppliers sector takes the 3rd place after Italy and Spain as a capacity wise. The focus regions in export are Russia, Turkic Republic and Communities, Middle Eastern and North African Countries.

The main export markets are Russia, Iran, Iraq, Syria, Georgia, Macedonia, Bulgaria and Ukraine. Besides the registered export, luggage trading with those countries is also important. Turkey’ s rivals in the foreign markets are Italy, Spain, Portugal, The Netherlands and France. The sectors total export accounts for 74 million dolars.
 


In footwear industry suppliers sector’s 30% of the inputs are imported while 70% is locally manufactured. But in machines and in chemicals foreign dependence accounts for 60-70%. The sector shows great differences in employment. There are workshops which employ 3 labourers while there are factories which employ 350. In total there are about 11.000 people working in the sector.