Turkish exporters revise down yearly targets

Turkish exporters revise down yearly targets
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Deteriorating global conditions made it difficult to reach the targets in the second half of the year.

Exporters in Turkey are revising down yearly targets in a move that could undermine the government's economic plans as new orders drop amid signs of a global slowdown and a weak euro, Reuters reported

During the first seven months of 2022 Turkey's exports rose by an annual 19 percent to 144.4 billion US dollars, but deteriorating global conditions, escalated by the war in Ukraine, have raised concerns for the rest of the year.

Turkish President Tayyip Erdogan’s economic plan relied upon a trade surplus to lower inflation, nearly 80 percent in July, but the darkening outlook from several industries threatens this plan.

The clothing industry's year-end export growth target had been lowered from 15% to hardly any growth at all, said Seref Fayat, head of TOBB (Union of Chambers and Commodity Exchanges of Turkey) Garment and Apparel Council, according to Reuters.

TOBB President Rifat Hisarciklioglu earlier said that the companies had difficulty accessing bank loans complaining about the high costs. 

Carmakers are also revising down their targets. Tofas and Ford Otosan cut their export targets by 10 percent.

The weak euro was another factor for the low export revenue. 

Trade Minister Mehmet Mus said on Wednesday that Turkey's exports numbers for the first seven months of this year would have been 7 billion dollars higher had the euro not declined against the dollar.