For nearly 50 years, Turkey has been an excellent sourcing solution for British retailers – with their ongoing investments into innovation, skills and technology, it has been able to remain among the top three industrial regions for UK companies. Although the country has faced political and financial difficulties (such as recent Turkish Lira devaluation), Turkish manufacture has only continued to increase its outward exports – trade between London and Ankara was worth £18.6 bn in 2019, and the UK is Turkey’s second-biggest export market.
Moreover, on the 29th of December 2020, Britain agreed a free trade deal with Turkey – this will strengthen ties between the two nations and ensures that existing shipment strategies will not be affected following Brexit.
Textiles and clothing form a big portion of Turkey’s exports to the UK.
With the flexibility of being able to turn small quantities over quickly, it has enabled the UK wholesalers and retailers to experiment with new products and trends and rapidly produce larger quantities if necessary. There is an 8-week turnaround time for fast-moving fashion products and it’s near impossible to achieve this target if you are importing from China, India or Bangladesh – making Turkey’s geographical proximity to us an even bigger advantage. In addition, the massive depreciation of the Turkish lira compared with the pound since the start of 2020 has only made buying from Turkey even more favourable; retailers have started to enjoy a better after-sales margin and lower inventory costs, helping them bring up-to-date fashion to their shelves just when they need it.
In many product categories, Turkey is now almost as competitive as the key Asian sourcing markets.
The diversity of what the nation offers – ranging from basic T-shirts to fashionable denim, shirts, dresses, blouses, underwear, swimwear, knitwear and accessories like socks, belts and bags – has transformed Turkey into a veritable a one-stop shop, where a variety of distribution channels can satisfy the needs of their end-consumers quickly, efficiently and at the right price.
Sourcing from Turkey involves buying services, products or materials from suppliers or manufacturers from outside your own country. Although sourcing domestically has a number of advantages – including faster logistics, improved production control and a shorter time involved in bringing goods to market – overseas sourcing offers numerous advantages too.
Here are just five of the benefits associated with sourcing or manufacturing products in Turkey.
- Low Production and Labour Costs
One of the main reasons sourcing or manufacturing products from Turkey is a good idea relates to the low production and labour costs: Turkey has a population of 83 million, with 13 million aged 15-24 (Turkey’s youth population overall constitutes 15.6 %), meaning there is a burgeoning labour force that will be eager for the work.
As well as this, the average Turkish wage is considerably lower than that of the UK (especially after currency devaluation), so you will easily be able to find the skillset you need for manufacturing but without paying a premium. Turkey is also a member of the European Customs Union, allowing Turkish manufacturers to access raw materials easily (and decreasing production costs).
You can expect to save at least 30% compared with if you had sourced from a British firm; extra reductions would be apparent if you worked with a product sourcing agent that understands the market and what it takes to succeed in it.
As long as a company works in conjunction with a reliable and experienced Turkish sourcing partner, it’s possible to get far better value for money – the investment and technological developments of Turkish manufacturing infrastructure and engineering companies mean that UK-based businesses can now take good advantage of lower labour and manufacturing costs in Turkey (thus increasing their potential profits substantially).
- A Greater Production Capacity
Manufacturing for a market of over 500 million has enabled Turkey to expand its work into many industries – in order to properly serve the huge European market, Turkey has built up a huge manufacturing base over the last 50 years; sourcing from there will enable your company to upscale your operations very quickly and easily (as well as meaning that the production can take place in several locations, thus multiplying production capacity instantly).
Adhering to European standards and working closely with many European firms has benefitted Turkish manufacturers immensely over the last 25 years – it’s allowed them to develop a wide knowledge base and reputation for greater production capacity, which they rely on to beat opposition to contracts and tenders.
This high level of competition between manufacturers will work in your favour – it gives you peace of mind to know that the manufacturer has been producing for a German or French company, because this will make it easier to negotiate better terms and get personalized services that work for your specific business needs.
On the downside, the huge supply base in Turkey also means there’s a high chance you could lose money. You have to be careful as you select the manufacturers you work with – it would be advisable to enlist the services of a product sourcing agent with a good working knowledge of the sector of the Turkish market you wish to look into. They will know what to look out for (and what to avoid), and since their business will also be on the line, they are very unlikely to disadvantage you by laziness, negligence or etcetera.
Some tips from us:
- Do thorough research on the supplier
- Refuse to pay the full amount upfront
- Avoiding suppliers whose costs/promises seem too good to be viable
- High-Quality Products
Sourcing products from Turkey increases your chances of making big profits through the chance to obtain lower-cost, equal-quality goods. Most companies that manufacture products in Turkey are producing for European countries, and local manufacturers also try to improve their production through regular training for their in-house teams and the adoption of the latest innovations.
When using a reliable Turkish sourcing company, it is possible to obtain a guarantee of high-quality products. Experienced Turkish sourcing companies have a strong network of trusted local partners who are able to ensure every aspect of quality control has been covered. Despite the lower cost of sourcing from Turkey, there will never be any compromise on quality.
At TM Sourcing Ltd., we have a database of established suppliers and sourcing providers we know to be reliable and will use the information you provide to identify which firm(s) best suit the criteria you provide.
Our ability to provide a constant presence on the ground puts an emphasis on the manufacturer to maintain the utmost quality that is impossible to achieve without an in-country presence.
- Improved Efficiency
When turning to Turkish suppliers, it is often possible to benefit from new product innovations ahead of rival companies. Some manufacturers in Turkey are focusing on investing on new technology and developing brand-new, cutting-edge products/components which could allow your company to obtain that innovative edge more rapidly than your rivals.
Production and manufacturing companies in Turkey are known for their efficiency; they must also maintain good manufacturing speeds to ensure they remain at the top of their partner firms’ supplier lists. Whether you have a huge demand that needs to be produced quickly or a significantly smaller one, the manufacture will occur with excellent speed and quality.
- The Chance to Access a Wealth of New Resources and Skills
Sourcing goods from Turkey can also offer companies the opportunity to tap into new resources and skills which Turkish employees have at their disposal yet are absent (or in short supply) in the domestic market. By harnessing the potential available in their infrastructure, British businesses like yours can put themselves ahead of their competition through their access to this rare skillset/facility.
Moreover, through the work you outsource, you gain from another company’s resources. They’ll have access to software and hardware you might not, and could have connections to organizations and people you lack – all of this will be invaluable in trying to expand your business
No company is going to be up on the latest trends in every aspect of their business, no matter how mundane: but by outsourcing work that doesn’t lie within your company’s expertise, you’re expanding your capabilities to benefit from another organization’s expertise. This can only free up time and effort for your workers to concentrate on the things that matter most to you.
How can we help?
We are a UK-based Turkish sourcing company that specialises in facilitating the supply and import of high-quality products from Turkey – we also have a base in Istanbul which has built up a strong network of accredited European suppliers over a number of years.
We can simplify the process of sourcing products from Turkey at the lowest possible price without compromising on quality and save you from having to deal with any of the potential problems that things like the language barrier, lack of contacts and business culture differences might cause you and your business. Rely on us for all your Turkey sourcing needs and you will benefit from a cost-effective and dependable top-quality solution to all your purchasing and manufacturing challenges.
Conclusion
Working with a product sourcing agent enhances all the benefits of sourcing in Turkey – you will have constant quality and consistency as well as timely arrival of goods. TM Sourcing is here to handle all your sourcing needs, so you won’t have to. We will also take care of all the difficult processes as you focus on driving your business to greater heights.
We work with all types of products, which means that we can help you regardless of your chosen sector.
Give us a call today – here at TM Sourcing Ltd., we’re here to help.