White goods production up 30 pct in last 5 years

ANKARA

The production of white goods in Turkey rose by 30 percent in the last 5 years, reaching 28.4 million units, according to the White Goods Manufacturers’ Association of Turkey (TURKBESD).

Speaking to Anadolu Agency, Ergun Guler, head of TURKBESD, said that 12.1 million items were sold in the refrigerator, washing machine, dishwasher and oven group in the first half of the year.

"Growth in exports seems positive, we expect to catch up with the foreseen 6.4 percent growth in exports this year," he noted.

Guler also emphasized that exports of white electronic appliances -- electronic goods that tend to be white in color such as refrigerators -- were made to more than 100 countries, with 73 percent of total exports to Europe, 14 percent to Asia, seven percent to Africa, five percent to the U.S. and two percent Oceania.

Noting that 95 percent of white domestic equipments were produced in Turkey, Guler added that net export surplus of the sector significantly contributes to the lowering of the current account deficit of the country.

Data showed that annual deficit reached $47.1 billion in 2017, according to the country's statistical authority (TurkStat).

"During the last 5-year-period [2013-2017], the domestic sales of white goods rose by 25 percent to 8.5 million units," Guler said.

Guler also said that imports of the white domestic equipments realized in 2013 amounted as 1.1 million units, while in 2017 it remained at the same level.

According to data from TurkStat, during 2013-2017 years period, the exports of the white goods in the sector climbed by 13.6 percent to 20.2 million units, while the revenue rose by 5.7 percent reaching $3.3 billion.

This February 2017, the government reduced by 6.7 percent the special consumption tax on white goods and cut 18 percent value-added tax on furniture to 8 percent for the next three months in a bid to support domestic demand.

TURKBESD was established in 1986 by the prominent white goods companies of the sector. The association refers to around 90 percent of the sector, as well as represents Turkey at the European Committee of Domestic Equipment Manufacturers.

Reporting by Aysenur Saglam, Ceren Gokkoyun:Writing by Jeyhun Aliyev