THE GLOBAL WINDOW OF TURKISH FOOD AND AGRICULTURE The Global Window of Turkish Food and Agriculture Sector
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Işınsu Kestelli, Chairwoman of the Board of Directors of the Izmir Commodity Exchange, said that high yields are expected for many agricultural products this year, but that production must be converted into economic value and supported by exports.
Speaking at the Exchange’s June council meeting, Kestelli said that this year has been a particularly noteworthy period in terms of agricultural production.
Noting that the season is being described by the sector as a ‘bumper year’, Kestelli expained, “The fact that rainfall during the winter and spring months has been higher than in previous years has significantly boosted yield expectations for many crops. Under normal circumstances, this would be a cause for celebration. High yields, strong production and a bountiful season are always welcomed. However, the current economic and global conditions are now making one reality very clear to us. Success is determined not only by how much you produce, but also by the value at which you can sell your produce and the markets you can reach. In other words, the real issue is not so much the volume of production, but whether that production can be converted into economic value.”
Kestelli noted that, due to increased production this year, exports have become more critical than ever and that there is a necessity to generate added value by surging exports.
Reporting that, compared to the previous year, exports of dried grapes were 13,000 tonnes, dried figs 7,000 tonnes and olive oil 24,000 tonnes lower during the period in question, Kestelli continued:
“For this reason, particularly during periods we refer to as ‘bumper years’, we must carefully assess the limits of domestic demand, consumers’ purchasing power and export opportunities. If we cannot support exporters with stronger financial instruments, the cost of the successes we achieve in the global market will continue to rise. In the long term, this cost will continue to significantly affect the sustainability of production. It is important to create added value in agricultural production, to build brands and to bring the value we produce to global markets.”
“We recognise that, in achieving these objectives, investment support is just as crucial as the efforts of individual entrepreneurs and our investors,” she added…
