Al-Ahram Weekly Online   22 - 28 January 2004
Issue No. 674
Economy
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Looks good in leather

Turkey sees Egypt as a gateway to its apparel exports to the Middle East market. Eman Youssef reports from Istanbul on an international leather fair

Eman Youssef The 13th International Leather Days Fair and Golden Horn Natural Leather Fair were jointly held last week in Istanbul. The exposition presented many job opportunities and marketing and promotion advantages to the world leather industry, at both regional and global levels. Some 321 firms from 24 countries exhibited their products.

The fair, one of the largest leather expositions in the world, drew visitors from the Middle East, Europe and the Far East, according to Seydali Gonel, managing director of Ezgi Ajans. Her company organised the event in tandem with the Istanbul Textile and Apparel Exporters Association (ITKIB).

As part of ongoing efforts to promote Egyptian- Turkish trade, the fair brought together entrepreneurs from both countries for the purpose of developing trading partnerships. The Turkish Embassy in Cairo aided Egyptian businessmen eager to attend the event. Turkey, with a booming export-oriented apparel industry, is slowly penetrating the markets of the Middle East, with Egypt as an obvious candidate to lead the pack.

"Turkish leather products, which have undergone great developments in fashion, technology and design, have become preferred in international markets in the recent years," said Ali Abdel-Tawab, an Egyptian leather products wholesaler. He added that Turkish leather firms now control a large share of the profitable European, American and Chinese markets.


Click to view caption
Businessmen mingle and visitors admire the fine products on show at the 13th International Leather Days Fair in Istanbul last week
Mohamed Atia, another Egyptian wholesaler said that the fair was a great opportunity to meet international professionals and interact with them face-to- face in making business agreements.

Serhat Gok, deputy general director of the Undersecretariat of the Turkish Ministry for Foreign Trade, said that Turkey's ready-made garment exporters realised exports of $8.5 billion in 2003, which was 73 per cent of Turkish total apparel exports.

In light of economic instability in Russia, a traditional market for Turkish industries, the firms have targeted countries in Europe and the Middle East, according to Gok.

As the new custom regulations being put into effect in January forced some Turkish companies, which sell their products via suitcase or luggage trade, to exploit new marketing channels, the fair creates promotion and marketing opportunities for the sector, Tuncer Ogun, secretary-general of ITKIB told Al-Ahram Weekly.

At the fair, foreign participants and visitors had an opportunity to closely follow the developments in Turkish leather industry, which is on the rise with its small cattle and ready-made leather production, said Ferudun Baser, commercial counsellor at the Turkish Embassy in Cairo. The fair has become one of the largest leather-related events in the world with its 37,240 visitors from 53 countries and 30 journalists from all over the world, he added.

Featuring the entire range of footwear, finished leather products, tanned leather products and its sub- industries, upholstery leathers, components and accessories, the show profile included wallets, briefcases, travel-ware garments, gloves, part processed & finished leather, miscellaneous leather products, ladies' bags, portfolio bags and pouches.

The Middle East market for footwear and leather goods is estimated to be around $1 billion, of which the footwear market in Egypt alone is worth more than $300 million a year. The increasing concentration of the leather industry in Turkey has led to an increase in the exports of leather products and a reputation as a source for quality goods.

Turkey's far-reaching structural and legislative reforms, undertaken within the framework of the customs union with the European Union, have led to improved market access and a more secure trading environment for all investors and traders, said Gok.

"Turkish companies regard the fair as the best event to market their products to the greater Middle East and to develop business opportunities in this region," said Burak Celet, managing director of ADESA for leather goods production.

In 2001, Turkish leather and apparel exports to the Middle East were in the region of $6.25 million, a modest figure compared to its exports to the West or Far East, but one that is on the rise, said Gok.

"The Middle East has a growing share within the total exports of Turkish leather shoes, textiles and apparel exports. We expect this to increase by four or five fold within the next five years." said Ozlem Sengoz, assistant foreign trade expert.

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