Exports in Turkey continued its upward trend and increased by 4.8% year-on-year. According to the reports shared by the Turkish Statistical Institute on October 30, 2020, the records set an all-time monthly high, surpassing a massive $16 billion 9 million in the month of September 2020.
Ruhsar Peckan, Turkish Trade Minister stated that the figures not only signifies success for September in 2020 but are also the highest trade numbers in the month to date.
Non-monetary gold and energy products excluding exports and imports surged by 15.5% and 8.4% respectively in September
As per the provisional data produced with the co-operation of the Ministry of Trade and the Turkish Statistical Institute, exports were $15 billion 541 million with a total rise of 8.4% excluding non-monetary gold and energy products.
Furthermore, imports were $14 billion 769 million with an increase of 15.5% in September 2020. The foreign trade surplus reached $772 million and the foreign trade volume recorded $30 billion 311 million with an 11.8% increase. Non-monetary gold and energy products excluded export coverage imports rose to 105.2%.
The foreign trade deficit increased by a total of 189.6% in September 2020
Compared to the figures for September 2019, the foreign trade deficit was $4 billion 828 million with a record spike of 189.6% in September 2020 and the export coverage imports were 76.8%.
In the period of January-September 2020, the foreign trade deficit was $37 billion 862 million with an increase of 79.5% as compared to the period of January-September 2019.
In September 2020, the ratio of manufacturing industries products in total exports was up by 94.8%
According to economic activities, the ratios of manufacturing industry products of fishing and forestry, mining and quarrying, and agriculture in total exports were 2.9%, 1.8%, and 94.8% respectively in September 2020.
In January-September 2020 period, the total exports were 3.3%, 1.7%, and 94.5% for fishing and forestry, mining and quarrying, and agriculture respectively.
Germany was the main partner for exports in September 2020
The main partner country for exports in September 2020 was Germany with a total share of $1 billion 517 million. The nation was closely followed by the United Kingdom with $1 billion 142 million, the USA with $947 million, Italy with $799 million, and Iraq with $798 million. The all-in-all ratio of the first five countries in total exports was 32.5% for the month of September 2020.
In the period of January-September 2020, Germany was the main export partner country with $11 billion 277 million. The ratio of total exports for the first five countries was 32% for the duration between January-September 2020.
$165 billion year-end target
Ismail Gülle, Turkey Exporters’ Assembly (TIM) Chairperson said that they are expecting to hit the year-end target of $165.9 billion in exports.
He stressed that the overall performance over the last three months signaled that the exporters have swiftly adapted to the requirements of the new period.
What it means for the Turkish economy
Peckan stated that Turkey has achieved substantial export outcomes due to the COVID-19 pandemic that has drastically lowered the global economy at an alarming rate and has reduced demand in critical markets such as the European Union. Pertaining to Turkish supports for exporters, she revealed that the country’s Eximbank raised its support by approximately 7% to $30.4 billion.
She further said that Turkey organized 24 trade delegations and made 2400 business meetings, covering 40 countries altogether this year. Peckan highlighted that the total numbers of exporters in Turkey have expanded by 6.8% year-on-year in September.
The increasing export trend is set to streamline success paths towards achieving the economic goals in a determined and deliberate way. It is noteworthy that Turkey’s surged export figures will significantly enhance strategic reforms in the global financial markets in the years to come.