Presentation on theme: "1. 2 UK Trade & Investment (UKTI) UKTI’s mission 3 1.Support UK companies to grow their business through international trade; 2.connect UK business to."— Presentation transcript:
UKTI’s mission 3 1.Support UK companies to grow their business through international trade; 2.connect UK business to the world’s top commercial opportunities; 3.attract high quality inward investment to the UK; and 4.establish whole-of-government relationships with major wealth creators to increase exports and investment.
5 The Turkish Economy According to HSBC’s “The World in 2050” report, Turkey will be the world’s 12 th and Europe’s 4 th biggest Economy by 2050. Turkey aims to be among the world’s 10 largest economies by 2023, on the 100 th anniversary of the foundation of the Republic. In September 2010, the FTSE Group promoted Turkey from ‘secondary emerging’ status to ‘advanced emerging’ status. Turkey is the world's 18th and Europe’s 7th largest economy
6 The Turkish Economy cont. Turkish GDP grew by 8.5% in 2011, making the country the fastest growing economy of Europe and OECD. According to the OECD, Turkey is expected to be the fastest growing economy among OECD members during 2011-2017, with an annual average rate growth of 6.7%. “ Turkey is one of the world’s biggest markets with a population of 74 million and a labour force of 27 million. Istanbul and Ankara are among the biggest cities in the world in terms of GDP.
Turkish Businesses and FDI Turkish companies are becoming major players in the global market place. There are currently 145,000 Turkish entrepreneurs operating in Europe, employing 627,000 people and running €63 billion worth of businesses. Starting a business in Turkey takes an average of 6 days, compared to the world average of 30.6 days and OECD average of 12 days. FDI inflows to Turkey amounted to $15 billon by the end of 2011, showing a 75% rise in volume over the previous year. Two-thirds of Turkey’s overall FDI comes from the EU. (In 2011, three quarters of Turkey’s overall FDI came from the EU.) 7
Turkey’s Export Market Turkey's export volume was $134bn in 2011, $21bn more than the amount registered for 2010. As of the end of 2011, Turkey is the EU’s sixth biggest trade partner. Turkey Turkey and EU exchanged $153bn worth of goods in 2011. In 2011, 41% of Turkey's trade transactions were with the EU. Turkey has been in the customs union with 27 EU countries since 1995 and has free trade agreements with 19 other countries. 8
Key factors about doing Business in Turkey 9 European business ethics and modern management practices Highly (often foreign) educated managers, growing skills base Increasing use of English for business, but fluency varies People are very internationally- minded and have good regional awareness
UKTI Turkey priority sectors Energy and Renewables ICT and software Financial and Professional services Defence Technology and security Infrastructure- Construction & Design Education 11
ICT & Software The Turkish Software sector is worth £600m as of 2012 and is expected to grow 13% annually until 2016, reaching £900m. Challenges Considerable upside potential but lack of credit limits Turkish SMEs' willingness to spend on software Illegal software still an issue Opportunities Cabot Communications: Founded in 1993 and acquired by Vestel in 2001, Briston based Cabot provides cutting edge digital TV solutions to Vestel. 12
Infrastructure- Construction & Design The Turkish Construction sector provides 50% of the economic output in Turkey and created 7% of all of the economy’s employment. Challenges Service related aspects, such as in sustainable construction related consultancy Urban regeneration Engineering and design Opportunities UK firms with expertise in creative and technical services with good networking skills will get a chance to take part in this high-growth area Future outlook PPP projects will be more wide-spread and upgrading the existing infrastructure (motorways, railways, airports) as well as building new ones will be in the agenda. 13
Automotive The Turkish Automotive sector operated with a total vehicle production of 1.2m with a 9% increase in 2011 compared to 2010. Challenges and Opportunities Regional hub for automotive production & sales Base for electric-powered vehicles Growth in R&D Design & Technology Management Engineering Consultancy Future outlook Annual production is expected to approach 2m in 2015. 14
Aerospace and Airports The Turkish Aerospace and Airports sector consists of 45 operational airports. Total annual traffic figure is 45 million PAX. Challenges and Opportunities Airport Infrastructure Projects 3 rd Istanbul Airport announced Future outlook Air traffic growth at 10% pa, higher than EU average, Technical Services 15
Education and Skills The Turkish Education sector consists of a population of 30million students in primary, secondary, tertiary education Population increase rate 2%. Each year, 1.8 million students graduate from high school. Challenges and Opportunities Corporate Training Business English Continuous Personal Development Vocational Training How we can help Customized market research, identifying opportunities and contacts, building profile, organising events. 16
UKTI Turkey- Third Markets A gateway to Central Asia and The Middle East Challenges and Opportunities Partnerships - The complimentarity of strengths Libya, Iraq and GCC- Infrastructure and Services Sectors Success Stories Genel Enerji & Vallares, Northern Iraq Scott Wilson – Makkah-Medina Railway BP & Shah Deniz (Azerbaijan) Regional Gas Distribution 17
Other current UKTI Turkey priority projects GREAT campaign – high profile international campaign supported by GREAT British brands and personalities. UK Export Finance – re-launched and repositioned to better support exporters seeking secure financial solutions when trading internationally. OpentoExport.com – a community where companies can collaborate with service providers to help take their business overseas. Launch in October 2012; powered by Hibu. Sharepoint- collaborative space for file sharing within the Turkey network. 18
Based in three cities; Ankara, Istanbul and Izmir, UKTI Turkey operates with a total team of 21 professionals. Type your title and date here 00/00/000019 The UKTI team in Turkey Our objective is to double trade between Turkey and the UK by 2015.
The UKTI team in Turkey (2) 20 Our aim is to double trade between UK and Turkey by 2015. Istanbul and Ankara are among the biggest cities in the world in terms of GDP.