1st Hamburg Business Day Turkey
- January 16, 1970
- 9:00 am to 5:00 pm
- Hamburg Chamber of Commerce & Industry
February 11th, 2011
09.00h – 17.00h
Hamburg Chamber of Commerce & Industry
Turkey is geographically located in a key position between Europe, the Middle East and Central Asia. It is one of the most modern and economically thriving countries of the region. The Hamburg Business Day Turkey thus offered a fundamental insight on the economic situation of the country and presented key sectors that are of utmost importance for German investors. The event enabled entrerepeneurs and business executives to have direct contact to political decion-makers and experts from the economical, political and legal sector as well as establish business contacts to Turkish companies.
Focus areas of the event:
- General economic framework
- Mechanical engineering and food industry
- Energy and renewable energies
- Logistics and infrastructure
Register of associations at the local court Charlottenburg
Entered under: VR38189B
Tax number: 1127/664/53381
Account details: EMA e.V.
Bank: Commerzbank AG
BLZ: 200 400 00
Account no.: 1710755 00
IBAN: EN58 2004 0000 0171 0755 00
09.30h Welcome Addresses
Heinz W. Dickmann, Deputy Director, Hamburg Trade Chamber
Prof. Dr. Horst H. Siedentopf; President, EMA
Marc Landau, Executive Member of the Management Board, German-Turkish Chamber of Trade and Commerce
Devrim Öztürk, Consul General of the Republic of Turkey in Hamburg
10.00h Panel 1: General Framework in Turkey
Chair: Marc Landau, German-Turkish Chamber of Commerce and Industry
German-Turkish Economic Relationship; Helge Tolksdorf, Assistant Head of Department EU-Expansion, South East Europe, Turkey, Federal Ministry of Economics and Technology
The Investment Climate in Turkey; Fatih Altunyuva, ISPAT(Republic of Turkey Prime Ministry Investment Support and Promotion Agency)
Financing of Investments in Turkey; Ulrich Burghardt, Direktor Cross border Business Management, UniCredit Bank AG
Legal Framework – Recent Topics and Developments; Dr. Mehmet Köksal, Luther Karasek Köksal Danismanlik A.S.
11.30h Coffee Break
12.00h Panel 2: Mechanical Engineering and Food Industry
Chair: Marc Landau,German-Turkish Chamber of Trade and Commerce
Turkish Industry of Mechanical Engineering – Trade and Investment Opportunities; Ali Eren, Vice-President, TMPG (Turkish Machinery Promotion Group)
Products for the European Market: Fruits, Vegetables and Products of Aquaculture; Sezmen Alper, Secretary-General, AEA (Aegean Exporters’Associations)
Foreign Trade Relations of Turkey with its Neighboring Countries and Trilateral Cooperation; Kudret Ceran, Vice-Director-General, State Secretariat for Foreign Trade, Office of the Prime Ministers of the Republic of Turkey
14.00h Panel 3: Renewable Energies
Chair: Heinz-W. Dickmann, Hamburg Trade Chamber
Energy Policy of Turkey, Recent Developments in the Sector of Renewable Energies; Ms. Sinem Caynak, Expert, Directorate General for Energy Affairs, Ministry for Energy and Natural Resources
Wind Power Policies of Turkey, Investment and Cooperation Opportunities; Mehmet Ayerdem, Vice-Director-General, TETAS (Turkish Electricity Trading and Contracting Company Inc.), Ministry for Energy and Natural Resources
Wind Power in Turkey; Dr.Helmut Klug, Regional Manager Central Europe, Middle East & Africa, Germanischer Lloyd Garrad Hassan
The Market for Wind Power in Turkey: Recent Situation and Developments; Ayhan Gök, Managing Director, Nordex Turkey
15.30h Coffee Break
16.00h Panel 4: Logistics and Infrastructure
Chair: Heinz-W. Dickmann, Hamburg Trade Chamber
Developments in the Turkish Logistics Sector, Projects in Expanding Infrastructure and PPP-Projects; Murat Gürmeric, Head of Department, Prime Ministry, State Planning Organisation
Turkey as Logistics Hub between East and West; Kosta Sandalci, Vice-President, UTIKAD (Freight Forwarders & Logistics Service Providers Association)
Report of a German Company; Osama Romhi, Management European Overland – Vice-President, Kühne & Nagel KG
Key points to the Turkish economy
Turkey is the hub between Europe and Asia. After the First World War, the founder of the state Mustafa Kemal Atatürk formed a secular republic from the Turkish part of the Ottoman Empire according to the European model. The area of Turkey is about twice as large as Germany, but at the same time only about 73 million people live in the country. After a strong economic growth at the beginning of the decade (2004 9.4%), Turkey was also hit by the global economic crisis and its GDP fell by 4.7% in 2009. In 2010, the upswing resumed and economic growth is predicted to reach 6.8% This makes Turkey one of the fastest growing economies in the OECD.
Accelerated privatization combined with reforms in the agricultural, energy, telecommunications and financial sectors have further strengthened the positive development in the first half of 2010. The growth is mainly in the manufacturing, construction and foreign trade sectors, while a relatively small increase is recorded in the service sector. Here, the financial sector with 6.8% and the transport and communications sector with 10.8% showed the largest increases .
Germany is one of Turkey’s most important trading partners. As far as imports to Turkey are concerned, Germany ranks third after Russia and China. Russia’s strong position is mainly explained by its energy imports. Among the destination countries for Turkish exports, Germany even occupies first place.
The following sectors offer German companies good investment opportunities:
Environmental technology and renewable energies: Turkey’s rapid economic growth has been accompanied by an increased demand for energy. So far, this demand has mainly been covered by imports from Russia. In order to reduce the dependence on energy imports, the Turkish government is trying to develop its potential in the field of renewable energies. Projects in wind and water power play the biggest role in this context. With the liberalization of the electricity market and investment-friendly laws, a highly interesting market is emerging here for German companies. In the last ten years, an increased environmental awareness and the use of cleaner and more efficient technologies can also be observed. The Turkish government promotes investments in environmental technologies.
Logistics and transport: Turkey functions as a logistics hub between the Middle East, Central Asia and Europe. The increase in the volume of global trade has led to a boom in the Turkish logistics sector. The government is supporting this through a series of measures designed to make the country’s transport infrastructure safer and more efficient. These include shifting freight transport to the railways and transforming large ports into logistics centers. Public-private partnership models should be given priority in the construction and operation of major transportation projects.
Mechanical engineering: Turkey has achieved a leading position in the automotive, electrical and plastics industries. The expansion of these industries is accompanied by a great demand for modern machinery. The Turkish mechanical engineering sector receives special support from the Turkish government. Investors in the mechanical engineering sector can therefore take advantage of a number of support programs.
Food industry: Thanks to favorable ecological and climatic conditions, Turkey has an important agricultural sector and is the largest exporter of agricultural products in the Middle East and Africa. The country is among the six largest wheat exporters in the world. In addition, Turkey holds a leading position in the world markets in the production of pulses, nuts and dried fruits. With its enormous agricultural potential, Turkey offers a wide variety of fruits and vegetables, making the food processing industry one of the fastest growing sectors of the Turkish agricultural industry.
Automotive industry, textile industry, health care and tourism are other important economic sectors in Turkey. Political, cultural and academic partnerships Turkey has been a candidate for EU membership since 1999. Germany has a special interest in Turkey’s rapprochement with the European Union: The European perspective strengthens the process of reform in Turkey. Turkey also plays a decisive role in stability in the region, international energy cooperation and the promotion of dialogue between cultures.
Political, cultural and academic partnerships
Turkey has been a candidate for EU membership since 1999. Germany has a special interest in Turkey’s rapprochement with the European Union: The European perspective strengthens the process of reform in Turkey. Turkey also plays a decisive role in stability in the region, international energy cooperation and the promotion of dialogue between cultures.
The cultural and knowledge exchange between Germany and Turkey is growing. In 2010 Istanbul is the European Capital of Culture, together with Essen and the Ruhr area and the Hungarian city of Pécs. At the same time Istanbul and Berlin are celebrating the 20th anniversary of their twinning. Turkey is one of the most important partner countries in German university cooperation, with the exchange of students and scientists as the most important instrument. This cooperation is being expanded through various bilateral projects in the field of research and technology. The Federal Ministry of Education and Research has taken various initiatives with Turkey, including cooperation with the Turkish Council for Science and Technology (TÜBITAK).
Turkey – Boom on the Bosporus
“Turkey has almost an omnipresence in Germany” – one of the statements describing German-Turkish relations at the Hamburg Business Day Turkey.
At the extremely well-attended event, which was organized by EMA together with the Hamburg Chamber of Commerce, the Undersecretariat of the Prime Ministry for Foreign Trade of Republic of Turkey and the German-Turkish Chamber of Industry and Commerce in the Albert-Schäfer-Saal on February 11, 2011, the already close relations between the two countries and especially between committed entrepreneurs were deepened even further.
“Around 650 Hamburg business enterprises have relations with Turkey, around 130 of which are local”, Heinz-W. Dickmann, Deputy Managing Director of the Hamburg Chamber of Commerce, was able to report in his opening address at the event. Around 2700 member companies of the Hamburg Chamber of Commerce were founded by entrepreneurs of Turkish origin. This high number is considered on the part of the Chamber of Commerce with a project, whereby a service adjustment is to take place after questioning the entrepreneurs.
On behalf of EMA, Prof. Dr. Horst H. Siedentopf welcomed the approximately 240 very interested listeners present with a reference to the “unique relationship between the two countries”. Also the EMA, which supports a sustainable cooperation especially in the economic field between Germany and the EMA region, sees in Turkey a competent mediator between the EU and the Middle East. Prof. Siedentopf thanked the participants of the Business Day for coming and referred to the intensive economic links that make Germany by far the most important partner of Turkey.
Marc Landau, Managing Director of the German-Turkish Chamber of Industry and Commerce, was able to report on his many years of experience on site.
According to Marc Landau, Turkey has undergone a fundamental change in recent years with the aim of becoming a “global player”. With an economic growth rate that exceeds that of the EU, the Turkish economy is experiencing a “boom on the Bosporus”. More people would meanwhile emigrate to Turkey than to Germany.
In his welcoming address, the Consul General of the Republic of Turkey in Hamburg, Devrim Öztürk, emphasized the long-standing good, friendly relations between the two countries. A report published by Goldman Sachs predicted that Turkey would be the ninth largest economy in the world by 2050. Germany is still one of the country’s largest investors, especially in the tourism sector, said Consul General Öztürk.
Block 1: General conditions
Also in the informative lectures of the hochkarätigen lecture speakers of the daily the economic efficiency of Turkey was stressed.
The first block, under the expert moderation of Marc Landau, was opened by Helge Tolksdorf with his presentation on German-Turkish economic relations. He emphasized that Turkey has “almost an omnipresence” and has been the partner country of various large trade fairs in Germany in recent years, such as the Frankfurt Book Fair, CEBIT and ISM.
Within the last ten years, the exchange of goods between Germany and Turkey has doubled, and Germany is still the most important target market in the EU. Ministerial Councillor Tolksdorf defined the energy and infrastructure sectors as strategic areas of cooperation. According to Tolksdorf, the energy market is a “major growth driver”, which will continue to grow, especially with the considerations regarding energy transit to Europe (NABUCCO, BTC etc.). The expansion of infrastructure (transport, IT, municipalities) also offers potential, but also challenges.
Fatih Altunyuva from ISPAT, Republic of Turkey Prime Ministry Investment Support and Promotion Agency, also illustrated Turkey’s economic achievements in an entertaining presentation. Turkey is the sixth largest economy in the EU, seventeenth largest car manufacturer in the world and seventh largest tourist destination. With a population structure, in which well half of the population is under 30, and with its central situation Turkey offers itself for investments probably as bridge into the region as also to Europe.
Ulrich Burghardt, Director of Cross Border Business Management at UniCredit Bank AG, then examined the Turkish banking sector. Almost all banking products known in Germany are also offered in Turkey.
At the end of the first block, the Turkish lawyer Dr. Mehmet Köksal from Luther Karasek Köksal Danismanlik A.S. reported on current developments in the legal field. Many of the legal regulations, such as in the right of residence or the work permit, are “foreigner-friendly”, especially for EU citizens, with a large margin of discretion due to the many “may” regulations.
The coffee break was actively used for an exchange between the participants and picked up the good mood of the morning.
Block 2: Mechanical engineering and food industry
With his report on the Turkish machinery industry, Ali Eren, Vice President of the Turkish Maschinery Promotion Group, initiated the continuation of the morning. The mechanical engineering sector is a strategic sector that is growing “faster than the rest of the economy” and this is particularly important for German-Turkish relations because in this sector the interests are complementary and there is a “win-win” situation. Furthermore, he talked about the Turkish quality seal TURQUM. The Secretary General of the Aegean Exporters’ Associations highlighted the sector of the food industry in Turkey. Turkey is one of the largest producers of agricultural products, whereby the sales focus strongly on the European market. One of the largest markets within the EU is Germany. Many of the Turkish food products are not subject to customs duties within the customs union with the EU, except for olive oil, which is a major problem. Afterwards, Kudret Ceran, Deputy Director General in the State Secretariat for Foreign Trade and former Trade Attaché of the Turkish Consulate General in Hamburg, reported in his lecture on Turkey’s foreign trade relations. While the visa regulations with many countries have already been eased or completely abolished, he said, they represent a major barrier in German-Turkish relations. Especially in this area there was still a lot of work to be done. With this call for improvement, the well-earned lunch break began with a rich buffet. In a relaxed and convivial atmosphere, animated conversations were held and the information received was discussed. Even if the break seemed too short for many guests to engage in more detailed discussions, the interesting third block began with only a slight delay under the knowledgeable moderation of Heinz-W. Dickmann.
Block 3: Renewable Energies
Outstanding topics of the Turkish national economy are energy procurement and supply, precisely because of the increased domestic demand and the country’s dependence on imports. Mehmet Ayerden, Vice General Director of the Turkish Elecritricity Trading and Contracting Company, noted that the main objective of the policy is to achieve a transparent market for energy, with free competition policy supported by legislation. After his presentation, Ms. Sinem Caynak from the Ministry of Energy reported on Turkey’s concern to ensure the energy supply on the one hand and to increase the share of renewable energy, which is not yet on the desired level, on the other hand. Dr. Helmut Klug from GL Garrad Hassan presented an assessment of the chances of wind power in Turkey. The great potential for energy generation is already being exploited in nationwide wind farms, but it is particularly important, he said, that there is also a connection to the grid for feeding the energy into the grid. Ayhan Gök, Managing Director of Nordex Turkey, reported on practical experience. With respect to the new energy law which has just been passed, the question arose as to how it should be implemented and what disadvantages the legislation would have for German companies. After the afternoon coffee break, during which the animated discussions and contacts were continued, the last block of the day on the subject of logistics began.
Block 4: Logistics and infrastructure Murat Gürmeric from the State Planning
Organisation informed the audience about the transport infrastructure, with 94% of freight transport still taking place on the roads. Further high investments, as much as 4% of the GDP, and additional private investment would be put into the public transport system. In addition to air transport, rail transport would now also be further expanded. The expansion of the infrastructure is being driven forward with PPP projects, such as the Istanbul-Izmir project or the construction of a new container port. Kosta Sandalci, Vice President of the Freight Forwarders & Logistics Service Providers Association, saw the future of the logistics industry above all in combined freight routes. He saw Turkey as a bridge between the Caucasus, Central Asia, the Middle East and Europe, said Mr. Sandalci. Osama Romhi from the Management European Overland at Kuehne & Nagel, also confirmed in his presentation that Kuehne & Nagel has so far made the greatest use of road transport, with a great deal of time lost due to congestion in conurbations and customs clearance. Turkey has great advantages with a large domestic market and a young population as well as high foreign investments. Few qualified workers and the concentration on only a few industrial centers were a disadvantage.
With a cordial thanks to the advisers and guests the moderator Heinz-W. Dickmann closed the Hamburg Business Day Turkey, at which many new impressions and information about the country so close to Germany were obtained.