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9th INSME Annual Meeting - 2013

Why Turkey


Why Turkey?

turkey.jpgTurkey, a country of utmost strategic importance in the world due to its geopolitical location, is at the crossroads of Asia, Europe, and Africa, “the Lands of the Old World”. This country, enjoying a wealth of divine gifts of all kinds of scenic wonders, is a unique bridge between all faiths as well as Eastern and Western civilizations. Turkey is linked to the oceans through the Black Sea, Marmara and Mediterranean Seas, which encircle it on three sides. It is like a neighbour to the entire world and has been the epicentre of major trade and migration routes throughout the history. Because of the increasing importance of the Country’s geo-strategical location, Turkey has strengthened its role as an international hub and become a corridor and a terminal for the flow of goods, energy, finance and knowledge.

In the last 10 years, at the times of global crises, Turkey has been performing prosperously. Its dynamic, stable and attractive economy along with its strategical advantages in locational factors, Turkey has become the focal point of confidence for investment. Turkey is ranked 18th in the World in terms of the size of economy and 7th when compared to the EU Countries. Its total GDP reaches to the level of 800 billion US dollars. Thanks to having high rate of young population, Turkey commits well-educated dynamic labour force for the market.

Turkish economy has 5,2% annual average real GDP growth rate between 2002-2011 and for 2011 to 2017 period it is expected that Turkey will lead the pack among OECD countries by its annual growth rate of 6,7%. In the same vein, Turkey has reduced the proportion of gross debt stock within GDP dramatically during the last ten years. Significant increase in the performance of exporting also assists this reduction.

With respect to the place and performance of the Country in innovation, Turkey takes the 25th place among 125 countries regarding the ratio of R&D financed by the private sector, and 33rd place regarding the number of engineers graduated according to the Global Innovation Index 2011. The increase of GERD (Gross Domestic Expenditures on R&D) in the recent years has carried Turkey upwards into the first 40 countries in this regard. Turkey ranks at the 41st place regarding the number of researchers per million people, at 51st place regarding the import of products with hightechnology and 63rd place regarding the export of the same.

For Turkey to achieve its deserved place in the race towards R&D and innovation, it is strictly targeted to improve the performance through developing its “Innovation Ecosystem”.

Why İzmir?

izmir.jpgİzmir is just in the middle of everywhere and offers a colorful city life in a problem-free metropolis. With the refreshing breeze from the Aegean, the long attractive palm-fringed promenade, Kordon, is a popular spot for evening walks, and there are many cafes along the waterfront. The city of İzmir is offering high level of living standarts for its residents, providing the necessary environmental qualifications for the people whom we can call as a creative class. “It’s not only a place to work, but also a fascinating place to live!”; plenty of festivals and fairs generate the enjoyable facade of the city.

In modern times, İzmir has been recognized as a Western-facing trading hub since as far back as the 17th Century, when foreigners were accorded privileged trading conditions, setting İzmir on its way to becoming one of the foremost trade centers for the Ottoman Empire. Preserving its historical legacy, today İzmir still continues to be a leading trade center of the nation. The share of direct manufacturing activities in the province is 34% and the rest of the activities are concentrated in service, trading, and supplementary industries. İzmir is responsible for 9,3% of industrial production of Turkey.

In paralel with the country performance, Foreign Direct Investments in İzmir has notably increased. Many foremost companies in global scale have chosen to invest to the region. The number of international companies in İzmir reaches to a number of 1739 at the beginning of the year 2012. During the last six years the amount of annual average FDI investment exceeds 100 million USD in the region. Above all, decision by several companies to expand their existing investments in İzmir demonstrates how satisfied they are with their local presence.

İzmir enjoys the advantage of being a significant export oriented city. It utilizes the benefits of its geographical position close to the markets of the European Union and those of the Near and Middle East as well as having Turkey’s second largest seaport, İzmir Alsancak Port (which handle well over 50% of Turkey’s container exports), with continuous expeditions to all main ports of the world. It also boasts a world-class airport which is located 18 km from İzmir city center and can handle nine million passengers each year.

İzmir boasts a very young and dynamic population with highly developed education levels and vocational skills. The average age of İzmir’s 4 million citizens is 33 and productive workforce makes up around 72% of the total population. They are well educated. The city supports nine universities that send out 14,000 graduates into the marketplace annually. The universities are supplemented by a range of vocational training colleges.

Moving forward with the momentum it gained recently, İzmir became a city of projects. The city is now laying foundations which will strengthen its position even further and contribute to a favorable business environment for investors. What will these projects in bring to İzmir?

First of all, infrastructure projects have already been launched to make İzmir a logistics hub. North Aegean Port to be constructed in Çandarlı is planned to be the largest in the Mediterranean and in the first top 10 ports worldwide. Logistic Village Project will strongly contribute to İzmir for becoming a home base of logistics sector. On one hand İzmir-İstanbul highway and on the other hand Ankara-İzmir high-speed railway will be constructed. With the strengthening of its basic infrastructure through local transportation projects, the expectations are high for EXPO 2020 bid. İzmir is determined to win its bid for EXPO 2020, and there is no doubt that investments will gain speed since EXPO 2020 is owned up as a project of Turkey. Equipped with such a strong infrastructure, İzmir will definitely be in the front lines to achieve 2023 targets of Turkey.

“İzmir the beautiful” is a rewarding city in all means. We wish INSME 2013 Annual Meeting would be a chance for you to discover the city. For further information we would strongly suggest you to visit www.investinizmir.com.

Why Turkey? (by SEBRAE)

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During the last decade Turkey has followed a long path to become not only a regional powerhouse but also the 17th economy in the World.

In a similar course, Brazil has reached important developmental goals due to a stronger democratic system, lower poverty rates and a dynamic economy that is currently the 6th largest in the World.

Both countries have been acknowledging multilateralism as an important way for emerging economies to play pivotal roles in providing solutions to complex international problems, as demonstrated in global international arenas such as the G20 summit.

The synergy between Brazil and Turkey in the multilateral field is reinforced by trade and investment opportunities. Turkey has a unique strategic position being between Asia and Europe, with commercial channels with the  central-asian republics making the country a gateway to these markets and an inevitable bridge to European countries.

Brazil, by other side, is a 200 million people market and a gateway to Latin America markets.

Brazil is currently Turkey's largest trading partner among the Latin American countries. The bilateral trade has been growing sharply in the last 10 years. The total trade volume increased from US$ 270 million in 2002 to US$ 2.2 billion in 2012. Bilateral trade is expected to increase even more fostered by the Double Taxation Prevention Treatment signed in 2010.

Brazilian and Turkish small business have a comparable and striking contribution to the productive framework of their economies, accounting for 99% of total enterprises and providing about 52% and 78% of total employment, respectively. They face quite similar challenges in issues such as access to finance, informality and
productivity, and, therefore, can exchange innovative experiences and solutions to promote small business global competitiveness.

Izmir, a thriving city, host of the 2013 INSME annual event, offers an excellent opportunity for the members of our network to exchange best practices on supporting small business development. And also to feel the Turkish economy on the move.

The Brazilian Small Business Support Agency – SEBRAE is once again taking part in such initiative, hoping not only to enhance long established partnerships, but to also engage in new ones acknowledging that in today's world all efforts must be made to bridge the still existing gaps between our economies.

Let's make this 2013 a unique opportunity to add value to the network, bringing our best ideas and energies to this annual meeting.

Looking forward to meeting you in Izmir.

 

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Carlos Alberto dos Santos

Technical Director

SEBRAE (Brasil)