A profile of the Turkish paint industry

Citation

(2003), "A profile of the Turkish paint industry", Pigment & Resin Technology, Vol. 32 No. 6. https://doi.org/10.1108/prt.2003.12932fae.001

A profile of the Turkish paint industry

A profile of the Turkish paint industry

Keywords: Turkey, Paint, Industry

Information Research (IRL) have announced the publication of a brand-new title for its series of national paint profiles: A Profile of the Turkish Paint Industry. Building on the success of IRL's other national paint industry profiles for China and India, this volume provides a unique insight into the Turkish paint industry, market and end-user industries.

Paint manufacture takes place in each of the five main Turkish cities, but Istanbul is by far the most important location. Cities offer the greatest market opportunities, given the trend towards domestic migration among the young, and the continued construction of owner-occupied apartment blocks, which are the most prevalent sort of dwelling in Turkey. The construction sector is by far the most important market, with building paint demand estimated at about 200,000 tonnes.

Total paint demand in Turkey is estimated at 315,000 tonnes in 2002, which indicates a degree of recovery from the Turkish economic crisis of 2001. The market is expected to recover to pre-crisis levels before long, with many in the industry currently enjoying a booming 2003. Growth in the market is expected return to the pre-crisis rate of 10 percent p.a. for the remainder of the decade.

With the possible exception of coating resins, where about three-quarters of demand can be met through indigenous production, the Turkish paint industry exhibits a fairly high dependence upon imports for raw materials, especially for pigments and solvents. On the other hand, capacity utilisation of 60 percent is sufficient to meet the needs of the national paint market, providing manufacturers with ample capability to cultivate export markets in Eastern Europe, the Balkans, CIS countries and Russia, which are the most important emerging markets for Turkey, as seen in Figure 1.

Large companies establishing themselves in Turkey through acquisition or with licensed production, joint ventures or distribution agreements are therefore ideally placed to capitalise on the growth of the Turkish and surrounding paint markets. As well as Akzo Nobel, BASF and Caparol having firm roots in the Turkish paint sector, a host of other companies from Arch Chemicals to Zinsser are also represented.

Figure 1 Share by value of Turkish paint export markets, 2001 (percent)

Terry Knowles, author of A Profile of the Turkish Paint Industry said "Almost all of the end-user industries offer good growth potential in Turkey. There is a continued demand for modern construction technology, which in turn develops the market for better quality paints. Expansion of tourism, both in terms of accommodation and activities, will also be an important part of market development. In addition to the supply opportunities for the neighboring paint markets which lack modern technology themselves, increased investment on the part of carmakers in Turkey throws the spotlight on the potential of the Eastern European markets in places such as Hungary and Poland. The geographical location of Turkey is therefore ideally suited to companies wishing to reach the markets of Eastern Europe, the Middle East and Africa."

The contents of A Profile of the Turkish Paint Industry include the following.

1. 1.

   Introduction

2. 2.

   Executive summary

3. 3.

   Background

4. 4.

   The Turkish paint industry

5. 5.

   Turkish paint production, trade and consumption

6. 6.

   Turkish paint market data

7. 7.

   End-user industries

8. 8.

   Market forecast to 2007

9. 9.

   Concluding remarks

10. 10.

    Selected importers and distributors of raw materials

11. 11.

    Directory of paint manufacturers

A Profile of the Turkish Paint Industry (105 pp. and 57 tables) costs $2,000 (2,000 US dollars) for a single complete hard copy edition. Sections of the report, priced individually, will also be available to purchase online at Web site: www.informationresearch.co.uk

For more information on this publication, please contact: Terry Knowles, Information Research (A Division of BRG (UK) Ltd), 109 Uxbridge Road, Ealing London W5 5TL United Kingdom. Tel: +44 (0) 20 8832 7830; Fax: +44 (0) 20 8566 4931; E-mail: terry.knowles@brg.co.uk; Web site: www.informationresearch.co.uk