Logistics Sector Board - “The Logistics Sector and Future Trends with a Focus on Sustainability”
(İzmir, 24 February 2023)
Honourable Minister, Honourable Governor,
Dear MÜSİAD Family,
Esteemed representatives of the business world,
Esteemed Members of the Press, distinguished guests,
Welcome to our Türkiye Consultation Meeting themed “The Logistics Sector and Future Trends with a Focus on Sustainability”, organized by our MÜSİAD Logistics Sector Board together with our İzmir Branch; it is a pleasure to have you here.
Distinguished guests, dear MÜSİAD Family,
In today's economies, alongside carrying out value-added production, delivering the goods and services produced to the target audience has also become extremely important. Companies that produce develop their organizational capabilities by taking part in this process, and make a difference by using the requirements of the age in the most effective and correct manner.
In the period we are living through, companies and countries stand out in particular not only through the values they produce but also through how much of them, and in what way, they deliver to the world. In this context, the logistics and transportation sector constitutes an important field in our country as well.
Just as our country is in an advantageous position in logistics owing to its geographical location, it also makes a great contribution to the development of the logistics sector through its capacity to adapt to technology.
Despite the downward trend in the global economy and the weak performance observed in the logistics sector, transportation revenues reaching USD 34.9 billion in 2023 reveals the importance of the investments our country has made in transport services, particularly over the last 20 years.
Likewise, in 2023 the rise of passenger revenues to USD 20 billion and of travel revenues to USD 47.7 billion draws attention as an output of long-term transport and infrastructure policies.
In 2024, expectations of a recovery in global trade will be one of the most important factors capable of balancing the downside risks concerning the logistics sector. The global trade volume, which is estimated to increase by an average of %3.5 annually in 2024 and 2025, contains important opportunities for strengthening our country's position in the international arena in the logistics sector.
In parallel with these developments, the 12th Development Plan also emphasizes that, alongside expanding Türkiye's logistics capacity, work to increase the effectiveness and diversity of the transport corridors it is part of will continue. In this way, the increase in our country's exports of goods and services will rise to much higher levels in the Century of Türkiye in which we find ourselves.
On the other hand, with the Paris Climate Agreement signed in 2015, “sustainability” has come to the fore as a concept that deeply affects many sectors. As you know, sustainability today is not merely a concept relating to climate change. It has become an extremely comprehensive concept affecting almost all our ways of doing business, from energy to automotive, from textiles to logistics, and, more importantly, shaping our future.
Therefore, as in many sectors, work on sustainability is also gaining great importance in the logistics sector.
As MÜSİAD, we encourage and support the development of our members in this field. In this direction, our MÜSİAD Logistics Sector Board has once again demonstrated, with this meeting it has held, that it follows global trends very closely. I thank our colleagues once again for their contributions.
Dear MÜSİAD Family,
As business people, alongside lawful earnings, we work with the passion of carrying our country higher in economic terms. God willing, in 2024 we will continue our work without slowing down, with the “Century of Türkiye” goal pointed out by our esteemed President.
Türkiye, which in 2022 achieved the distinction of being the 3rd fastest-growing country in the G20 with %5.6, entered 2023 with this same motivation. Indeed, in January, on an annual basis, increases of %10.3 in exports, %4.5 in industrial production, %33.9 in retail sales and %94 in total turnover were recorded; the unemployment rate also fell to %9.7.
However, right at the beginning of the year, we found ourselves face to face with a major crisis environment brought by the catastrophe of the century that we experienced. The two major earthquakes centred on Kahramanmaraş on 6 February not only caused a great loss of life but also completely interrupted economic activity in 11 of our provinces in the Eastern region.
But, thanks be to God, despite these earthquakes described as the “disaster of the century”, the Turkish economy, which showed great resilience by growing %4 in the first quarter of the year, maintained this performance in the second quarter as well and advanced positively within the global economy by growing %3.9.
Finally, the Turkish economy, which grew by %5.9 in the third quarter of the year, also succeeded in becoming the second fastest-growing country in the G20 in that period.
On the other hand, at such a time when our country, together with the leading economies, is confronting the problem of inflation and is in a monetary tightening process, the increase in the growth rate of the Turkish economy is a development that deserves appreciation. Ultimately, it is estimated that price increases will also fall to far more reasonable levels, particularly as of the second half of 2024.
The expansion of the services sector by %4.3, the industry sector by %5.7 and the construction sector by %8.1 in the third quarter pointed to across-the-board growth. The growth performance of %5.9 will be a very great source of motivation for 2024 as well, in these days as we approach the end of the year.
We see that this positive outlook observed in economic growth is also reflected quite favourably in the labour markets. While the unemployment rate of %8.8 announced for December 2023 was the lowest December level in the last 11 years, the employment increase of 716 thousand people recorded over the last year was striking. The rise of total employment to 32.1 million, the highest level in history, proved the “employment-friendly” structure of GDP growth.
2023 also left positive traces in foreign trade. Alongside the annual export volume that reached a record level of USD 255.8 billion, the foreign trade deficit, which narrowed by %3.2 compared with the previous year thanks to the decline in imports, also presented a positive picture. The current account deficit, which fell by %8 compared with the previous year to USD 45.2 billion, was another gratifying development regarding 2023.
At this point, the contraction recorded in Türkiye's energy bill in 2023 also draws attention. Energy imports, which stood at USD 96.6 billion in 2022, fell to USD 69.1 billion last year, and thus in 2023 the “current balance excluding energy” gave a surplus of USD 7.6 billion.
In short, 2023 was an important and successful starting year for the Turkish economy in the name of macro-financial rebalancing. Together with 2024, in which the rebalancing process will continue, the Turkish economy will keep moving step by step closer to its goals of permanently reducing inflation, ensuring stability in the exchange rate, and achieving sustainability in public fiscal balances and foreign trade.
We have full confidence that our country — which carries the flag of exports to more than 200 countries and which has made very great strides in many fields, from the economy to infrastructure and urbanization, from education to health — will sustain this success in the coming period as well, and will enter the ranks of the world's 10 largest economies in the “Century of Türkiye”.
I hope that our meeting will be beneficial and auspicious for our sector and for our country.
In order to realize this important goal, as MÜSİAD we always show the will to put our shoulder to the wheel. As our Logistics Sector Board Chairman also emphasized, we will continue to work and to produce without stopping and without tiring, in the name of creating added value in all sectors.
Because MÜSİAD means working and struggling so that Türkiye takes its place in the world as a strong country.
Because MÜSİAD means being one, being united and being together.
I greet with respect and reverence all the business people who contribute to our MÜSİAD with their efforts, their labour and their sweat, and who provide added value to our country's economy…
May God protect you.
Mahmut Asmalı
President of MÜSİAD