Turkey’s Leather Industry Targets $5 Billion in Exports After a Tough 2024

Turkey's Leather Industry Targets $5 Billion in Exports After a Tough 2024

Turkey’s leather and leather products industry is taking bold steps to recover from a difficult 2024. Industry leaders are uniting to implement a strategic action plan aimed at revitalizing the sector, with a strong focus on boosting exports to $5 billion. This move comes after the industry experienced significant declines in production, exports, and employment.

The leather sector faced major setbacks in 2024, marked by an 18% drop in exports. Key categories saw sharp declines:

  • Footwear: down 21.9%
  • Leather goods: down 12.3%
  • Fur and apparel: down 2.9%
  • Finished leather and fur: down 2.2%

The sector’s overall capacity utilization dropped from 67.3% to 62.1%, while employment numbers fell from 68,956 to 62,789.

The footwear segment was particularly affected, with a $1.1 billion trade deficit. Exports in this segment decreased to $877.4 million, while imports increased to $1.55 billion due to a weaker currency and competitive pricing from global brands.

In response to these challenges, industry leaders have called for immediate action. Güven Karaca, Chairman of the Istanbul Leather and Leather Products Exporters’ Association (IDMIB), highlighted the impact of low exchange rates on rising imports.

Erkan Zandar, Chairman of the Aegean Leather and Leather Products Exporters’ Association, criticized large retail chains for increasing imports.

“Imports have skyrocketed from 25 million pairs to 70 million pairs, mainly from global brands. We must introduce production requirements for imports,”

Berke Içten, President of the Turkish Footwear Industry Association (TASD)

Sait Salıcı, President of the Footwear Components Manufacturers Association (AYSAD), proposed additional taxes on components like soles and uppers to safeguard local manufacturers.

“Without state support during this critical period, these sectors cannot survive. Market growth is unlikely over the next five years.”

Erkan Zandar, Chairman of the Aegean Leather and Leather Products Exporters’ Association

Despite the challenges, there is still hope. Güven Karaca noted that the leather industry remains Turkey’s fourth most valuable sector in terms of value-added exports.

He believes that economic reforms, such as lowering interest rates and achieving disinflation, could drive significant growth. In 2024, although exports fell to $1.52 billion (a 17.9% decrease), the value per kilogram of exported goods increased from $11.35 to $11.82.

Looking ahead, the sector plans to push for more protective measures against imports and greater support for labor-intensive industries.

Global political developments, including potential policy changes in the U.S. and regional geopolitical shifts, are being closely monitored for their impact on the industry.

During a recent meeting led by IDMIB Chairman Güven Karaca, key figures from various segments of the industry came together to map out a recovery strategy.

Like this article? Share it with your network!

Arshad

Arshad

He is an engineer specializing in Leather Technology, known for his keen interest in analyzing global leather, footwear, and leather goods markets & his ability to make complex information clear & accessible. 

Write for Us

Share your stories, experiences, opinions, and analysis in the expert columns of leathernews.org and reach a niche audience and make your voice heard in the global leather, footwear & leather goods industry.

Roll Up Your Sleeves & Join Our Exclusive Newsletter

Get our free weekly newsletter that keeps hundreds of professionals in the global leather, footwear & leather goods industry updated with the latest insights & news.

Search Articles

Recent News

2025 SLTC Conference Set to Take Place in Glasgow this April

The Society of Leather Technologists and Chemists (SLTC) will host its annual conference on April...

Sri Lanka Footwear and Leather Fair 2025 Concludes Today

Today marks the final day the 15th Footwear & Leather Fair 2025, held between 6-9 Feb, 2025 at...
Turkey's Leather Industry Targets $5 Billion in Exports After a Tough 2024