Opening its doors for the 10th time, the Istanbul Fashion Connection (IFCO)—a key event in the Turkish fashion industry—hosted speeches that painted a striking picture of the sector’s current economic climate.
During the opening ceremony, where Trade Minister Ömer Bolat and Istanbul Governor Davut Gül offered sector evaluations, Istanbul Chamber of Industry (ISO) Chair Erdal Bahçıvan clearly articulated the industry’s demand for production-oriented growth and fair competitive conditions.
Turkish Exporters Assembly (TIM) Chair Mustafa Gültepe expressed expectations for steps supporting production and exports in the new Medium-Term Program, while Istanbul Chamber of Commerce (ITO) Chair Şekib Avdagiç warned that the widening gap between inflation and the exchange rate is severely damaging Türkiye’s competitiveness.
“Negative narratives about the sector do not reflect reality”
Trade Minister Ömer Bolat underscored the critical role of textiles and apparel in Türkiye’s industrialization and export journey, stressing that these sectors are never overlooked. Addressing industry concerns, Minister Bolat stated: “None of these rumors hold any truth; there are challenges, but a recovery is on the horizon.”
Noting that textile exports have begun to rise this year and apparel figures have held steady at last year’s levels, Bolat voiced confidence that the sector would return to positive growth in the second half of the year. He also highlighted a 10 percent increase in the unit export price of apparel in the first seven months of the year, attributing it to the strength of Turkish manufacturing.
Emphasizing that trade fairs serve as gateways to global markets for exporters, Minister Bolat said: “We provided approximately 108 million TRY in support to 524 participating companies across the February and August editions of IFCO in 2025. For this year’s February edition, we have already disbursed around 55 million TRY to 215 participants.”
Istanbul Governor Davut Gül noted: “We are living in an era where global balances have dissolved, security has taken center stage, and the greatest success is preserving what we have. Maintaining a secure production environment under the leadership of our President during this period is a major achievement.”
“Turkish industry should not bear alone the cost of an inflation it did not cause”
Expressing the manufacturing sector’s expectations ahead of the new Medium-Term Program in strong terms, ISO Chair Erdal Bahçıvan criticized the current policy approach for focusing solely on disinflation at the expense of production. Stating that recent economic measures have forced heavy sacrifices upon manufacturers, Bahçıvan assessed: “Turkish industry is being sacrificed for the sake of fighting inflation.” He stressed the need to protect the production infrastructure built through immense effort and called the erosion of competitiveness unacceptable.
Bahçıvan pointed out that manufacturing contributes most to the anti-inflation fight by reining in cost inflation, yet industrialists continue to carry the heaviest burden of high interest rates and financing costs. “Our industry should not bear alone the cost of an inflation it did not cause,” Bahçıvan asserted, adding that policymakers must take this reality into serious account.
“We want at least half of growth to come from production and exports”
TIM Chair Mustafa Gültepe reiterated that production and exports are the primary engines of the Turkish economy, noting that recent struggles extend beyond apparel to the entire industrial and export spectrum.
“This is a national issue,” Gültepe stated. “Inflation has been brought down to this point thanks to the sacrifices of industrialists and exporters. The new Medium-Term Program in September must introduce distinct support mechanisms for industry. As exporters, we have been unable to contribute to Türkiye’s growth recently, which is deeply concerning. We want at least half of economic growth to come from production and exports. Producing nations guarantee their own prosperity.”
“Perception that “Türkiye is expensive” is highly dangerous”
ITO Chair Şekib Avdagiç stated that the gap between domestic inflation and exchange rates widened by an additional 10 percent in the last seven months alone. “This trend is not only squeezing exporters; it is also depressing spending by foreign visitors while domestic citizens spend increasingly abroad. A narrative is forming against us. The embedding of a perception that Türkiye is expensive’ is extremely dangerous. If this perception sticks, our tourism sector will suffer as well,” Avdagiç warned.