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Far East is the target of Lux Plastik, which doubled its exports by 10

Lux Plastik, which exports to nearly 100 countries in 5 continents, announced its new market strategies and targets. Burak Önder, Founding President of the Home and Kitchenware Manufacturers and Exporters Association (EVSID) and General Manager of Lux Plastik, said that in the new period, they will focus on developed markets, including Europe, Latin America and the Far East. Noting that they exported their products to 119 countries in 2021 and to 93 countries in 2022, with the policies of putting eggs in different baskets, while initially exporting mostly to the Middle East and a little to the European Union, Önder noted that the share of exports in production increased to 70 percent. Pointing out that market diversity is very important for those who produce in these geographies, Önder said, “Our main market is the European Union. It is followed by the Middle East and North Africa, but in Sub-Saharan Africa and in the Far East and Latin America, although it has loosened a bit in the last 2 years. “Our figures are also doing well. In this process, we wanted to bring our plastic capabilities to different points by traveling and seeing the world. Now we have products that we use not only plastic but also glass products, metal products, wood, glass, all in one product. To increase our exports per kilogram.” We did it for you.” said.

Destination after August, Far East

Explaining that they manufacture about 800 products in different buildings in the factory in Silivri, Önder noted that they will focus on the Far East markets on the export side as of August. Önder said that the Far East markets have been closed for 2.5 years with the effect of the pandemic and that they think they will gain an advantage with the opening, and noted that they will continue to work in alternative markets such as the North of America and Latin America. Stating that they are in the top ranks in the sector’s exports according to the data of 2021, Önder stated that as a company, they have increased their exports 12 times in the last 10 years.

“The change in parity does not affect much”

Referring to the effects of the change in the euro/dollar parity on exports, Önder said: “As Turkey’s revenues are generally in euro, it has been gaining parity until now. However, with the parity leveling, this situation became neutral. Inevitably, there will be a decrease due to the fact that export figures are calculated in dollars. However, when we look at the situation rationally, the dollar parity has strengthened all over the world. If I am going to increase my prices at this rate, the Chinese company will inevitably increase it. I don’t think it will have a very major impact on trade.”

“We may be one of the countries least affected by the recession”

Talking about the recession concerns in Europe, Önder pointed out that, historically, there have been 14 recessions in the world in the last 150 years. Pointing out that there is a recession almost every 10 years, Önder said, “On the other hand, the share of world trade is 18 percent in China, 8.5 percent in America, and 8 percent in Germany. Developed countries may be more heavily affected than us. I think we can be one of the countries that are relatively less affected by this process in the European Union region if we can work and implement the right strategy.” made its assessment. Noting that Turkey has only just learned about industry and exports as a country, and that exports in general progress with external demand, Önder emphasized that this needs to change. Pointing out that exports can go so far in this way, Önder said that companies now need to create export-oriented strategies and engage in more active marketing activities.

“China invests in its own country brand”

Evaluating the situation in the household and kitchenware sector, Önder stated that there is a market of approximately 104 billion dollars in the world, and that Turkey has a share of approximately 3.3 percent from this market with 3.4 billion dollars of exports. Pointing out that the sector’s exports have increased by 56 percent in the last 10 years, Önder said that with the pandemic period, Turkey rose from the seventh to the fifth in value. Stating that China dominates the market to a great extent, Önder said, “China has been investing in the Made in China brand in all markets in recent years. While they used to hide it, they now take it further and continue to export. “Similarly, Vietnam is increasing its share in the sector with each passing day and is on the way to become an alternative to China. In addition, a new generation FTA has been signed with our main market, the European Union. This is closely related both as an industry and as our country.” It is one of the issues that we need to follow.” Noting that although there was a 5% growth in exports in the first 7 months this year, there was a decrease in the rate of increase after the third month, Önder said the situation would become clearer after September.

Anton Kovačić Administrator

A professional writer by day, a tech-nerd by night, with a love for all things money.

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