Home / Knowledge / News / Apparel/Garments / US Sanctions on Iran hit Turkish apparel exports
US Sanctions on Iran hit Turkish apparel exports
Mar '12
The fresh wave of unilateral sanctions imposed by the US and EU on Iran is affecting apparel exports from Turkey, a member North Atlantic Treaty Organization.

Turkish exports to Iran surged 12-fold during the last ten years to touch US$ 3.5 billion in 2011 due to improved bilateral relations and growing trade between the two countries.

The new US sanctions targeting Iran's central bank, imposed in January this year, led to a decline in value of Iran's currency 'rial' by more than 50 percent against the dollar. As a result, the relative cost of Turkish items nearly doubled in a span of few days.

The effect was immediately visible and overall Turkish exports to Iran fell sharply by 25 percent in January 2012 from a month earlier.

Meanwhile, all Turkish banks except for the state-owned Halkbank have stopped processing payments for Iranian customers.

The net result is that Turkish apparel exporters, who expected their sales to grow during the days before the Persian New Year, are witnessing a slump and their stocks are getting piled up.

Speaking to fibre2fashion, Mr. Ali Ulvi Orhan, Head of Osmanbey Textiles Businessmen Association (OTIAD), which represents around 800 Turkish textile and apparel firms, said, “The Turkish textile and apparel industry got affected by the results of the sanctions immensely as significant volume of garment exports from Turkey to Iran has received an abrupt and unforeseen halt.”

“The ramifications of this chain of events has resulted in Turkish companies holding significant supplies of apparels that they had produced, but could not sell, in anticipation of a growth between Turkish and Iranian trade,” he explains.

Suggesting a solution to ease the situation, he opines, “A long lasting solution seems improbable due to sustained heat in the political arena between Iran and the West. But a temporary solution between Turkey and Iran could be to use a bartering system between the two countries.”

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 29th Apr 2017

Textile sector may have uniform GST rate: Irani

The textile sector could have a uniform Goods and Services Tax (GST)...

Textiles | On 30th Apr 2017

Government revamping tech mission on cotton

Indian Government is working to revamp the technology mission on...

Apparel/Garments | On 30th Apr 2017

Columbia Sportswear records Q1 net sales of $543.8 mn

Columbia Sportswear Company has announced record net sales of $543.8...

Interviews View All

Binoy Ravjani
Hero's Fashion

‘One of the recent trends in hand block printing is the indigo process,...

Md Hanifur Rahman
Aman Group

The level of understanding the job role and organisational requirements...

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Eric Scholler

The Indian market has huge potential in technical textiles, and by far,...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Robert Brunner

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Pranav Mishra

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
April 2017

April 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search