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New incentive scheme to help Turkish apparel makers
Apr '12
Mr. Sami Kariyo
Mr. Sami Kariyo
A new incentive scheme announced by Government of Turkey will benefit garment manufacturers, according to the Turkish Clothing Manufacturers Association (TGSD).

For the new incentive scheme, the Government has divided all provinces in Turkey into six groups on the basis of socio-economic development. The Government's incentive support would be the most to those provinces falling in the sixth group, mainly comprising of poorer eastern and southeastern provinces.

For investments made in the sixth-category provinces from January 1, 2012, the Government will pay the employee insurance costs on the minimum wage for 10 years.

The new incentive scheme would provide more breathing room to Turkish apparel industry, said Sami Kariyo, who is on the Board of Directors of the TGSD.

Speaking at an event in relation to the 5th Istanbul Fashion Apparel Conference to be held on May 3-4, 2012, Mr. Kariyo said, the new scheme will help Turkish manufacturers to become competitive with China, where labour costs in the textile and apparel sector are in the range of US$ 300-500. The incentives provided by the Government would bring down the labour costs in 5th and 6th category zones to around US$ 450, he added.

At present, there are 1,500 Turkish apparel brands that have an overseas presence and the TGSD projects this number to grow to 10,000 within a span of few years, Mr. Kariyo said.

The two-day 5th Istanbul Fashion Apparel Conference will host several important speakers from the textile and clothing industry, including CEOs and fashion designers of multi-national companies like Lee Cooper, Nike and Celio.

Representatives of many international organizations like Euratex, Cotton Council International and Woolmark would also speak at the event.

Fibre2fashion News Desk - India

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