Plastic Industry Lost Strength in the Second 500

According to the evaluation made by the Plastic Industrialists Association (PAGDER) regarding the "Turkey's Second 500 Largest Industrial Enterprises" 2022 list published by the Istanbul Chamber of Industry (ISO), the plastics industry has lost power among the second 500 largest. According to the NACE code, the number of businesses operating in the plastic industry decreased from 27 to 24.

Evaluating the list of Turkey's Second 500 Largest Industrial Enterprises in terms of the plastics industry, PAGDER Chairman Selçuk Gülsün said, “Although there is an increase in all data of the plastic industry establishments operating in the plastics industry according to the NACE code and included in the second 500 list, the average exchange rate of 2021 and 2022 "When we consider that there is an 86% increase in the average exchange rate for the year, we see that these increases do not reflect the truth," he said.

Its Share in Exports Declined!
Continuing his words, Gülsün said: “In the analysis we made through our industry members who share their data transparently, we see that exports decreased by 1.9% compared to 2021. Considering that the total exports of the plastics industry increased by 16% in the same period, we can say that the share of plastics industry organizations in the ISO Second 500 list in exports decreased. One of the main reasons for this dual situation is the Ukraine-Russia war that started in 2022 and the increasing energy prices due to this war, triggering the fear of recession in Europe, one of our traditional export markets, and slowing down our exports to these countries. Because the increase in exports in the plastics industry in 2022 came from rapidly increasing markets. While SMEs, which had the opportunity to enter more dynamically and more aggressively in these fast-growing markets, increased their exports, large-scale companies could not seize the same opportunities. Again, in both 2021 and 2022, the production sales of our industry members who were on the list and shared their data increased by 96.9% and their net sales increased by 93.6%. "Although this increase is significant, when we evaluate sales from production in dollar terms, taking into account the 86% increase in average exchange rates, we observe a much more modest growth of 5.9%," he said.

Profitability is melting fast!
Gülsün underlined that the profit before interest, depreciation and tax (EBITDA) of the plastics sector businesses, which are included in the second 500 list and share their data transparently, increased by 59.9% on a TL basis and decreased by 14.1% on a dollar basis: “Despite the increase in the turnover of our businesses, EBITDA The decrease also shows that operational costs are not reflected to the consumer at the same rate. "The main reason for this is that plastic raw material prices are indexed to foreign currency and upward exchange rate movements increase costs, on the other hand, this cost increase cannot be reflected at the same rate due to the shrinking domestic market," he said.

Stating that they have 14 members in the ISO Second 500 list, as the most established NGO of the sector, founded in 1969, Selçuk Gülsün said: "We congratulate all our members on the list, and we attach great importance to the contributions of these enterprises in order to bring the plastics industry to better points in the coming years."

PAGDER members included in Turkey's Second 500 Largest Industrial Enterprises 2022 list

2022

2021

Organizations

26

94

Epsan FZ Kimya Plastik San. and Tic. Inc.

130

227

RBS Ravago Construction Insulation Products Inc.

134

166

Sunar Özlem Gıda San. and Tic. Inc.

199

65

Georg Fischer Hakan Plastik Boru ve Profil San. Tic. Inc.

206

220

Akplas Plastik Kalıp San. and Tic. Inc.

213

249

Klöckner Pentaplast Gebze Ambalaj Maddeleri A.Ş.

224

148

Plastifay Kimya Endüstrisi A.Ş.

261

176

Ema Kimya Sistemleri San. and Tic. Inc.

284

391

Beno Plastik Ambalaj ve Kalıp San. Tic. Inc.

369

215

Anadolu Yarn and Textile Factories Industry Inc.

436

311

Özler Plastik San. and Tic. Inc.

443

+

Pimtaş Plastik İnşaat Malzemeleri San. and Tic. Inc.

460

441

Tisan Mühendislik Plastikleri San. and Tic. Ltd. Ltd.

464

341

M.P.S. Metal-Plastic Industry Strapping and Packaging Systems Manufacturing. and Tic. Inc.