The Ministry of Commerce reported that exports decreased by the effect of the earthquakes in Kahramanmaras in February and amounted to $18.6 billion with a decrease of 6.4% compared to the same month of the previous year.
In the statement made by the Ministry of Commerce regarding the export figures of February, he expressed his condolences to the citizens who passed away due to the earthquake disaster that affected 11 provinces and millions of citizens on 6 February, a speedy recovery to the injured, and the whole country.
Pointing out that the disaster deeply affected not only the citizens living in 11 provinces, but also the whole of Turkiye, the statement said, “While the sadness of the lives lost in the earthquake disaster is experienced throughout our country, our Ministry, together with other relevant institutions, continues to work for the return of trade in the region to normal. Due to the earthquake disaster, the monthly foreign trade evaluation is shared with the public in the form of a press release for this month.”
In the statement, it was emphasized that great successes were achieved in exports in 2022, and it was reported that an important stage was reached in the export of services as well as the export of goods.
Reminding that last year, exports of goods increased by 12.9% to $254.2 billion, while exports of services increased by 46.5% to $90 billion, the statement said: “The Turkish economy grew by 5.6% in 2022, above the Medium Term Program (2023-2025) estimate of 5%. The contribution of exports of goods and services to growth was 2.2 points positive throughout the year, accounting for 40% of the growth, and exports continued to be the driving force of growth.”
In the statement, the following assessment was made regarding the impact of earthquakes on exports:
“On the other hand, the earthquake disaster in 11 provinces, which constitute 8.6% of our country’s total exports, had a downward effect on our exports. In February 2023, our exports decreased by 6.4% compared to the same month of the previous year, and amounted to $18.6 billion. According to the customs gates data, there was a significant decline in exports after the earthquake, especially in Adıyaman, Hatay, Kahramanmaras and Malatya. Considering the deviations in our monthly forecasts and the province-based decreases, it is evaluated that there was a direct downward effect of $1.5 billion on our exports in February due to the earthquake.”
Imports amounted to $30.8 billion in February
Pointing out that the relatively weak course of foreign demand and the low realization of the euro-dollar parity compared to the same period of the previous year also affected exports downwards, the following statements were used:
“Due to parity, our exports were $529.2 million less in February. Our imports in February were $30.8 billion, while 22% of this figure is due to energy imports. In addition, the increase in imports is mainly due to imports of unprocessed gold. As a matter of fact, in this period, imports of unprocessed gold increased by $3.7 billion (858.7%) and amounted to $4.1 billion. Among the product groups that stood out in the increase in imports in February, automotive imports amounted to $2.1 billion (81% increase) due to the overcoming of the semiconductor crisis, machinery imports amounted to $2.9 billion (22.2% increase), and electrical machinery imports amounted to $2.1 billion (40.5% increase).
Necessary measures are taken
In the statement, it was stated that as of 2021, the share of 11 provinces affected by the earthquake in Turkiye’s Gross Domestic Product (GDP) was 9.8%, and the following was noted:
“Necessary measures are being taken in order to quickly overcome the damage caused by the earthquake in the economy of the provinces, and studies are carried out within the scope of short, medium and long-term needs in order to restore our businesses affected by the earthquake. Once again, we wish God’s mercy on our citizens who lost their lives due to the earthquake, our condolences to their relatives and a speedy recovery to the injured. Condolences to all of us as a nation.”
Source: Trthaber / Prepared by Irem Yildiz