Turkey wants to increase defense exports to $25 billion

ANKARA - Anadolu Agency

Ankara spent over $1 billion on defense, research and development in 2013. AA Photo

Turkish defense producers aim to boost exports to $25 billion by 2023, from $1.5 billion this year, Defense Industry Undersecretary İsmail Demir stated on Nov. 28.    

Demir said Turkey aims to have defense companies among the top 100 major companies in the world, and to create at least three global brands in the defense sector.

“Yes, we have a lot of work to do, but the return on investment in the defense sector is very high. In addition, a good value-added product earns a high price on the market. The Turkish Armed Forces is a very important reference which attracts attention to Turkish products in international market,” he said at the 15th International Fair of the Association of Independent Industrialists and Entrepreneurs in Istanbul.

“If the country’s production, its technology and its industry’s infrastructure are not strong, if its ecosystem is not strong, it is unable support the defense industry,” he added.

Ankara spent over $1 billion on defense, research and development in 2013, and Turkey’s defense industry has gained momentum in recent years, with an expansion of local producers.

According to data from the Defense Industry Exporters’ Union, Turkey’s exports in the defense and aviation industries combined reached $1.39 billion in 2013 and $1.4 billion so far in 2014. Defense imports in 2014 amounted to $1.3 billion.

Turkey’s defense spending was 29.4 billion Turkish Liras ($13.2 billion) this year, according to the Defense Ministry.

The 2014 defense budget accounted for 3.7 percent of the overall state budget. About half of the country’s defense budget goes on personnel spending such as salaries, benefits and pension payments to retired Turkish Army personnel.