“The Turkish lira/USD exchange rate has helped us to be aggressive while exporting”

Turkish apples are doing very well in the Indian market. Demand was so strong that the export season had to start earlier than usual. It could also cause the season to end earlier, which could lead to higher prices when supplies run out.

According to Alper Kerim, owner of Turkish apple exporter, Demir Fresh Fruits, the Turkish apple season started surprisingly early in 2021: “Usually we start exporting apples to the Indian market at the end of December, but this season, it started early in November and sales increased in both November and December. You could say that the demand was actually a bit too high, but the Turkish lira/USD exchange rate helped us to be aggressive while exporting. Turkey had shipped over 500 containers of apples in those two months alone. India was the biggest buyer, as usual. In particular, demand from South India was higher than in previous years.

Despite the current situation with the Turkish Lira, Demir believes they will be able to capitalize on higher prices in the coming months. “Prices are slightly lower in US dollars than last year, as the Turkish lira has lost too much value since last year. But it looks like higher prices can be expected in the coming months, because the quantities stored are not sufficient to continue exporting until June, as we were able to do last year.As Demir Fresh Fruits, we are one of the top 3 imported apple brands on the entire Indian market.And our goal is always to be the top Turkish apple brand in India.Our capacity and quality will surely take us to the top level.

Currency issues have resulted in more expenses for the Turkish exporter, Kerim explains. “The value of the Turkish lira has changed very quickly. The value of the US dollar rose, but at the end of December the value suddenly dropped and the US dollar lost about 40% in value in about two days. It is not easy to be an importer or an exporter in Turkey, because the dynamics are changing. Not even by the day, but even by the minute. Our sales value increased, but at the same time our packaging materials and labor costs increased due to the lower Turkish value. The use of cardboard boxes when packing has now become our biggest expense, which is why we made our deals with cardboard producing companies at very high levels after the US dollar lost around 40% of its value in a single night. It was a real challenge for us, because our costs stayed the same, but our sales dropped accordingly.

With India being a big market for Turkish apples, Kerim noticed that some people who lacked market knowledge started looking for their slice of the pie: “Everyone started exporting apples from Turkey to the Indian market, even other commercial players who did not have one. have no knowledge of apples. Besides that they had no information regarding the expected quality or even the Indian market dynamics and these days we hear that most of them are stuck collecting money or dealing with complaints. Too many packed apples are waiting in Turkish cold stores, due to slowing demand in the Indian market. For our company, we have the right partners in India, so we do not face any difficulties in this area.

“I would suggest to Indian importers looking for business with apple companies to deal with exporters who have been in the apple industry longer, with brands that are well known to Indian consumers. Otherwise, importers risk find poor quality apples upon arrival, which means it will be difficult to sell them unless they go for low prices, due to the poor quality. That being said; I expect to a further increase in demand in India for Turkish apples.” Kerim concludes.

For more information:
Alper Kerim
Half Fresh Fruit
Tel: +90 532 514 2080
Email: [email protected]

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