Although Turkey is not really a low-wage country, it may be an interesting option for foreign entrepreneurs to outsource their production there. In Turkey, labour costs are considerably lower than in Western Europe, while the quality level of the Turkish industry is increasing and in many cases meets Western European standards. Some sectors even enjoy a worldwide reputation, for instance the steel industry as a producer of semi-manufactured goods. The favourable circumstances that the Turkish government has created with its policy of economic incentives make Turkey an attractive country for foreign enterprises when it comes to outsourcing their production.
If you want to explore the possibilities of outsourcing a part of your production in Turkey, it is essential to gain a comprehensive overview of the potential manufacturers and an equally reliable cost-benefit analysis.
Various factors play a role here, including the manufacturing location (with a view to logistics costs and delivery speed), the product’s industrial quality, the manufacturer’s financial reputation, the organizational level, labour quality, etc. You will need to compare these data of several potential manufacturers before you can make a responsible decision.
Apart from the above, you need information about any economic or industrial stimulation policies of the Turkish government, which may vary strongly, depending on the sector and the region in question. And, obviously, you need to know what legal requirements are in force for every aspect of your outsourcing operation.
When you have finally drawn up a shortlist of potential candidates, it is crucial to establish the initial contacts with your future business partners by approaching them in exactly the right way.
BST can advise, support and assist you in the entire process, from the initial, preliminary talks up to and including the final stage of signing the contracts. And our involvement does not stop there: in the important initial phase after your outsourcing project has become operational we can help you fine-tune the process and make everything run smoothly. If desired, BST can act as your representative in the contacts with your Turkish manufacturer.