Supply/Demand Basics
-The Turkish market has been heavily impacted by the Black Sea conflict, and, out of necessity, the government brokered the corridor deal between Russia and Ukraine in July 2022.
-Turkiye’s compound feed production exceeded 27 million tons with a nearly 3% increase compared to the previous year. On the same trend, the feed industry in Turkey imported slightly the same quantity of DDGS compared to the previous year.
-Around 100 TMT of U.S. DDGS flow to Turkiye by container. Price-sensitive market with less emphasis on quality.
Country Overview
-Türkiye is the 19th largest economy in the world
-Two devastating earthquakes struck on February 6, 2023: beyond the human tragedy, physical damage in 11 provinces accounting for 16.4% of Türkiye’s population and 9.4% of its economy. Direct losses are estimated at $34.2 billion.
-Turkish lira lost 30% of its value against U.S. Dollars in 2023 leading Inflation to reach almost 60% year-on-year.
Trade and Market Share Overview
-Turkiye’s corn production rose to 6.8 MMT in MY 2022/2023, while supplies fell to 3.2 MMT mainly from the Black Sea.
-Corn co-product imports were stable during the MY 2022/2023 marketing year, facing huge competition from the Black Sea because of regular supply in small coastal vessels.
-Turkiye continues to act as a significant transshipment hub for countries like Iraq and Syria; however, in late 2022, Iraq began its push for increases in domestic feed and protein production, leading to a decline in exports to Iraq that is expected to trend into 2023.
-Aquaculture has emerged as the fourth largest industry in Turkiye. An industry that continues to grow reaching an impressive 514,805 tons and representing 2.1% growth year over year.
Policy Overview
-A biosafety law in effect since September 26, 2010, bans imports of food and feed products containing biotech events not registered and approved by the Turkish Government. U.S. corn is not approved for import.
-As of January 2022, there are only 36 (14 soybean and 22 corn) events approved for feed use in Turkey. No events are approved for food use or cultivation.
-Any new ban on GM events is likely to temporarily disrupt corn co-product flows from the U.S. to Turkiye, as seen in late 2022’s ban on trait MON810, which was approved for feed use multiple weeks of pressure from the Turkish feed industry.
