The award-winning brand Pakun has set its sights higher in exports. For the year 2024, Pakun has established an ambitious export target exceeding $100 million. Declaring the upcoming year as a period dedicated to the diversification of export markets and expanding into new territories, Pakun has predominantly aimed at countries in Europe, South America, and Africa. Oğuzcan Türk, the Foreign Trade Manager at Pakun, remarked, “As we step into 2024, our goal is to lead by example in diversifying export markets for Turkey.”
Despite contractions in certain markets, especially in Europe, due to the impact of the pandemic and the Russia-Ukraine war, Turkey’s shining star in exports, the flour industry, is entering 2024 with the ambitious goal of expanding exports and venturing into new markets. With a rich history spanning 50 years, Pakun, one of the leading flour producers in Turkey, has set new targets in the Americas and Africa. Oğuzcan Türk, the Foreign Trade Manager at Pakun, emphasized the need for Turkey to launch an initiative to ensure market diversification in exports. He stated that Pakun is entering 2024 with the aim of increasing exports by over 50 percent and diversifying the export market to serve as an example for Turkey.
Highlighting that 45 percent of Turkey’s overall exports are directed towards European countries, Oğuzcan Türk emphasized Europe’s indispensability as a market for Turkey, citing its high purchasing power and geographical proximity. He remarked, “We cannot afford setbacks in this critical market. At the same time, efforts to diversify our markets should be intensified.”
TURKISH FLOUR TAKES THE LEAD WORLDWIDE
Stating that the flour industry is the pride of Turkey globally, and with the confidence of being the world’s foremost flour producer and exporter, they make assertive entries into every market, Oğuzcan Türk said the following:
“For the past 9 years, Turkey has maintained its position as the world leader in flour exports. We have a flour industry with a production capacity of 30 million tons. Our geopolitical proximity to flour demand points brings along a great opportunity. As a well-established brand that has been serving the flour industry for 50 years, our goal is to make Turkish flour the most valuable brand in the world, as well as serving our country with value-added product exports.”
Oğuzcan Türk reminded that Pakun is among Turkey’s export champions and stated, “Our exports in the first 11 months of 2023 exceeded 61.6 million dollars. With December, we will exceed the export level of 70 million dollars. Moreover, this year, we exported 137.1 thousand tons of flour, and we will export approximately 9 thousand tons more in December.
Pakun is making strides in exports with remarkable growth rates. In 2020, we achieved an impressive 44.7% increase compared to the previous year. Building on this momentum, we accomplished a 17.1% increase in 2021, followed by a record-breaking surge of 127.3% in 2022 compared to the preceding year. We take pride in officially acknowledging our export success by securing a spot in the ‘Turkey’s Top 1000 Exporters 2022’ list compiled by the Turkish Exporters Assembly (TIM).”
THOROUGH ANALYSIS NEEDED FOR CRISIS AND OPPORTUNITY LANDSCAPE
Oğuzcan Türk addressed the challenges and opportunities in the flour sector, offering the following analysis:
“It’s undeniable that Turkey faces significant hurdles. However, equally impactful opportunities exist.
Russia, known as the world’s bread basket, boasts a growing flour industry. The ongoing war has accelerated the monopolization process in Russia’s grain sector. This situation might hinder Turkey, which relies on wheat imports for flour production, from playing a decisive role in the market, setting prices, or even improving profit margins. The delay in Russia’s wheat supply could result in a reduction of our market share in certain countries.
Meanwhile, the reduced harvests in India and Egypt, along with the disruption in the supply-demand balance—particularly in India due to a growing population—and the ban on flour exports, are strengthening Turkey’s position. The decline in wheat supply in Argentina and other South American countries, leading to price increases, has also made Turkey more competitive in the South American market. In the long run, the potential for easier import of raw materials from Russia could enhance Turkey’s competitiveness globally. Analyzing these crisis and opportunity scenarios thoroughly, at Pakun, we continue our journey without unwavering momentum.”
WE AIM TO ACHIEVE A 100 MILLION DOLLARS IN EXPORTS
Oğuzcan Türk emphasized their close monitoring of developments in international markets, covering aspects such as production, yields, and exports. He further revealed their expansion plans for 2024 and beyond, pinpointing Cuba, Chile, Mexico, Mozambique, Sao Tome, and Dominica as new target markets.
Pakun Foreign Trade Manager Oğuzcan Türk shared the following details about Pakun’s 2024 objectives:
“At present, Pakun conducts exports to more than 50 countries across four continents. Our aim for 2024 is to increase our sales in East Africa, West Africa, and Central Africa, where we have a strong presence, by at least 50 percent. Ensuring sustainability in the new markets we’ve entered is crucial. To expand our market share in existing markets, we emphasize accurate market research and invest in R&D. We aspire to assign greater significance to Asian countries compared to previous years and intend to incorporate new nations into our market. Apart from maintaining a robust market diversity, completing the supplier registration procedures for the World Food Program and handling tenders remain among our top priorities.”
Reminding that they were awarded the European Taste and Quality Award in 2023 with their Durgun brand pastry and pastry flour, Türk stated, “We want to expand our market network in the European market and make our shipments continuous. We have a high appetite for developing our award-winning flour and adding new ones. Our ultimate goal for 2024 is to increase our exports to over 100 million dollars by taking significant steps in the fields of production and R&D.