Turkey's Industrial Production Surges 11.3% in November

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Researched by Industrial Info Resources (Sugar Land, Texas)--A strong demand in exporting sectors helped Turkey's industrial production figures rise sharply in November. According to figures from Turkstat, industrial production increased 11.3% in November from the same month in 2011. This number marked the highest industrial production number in 2012. According to calendar and seasonally adjusted numbers, industrial production rose 1.5% from October 2012.

Central Bank of Turkey Governor Erdem Basci hinted at the strong rise in industrial production numbers in his speech in Antalya on December 11. "We're expecting a strong rise in industrial production numbers in November," Basci said. "Also, we may see a strong growth figures in the fourth quarter of 2012."

Basci forecasted a 3% growth rate for 2012, and almost 4% for 2013. The gross domestic product figures for the final three months of 2012 are due to be released on April 1.

Manufacturing, which is one of the components of the index of production along with mining and quarrying, gas and electricity, and water and sewerage, rose 13.3% compared with the previous November. The mining sector index also increased 7.5% in November. Export-oriented industries (textiles, apparel, motor vehicles) accelerated rapidly in November, while machinery and equipment also saw a strong rebound from the previous month.

"Underlying industrial production momentum is improving, consistent with the early 'recovery' signals from the Purchasing Manager's Index (PMI). Turkey is showing a marked improvement in overall economic activity in the fourth quarter," said Ahmet Akarli, a senior economist at Goldman Sachs in London. "The average growth forecast for 2012 is 3%, and we see a sharp acceleration toward 5.2% in 2013--mostly front-loaded in the first half of 2013."

Turkey's growth rate slowed sharply on the back of declining domestic demand in 2012, grinding down to 1.6% in the third quarter, the slowest pace since a 4.7% contraction in 2009.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, and eight offices outside of North America, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.