FOODNEWS TOMATO FORUM

UMIT GUVENCEXPORT MANAGER, TAMEK

TURKEY MAJOR FORCE IN TOMATOTURKEY - MAJOR FORCE IN TOMATO PASTE EXPORT MARKET

TTURKEY (in a nutshell)URKEY (in a nutshell)

Turkey processes approximately 2 million tons of industrial t t i tomatoes per processing season

Annual capacity of Turkish paste production is approximately 0,5 million tons as 28/30 brix t.paste basis.

There are 7-8 main companies and their plants (up to 40) operating during the (northern hemisphere) processing season (July –September)

Turkey supplies most of its exports to its neighbouring countries Turkey supplies most of its exports to its neighbouring countries, Iraq, GCC, Japan, East Europe and other European destinations, which Europe used to be Turkey’s traditional t.paste market for several decades up until 1997.

Turkey has been in talks with the EU for increased access all the time

TURKEY EXPORT FIGURES ’93 TURKEY EXPORT FIGURES ’93 ––‘08‘08‘08‘08

TURKEY'S TOMATO PASTE EXPORT (SOURCE: IGEME)TURKEY'S TOMATO PASTE EXPORT (SOURCE: IGEME)

TONTON 1000 USD1000 USD

19931993 109.939109.939 83.14283.142

19941994 132.807132.807 104.101104.101

19951995 106.987106.987 94.51394.513

19961996 148 898148 898 122 954122 95419961996 148.898148.898 122.954122.954

19971997 159.523159.523 126.010126.010

19981998 169.897169.897 135.376135.376

19991999 171.870171.870 123.973123.973

20002000 172.692172.692 92.49992.499

20012001 123.353123.353 74.93374.933

20022002 124.125124.125 77.23377.233

20032003 149 801149 801 100 238100 23820032003 149.801149.801 100.238100.238

20042004 183.254183.254 133.770133.770

20052005 155.083155.083 126.679126.679

20062006 102.303102.303 92.74892.748

20072007 87.00287.002 90.77490.774

20082008 105.331105.331 150.578150.578

200 000 QUANTITY(TON)

TURKEY’S PASTE EXPORT FIGURES ’93 – ’08

160 000

180.000

200.000 ( )AMOUNT (1000 USD)

120 000

140.000

160.000

80 000

100.000

120.000

60.000

80.000

20.000

40.000

01993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

35,0%

2007 GLOBAL T.PASTE TRADE EXPORT SHARES OF COUNTRIES

30,0%

25,0%

15,0%

20,0%

10,0%

0 0%

5,0%

0,0%

Series1 31,2% 26,4% 10,7% 6,8% 5,0% 3,5% 2,8%

ITALY CHINA SPAIN PORTUGAL USA GREECE TURKEY

LOGISTIC ADVANTAGES OF TURKEY

SHALL IT BE ABLE TO CHANGE TRENDS IN TRENDS IN SHALL IT BE ABLE TO CHANGE TRENDS IN TRENDS IN MOVEMENT OF GOODS ?MOVEMENT OF GOODS ?

PASTE EXPORTS EX TURKEY TO MAIN PASTE EXPORTS EX TURKEY TO MAIN DESTINATIONS 2008DESTINATIONS 2008DESTINATIONS 2008DESTINATIONS 2008

TONTON 1000 USD1000 USD

IRAQIRAQ 28.59528.595 45.76445.764

GCCGCC 22.50722.507 30.06430.064

OTHEROTHER 18.90618.906 27.86527.865

JAPANJAPAN 15.91515.915 20.15520.155

RUSSIAN FEDERATIONRUSSIAN FEDERATION 9.0299.029 10.71410.714

AFRICAAFRICA 6.6486.648 10.45410.454

GERMANYGERMANY 3.7313.731 5.5625.562

TOTALTOTAL 105 331105 331 150 578150 578TOTALTOTAL 105.331105.331 150.578150.578

140.000

160.000

120.000

80.000

100.000

2008 (TON,)2008 (1000 USD,)

40.000

60.000

( ,)

20.000

40.000

0

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TOTA

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ALGERIANIGERIA

LIBYA

GERMANY

EUROPELIBYASUDAN

MOROCCO

AFRICA MIDDLE EASTSAUDI ARABIA

KUWAITUAE

BAHRAIN IRAQ

TURKEYBAHRAINQUATAROMAN

QSYRIA

JORDANISRAEL

GCC FAR EAST

EAST EUROPE JAPAN

RUSSIAN FEDERATIONUKRAINE

EUROPE

--EU played a big role in the establishement of the turkish industry back in EU played a big role in the establishement of the turkish industry back in ’60’s’60’s60 s60 s

--80’s: Quotas for turkish paste: 12 EU members, + the following 3 EU 80’s: Quotas for turkish paste: 12 EU members, + the following 3 EU members trade of quotas, rather than of paste ? Difficult times and a members trade of quotas, rather than of paste ? Difficult times and a lot of activity/ trade going onlot of activity/ trade going onlot of activity/ trade going onlot of activity/ trade going on

--Quotas for dices 8.500 tonsQuotas for dices 8.500 tons

--EU does not keep Turkey on the bay, trade activity may go up to 60.000 EU does not keep Turkey on the bay, trade activity may go up to 60.000 tonnestonnes

--Main buyers: UK, Germany, Holland, Austria, Sweden, Finland, mainly Main buyers: UK, Germany, Holland, Austria, Sweden, Finland, mainly y , m y, , , , , m yy , m y, , , , , m ynorthern Europeans incl. Norway and to some extend Switzerlandnorthern Europeans incl. Norway and to some extend Switzerland

--Those countries don’ta have any processing activity, they are merely users Those countries don’ta have any processing activity, they are merely users of paste, and turkish paste is one of their favoritesof paste, and turkish paste is one of their favoritesof paste, and turk sh paste s one of the r fa or tesof paste, and turk sh paste s one of the r fa or tes

EUROPE

l l l l --Apart from the quotas and quantity limitations this was a real Apart from the quotas and quantity limitations this was a real cooperation,cooperation,

Northern EU member states mainly (tax payeers, as well?) buy the paste Northern EU member states mainly (tax payeers, as well?) buy the paste they needthey needthey needthey need

--Turkish industry supports the TR Turkish industry supports the TR -- EU talks under 97/1, which increase EU talks under 97/1, which increase the paste quota (Tariff Contingency) from somewhere (which was a very the paste quota (Tariff Contingency) from somewhere (which was a very limited quantity to 30 000 tonnes (’97)limited quantity to 30 000 tonnes (’97)limited quantity to 30.000 tonnes ( 97)limited quantity to 30.000 tonnes ( 97)

--Big surprise same year this quota not used at all turkish paste plus Big surprise same year this quota not used at all turkish paste plus retaliation in the form of 14.4 % duty on turkish paste, surprisingly retaliation in the form of 14.4 % duty on turkish paste, surprisingly f f y p , p g yf f y p , p g yhowever dices remain to acces duty free under the 8.500 tonnes quotahowever dices remain to acces duty free under the 8.500 tonnes quota

--14.4 % remains same as it is even today, after Turkey trying to be part of 14.4 % remains same as it is even today, after Turkey trying to be part of EU since 1963EU since 1963EU since 1963EU since 1963

EUROPE

--Well, we both EU and TR need real sustainable, stable cooperation, Well, we both EU and TR need real sustainable, stable cooperation, don’t we ? Hope those days are nearer, by now, can only give don’t we ? Hope those days are nearer, by now, can only give advantage to both partiesadvantage to both partiesadvantage to both partiesadvantage to both parties

--Turkish industry will continue to support the EU and noneuropean Turkish industry will continue to support the EU and noneuropean buyers, whereever they need should they be in the north, and/or buyers, whereever they need should they be in the north, and/or h ld th b i th thh ld th b i th thshould they be in the southshould they be in the south

MIDDLE EAST GCC

--Middle East & GCC is by far the biggest consumer of processed tomato, Middle East & GCC is by far the biggest consumer of processed tomato, and it is growingand it is growing

--The region takes in turkish tomato paste with big interest, as also the The region takes in turkish tomato paste with big interest, as also the i i it i il ti i it i il tcuisines are quite similar, toocuisines are quite similar, too

--There is almost unlimited potential for the MENA Region to take in much There is almost unlimited potential for the MENA Region to take in much more turkish processed tomato maybe also declare self presence in the more turkish processed tomato maybe also declare self presence in the more turkish processed tomato, maybe also declare self presence in the more turkish processed tomato, maybe also declare self presence in the industry in Turkeyindustry in Turkey

--Maybe by now it is only a matter who will lead the entry as another Maybe by now it is only a matter who will lead the entry as another Maybe by now it is only a matter who will lead the entry as another Maybe by now it is only a matter who will lead the entry as another question question

MIDDLE EAST GCC

--Right now even during global crisis Turkey is explicitely declaring that Right now even during global crisis Turkey is explicitely declaring that l l l l l lTurkey may not need the IMF settlement very explicitely.Turkey may not need the IMF settlement very explicitely.

--Guess where the cash is coming from ? Guess where the cash is coming from ?

--Guess what a sustainable business esp. from eastern Anatolia to the next Guess what a sustainable business esp. from eastern Anatolia to the next door neighbours (300 km.s ?)door neighbours (300 km.s ?)

FAR EAST

TAMEK FOOD&CONCENTRATE IND.&TRADE INC.CO

BAHARU CORPORATION

Nispetiye Mah. Hakki Sehithan Sok. No:35 II.Ulus Besiktas

ISTANBUL/ TURKEY

4F Tabacco Center Building2-16-1 Nishnishinbashi Minatoku

TOKYO/ JAPAN

TAMEK FOOD&CONCENTRATE IND.&TRADE INC.CO RUSSIANispetiye Mah. Hakki Sehithan Sok. No:35 II.Ulus Besiktas

ISTANBUL/ TURKEY ?

TAMEK FOOD&CONCENTRATE IND.&TRADE INC.CO KSANispetiye Mah. Hakki Sehithan Sok. No:35 II.Ulus Besiktas

ISTANBUL/ TURKEY ?

FAR EAST

--Japanese discovered the turkish tomato first in 1970’sJapanese discovered the turkish tomato first in 1970’spp

--In this case our Japanese fellows have been much more proactive, In this case our Japanese fellows have been much more proactive, and it was more by their activity to promote the first HOT and it was more by their activity to promote the first HOT m y y p m fm y y p m fBREAK paste production in TurkeyBREAK paste production in Turkey

--They have been also leading turkish industry to produce the first They have been also leading turkish industry to produce the first They have been also leading turkish industry to produce the first They have been also leading turkish industry to produce the first aseptic tomato paste as one of the firstcomers (’81) and dices aseptic tomato paste as one of the firstcomers (’81) and dices thislike (‘89)thislike (‘89)

--There is a big similarity in between th both cultures, as well, good There is a big similarity in between th both cultures, as well, good for any joint activity, incl. industry and trade for any joint activity, incl. industry and trade

FAR EAST

--This will expand in the years to come for sure, and both Japanese This will expand in the years to come for sure, and both Japanese p y pp y pand turkish parties will grow and turkish parties will grow

--Turkish industry may be more proactiveTurkish industry may be more proactivey m y m py m y m p

1960’ d t t t i d t l t b ilt d TURKEY EXPORT HISTORY

-1960’s modern tomato paste industry plants are built and production is started, Turkey started its tomato paste export in 1967 with a symbolic figure as 3 tonnes. y g

-1960’s Heinz Intervention in some establishments for export purposespurposes

-1970’s Japanese friends started to walk around to arrange HB d tisome HB production

-1990’s Turkey took place as the third in the list of producers, y p pand later dropped down to 5th place after Chinese production and increased production of Portugal.

l ll - Until 1997, in year 1989 export figures excessed 150,000 tonnes, following year’s figures are settled around 120,000 tonnes.

- 1997 some big surprises ( from EU ) when top quantities were contracted there: 1997 some big surprises ( from EU ) when top quantities were contracted there: -a) Rise of the free Non Zero Tariff Contingency for paste incl. EU 12+3 to 30.000 tons per annum-b) Abolish the same, and start to apply 14.4 % on turkish paste and other tomato

d tproducts-c) Establish a 8.000 tons of ‘other tomato products’ tariff contingency

1997 tomato paste export figures reached 160 000 tonnes- 1997 tomato paste export figures reached 160,000 tonnes.

- 1998 with a 6% increase exports figure became 170,000 tonnes, and hit 183,000 tonnes in 2004.

- 2001 and 2002, tomato paste production is increased- especially in the Usa and China - prices are reduced accordingly, caused Turkish paste prices become above the market the market .

-Turkey exports tomato paste and processed tomato products to more than 85 countries, in particular to Japan and Russian Federation. Export to these two countries’ share was 34% in year 2002, 31% in 2004, and 24% in 2005.

- 2 of Turkey’s traditional export destinations Algeria and Libya (S.P.L.A.J) had some domestic market difficulties which effected their import figures in negative some domestic market difficulties which effected their import figures in negative way.

-Among other countries, Iraq became the biggest tomato paste importer in T k ’ i i 2006 Turkey’s export countries in 2006.

-Japan was the second and Saudi Arabia was the third. In 2008 Turkey exported 46 million $ valued tomato paste to Iraq which was appr. 30% of the whole tomato 46 million $ valued tomato paste to Iraq which was appr. 30% of the whole tomato paste export value.

TURKEY vs. WORLD TRADE

- Most known tomato paste producer Usa, China, Italy, Turkey, Greece, Chile, Portugal.g

-USA a big net importer of tomato products untill 90’s (100.000 tonnes per annum.

After 90’s new production plants are set production increased at the same time -After 90 s, new production plants are set, production increased, at the same time China started producing tomato products and offered high quantity, relatively cheap prices to the market. Production in these two countries unbalanced USA’s domestic market as well as World trade market.

-Chinese penetration into tomato paste market caused excess of tomato paste stocks which made prices decrease dramatically. Importers use this price and carried their import level one step upcarried their import level one step up.

-In 2007 Italy the biggest tomato paste exporter, followed by China, Spain third, Portugal fourth, Usa fifth and Turkey 7 th. Turkey have been in top ten tomato

d d h ld h h l d paste producer and exporter in the world, even though Italy, Greece, Spain, and Portugal is in EU and using all known advantages of being a part.

TURKEY vs. WORLD TRADETURKEY vs. WORLD TRADETurkey’s Competitive PowerTurkey’s Competitive Power

-- Beginning of the century, there was no tomato paste consumption in Beginning of the century, there was no tomato paste consumption in China, at all however according to some Chinese colleagues, consumption China, at all however according to some Chinese colleagues, consumption of fresh tomatoes would be around 1 5 million tonnes in 2008of fresh tomatoes would be around 1 5 million tonnes in 2008of fresh tomatoes would be around 1,5 million tonnes in 2008.of fresh tomatoes would be around 1,5 million tonnes in 2008.

-- Most top 10 exporters and Turkey badly hit by the severe competition, Most top 10 exporters and Turkey badly hit by the severe competition, everybody is after Chinese Pasteeverybody is after Chinese Paste

-- Turkey’s production potential can be increased depending on right and Turkey’s production potential can be increased depending on right and efective policies, subvensions which will drive investors to agricultural efective policies, subvensions which will drive investors to agricultural investments as well as farmers to produce more.investments as well as farmers to produce more.

-- GAP (Southeast Anatolian Project) project is one of the project which GAP (Southeast Anatolian Project) project is one of the project which will double fresh tomato production in Turkey under which conditions !will double fresh tomato production in Turkey under which conditions !

-- Where will this extra paste go ? To the EU ? Well Turkey has Where will this extra paste go ? To the EU ? Well Turkey has -- 30.000 tons of non duty Tariff Contingency, could not open EU yet, but 30.000 tons of non duty Tariff Contingency, could not open EU yet, but

Turkey pays 14,4% tax in the move of its products into the EU. Will it Turkey pays 14,4% tax in the move of its products into the EU. Will it change over time ? Which time ?change over time ? Which time ?change over time ? Which time ?change over time ? Which time ?

TURKEY vs. WORLD TRADETURKEY vs. WORLD TRADETurkey’s Competitive Power cont’dTurkey’s Competitive Power cont’d

EU i 10 illi h bi d i h EU i 10 illi h bi d i h -- EU is 10 million or whatever tonnes big and it has to EU is 10 million or whatever tonnes big and it has to consistently continue the 10 million tonnes, the consumption is consistently continue the 10 million tonnes, the consumption is there. How will EU do it ? Somebody here whispering: Will it be there. How will EU do it ? Somebody here whispering: Will it be with a shift to Turkey, as a main alternative ? Why ? Why not ?with a shift to Turkey, as a main alternative ? Why ? Why not ?y y yy y y

-- In Eu industrial fresh tomatoes subsidy average In Eu industrial fresh tomatoes subsidy average €€ 30 + can be 30 + can be varied by the years, in Turkey similar policy does not apply at all, varied by the years, in Turkey similar policy does not apply at all, which limits Turkey’s competetive power ? Is it true Well your which limits Turkey’s competetive power ? Is it true Well your which limits Turkey s competetive power ? Is it true. Well, your which limits Turkey s competetive power ? Is it true. Well, your presentor does not think so. presentor does not think so.

-- Policies applied between 1978 and 2007 have provided benefits Policies applied between 1978 and 2007 have provided benefits t d i th EU h t b t T k t d i th EU h t b t T k to growers and processors in the EU, what about Turkey to growers and processors in the EU, what about Turkey growers and processors, a shift from EU here, as well ?growers and processors, a shift from EU here, as well ?

TURKEY vs. WORLD TRADETURKEY vs. WORLD TRADETurkey’s Competitive Power cont’dTurkey’s Competitive Power cont’d

ARE THE FOLLOWING SENTENCES MEANING A DEFENSE ARE THE FOLLOWING SENTENCES MEANING A DEFENSE POSITION ? POSITION ? POSITION ? POSITION ?

-- Changes in 2001 and 2008 and both have been billed as CAP reformChanges in 2001 and 2008 and both have been billed as CAP reform

-- Changes between 2008 and 2011 will phase out the Changes between 2008 and 2011 will phase out the €€ 34.50 per ton 34.50 per ton payment and replace it with income support that is approximately equal payment and replace it with income support that is approximately equal to current expenditures (to current expenditures (€€300 million)300 million)

-- Implications in Europe and in other regions that produce processing Implications in Europe and in other regions that produce processing tomatoestomatoes

-- Moreover, in Italy, the provisional aid is fixed for farmers in 1300 Moreover, in Italy, the provisional aid is fixed for farmers in 1300 , y, p f f f m, y, p f f f meuros per hectare in 2008, while the final will be determined at the euros per hectare in 2008, while the final will be determined at the conclusion of the campaign and checks required by regulation.conclusion of the campaign and checks required by regulation.

TURKEY vs. WORLD TRADETURKEY vs. WORLD TRADETurkey’s Competitive Power cont’dTurkey’s Competitive Power cont’d

-- The farmer will suffer a proportional reduction in hectares in case of The farmer will suffer a proportional reduction in hectares in case of delivery less than 70% of regional productivity as by decree enacted delivery less than 70% of regional productivity as by decree enacted delivery less than 70% of regional productivity, as by decree enacted, delivery less than 70% of regional productivity, as by decree enacted, except owing to a cause beyond control.except owing to a cause beyond control.

-- Other Countries, as Spain, will have a coupled aid less than the Italian Other Countries, as Spain, will have a coupled aid less than the Italian one whereas others as France will have a notable higher aid (2500 one whereas others as France will have a notable higher aid (2500 one, whereas others, as France, will have a notable higher aid (2500 one, whereas others, as France, will have a notable higher aid (2500 €€/hectare)./hectare).

-- In order to increase Turkey’s competetive power, the idea of improving In order to increase Turkey’s competetive power, the idea of improving agriculture under contract system grower’s organisations is in agriculture under contract system grower’s organisations is in agriculture, under contract system grower s organisations is in agriculture, under contract system grower s organisations is in discussion, is Turkey ready to this ? discussion, is Turkey ready to this ?

-- Turkey in your presentor’s view n perception is ready to many things Turkey in your presentor’s view n perception is ready to many things including a big turn in the industryincluding a big turn in the industryincluding a big turn in the industryincluding a big turn in the industry

TURKEY vs. WORLD TRADETURKEY vs. WORLD TRADETurkey’s Competitive Power cont’dTurkey’s Competitive Power cont’d

-- About the European field, the pursuance of this reform has been quite About the European field, the pursuance of this reform has been quite standardized:standardized:

P t l th ti ll d li t ill l t 4 ith th P t l th ti ll d li t ill l t 4 ith th -- Portugal, the partially decoupling system will last 4 years, with the Portugal, the partially decoupling system will last 4 years, with the coupled aid percentage equivalent to 50coupled aid percentage equivalent to 50

-- Greece, the system will last 3 years, with the coupled aid percentage Greece, the system will last 3 years, with the coupled aid percentage Greece, the system will last 3 years, with the coupled aid percentage Greece, the system will last 3 years, with the coupled aid percentage equivalent to 30%equivalent to 30%

-- France, Italy and Spain, the system will last 3 years, with the coupled France, Italy and Spain, the system will last 3 years, with the coupled id t i l t t 50%id t i l t t 50%aid percentage equivalent to 50%aid percentage equivalent to 50%

TURKEY vs. WORLD TRADETURKEY vs. WORLD TRADETurkey’s Competitive Power cont’dTurkey’s Competitive Power cont’d

-- Anyway, Turkey’s first step is 4 Anyway, Turkey’s first step is 4 –– 10 million tons, probably to realise 10 million tons, probably to realise within 5 years ?within 5 years ?

-- What will happen thenafter ? Is a good questionWhat will happen thenafter ? Is a good question

-- DEFENSIVE POSITIONS IN EU TO BE REPLACED DEFENSIVE POSITIONS IN EU TO BE REPLACED WITH OFFENSIVE POSITIONS IN TURKEY ? WITH OFFENSIVE POSITIONS IN TURKEY ? WITH OFFENSIVE POSITIONS IN TURKEY ? WITH OFFENSIVE POSITIONS IN TURKEY ? WILL TURKEY BE THE NEW CHINA ? WELL WILL TURKEY BE THE NEW CHINA ? WELL TURKEY DOES NOT TO BE THE NEW CHINA, TURKEY DOES NOT TO BE THE NEW CHINA, TURKEY NEEDS TO BE THE NEW TURKEY TURKEY NEEDS TO BE THE NEW TURKEY PROBABLY !PROBABLY !

TURKEY vs. WORLD TRADETURKEY vs. WORLD TRADETurkey’s Competitive PowerTurkey’s Competitive PowerTurkey s Competitive Power Turkey s Competitive Power

WHAT MAY IT BE TO USE FOR ?WHAT MAY IT BE TO USE FOR ?

-- DEFENSIVE POSITIONS IN EU TO BE DEFENSIVE POSITIONS IN EU TO BE REPLACED WITH OFFENSIVE REPLACED WITH OFFENSIVE

E E POSITIONS IN TURKEY ? WILL POSITIONS IN TURKEY ? WILL TURKEY BE THE NEW CHINA ? WELL TURKEY BE THE NEW CHINA ? WELL TURKEY DOES NOT TO BE THE NEW TURKEY DOES NOT TO BE THE NEW TURKEY DOES NOT TO BE THE NEW TURKEY DOES NOT TO BE THE NEW CHINA, TURKEY NEEDS TO BE THE CHINA, TURKEY NEEDS TO BE THE NEW TURKEY NEW TURKEY NEW TURKEY NEW TURKEY PROBABLY !PROBABLY !

WORLD PRODUCTION VS. WORLD PRODUCTION VS. APPARENT CONSUMPTIONAPPARENT CONSUMPTIONAPPARENT CONSUMPTIONAPPARENT CONSUMPTION

40000

ConsumptionProduction

35000

3000030000

25000

200001998 1999 2000 2001 2002 2003 2004 2005 2006 2007

SOURCE:SOPHIE COLVINE (WPTC GENERAL SECRETARIE)

PER CAPITA CONSUMPTION acc. toPER CAPITA CONSUMPTION acc. toPER CAPITA CONSUMPTION acc. to PER CAPITA CONSUMPTION acc. to REGIONSREGIONS

25,00ion

5 0010,0015,0020,00

Con

sum

ptan

num

1989 - 1990 68% 25% 26% 24% 23%0,00

5,00

EU 12

EU 15

EU 25

PACIFIC

AMERICA

Per C

apita

C k

g/a

2002-2003

% CHANGE

ASIA PASOUTH AM

Regions

P

Regions

TURKEY A FULL MEMBERSHIP OF AMITOMTURKEY A FULL MEMBERSHIP OF AMITOMWELL NOT OF EU YET DESPITE TO BE IN THE WELL NOT OF EU YET DESPITE TO BE IN THE

FIRST TO COME LISTFIRST TO COME LISTFIRST TO COME LISTFIRST TO COME LIST(45 YEARS)(45 YEARS)

Source: Amitom

AMITOM VS. WORLD TOMATO PROCCESSING INDUSTRY PRODUCTION SHARESINDUSTRY PRODUCTION SHARES

80%

100%

40%

60%

20%

40%

0%2001 2003 2005 2007

YEARSOtherChinaYEARS ChinaCaliforniaAMITOMSource: Tomatoland

TRENDS IN INVESTMENT IN TRENDS IN INVESTMENT IN TURKEYTURKEYTURKEYTURKEY

---- NOMIKOSNOMIKOS

---- MORNINGSTARMORNINGSTAR

IS THIS A TREND ALREADY OR PROBABLY INCIDENCE AS OF TODAY IS THIS A TREND ALREADY OR PROBABLY INCIDENCE AS OF TODAY ? WHY MORNING STAR AND NOMIKOS THERE IN TURKEY ? ? WHY MORNING STAR AND NOMIKOS THERE IN TURKEY ? ? WHY MORNING STAR AND NOMIKOS THERE IN TURKEY ? ? WHY MORNING STAR AND NOMIKOS THERE IN TURKEY ?

IS IT A FIRST INDICATIONS OF A REAL TREND WHEN WILL THE IS IT A FIRST INDICATIONS OF A REAL TREND WHEN WILL THE REAL TREND BE THERE ?REAL TREND BE THERE ?

AND AS THE TREND STARTS HOW CAN WE FIND THE RESULT NOT AND AS THE TREND STARTS HOW CAN WE FIND THE RESULT NOT TO DEVIATE FROM THE MEAN SUBJECT DUE TO AGLOMERATION TO DEVIATE FROM THE MEAN SUBJECT DUE TO AGLOMERATION ??

WHAT’S AHEAD FOR TR ?WHAT’S AHEAD FOR TR ?--Will Turkey attract the 1 million tons of consumption increase / annum ? To Will Turkey attract the 1 million tons of consumption increase / annum ? To

what extend ?what extend ?

--Turkish industry will continue to support the EU and noneuropean buyers, Turkish industry will continue to support the EU and noneuropean buyers, whereever they need. Should they be in the north, and/or should they be in whereever they need. Should they be in the north, and/or should they be in the south doesn’t matter the south doesn’t matter

--There is almost unlimited potential for the MENA & GCC Region to take in There is almost unlimited potential for the MENA & GCC Region to take in much more turkish processed tomato, maybe also some of them to declare much more turkish processed tomato, maybe also some of them to declare self presence in the industry in Turkeyself presence in the industry in Turkey

Maybe by now it is only a matter who will lead the entry as another question Maybe by now it is only a matter who will lead the entry as another question --Maybe by now it is only a matter who will lead the entry as another question Maybe by now it is only a matter who will lead the entry as another question

--Guess what a sustainable business esp. from eastern Anatolia to the next door Guess what a sustainable business esp. from eastern Anatolia to the next door neighbours (300 km.s ?)neighbours (300 km.s ?)

--This will expand in the years to come for sure and both Japanese and turkish This will expand in the years to come for sure and both Japanese and turkish This will expand in the years to come for sure, and both Japanese and turkish This will expand in the years to come for sure, and both Japanese and turkish parties will grow parties will grow

--Some players may be more active in Russia ? Don’t they ?Some players may be more active in Russia ? Don’t they ?p y y yp y y y

THANK YOU FOR THANK YOU FOR LISTENINGLISTENING

MR. UMIT GUVENC, MR. UMIT GUVENC, ,,EXPORT MANAGEREXPORT MANAGER

TAMEK FOOD& TAMEK FOOD& CONCENTRATE / CONCENTRATE / TURKEYTURKEYTURKEYTURKEY