While news of bankruptcy and composition continues to come from Turkish textile companies, some of them are rushing to Egypt to avoid being affected by the wave of economic crisis. In textile, which is one of the industries where the economic crisis is felt the most, manufacturers facing bankruptcy are looking for a solution abroad. Öz-İplik İş Union General President Rafi Ay announced that 130 companies that previously produced in Türkiye are now producing in Egypt and 90 thousand people have left the textile industry. Ay pointed out that this number was completed in the last year.
Growth is the dream, bankruptcy is the reality
The textile industry is experiencing a decline, and Türkiye’s long-established textile companies are closing down one after another. The famous French women’s clothing brand Naf Naf, founded in Paris in the early 1970s, also failed to resist the wave of bankruptcies in textiles. The brand was acquired by the Turkish Group SY International in 2020 and succumbed to the economic crisis and declared bankruptcy last year. It is stated that after the court ruled that the company would go bankrupt, more than 215 branches of the company would be closed, and approximately 1,200 employees would be unemployed as a result.
Founded in 1984 in Bursa, Sateks Tekstil also declared bankruptcy and was given a 3-month temporary respite by the court starting from April 16. The court decided to extend the 3-month temporary bankruptcy period for 2 months starting from July 16. Sateks Tekstil has a monthly production capacity of 600 tons and contributes to the Turkish economy by producing 4800 tons annually, including polyester, cotton, viscose, nylon, bobbin and muff dye.
The court also gave a 1-year definitive grace period starting on June 26 for Zümrüt Tekstil, which started its operations in İzmir in 1996 and is among the leading fabric manufacturers.
Gaziantep’s long-established Turkish textile companies are on the verge of bankruptcy
Among the leading companies in the carpet sector in Gaziantep, Karaca Tekstil Sanayi ve Ticaret Limited Şirketi and Vizyoner Tekstil İç ve Dış Ticaret Anonim Şirketi also faced bankruptcy. A one-year definitive term decision was given to both companies by the court on April 25. While Karaca Tekstil was shown among the top 100 companies in the export sector in the 2006 report of the Southeastern Anatolia Exporters’ Association, Vizyoner Tekstil exports a wide range of products from cotton and leather-based carpets to wall-to-wall carpets.