Gov’t support gives boost to micro export: Expert
More and more small and medium-sized enterprises (SMEs) and other businesses are turning to e-export after the government granted tax breaks of up to 50 percent to micro exporters last year.
E-commerce volume soared 69 percent to reach 400 billion Turkish Liras in 2021, while the number of orders placed through those platforms increased by 46 percent to 3.4 billion, according to data from the Trade Ministry.
Some 92 percent of e-trade took place within Türkiye, while the share of e-exports in this ecosystem was 4 percent.
Most of the 500,000 companies, which engaged in e-commerce activities, sold their products in marketplaces, while around 26,000 of them used their own websites.
The Trade Ministry recently unveiled a scheme dubbed “distant countries strategy, which aims to boost Türkiye’s share in global trade.
“Micro exporters can also benefit from what the Trade Ministry offers to regular exporters. The regulation introduced last year, which offers tax breaks, will give a boost to micro exporters’ businesses,” said Mustafa Namoğlu, CEO of ikas.com.
Under the support mechanism, The Trade Ministry help companies with their marketing activities, opening offices and stores abroad, he noted.
Micro export is the type of export that covers shipments of up to 300 kilograms and 15,000 euros in value, Namoğlu explained.
Through the system called the Electronic Trade Customs Declaration (ETCD), the Trade Ministry developed facilitates for small and medium-sized companies to carry out their export activities, Namoğlu said.
“Under this system, SMEs do not need to register with an exporters’ association or file customs documents with customs brokers. Those companies can keep their products at the warehouses of authorized ETCD firms at no additional cost.”