1. INVESTMENT OPPORTUNITIES IN TURKISH AGRICULTURE Ferhat ŞELLİ Deputy Undersecretary MARA, TURKEY 21 April, 2009

2. 2 Outlines General Information Agricultural Potential and Recent Agricultural Developments in Turkey Turkish Agricultural Products in the World Agricultural Advantages and Opportunities for Investors Agricultural Sectors for Investors

3. 3 …with one arm reaching out to Asia and the other to Europe, Turkey is the sole country connecting two continents in the world … A Bridge

4. 4 CENTRAL ASIAN AND CAUCASIAN COUNTRIES RUSSIAN FEDERATION EUROPE MIDDLE EAST AND NORTH AFRICA Entrepreneurship and Regional Position Taking Turkey as a center and a circling of a 4-hour-flight distance on a world map covers; 1/5 of both the world’s GNP and the world population… GDP; 14 851 billion US Dollars Population; 657 million GDP; 766 billion US dollars Population; 145 million GDP; 113 billion US dollars Population; 75 million GDP; 1 258 billion US dollars Population; 311 million

5. 5 Turkey’s Geographical Position provides unique Agribusiness opportunities. Advantages of Geographical Position CENTRAL ASIAN AND CAUCASIAN COUNTRIES RUSSIAN FEDERATION EUROPE MIDDLE EAST AND NORTH AFRICA GDP; 14 851 billion US Dollars Population; 657 million GDP; 766 billion US dollars Population; 145 million GDP; 113 billion US dollars Population; 75 million GDP; 1 258 billion US dollars Population; 311 million

6. 6 Agricultural Potential in Turkey FIGURES (2007) EU-27ITALYTURKEY AGRICULTURAL LAND (mio ha) 16214.527 LAND IRRIGATED (mio ha) 11.6 3.95 5.15.15.15.1 NUMBER OF AGRI. HOLD. (000) 14 478 1 679 3 076 AVERAGE FARM SIZE (ha) 169 6.56.56.56.5 TOTAL AGRI. TRADE VOL. ($ bio) 258- 20.0 AGRI. PRODUCTION VALUE ($ bio) 2793650.0

7. 7 Recent Developments in Turkish Agricultural Sector 57.5 49.4 23.7 TOTAL AGRICULTURAL TRADE VOL. (billion $) AGRICULTURAL GDP (billion $) 200220072008 IMPORTEXPORT 4.0 11.4 9.7 13.0 9.8 3.9 24.4 19.5 7.9 200220072008 TURKISH Agricultural In the WORLD Export Market; In 5 products top number one and In 15 products top number five. IN 4 YEARS OUT OF LAST 5, the Turkish Agriculture has GROWN. In 2008 growth rate was 4.1 SHARE OF TURKISH AGRICULTURE IN GDP %7.8 LAST 6 YEARS IN TURKISH AGRICULTURE; GDP %143 Per Capita Income%222 Export %185 Total Trade Vol. %208 increased…

8. 8 TURKEY IS; Top producer for dried apricots, hazelnuts and dried figs… 2 nd largest producer for lentil and chickpea… 5 th largest producer for food legumes, cotton, tobacco, olive, raisin, several vegetables and fruits… 6 to 10 th largest producer for wheat, barley, almonds, citrus fruits and tea… In the world… Turkish Agricultural Products are in the World Markets By international standards; Turkey is a major agricultural producer…

9. 9 TURKISH Agricultural Products as Trademarks Turkish Hazelnut Turkish Delight Turkish Apricot Turkish Fig Turkish Grape Turkish Agriculture is becoming trademarks in global competition in AGRICULTURE and FOOD sectors. Over 700 different crops are grown in Turkey and thousands of different agricultural products are exported, annually.

10. 10 Agricultural Advantages and Opportunities OPPORTUNITIES Rich nature and unrealized potential Agriculture – led growth Low environmental degradation Rich bio-diversity POTENTIALS Favorable Climate Conditions Vast Agricultural Land Geographical Location Dynamic and Improving Food Industry Young, Dynamic and Low – cost Labor

11. 11 As of 2009; the number of international companies are 21 289, of which 334 are in agricultural sector. Foreign Investment in Turkey 1.1 1.8 2.8 10.0 20.2 22.0 18.0 FOREIGN INVESTMENT IN TURKEY (billion $)‏ 2002200320042005200620072008

12. 12 States Farms (TİGEM) MARA has 38 State Farms (TİGEM) with an area of around 377.000 hectares. Out of these farms, 12 have been leased with long term contracts and 2 of them Joint ventured (PPP). More State Farms may open for long term lease or Joint venture. Long term leased farms Joint venture farms (PPP) City Center Tigem Farms

13. 13 Turkish Food Sector 198 667 different brands is available in Turkish food sector… FOOD EXPORT (Billion $) 2005200620072008 10.7 9.0 7.9 7.7

14. 14 TOP 10 EXPORT FRUITS & VEGETABLES Tomatoes Lemon Mandarin Cherry Sour Cherry Grape Orange Grapefruit Pepper Peach EXPORT (million tons) 1.51.5 2.22.2 2.3 200220072008 PRODUCTION (million tons)‏ 25.8 27.2 25.6 15.6 200220072008 FRUITVEGETABLE 39.2 40.0 42.8 Fresh Fruit and Vegetables 14.4 13.4

15. 15 Turkish olive oil has been exported to; 33 countries in 1980 59 countries in 2008 Olive and Olive Oil OLIVE OIL PRODUCTION (000 tons) 4 560 4 850 5 506 97-0001-0405-08 455 429 511 97-0001-0405-08 OLIVE PRODUCTION (000 tons) Olive Production About 20.7 increase Olive Oil Production About 12.3 increase

16. 16 Fisheries Based on the FAO statistics; Turkey has the third fastest growing fisheries sector in the world. About 112 % increase in last 6 years FISHERY EXPORT (000 tons) About 154 % increase in last 6 years AQUA-CULTURE PRODUCTION (000 tons) 61 140 155* 200220072008 26.9 47.2 57.1 200220072008 *estimate

17. 17 Organic Farming Potential; 1 million ha area for organic farming... AREA (000 Ha) 89 174 167 200220072008 PRODUCTION (000 tons) 310 568 530 200220072008 PRODUCT TYPE 150 201 247 200220072008 NUMBER OF PRODUCERS 12.428 16.276 14.926 200220072008

18. Agricultural Investors Guidance Center (AIGC)‏ provide assistance for domestic and international Investor, in our Ministry. Please, do not hesitate contact us. Tel: +90 312 285 65 22 Fax: +90 312 287 8097 e-mail: ozel@agrinvestturkey.gov.trozel@agrinvestturkey.gov.tr Web : www.agrinvestturkey.gov.tr www.invest.gov.tr Further Assistance

19. 19 Thanks… www.tarim.gov.tr MINISTRY OF AGRICULTURE AND RURAL AFFAIRS, TURKEY