Media

Our Chairman of the Board of Directors Remzi AKÇİN's article on The Most Critical Issue is Being Self-Sufficient was featured in the special issue of Time Media.

Our Chairman of the Board of Directors Remzi AKÇİN's article on The Most Critical Issue is Being Self-Sufficient was featured in the special issue of Time Media.

1- What are your views on achieving the 2023 targets set for the defense and aerospace industry, as well as bringing the sector to a better point?


As it is known, the 11th Development Plan, which was accepted by the General Assembly of the Turkish Grand National Assembly on 19 July 2019, sets important targets for the 2019-2023 defense industry. The defense industry is included under the title of "Priority Development Areas" in the development plan of which the Secretariat of the Presidency of Strategy and Budget is conducted. Even this characterization alone is an indication of how important the defense and aerospace industry is for Turkey.
The development plan shows the targets planned to be achieved in 2023, based on 2018. Goals in terms of titles;
- Defense and Aerospace Industry Turnover from $6.7 billion to $26.9 billion,
- Defense and Aerospace Industry Exports from 2.0 billion dollars to 10.2 billion dollars,
- Defense and Aviation Industry Employment from 44,700 to 79,300 people,
- From 65% to 75% of the Defense Industry Domesticity Rate,
indicates that it is intended to be removed.
These targets set in the 11th Development Plan are ambitious targets. Because, in 2023, it is aimed to increase the turnover of the sector to 4 times that of 2018 and to increase its exports to 5 times. While the goals are ambitious, they are not unachievable. The most ambitious of these targets is the five-fold increase in exports.
When we look at the export course of the aviation industry sector in 2022, we encounter the following table.

Although we encountered a serious decrease in September, it is seen that we exported 313 million dollars per month in 2022. Assuming that exports in and after October will reach this average, it is possible to reach an annual export of 3 billion 756 million dollars. These figures show us that we are far from reaching the 2023 target in terms of exports.
SİHAs, which played a very important role in the liberation of Nagorno-Karabakh from the occupation of Armenia, revealed the point of the Turkish defense and aviation industry to the whole world. This success has been and continues to be a factor in opening new export doors.
As we all know, the defense industry is not just about the production and marketing of goods. The experiences gained in this field and the reflection of these experiences in production add value to the produced product. Of course, although we know that there is a fierce competition in this field, as in everywhere else, I believe that we have covered a great distance in this regard, even if we cannot reach the 2023 target.

What needs to be done first in order for a more national and domestic sector to bring Turkey to the point of Global Power?


In order to have a say in a product range in the international arena, first of all, it is necessary to produce products with high added value, and at the same time, the product must have high added value. It is not possible to earn high income from products that everyone can do. Naturally, the product must be produced only by you, and you must have your knowledge and hard work at all stages from design to production. If you fulfill these conditions, you can talk about the existence of an original and valuable production.
As of today, it is a fact that the export value per kilogram in this sector is 54 times higher than the Turkish average. Even this figure alone shows us how good the added value and profitability in the sector is.
In order for the newly developing sector to survive, it must be supported at the beginning. This economic approach, called the "young industries thesis" or the "baby industries thesis", is based on the principle of protecting a sector until it becomes self-sufficient and internationally competitive. Otherwise, it will perish before it can grow in the face of overwhelming competition. By applying this strategy, South Korea has trained brands that are known all over the world and are very strong in their field.
The most important point here is to decide how long the protection will continue. Because this time, continuous protection brings up the economic thesis that "protection requires protectionism". The permanently protected sector cannot become open to competition, but rather becomes a burden on consumers.


The defense and aviation sector, which we all follow with enthusiasm in our country, must become a "domestic and national" power by applying these two economic theses in appropriate doses. Of course, it is a dream to expect all parts of the product, which consists of very small components, to be produced locally at the beginning. However, in order to become a global power in this sector, it is necessary to localize these parts and industrial rights in a constantly increasing period.

Could you give brief information about your institution's work and projects in the defense and aerospace industry? If yes, could you tell us about your 2022 and 2023 targets in export, R&D, employment?


Ünsped Customs Consultancy and Logistics Services Inc. is one of the leading companies in the industry with its on-site R&D Center and applications that make use of modern technology, carrying out approximately 10% of the customs procedures in Turkey, having an extensive service network throughout Turkey, serving almost every sector. is one of the leading companies.
Our company works in cooperation with our stakeholders, who are the leading defense and aerospace industry companies in both the public and private sectors. Our company, which became the first on-site R&D Center in its sector in 2019, aims to offer modern applications such as "Blockchain" and "Artificial Intelligence" to the service of the defense and aviation sector using high technology. In this context, we also carry out joint projects with our stakeholders operating in the defense industry. We started our "Turkish Trade Chain" project in order to manage the supply chain with the logic of blockchain in the defense and aviation industry, where information security and accountability are extremely important.
In order to produce a product in the sector, thousands of parts must be brought together. As a result, a product comes out, but each part used in the product is also a product in terms of customs and foreign trade transactions. Each item has its own classification and import or export procedures to be applied based on this classification. Customs transactions are transactions with complex legislation due to their nature and heavy penalties for violations of legislation. At this point, we facilitate the transactions of our stakeholders in the sector, and carry out customs procedures on their behalf.


On the other hand, by informing our stakeholders about the conveniences arising from customs and foreign trade legislation, we offer them easier and less costly solutions for their activities. Again, we guide them to transfer the problems they experience in customs and foreign trade transactions to public institutions.


In addition, our company is among the top 500 service exporters of Turkey. Our goal is; To support our exporters abroad, to raise our service exporter position even higher and to provide sustainable customs clearance and consultancy services at high standards. In this context, our company, which employs more than 1,600 personnel and is the leader in its sector, grows continuously and provides an average of 10% employment increase per year.

4- What you want to add…


The defense and aerospace industry is a strategically important sector. In this sector, it is important not to be dependent on foreign sources, in other words “self-sufficiency”. For this reason, while competitiveness is important in terms of exports, it should not be forgotten that it is a sector in which cost/benefit calculations should not be made for the future of the country.


We should not forget that while we were the country that made its own plane in the young Republic of Turkey, then we became the country that stopped automobile production because it lacked gasoline. For this reason, I consider that it is not correct to look at this sector only from an economic point of view.