Zaman - Polyplex Corp. of India, a leading manufacturer of polyester film and the Investment Support and Promotion Agency of Turkey (ISPAT) have jointly announced an investment of USD 150 million to produce polyethylene terephthalate (PET) in Turkey. The production plant to be built in the northwestern province of Tekirdag will employ 250 people and is part of Polyplex’s strategy to cooperate with its large-scale industrial customers in Turkey and beyond.
“The plant will have capacity to produce 600,000 tons of polyethylene terephthalate per annum,” Kapil Gupta, Senior Vice President of Polyplex said at the press event in Istanbul. “Some 70 to 80 percent of this capacity, reaching about USD 1 billion, will be destined to export markets like the US, Russia and Europe,” said Gupta about the plant, which is scheduled to be operational by 2015. The fourth largest producer of polyester film in the world, Polyplex, will invest USD 150 million in the facility.
“Thanks to Turkey’s key location, this facility will serve both the Asian and European markets. We can easily meet the demands of Western European markets,” Polyplex official remarked. Polyplex plans another investment of USD 500 million in Turkey in the near future, according to Gupta, this time to produce resin raw material.
ISPAT President Ilker Ayci, for his part, said that the investment by Polyplex will make Turkey an exporter of a previously imported material. “Having actively taken part in Polyplex’s investment project, ISPAT is committed to expand the geographic span of countries that Turkey draws foreign direct investments (FDI) from, said Ayci. Turkey traditionally receives the majority of foreign investments from Europe and is intensifying efforts to lure investors from the Middle and Far Eastern countries. “ISPAT is represented in India by not only one, but two representatives,” ISPAT President noted. Aycı said Turkey expects to exceed USD 16 billion in FDI performance, and that Polyplex investment would help Turkey increase its FDI. “We could even break the 2007 record of USD 22 billion this year or next,” he added. The Agency has assisted in two large-scale investments in Turkey’s chemicals sector in the last six months; Dow Chemical’s USD 1 billion joint investment with Turkish company Aksa Akrilik to produce carbon fiber, and another Indian company, Aditya Birla’s USD 500 million viscose staple fiber plant in Adana.
Attending the press event, Turkey’s Minister of Economy Zafer Caglayan said that the Indian company’s decision to invest in Turkey will help bring down the country’s current account deficit. “Polyplex’s investment is a brick in the wall against the current account deficit,” said the Minister.