Ice cream market in Turkey displays tempting growth
ICE CREAM MARKET IN TURKEY
Based on a survey in 2010 the ice cream market in Turkey was reported to record a growth of 30 percent over the first half of the year. It is also known that some locally operating companies export to foreign countries in the Balkans, Middle East and Central Asia as well as UAE. By the end of 2009 the total market volume already reached 800 million euros
Among other findings in a report issued it was observed that the ice cream consumption in Turkey is still only one-fifth of the ice cream consumption in the United States. However this figure has grown from 0.3 liters per capita in the 1990s, to the current 2.8 liters per capita. The goal of the industry is to double the consumption in the coming five years.
When compared to its European peers, ice cream consumption in Turkey is quite low. To give an idea for instance, Italians are estimated to consume 10.3 liters of ice cream per capita, while in Spain the figure stands at 6.7 liters per capita. It is interetsing to know in countries of colder climate ice cream consumption is even higher than in Mediterranean Europe – with a surprising 11 liters per capita in Sweden.
BRANDS IN THE LOCAL MARKET
About a couple of decades ago ice cream used to be consumed in summers only, on the contrary to Western world where it is consumed throughout the year.
Starting with the entry of global companies such as Unliever the concept has changed and now many people consume this product in all seasons.
Before the launching of international products local producers such as ZEYNEL (in Istanbul and Ankara), ÖZSÜT (in Aegean Region & Izmir mainly) etc had considerable reputation and produced what is called the OTTOMAN type ice cream. On top of such popular brands ice cream has always been top selling product in all pastry shops.
About 2 decades ago, brands such as ALGIDA, ÜLKER AND PANDA started to penetrate the market and get a major share.
NEW INVESTMENT FROM GLOBAL GIANT
Unilever’s ice-cream brand Algida which entered the Turkish market in 1990 with the opening of the Çorlu factory is the second largest ice cream producer for multinational parent company Unilever and currently has 72 percent of the industry’s market share in Turkey. Its factory in Çorlu, in northwestern Turkey, is the sixth-largest ice cream factory in the world and has a production capacity of 200 million liters of ice cream a year.
Now, Algida is to invest USD 100 million in a production plant in Aksaray in central Anatolia. Set to become a model production facility for Unilever, the plant will boost Algida’s domestic market share and increase its exports.
The investment will be the second such Algida plant in Turkey and 35th in the world, creating employment for 295 people. The plant is expected to enter production in May 2013.
25.03.2012
Editor, BTT
