Türk Eximbank’s Foreign Letter of Guarantee Program was used for the first time in the shipbuilding industry, and with this support, fishing vessels were exported to Norway.
Within the scope of Türk Eximbank’s Foreign Letter of Guarantee Programme, the letters of guarantee required by the companies operating in the contracting and shipbuilding sector for their overseas business are issued.
Within the scope of the program, for the first time, the letter of guarantee problem of a company operating in the shipping sector was resolved and it was enabled to export ships. Benefiting from the said program, Cemre Marin Industry Inc. exported fishing vessels to Norway.
Türk Eximbank General Manager Ali Güney stated that they are working hard to be with the exporters during the epidemic, to provide financial support and to open the way for the companies in new markets, stating that they are working hard to open the front of the companies in new markets. He said that they started to meet the needs of letter of guarantee and advance letter of guarantee.
Expressing that it is pleasing that the shipbuilding industry has started to benefit from this opportunity, Güney stated that they aim to contribute to the export of the shipbuilding industry to the whole world, especially to the Northern European countries, to reach over 2 billion dollars.
“Intensive negotiations with the leading banks of Europe so that our shipbuilding industry can also benefit from the Foreign Letter of Guarantee program that we put into practice last year, bore the first fruit. With the letter of guarantee given by our bank, Cemre Marin Industry AŞ exported fishing vessels to Norway. This process was carried out in all sectors. I find it very valuable for our exporting companies operating in the shipbuilding sector during the pandemic, which negatively affected them, in terms of taking additional projects and producing alternative solutions for their financing needs. I describe it as an important step that will carry the exports of the sector, which is among the exporting countries, to higher ranks.”
General Manager Güney emphasized that they will increase their financing opportunities with reinsurance/guarantee agreements signed with foreign institutions in addition to the buyer loans and letters of guarantee provided for the export transactions of defense industry, investment goods and ships and projects to be realized by contractors abroad.
“WITH THIS PROGRAM, WE CAN DOUBLE OUR EXPORT VOLUME AS A SHIPBUILDING SECTOR”
Cemre Marin Industry AŞ Deputy General Manager Ömer Özeroğlu stated that they used the first letter of guarantee within the scope of the program. Explaining that they have been working with the Ship, Yacht and Services Exporters’ Association and Turkish Eximbank for a long time to solve the problems of letters of guarantee, Özeroğlu said that the problem they experienced in adding a European bank confirmation to the letters of guarantee prevented them from signing new contracts, and that many requests shifted to shipyards in other European countries.
Özeroğlu stated that with the work they did with Türk Eximbank in this process, they contributed to the solution of the problem and that the bank provided letters of guarantee through correspondent banks in Europe, adding, “This is a first. We, as the shipbuilding industry, can now double our export volume with this program. “As the industry progresses, our exports are increasing. Last year, around $1.3 billion was exported as a sector. With the resolution of the financing problem, the export figures doubled annually. In the first half of this year, we realized our exports above expectations.” said.
Noting that the investments, which were stopped due to the epidemic, have reactivated, and that the sector has a voice in the international arena in environmentally friendly and new technology ships, Özeroğlu noted that the demand for the sector has increased because of this. Pointing out that Turkish shipyards should not miss this opportunity, Özeroğlu said, “We have a good brand value. If such financing problems are resolved, our capacity will be full and many idle shipyards will have the chance to produce. This package offers a special loan financing package for the shipbuilding industry. “We want to announce this support to the entire industry. This package will accelerate the industry and the country’s export earnings will increase. With the Turk Eximbank program, we can increase our ship export volume by bringing many foreign businesses to Turkey more comfortably.” used the phrases.
The opinions expressed herein are the author’s and not necessarily those of News2Sea.
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