COMPETITIVENESS ASSESSMENT REPORT...Bayburt Doğal Taş Üretim ve Pazarlama Merkezi EuropeAid/133049/IH/SER/TR COMPETITIVENESS ASSESSMENT REPORT Activity 1.2 “Competitiveness Assessment”

This project is co-financed by the European

Union and the Republic of Turkey.

Bu proje Avrupa Birliği ile Türkiye Cumhuriyeti

tarafından ortak finanse edilmektedir.

Technical Assistance for the Natural Stone Manufacturing and

Marketing Support Centre in Bayburt

Bayburt Doğal Taş Üretim ve Pazarlama Merkezi

EuropeAid/133049/IH/SER/TR

COMPETITIVENESS ASSESSMENT REPORT

Activity 1.2 “Competitiveness Assessment”

Prepared By KE3- Osman Arda MUTLU SNKE04-Barış Cihan BAŞER

INKE03-Davide BRANCO JNKE03-Salih KARABULUT

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TABLE OF CONTENTS

Executive Summary .......................................................................................................... 4

Introductory Information on Natural Stone Industry ......................................................... 6

Turkish Natural Stone Industry............................................................................................................ 6

International Natural Stone Industry ................................................................................................ 10

SWOT Analysis of Bayburt ............................................................................................... 15

Value Chain Analysis of Natural Stone Industry ............................................................... 18

Porter’s Diamond Analysis of Bayburt Natural Stone Industry ......................................... 25

Benchmarking ................................................................................................................. 26

Benchmarking Bayburt with Antalya-Burdur-Isparta and Sivas ........................................................ 26

Benchmarking Bayburt with Carrara ................................................................................................. 31

Analysis of Competitiveness Pillars ................................................................................................... 33

Analysis of Target Markets .............................................................................................. 37

National Market ................................................................................................................................ 37

International Market ......................................................................................................................... 43

Conclusions & Recommendations ................................................................................... 48

Annex-1 Natural Stone Fairs ............................................................................................ 58

Annex-2 Natural Stone Related Harmonized System Codes ............................................. 61

Annex-3 Questionnaire ................................................................................................... 63

Annex-4 Export-Import Data ........................................................................................... 64

Annex-5 Thematic Focus Meeting on Human Resources, Entrepreneurship and Business

Management .................................................................................................................. 84

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Annex-6 Thematic Focus Meeting on Export, Marketing and Consumer Segment ............. 84

Annex-7 Thematic Focus Meeting on Quarry Search and Opening ................................... 84

LIST OF FIGURES

Figure 1: List of importing markets for product 2515 exported by Turkey in 2015 ................................ 7

Figure 2: Growth in demand for product 2515 exported by Turkey in 2015 .......................................... 8

Figure 3: List of importing markets for product 6802 exported by Turkey in 2015 ................................ 8

Figure 4: Growth in demand for product 6802 exported by Turkey in 2015 .......................................... 9

Figure 5: Import of Block Natural Stone in 2015 and Annual Growth in Value 2011-2015 .................. 11

Figure 6: Export of Block Natural Stone in 2015 and Annual Growth in Value 2011-2015 ................... 12

Figure 7: Export of Worked Natural Stone in 2015 and Annual Growth in Value 2011-2015 .............. 13

Figure 8: Import of Worked Natural Stone in 2015 and Annual Growth in Value 2011-2015 .............. 14

Figure 9: Value Chain ............................................................................................................................. 18

Figure 10: Bayburt Value Chain: Quarry ................................................................................................ 21

Figure 11: Bayburt Value Chain: Processors .......................................................................................... 21

Figure 12: Bayburt Value Chain: Quarry & Processors .......................................................................... 22

Figure 13: Bayburt Stone Sector Consolidated Value Chain ................................................................. 22

Figure 14: Benchmarked Regions .......................................................................................................... 27

Figure 15: Marble Map of Turkey .......................................................................................................... 39

Figure 16: Questionnaire Results .......................................................................................................... 49









Executive Summary

Located in the Eastern Black Sea Region, Bayburt is one of the less developed provinces of

Turkey. The province economically derives a considerable share of its added-value from agricultural

activities including livestock and comparatively industrial production in Bayburt is very weak.

Meanwhile, one of the very few opportunities that can be utilized to boost the economic growth in

Bayburt is the rich natural stone reserves in the region.

Due to its geological structure, Turkey has very rich underground resources. Natural stones

(especially marble) are one of the most important of them. Turkey has a rich potential in terms of a

variety of natural stone with 5.167 billion m3 reserve and 250 million m3 (435 million tons) of it is in

the Eastern Black Sea Region. (Turkey IV. Marble Symposium Booklet November, 18-19, 2003). The

natural stone industry consists of basic stones such as marble, granite and other natural building

stones such as limestone, travertine, basalt, sandstone, serpentine, diabase, and slate. In addition to

these stone varieties, in recent years, slate stone, pebble stone and tufa are coming to the forefront

in Turkey’s stone production and export.

Natural stone import in world generated total of 13.829.717 USD in 2015. 2.192.333.000 USD

of total import generated from block natural stone import and 11.637.384.000 USD generated from

trimmed, simply cut or sawn natural stone import.

Although natural stone is one of the few endorsements on which the Bayburt province can

capitalize, the added value of the natural stone industry to the local economy is relatively low.

Inefficiencies in exploration, quarrying and processing of natural stone in Bayburt specifically

hinder competitiveness of the industry. The inefficiencies stem not only from lack of skills and

competencies, but also from unavailability of the required technologies and network in Bayburt.

Problems relating to marketing exacerbate the already acute nature of the problem and prevent

exploitation of the potential of this vital industry.

Natural Stone Manufacturing and Marketing Support Centre in Bayburt, aims to increase

the competitiveness of the sector particularly with regard to addressing evident skills shortages,

management impotence, marketing deficiencies, financing issues, the limited awareness of

business networks and of partnership opportunities, relatively low levels of exports in natural

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stone products. It also aims to increase the competitiveness of the small and medium sized

natural stone enterprises in Bayburt in order to contribute to local economy.

The study has initiated competitiveness analysis of Bayburt and examining in detail various

aspects, the research has provided a comprehensive picture of the current natural-stone sector in

Bayburt and other selected regions. It also gives a detailed picture of national and international

natural stone markets which could be potential markets for the Bayburt natural stone sector.

The companies in the Bayburt region are working with only self-representation; just a few of

them have business relations with some local and national business partners, but they don’t really

have concrete business partnerships guaranteed with contracts or agreements. A communication

and promotion strategy in collaboration with a corporate identity and visibility features is lacking

in the region and this is the major necessity for a successful accomplishment of any of the

marketing, partnering, networking or internationalization.

Companies in the region do work in relatively narrow market, mainly Bayburt and

neighborhood cities. In order to develop a wider perspective by penetrating in the national and

international market, companies need to be informed about the business opportunities, market

trends, sectoral developments and they need to create mutual-beneficial business relationships

with some distributors, representatives of construction companies or architecture & decoration

offices.

This Competitiveness Assessment Report sets out the current situation of the natural stone

sector in the region together with the analysis of the stakeholders, demand conditions, national

and international markets, governmental institutions and potential markets. Report also includes

benchmark and value chain analysis of the region. Overall this report gives a detailed analysis of

competitiveness of Bayburt natural stone sector.

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Introductory Information on Natural Stone Industry

Turkish Natural Stone Industry

Due to its geological structure, Turkey has very rich underground resources. Natural stones

(especially marble) are one of the most important of them. The natural stone industry consists of

basic stones such as marble, granite and other natural building stones such as limestone, travertine,

basalt, sandstone, serpentine, diabase, and slate. In addition to these stone varieties, in recent years,

slate stone, pebble stone and tufa are coming to the forefront in Turkey’s stone production and

export. Natural stone reserves in Turkey are spread over the country. 32 % of the reserves are in the

Aegean Region, 26 % in Marmara, 11 % in the Central Anatolia and 31 % of the reserves are in the

rest of the country, namely Eastern and Southeastern Anatolia, the Black Sea Region and the

Mediterranean Region.

Turkey has immense reserves of marble, travertine, onyx, conglomerate, breccias and

magmatic rocks. Turkey’s total marble reserves are estimated at about 5.2 billion m3 –13.9 million

tons. Turkey has an exploitable reserve of 4 billion m3 for marble deposits; the same figure is 2.8

billion m3 for travertine and 1 billion m3 for granite. According to estimates, Turkey has 40 percent of

the world’s total marble reserves. Having a considerable and quite diverse mineral base, Turkey has

one of the world's largest natural stone reserves, which is considered to be excellent quality and

exclusive due to great variety of colors and textures. (Ministry of Economy, General Directorate of

Export)

With its richness of marble types and reserves, its dynamic structure and experience, its easy

adaptation to new technologies, having an advantage of transporting by seaway, and having a rich

variety of colors; Turkish Marble Sector has an important place in the world marble market. Granite

is the second most important natural stone after the marble. Granite used especially in construction

sector. Granite is also used at embroidery due to its easily polished structure and attractive colors.

Important reserves of granite found in the cities like Ordu, Rize, Trabzon, Balıkesir, Kırklareli, Kırşehir,

Bolu, İzmit, Çanakkale and İzmir.

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Figure 1: List of importing markets for product 2515 exported by Turkey in 2015

China is the most important block natural stone export destination for Turkey. Turkey has a

total of 872.047.000 USD export revenue for block natural stone in 2015. 83% of the export revenue

obtained from China. India has the second place in block natural stone export of Turkey with 7%.

India and China are the most important countries for Turkey to export block natural stone but after

processing blocks two countries are becoming rivals for Turkey at trimmed natural stone sector.

Turkey also exports considerable amount of natural stone to its near abroad countries like Iraq, Saudi

Arabia, Azerbaijan and Italy.

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Figure 2: Growth in demand for product 2515 exported by Turkey in 2015

Demand changes in block natural stone export for Turkey to a specific country are shown in

the figure above. Yellow bubbles show Turkey export growth to a partner is smaller than partner

import growth. Blue bubbles show Turkey export growth to partner is bigger than partner import

growth. The bubble size is proportional to the share in world import of partner countries for the

selected product.

Figure 3: List of importing markets for product 6802 exported by Turkey in 2015

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U.S.A is the most important exporter of trimmed natural stone for Turkey with its export

volume of 320.467.000 USD in 2015. United States of America imports 28% of the total world

trimmed natural stone imported. U.S.A trimmed natural stone market is very stable market. Market

price has not changed much from 566 USD/ton in between 2011-2015. Stability of price forces

companies to increase their quality, differentiate their products and develop marketing activities.

Turkey’s second important market for trimmed natural stone is Saudi Arabia. Turkey has an

export volume of 111.093.000 USD with Saudi Arabia. Demand of Saudi Arabia for trimmed natural

stone decreased between 2014 and 2015 due to decrease in petroleum prices nevertheless Saudi

Arabia is an important market for Turkish companies. Also between 2011 and 2015 trimmed natural

stone export of Turkey to Saudi Arabia increased 15% in value and 9% in quantity. This statistic shows

that Turkish companies increased their reputability in Saudi Arabia.

Figure 4: Growth in demand for product 6802 exported by Turkey in 2015

Demand changes of worked (slab, trimmed) natural stone export for Turkey to a specific

country are shown in the figure above. Yellow bubbles show Turkey export growth to a partner is

smaller than partner import growth. Blue bubbles show Turkey export growth to a partner is bigger

than partner import growth. The bubble size is proportional to the share in world import of partner

countries for the selected product.

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International Natural Stone Industry

Marble and natural stones are important inputs for construction sector. As construction sector

continuously developing it forces its supplier sectors to develop. For this reason, increasing

importance of marble and natural stone producers are expected to continue. Marble and natural

stone is not only used for construction sector it is also used in covering, flooring, sculpture, funerary,

optic industry, glass industry and production of knick-knacks.

Marble is most used natural stone. Main usage areas of marble are construction sector and

decoration. Marble is a rock resulting from metamorphism of sedimentary carbonate rocks under

temperature and pressure, most commonly limestone or dolomite rock. Within Alpine-Himalayan

belt countries such as; Portugal, Spain, Greece, Turkey, Iran, Pakistan have marble, limestone,

travertine and onyx reserves which are so-called carbonate rocks. Spain, Norway, Finland, Ukraine,

Russia, Pakistan, India, China, Brazil and South Africa are the high potential countries in igneous rock

production. In Europe most important countries for natural stone production and trade are Italy,

Spain, Turkey and Portugal.

Harmonized system codes of marble and natural stone are classified under chapters 25 and 68.

Chapter 25 includes marble, travertine, ecaussine, alabaster and other calcareous monumental or

building stone in raw and blocked form. Chapter 68 includes tiles, cubes and similar articles,

artificially colored granules, marble, travertine and alabaster, granite. Difference of chapter 68 from

chapter 25 is natural stones in this chapter are either trimmed, simply cut or sawn.

World import of block natural stone decreased 2% and import of trimmed, simply cut or sawn

natural stone increased 5% between 2011 and 2015. Especially 26 % decrease in import of China,

biggest block natural stone importer of the world, between 2014 and 2015 caused a 19% drop in

world’s import of block natural stone between 2014 and 2015. Import of trimmed, simply cut or

sawn natural stone decreased 3% between 2014 and 2015. Main reason behind this 3% drop is 20%

decrease in demand for simply cut or sawn natural stone of two main importers Germany and Japan.

Natural stone import in world generated total of 13.829.717 USD in 2015. 2.192.333.000 USD

of total import generated from block natural stone import and 11.637.384.000 USD generated from

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trimmed, simply cut or sawn natural stone import. China and India imported 75% block natural stone

in 2015. Main importer of trimmed, simply cut or sawn natural stone is U.S.A with %28 of the total

import. U.S.A is followed by South Korea, Japan, United Arab Emirates, Iraq, Germany, Vietnam and

Canada.

Figure 5: Import of Block Natural Stone in 2015 and Annual Growth in Value 2011-2015

Import of China’s block natural stone drastically decreased between 2011 and 2015. This

decrease badly affected world import of block natural stone since China is the biggest importer. India

increased its import of block natural stone at the same period which compensated China’s decrease.

However, increase in India’s import is not sustainable due to quotas applied by the Indian

government. Overall import of the world in value decreased 19% in 2015 when compared to 2014.

Annual growth in value decreased 2% between 2011-2015 and annual growth in quantity decreased

4% between 2011-2015. Italy, United Arab Emirates, Chinese Taipei are the other important

importing countries of block natural stone.

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Figure 6: Export of Block Natural Stone in 2015 and Annual Growth in Value 2011-2015

Export of block natural stone has shown increase in many countries but total production

capacities of these countries are not big enough to affect total export. Among the countries which

have large production capacities like Turkey, Italy, Spain, Egypt and Greece only Turkey showed a

slight increase. Other countries decreased their block natural stone export. Turkey preserved its

export of block natural stone in the shrinking market. This shows that Turkish companies are more

competitive in international market. Main export market of Turkey, biggest exporter of block natural

stone, is China with more than 80% percent of its export. India, Indonesia and Chinese Taipei are

other noticeable export destinations for Turkey.

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Figure 7: Export of Worked Natural Stone in 2015 and Annual Growth in Value 2011-2015

China is the biggest exporter for worked natural stone followed by Turkey, Italy, India, Brazil

and Spain. Jordan, United Arab Emirates, Viet Nam, Oman, China and Brazil are the best performing

countries in annual growth in value between 2011-2015. This shows that Turkey’s promising efforts

on international marketing should be increased in consideration with its competitor’s efforts such as

China, India and Brazil.

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Figure 8: Import of Worked Natural Stone in 2015 and Annual Growth in Value 2011-2015

United States of America is the biggest market for worked natural stone. U.S.A had shown a

steady growth between 2011 and 2015 and will continue to be favorite market for the exporter

countries. Japan and South Korea with their import volume of 1.500.000.000 USD are said to be

important export destinations for trimmed natural stone importers. However, being close to China

decreases attractiveness of these countries. Another important group of trimmed natural stone

importing countries is Middle Eastern countries. Although decrease in petroleum prices countries like

Iraq, Qatar, Kuwait, U.A.E will be favorable export destinations for importing countries in the

upcoming years. The natural stone industry consists of basic stones such as marble, granite and other

natural building stones such as limestone, travertine, basalt, sandstone, serpentine, diabase, and

slate. In addition to these stone varieties, in recent years, slate stone, pebble stone and tufa are

coming to the forefront in Turkey’s stone production and export.

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SWOT Analysis of Bayburt

Strengths:

• Bayburt stone is known to be an effective insulation material due to its physical structure.

• Handicrafts of Bayburt are well-known handicrafts in the sector; i.e. they are preferred in special

projects where handicraft quality is favored, like restoration, renovation projects as in Mostar

Bridge restoration project.

• Local decision makers are highly motivated for supporting the development of local natural stone

industry.

• “Bayburt Stone” is already a trademark in the regional market.

Weaknesses:

• Weak private sector; lack of networking, knowledge transfer, innovation.

• Lack of business management culture: no cost analysis, low efficiency and low profitability.

• Poor logistic and transportation conditions in the region.

• Short operating time (April - October) in quarries due to long winter season.

• Due to hard working conditions in quarries and production facilities and low financial revenue,

natural stone industry is not attractive for labor force.

• Low productivity; handmade products of Bayburt Stone take long time to produce but have low

profit margin.

• Weak local labor market in quality and quantity.

• Weak SME’s; institutionalism, financial sources, management know-how, manufacturing

capabilities.

• Lack of “coopetition” (cooperation and competition) culture among companies and economic

actors.

• Inadequacy of production infrastructure and facilities. Due to low capital stock companies cannot

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invest in production infrastructure. Current manufacturing infrastructure consists of pre-owned

and out of date machinery.

• Limited involvement to the national market and almost no experience in export.

• No or low presence on internet/web and inadequate use of information technologies.

• Low market volume of the region.

• Inexistence business service sector in the region.

Opportunities:

• Potential of using Bayburt stone as raw material for the production of some design driven

souvenirs and artistic works. By this way, this sector could be transformed into a more prestigious

artistic sector rather than being a branch of industry.

• High amount of potential natural stone reserves in the region.

• More involvement of Turkish construction companies in international projects.

• Bayburt is region 5 in incentive system of Ministry of Economy. Organized Industrial Zone of

Bayburt considered as region 6. (Low number regions have better incentive opportunities)

• 2010/8 International Competitiveness Development Support Programme (UR-GE) of Ministry of

Economy.

• More chance of using agency supports; number of companies applying to the Development

Agency Supports are low.

• Sector related investments of big companies to Bayburt can create role models for local industry.

• Establishment of the “Natural Stone Manufacturing and Marketing Support Center” in the region.

Threats:

• Absence of role model in production sector in the region.

• Weak local labor market in quality and quantity. Working for Society Benefit Programme (TYÇP) of

Turkish Labor Agency is also negatively affecting labor market.

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• Inexistence of natural stone industry related departments in Bayburt University.

• Decrease of Economic downturn related demand in the construction sector.

• Sector equipment and machineries are old and technologically obsolete.

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Value Chain Analysis of Natural Stone Industry

The “Value Chain” definition

The “Value chain” is a process where each player, companies for instance, generates »value for

Customer/Clients (Stakeholders), as “margins” (profit or non-profit), in each of the

production/process steps, by the best performing exploiting of both primary activities (the ones

direct related to the production/generation of goods or services) and support activities (the ones

which support the primary ones); in the »sector value chain«, each player (SME for instance)

contributes to generate its part of »value« inside a »sector«:

Figure 9: Value Chain

Primary activities

✓ Inbound Logistics: arranging the inbound movement of materials, parts, and/or finished

inventory from suppliers to manufacturing or assembly plants, warehouses, or retail stores

✓ Operations: concerned with managing the process that converts inputs (in the forms of raw

materials, labour, and energy) into outputs (in the form of goods and/or services)

✓ Outbound Logistics: is the process related to the storage and movement of the final product

and the related information flows from the end of the production line to the end user

https://en.wikipedia.org/wiki/Logistics

https://en.wikipedia.org/wiki/Operations_management

https://en.wikipedia.org/wiki/Logistics

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✓ Marketing and Sales: selling a product or service and processes for creating, communicating,

delivering, and exchanging offerings that have value for customers, clients, partners, and

society at large

Support activities

✓ Infrastructure: consists of activities such as accounting, legal, finance, control, public

relations, quality assurance and general (strategic) management

✓ Human Resources Management: consists of all activities involved in recruiting, hiring,

training, developing, compensating and (if necessary) dismissing or laying off personnel

✓ Technology: pertains to the equipment, hardware, software, procedures and technical

knowledge brought to bear in the firm's transformation of inputs into outputs

✓ Procurement: the acquisition of goods, services or works from an outside external source

The Stone Industry Value Chain

The step “operation” in the classic value chain in stone industry is quite long and has 3 main wider

“building blocks”, from the extraction phase onward (the quarry):

➢ Irregular blocks, to be refined and cutted in stripes for tiles

➢ Regular squared Blocks cutting in slabs, slabs refined and final products (no tiles)

➢ Granulated

the processing phases at point 1 and 2 are particularly long due to the number of processing

steps the blocks and the slabs pass through before reaching the final step of selling

It is clear that the value chain is integrated vertically (from the quarry to the final clients of

building parts for construction industry) and horizontally (between the producers of each

processing step)

The “operations” are integrated and complemented with/to both primary and support

activities

A new approach in “Value Chain”

It is clear that each sector, each region, each sub-sector etc. has its own value chain characteristics

and the weight of each activity (to be calculated in % for example) change accordingly; that is why 3

https://en.wikipedia.org/wiki/Marketing

https://en.wikipedia.org/wiki/Sales

https://en.wikipedia.org/wiki/Accounting

https://en.wikipedia.org/wiki/Corporate_law

https://en.wikipedia.org/wiki/Finance

https://en.wikipedia.org/wiki/Control_(management)

https://en.wikipedia.org/wiki/Public_relations

https://en.wikipedia.org/wiki/Public_relations

https://en.wikipedia.org/wiki/Quality_assurance

https://en.wikipedia.org/wiki/Strategic_management

https://en.wikipedia.org/wiki/Human_Resources_Management

https://en.wikipedia.org/wiki/Procurement

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value chains has been identified in Bayburt by taking in account both primary and secondary data: 1

for Quarry enterprises, 1 for Processing enterprises and 1 for Quarry and Processing enterprises to

define the consolidated Bayburt Stone Sector’s Value Chain; simple benchmarking with the “best in

class” do not represent an optimal comparison to evaluate the best value chain, as it depends by the

local stage of development, maturity, resources available, dominant culture, logistic, infrastructure,

government support etc..

Black Arrows indicate the direction of value created

S

U

P

P

O

R

T

Best Value Chain Area max sum of all single best value activities

Poor Value Chain Area some support activities not well performing

Poor Value Chain Area some primary activities not well performing

Primary Activities

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Figure 10: Bayburt Value Chain: Quarry

Figure 11: Bayburt Value Chain: Processors

S

U

P

P

O

R

T


Quarry Value Chain Area

S

U

P

P

O

R

T


Processors’ Value Chain Area

Primary Activities

Primary Activities

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Figure 12: Bayburt Value Chain: Quarry & Processors

Figure 13: Bayburt Stone Sector Consolidated Value Chain

Bayburt Stone Sector’s Value Chain Analysis in Short

➢ the support activities are lagging behind an optimal level rather than the primary activities

and that is quite common with SMEs and even more in family business, whose attention was

always given to more “production oriented” activities

➢ but the level must be improved to reach a reasonable level of effectiveness of primary

S

U

P

P

O

R

T


Quarry & Processors’ Value Chain

Area

S

U

P

P

O

R

T


Consolidated Value Chain Area some support activities not well performing

Primary Activities

Primary Activities

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activities to be competitive

➢ very weak indeed the HR and the infrastructure support activities, as detected and expected

➢ also, the purchasing process, too often little considered as strategic, should be enforced to

reduce the supply costs and to introduce what is called: supply management

➢ there is a high potential for growing

Improve Support Activities: those weaknesses in support activities and the high potential for

development, give a clear sign of what NSSC (“catalizator of development”) and all the Stakeholders

should do to improve effectiveness via:

specific training at all levels more cooperation boosting management skills promoting entrepreneurial culture trade and match-making events organize participation to suppliers’ fairs outsourcing poor performing support activities

Improve Primary Activities: again, the crucial role of NSSC and all Stakeholders involved to stimulate

and disseminate higher technological services would add value to the primary activities as well,

playing the role of “catalizator” and “technology transfer” stimulator, via:

Act as “catalizator”

disseminate high added value services provided by NSSC

support enterprises which could not bear the investment costs for new machineries

stimulate the environment to be more competitive

support their marketing and sales activities by activating a “cluster process”

NSSC as leading organization

outsourcing poor performing primary activities

introduce gradually the concept of post-sales services

support the supply management for enterprises which are very weak

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A set of proposals:

✓ The value chain analysis combined with the business diagnostic as well clearly express the

gaps Bayburt is facing in the development of an effective stone sector

✓ the building and the operation of NSSC will contribute to boost up the value chain and

benefits from the competitiveness scale and scope economies

✓ but a set of others issues should be touched as well: below a few of them, mostly connected

to what has been included in this analysis and the concepts presented

Partnership Agreement Boosting Managerial Competence & Entrepreneurial Skills Establish Pilot Clusters Launching a “Bayburt Best Entrepreneur of the Year” competition

Those 4 issues are complementing and integrating each other with the final aim of increasing both

innovation and competitiveness of Bayburt Stone Sector’ SMEs; below a short description:

Partnership Agreements: formal agreement between all Stakeholders to improve the

innovation by networking to support the growth of the environment

Boosting Managerial Competence & Entrepreneurial Skills: to move from “survival

entrepreneurship” to a dynamic entrepreneurship and to introduce modern management

process within SMEs, by designing and delivering specific pragmatic and concrete (no

academic ones) training and executive programmes in management fields and to improve

entrepreneurial skills

Establish Pilot Clusters: to mitigate gaps in all activities and to raise up the SMEs’

effectiveness by improving the value chain of the sector through the establishment of a pilot

cluster to start the process of increasing competitiveness; the pilot cluster could be

considered as a “catalizator”, an example for other SMEs and sectors as well.

Launching a “Bayburt Best Entrepreneur of the Year” competition: similar to many positive

experiences in other Countries to boost up entrepreneurial attitude, an open and

transparent competition between entrepreneurs from Stone Sector to be presented in local

TV, newspapers, media, public opinion etc. would help a lot in disseminating the concept of

modern entrepreneurship.

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Porter’s Diamond Analysis of Bayburt Natural Stone Industry

Related and Supporting Industries/Sectors

▪ Presence of Northeast Anatolia Development Agency Supports (+) ▪ Local decision makers are highly motivated for supporting the development of local

natural stone industry. (+) ▪ Fast, positive and supportive attitude of local authorities in administrative

procedures (+) ▪ Establishment of the “Natural Stone Manufacturing and Marketing Support Centre”

in the Region. (+) ▪ Inexistence of natural stone industry related departments at Bayburt University. (-)

Firm Strategy, Structure and Rivalry

▪ Lack of coopetition culture among companies (-)

▪ No or low presence on internet/web and inadequate use of

information technologies. (-)

▪ Weak SME’s: lack of institutionalism, financial sources,

management know-how, manufacturing capabilities, networking

and knowledge transfer. (-)

▪ Absence of role model in production sector in the region. (-)

Demand Conditions

▪ Low market volume of the region (-)

▪ More involvement of Turkish construction companies in international projects (+)

▪ Low productivity: handmade products of Bayburt Stone take long time to produce but have low profit margin. (-)

▪ Limited involvement to the national market and almost no experience in export. (-)

▪ Potential of using Bayburt stone as raw material for the production of artistic works (+)

Government

▪ Bayburt is region 5 in incentive system of Ministry of Economy (+)

▪ 2010/8 International Competitiveness Development Support Programme (UR-GE) of Ministry of Economy. (+)

▪ Working for Society Benefit Programme (TYÇP) of Turkish Labour Agency. (-)

Supply Conditions

▪ Due to hard working conditions in quarries and production facilities and low

financial revenue, natural stone industry is not attractive for labor force. (-)

▪ Weak local labour market in quality and quantity. (-)

▪ Inadequacy of production infrastructure and facilities (-)

▪ Short operating time (April - October) in quarries due to long winter season (-)

▪ Poor logistic and transportation conditions in the region (-)

▪ High amount of potential natural stone reserves in the region (+)

▪ Bayburt stone is known to be an effective insulation material due to its physical

structure. (+)

▪ Inexistence of business service sector in the region (-)

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Benchmarking

Benchmarking Bayburt with Antalya-Burdur-Isparta and Sivas

In Turkey, there are approximately 1000 functioning quarries and more than 9000 workshops

and 1500 factories processing the stone. Moreover, approximately 350.000 employees are working

in the sector. Natural stone reserves in Turkey are spread over the country. 32 % of the reserves are

in the Aegean Region, 26 % in Marmara, 11 % in the Central Anatolia and 31 % of the reserves are in

the rest of the country, namely Eastern and Southeastern Anatolia, the Black Sea Region and the

Mediterranean Region. Furthermore, Turkey is one of the most notable countries in the whole world

in terms of marble, travertine and granite. The overall reserve of marble is estimated as 13.9 billion

tons (nearly 5.1 billion cubic meters). According to the data General Directorate of Mineral Research

and Exploration (MTA) reports, Turkey potentially has 5 billion cubic meters of marble. It is known

that almost 35 % of the marble reserves in the world are located in Turkey. Balıkesir, Afyon, Bilecik,

Denizli and Muğla produce %65 percent of total production. These cities followed by Bursa, Erzincan,

Sivas, Antalya, Eskişehir, Kütahya, Bayburt, Elazığ, Manisa. (Ministry of Economy, General Directorate

of Export, 2014). 90 % of the quarries are in the regions of Aegean and Marmara. Natural stone

companies mostly located in the western part of Turkey.

Benchmarking is the process of improving performance by continuously identifying,

understanding, and adapting outstanding practices and processes found inside and outside an

organization. Benchmarking of Bayburt natural stone sector is needed in order to compare current

situation of the sector, identify the needs and adapt itself to new practices. Among the other regions

of Turkey Antalya-Burdur-Isparta and Sivas regions have been chosen for comparison with Bayburt

for the following reasons. First reason is existence of natural stone clusters in these regions.

Existence of clusters in the regions increases quality of benchmark and helps to make sound analysis.

Antalya-Burdur-Isparta region is a typical example of large scale natural stone cluster which is

approved by the Ministry of Economy. Sivas region has also a natural stone cluster. Sivas region is

located in an area that shows similar geographical trends and logistic infrastructure as Bayburt.

Second reason is readiness of the data of the benchmark regions. In order to benchmark these

regions latest data are needed. Antalya-Burdur-Isparta region and Sivas region have Development of

27









International Competitiveness Support Programme (UR-GE) projects which provide the recent data

needed. These regions can be benchmark regions for Bayburt.

Figure 14: Benchmarked Regions

From natural stones which are being exported, the highest added value products are marble

and travertine. Marble is exported either in block form or in cut and polished form. Most important

exporting market of the Antalya-Burdur-Isparta region is China for block marble. U.S.A is the most

important destination for tile and slab formed marble. Net export revenue of the benchmark sample

of Antalya-Burdur-Isparta is 359.247.094 TL. Net export revenue per company in the sample is

19.958.172 TL. England, Saudi Arabia, Russia, India, South Korea, Israel, Singapore, Italy, Australia,

Dubai, Canada, Azerbaijan, Brazil and Qatar are other countries that Antalya-Burdur-Isparta region

also exporting.

China is the most important export destination of Sivas region for block marble and U.S.A is

the most important destination for tile and slab formed marble. Other exporting countries for Sivas

natural stone sector are Germany, India, Indonesia, Saudi Arabia, Netherlands, Libya, Italy and

France. Net export revenue of the benchmark sample of Sivas region is 28.983.136 TL. Net export

revenue per company in the sample is 3.220.348 TL. Countries like Brazil, Ukraine, Singapore, Qatar

28









and Poland are considered new potential markets for the companies in Sivas region benchmark.

Exporting markets of benchmarked regions and Bayburt.

Antalya-Burdur-Isparta Sivas Bayburt

China √ √ √

India √ √ √

U.S.A √ √

England √

Saudi Arabia √ √ √

Russia √

South Korea √

Israel √

Singapore √

Italy √ √ √

Australia √

Dubai √ √

Canada √

Azerbaijan √

Brazil √

Qatar √

Germany √ √

Netherlands √ √

Indonesia √

Libya √ √

France √ √

Spain √

Georgia √

Block Slab and Trimmed

*Export destinations of Bayburt are not perpetual, only one-time export destinations.

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Antalya-Burdur-Isparta region exporting more countries than other regions. Sivas and Bayburt

have similar countries in their export markets. Although Bayburt has 11 exporting destinations these

markets are not perpetual. Export by Bayburt companies are mostly one-time only therefore Bayburt

companies are not experienced in foreign trade. Compared to the other two regions it can be said

that experience of Bayburt is nearly zero.

In the following table Antalya-Burdur-Isparta, Sivas and Bayburt regions compared in 4

subchapters. Points given to the regions with respect to their relative position to each other.

Antalya-Burdur-Isparta Sivas Bayburt

Government Supports √ √√ √√√

Priority of sector for

local authorities

√ √√ √√√

Labor Market √√√ √√ √

Production

Infrastructure

√√√ √√ √

Logistics Infrastructure √√√ √√ √

Presence of

Supporting Institutions

√√ √ √

Institutionalization √√√ √√ √

Experience in foreign

trade

√√√ √

Capital Stock √√√ √√ √

1. Governmental supports: Incentive system of Ministry of Economy divided cities of Turkey in 6

regions. According to this division Bayburt is region 5, Sivas is region 4 and Antalya-Burdur-Isparta

placed as region 1, region 3 and region 2 respectively. Incentives are increasing while the region

number is decreasing. It means Bayburt more advantageous than other regions. Another advantage

of Bayburt is local authorities’ attention for the sector. Natural stone sector in Bayburt prioritized by

the local authorities. Bayburt has more advantage than other regions by means of governmental

30









supports.

2. Supply conditions: This subchapter consist of labor market, production infrastructure and logistic

infrastructure. Labor market is very limited in Bayburt and also it is hard to find skilled employees for

natural stone sector. Sivas region has a slight advantage than Bayburt but labor market is not

sufficient enough for natural stone industry in the region. Antalya-Burdur-Isparta region has most

qualified labor force when compared to the other regions. Antalya-Burdur-Isparta region also has

better production infrastructure than Bayburt and Sivas.

3. Supporting and related institutes: West Mediterranean Exporter’s Association, Burdur Marble and

Natural Stone Association, Denizli Mine and Marble Association, Mediterranean University are

related and supporting institutes in the Antalya-Burdur-Isparta region. Sivas and Bayburt have

relatively less institutions than Antalya-Burdur-Isparta region. Main institution in Sivas region is Sivas

chamber of commerce. Special provincial administration is the leading institution in Bayburt region.

4. Firm strategy and structure: Capital stock of companies in Bayburt are too low. This also leads to

low institutionalism in companies. Also companies in Bayburt are not participating in foreign trade

much. Sivas region companies have better capital stock structure than Bayburt. Accessibility of

capital stock increases overall institutionalism level of companies in Sivas. Companies of Sivas region

involve in foreign trade more than Bayburt region but overall experience is not competitive enough.

Antalya-Burdur-Isparta region companies have best capital stock structure and they are more

involving in foreign trade than total of Sivas and Bayburt region. Higher experience in foreign trade

bring more institutionalism to the companies of Antalya-Burdur-Isparta region.

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Antalya-Burdur-

Isparta Sivas Bayburt

Number of Companies in Sample

Group 18 9 41

Average Number of University

Graduate per Company (person) 12,7 3,66 0,17

Average Number of Foreign

Language Speaker per Company

(person)

4,39 1,66 0,02

Average Number Employees per

Company (person) 155 37 8,84

Total Net Sales per Company(TL) 24.240.013 5.285.469 520.000

Turnover per Person (TL) 156.107 140.322 58.846

Net Export Revenue per Company

(TL) 19.958.172 3.220.348 113.659

Registered Trademark per Company 0,66 0,33 0

Websites per Company 0,94 0,88 0,17

Patent/Utility Model per Company 0,11 0 0

Industrial Design per Company 0 0 0

Benchmarking Bayburt with Carrara

The Stone District of Carrara, Italy, with a turnover of around 900 million euro, represents the

best example and the most worldwide known of the Stone World Industry; established at the time of

Etruscans, the population who lived in Tuscany (Italy) before Romans, Romans boosted up that

“industry” and “exported” their products all over the known world since that time; the Carrara’

District reached an outstanding position at the time of Michelangelo, the Artist who represents the

change in the Art during the Renaissance; in the 60’ a blooming time pushed Carrara District to grow

fast and to get the Worldwide Leadership position, which still remains for high “ADDED VALUE”

products.

32









The following table gives a picture of the outstanding results by the Carrara Stone District;

particularly significant the turnover and export figures per employee when considering the stone

enterprises only; it is worth mentioning that 80% of export is generated by the final processed

products (slabs and related); the crucial reason for such a success is related to a couple of key words:

high added value products and optimal integrated value chain.

Carrara Bayburt Carrara/Bayburt

Total Turnover 900 Mil € 7 Mil € 128,57

Export 482 Mil € 1.6 Mil € 301,25

Number of Enterprise 755 41 18,41

Number of Employees 4,892 362 13,51

Average Number of Employees per company 6,8 8,84 0,76

Turnover per Employee 225,000 € 21,000 € 10,71

Export per Employee 98,000 € 4,613 € 21,24

Bayburt and Carrara district companies have nearly same average number of employees

which can be considered as small sized companies. For this reason, Carrara is a good example for

benchmarking. Although the average number of employees per company nearly same Carrara

districts has better numbers in export, total turnover than Bayburt. According to the numbers in the

table we can conclude that added value of natural stone sector of Bayburt region is very low. Also

33









companies in Bayburt do not pay any attention to export activities while Carrara companies is very

good at exporting activities. Details which cause these differences explained in the related parts of

the report. Solution proposal for increasing competitiveness of Bayburt region supplied in the

conclusion part of the report.

Analysis of Competitiveness Pillars

• Logistics and Accessibility

Logistics and accessibility are the most crucial components of natural stone industry because

the size of transported material. Developed logistics infrastructure provides competitive advantage in

the sector. Closeness to ports, railways and central highways decreases the transportation cost and

time. Marble and Natural Stone producing provinces such as Denizli, İzmir, Antalya, Burdur, Isparta

are close to the Ports which enable companies in mentioned provinces to easily transport their

products. Logistics infrastructure and accessibility of the Bayburt region can be considered low when

compared to the other regions. %82 of total net sales per company in the Antalya-Burdur-Isparta

region obtained from export. Number decreases to 60 percent in the Sivas region and 21 percent in

the Bayburt region. Biggest three importers of natural stone and marble are China, India and Italy. In

order to reach this potential market logistics and accessibility play a key role. Logistics infrastructure

and accessibility are the competitive disadvantages of Bayburt. With the finalization of Gümüşhane

and Erzurum roads and realization of airport project between Gümüşhane and Bayburt the

accessibility of Bayburt will be increased.

• Supporting Organizations, Cooperation and Competition (Coopetition)

Changing environment of business enforces companies to change their competitive structures.

Coopetition allows companies to be more competitive in the global market. Marble and natural

stone industry is mostly export driven because of difference between the location of raw material

and market. In order to be globally competitive besides their rivalry companies should also develop

cooperation. Presence of supporting organizations in the regions helps the process of value creation

for the companies. West Mediterranean Exporter’s Association runs Ministry of Economy “UR-GE”

project with marble and natural stone industry companies in the Antalya-Burdur-Isparta region. Sivas

34









Chamber of Commerce and Industry and Denizli Exporter’s Association also run marble and natural

stone industry “UR-GE” project in the region. It ensures companies to adapt coopetition. In addition

to mentioned institutions below institutions like Burdur Marble and Natural Stone Association,

Denizli Mine and Marble Association are creating added value for the natural stone and marble

industry in the region. With the help of supporting organizations in the region companies can attend

international trade fairs to create new sale opportunities and increase their market share. Supporting

organizations and coopetition culture in Bayburt is not developed enough comparing to other

regions.

• Finance

Marble and natural stone industry needs high amount of financial investment. Cost of opening

quarries and operating are also very high for companies. Therefore, accessibility to financial sources

is very important for industry to continue its operations and invest in new equipment and facilities.

Total net sales number per company of Antalya-Burdur-Isparta region is 24.240.013 TL which shows

that accessing financial sources relatively easy when compared to the other regions. Sivas region has

total 3.220.348 TL and Bayburt has 520.000 TL net sales per company. Financial structures of

companies in Bayburt are not strong enough to cover new investments or renewal of machinery

used. Antalya-Burdur-Isparta marble and natural stone companies can use their financial funds to

cover new investment or modernization projects. Companies in Bayburt need financial support for

their activities. Presence of Northeast Anatolia Development Agency Supports and other

governmental supports is crucial for marble and natural stone industry in Bayburt whereas

companies in other regions mostly use their own financial capital for necessary investments.

• Labor force

Skilled labor force is needed in marble and natural stone industry. Average number of

university graduated staff per company in Antalya-Burdur-Isparta region is 12,7. The number is

decreasing to 3,66 in Sivas region and 0,17 in Bayburt region. Foreign language speaker per company

distributes as 4,39 for Antalya-Burdur-Isparta region, 1,66 for Sivas region and 0,02 for the Bayburt

region. Universities in Antalya-Burdur-Isparta region have related departments with marble and

natural stone industry which supplies qualified workforce for the companies in the region. Sivas

35









region also have related departments in order to supply qualified labor force. Bayburt University is

newly founded and do not have natural stone industry related departments yet. This decreases the

size of qualified labor force for the industry. Another downside of Bayburt region by means of labor

force is Society Benefit Programme of Turkish Labor Agency. Creating relatively easy work

opportunities for Bayburt labor market is prohibiting marble and natural stone companies to find

needed workforce. It also increases the cost of workforce in the region and this negatively effects

competitiveness of local natural stone industry.

• Institutionalization

Reputability and reliability of a company is related with its institutional structure.

Institutionalized companies tend to be more successful in marketing and sales activities. Companies

found in Antalya-Burdur-Isparta region have 0,66 registered trademark per company. In Sivas region

this decreases to 0,33 per company and in Bayburt region number is zero. Another indicator that

shows institutionalization level of a company is website. Website per company in the regions

distributes as follow. Antalya-Burdur-Isparta region has 0,94 websites per company which means

nearly all companies in the sample have a website. Sivas region has 0,88 websites per company and

Bayburt region has 0,17 websites per company. Comparing the patent/utility model numbers of

regions Antalya-Burdur-Isparta region has 0,11 patent/utility model per company. Sivas and Bayburt

region companies have no patent/utility model. There isn’t any industrial design of companies in all

three samples. Low institutionalization of Bayburt companies limits the marketing and sales activities

and therefore decrease the chance of expanding their market volume. Another indicator of

institutionalization level of a company is quality and quantity of its staff. As mentioned in the labor

section Bayburt natural stone industry has least qualified staff when compared to the other regions

and consistent with that institutionalization of Bayburt companies are low.

• Innovation

In order to compete in changing business environment companies must be innovative.

Innovative companies drive out non-innovative companies from the market. Natural stone

companies in Antalya-Burdur-Isparta region are eager to follow new developments in the sector.

Individually and collectively companies attend international fairs to promote their products, expand

36









their markets and follow innovations in the sector. Companies in the Antalya-Burdur-Isparta region

are more aware of governmental supports and use of them. Following of web-based information

about sector is also very common in the region. Companies in the Bayburt natural stone industry are

less aware of governmental supports when compared to the Antalya-Burdur-Isparta region. It is not

very common to use Ministry of Economy incentives even though Bayburt is placed in the region 5.

Bayburt natural stone industry companies are not participating to the fairs. Last fair attended was

İzmir International Natural Stone and Technologies fair in 2007. Following of web-based information

about sector is also very limited due to absence of information technology systems of the companies

in the industry. Altogether input conditions of the natural stone companies of Bayburt are not

enough to support innovative activities.

• Productivity

Production productivity of natural stone and marble is depending on machinery used and labor

force quality. Use of outdated equipment decreases the productivity of natural stone and marble

industry. Antalya-Burdur-Isparta region has better equipment and skilled labor force to use this

equipment. Bayburt natural stone and marble companies do not have new machineries to work

more efficient therefore productivity of Bayburt companies are very low. Comparing the turnover per

person between three sample regions Antalya-Burdur-Isparta has 156.107 TL, Sivas region has

140.322 TL and Bayburt region has 58.846 TL. Numbers of turnover per person are consistent with

the labor force structures of the regions. Labor force of Bayburt natural stone industry is less

qualified when compared to Antalya-Burdur-Isparta and Sivas region.

37









Analysis of Target Markets

National Market

The production of natural stones in Turkey dates back to four thousand years including the

Greek civilization, the Roman and the Ottoman Empires. Natural stones were used in historical

statues, monuments and architecture. Especially marble was used in the decoration of palaces,

temples and other architectural structures by all civilizations of the land. One of the outstanding

examples for these structures made of marble is the Temple of Artemis. Historical relics of the

Hittites, Greeks and Romans such as arenas and amphitheaters; those of the Seljuk and Ottoman eras

such as mosques, baths and fountains still can be seen thanks to the durability of the natural stones.

Turkey is globally recognized with its marble production, but it actually has abundant natural

deposits of many different minerals, rocks and stones as well. Apart from the quantity of the reserves

in Turkey, their qualities are also remarkable.

Name

Production

2008 2009 2010 2011 2012 2013 2014 Unit

1 Ignimbrite 26.313 66.794 52.055 55.873 8.984 29.380 32.195 m3

2 Marble 2.262.537 2.715.601 3.352.070 4.086.222 4.488.947 4.255.545 4.220.564 m3

3 Onyx 2.145 2.322 2.113 7.678 4.867 15.665 10.688

m3

4 Travertine 759.118 1.002.866 879.319 1.685.049 760.549 713.697 812.840 m3

Total 3.050.113 3.787.583 4.285.557 5.834.822 5.263.347 5.014.287 5.076.287 m3

*The Ministry for Energy and Natural Resources (MENR)

38









Name

Production

2008 2009 2010 2011 2012 2013 2014 Unit

1 Andesite 3.307.107 1.908.544 6.436.380 2.878.093 2.873.932 3.358.863 6.803.746 ton

2 Basalt 8.448.618 12.963.003 20.320.391 18.656.135 16.862.087 23.422.845 21.966.172 ton

3 Granite 367.959 324.718 239.819 245.911 505.317 896.348 1.219.916 ton

4

Decorative

Stone +

Mosaic +

Slate etc.

161.166 112.318 207.961 651.932 397.035 641.662 1.242.236 ton

5 Serpentine 22.671 14.000 26.745 2.514.601 1.025.427 14.701 13.112

ton

6 Building

stone

270.270 62.865 37.945 33.553 ton

7 Diabase 1.276 5.538 1.969 293.777 94.835 335.958 226.939

ton

8 Gabbro 252.463 255.070

ton

Total 12.308.79 15.328.12 27.233.26 25.510.71 21.821.49 28.960.785 31.760.744

ton

*The Ministry for Energy and Natural Resources (MENR)

Stones in Turkey explained in the following part and the main ones are detailed, which are

marble, travertine, and granite.

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Marble

The typical features of marble produced in Turkey can be summarized as follows: The marble

can be distinguished by its quality without any cracks and defects. There is an extensive range of

choice in color scheme of the marble. Marble products can be rendered in different sizes, even in

large blocks. Different patterns are available in a form of decorative composition with the usage of

different colors and crystal. The colors and the compositions of the marble in Turkey are specific to

where it is obtained from among 80 geographical areas. Therefore, there are more than 120 marble

types in various colors, design and quality.

Figure 15: Marble Map of Turkey

Marble reserves in Turkey are spread over the country, but they are mostly concentrated in

the cities of Afyon, Balikesir, Denizli, Tokat, Mugla and Canakkale. At the southeast of Istanbul, there

are more than 680 million metric tons of marble which is known as Golpazari Beige and it is the

largest supply of its kind in Turkey. Likewise, at southwest of Istanbul, there are more than 190

million metric tons of white marble with the name of Mustafa Kemalpasa.

The sources of genuine marble are: The Marmara Region, Iscehisar in Afyon, Sivrihisar in

Eskisehir; Harmantepe, Dokurcun and Akyazı in Sakarya, Hamursuztasi in Mugla; Aksihar, Yalova,

Goksun in Kahramanmaras, Kazdagi in Edremit, Temirli in Kirsehir; Arac, Tosya and Catalzeytin in

40









Kastamonu.

Well-known types of marble, their features and areas of use can be summarized as follows:

Aegean Bordeaux has slits and is delicate because it is hard to take a shape and it can break up

through its slits while polishing. Nonetheless, it can be used as a material for making nice plates. It is

appropriate for indoors and outdoors and generally used for plating and decoration.

Afyon Golden is white with golden color of vein-like patterns. The patterns sometimes can be darker.

It has a massive calcite crystal structure.

Afyon Tigerskin is easy to take in blocks and plates. It is also easy to cut and shape and rusting is not a

risk factor. Since the marble has breccia-like structure it has light knots and dark grey patterns.

Afyon White is perfect for taking the form of blocks and plates. The efficiency is high while cutting

sides and corners and during shaping and polishing. Rusting is not a risk factor to Afyon White. It has

yellow vein-like patterns.

Aksehir Black is a product of cutting and crushing the metamorphic rocks into tiny pieces with a high

mechanical force. It has both white calcite veins and brown styoliths. Giving a shape and polishing

Aksehir Black is facile. It is appropriate for indoors and outdoors and generally used for plating and

decoration.

Elazig Cherry is an outcome of serpentinisation and carbonating the basic rocks and its combination

with red-green pebbles and cement. In blocks of Elazig Cherry, some slits can be observed. It is

appropriate for indoors and outdoors and generally used for plating and decoration.

Karacabey Black is convenient to make plates. The efficiency of cutting, shaping and polishing is fairly

good. Rusting is not a risk factor. It is appropriate for both indoors and outdoors and generally used

for plating and decoration.

Leopard (also known as Salome) is outcome of cutting and crushing the metamorphic rocks into tiny

pieces with a high mechanical force. It is white with red-yellow patterns. It is appropriate for both

indoors and outdoors and generally used for plating, coating and decoration.

41









Marmara White is efficient in the form of block and plates and while cutting and shaping. It is not

that difficult to polish as well. Rusting is not a risk element.

Milas Kavaklidere is white with some scarce purple vein-like patterns and some slits can be observed

as well.

Mustafa Kemalpasa White is an outcome of large calcite crystals. It is white as its name suggests. The

efficiency of the marble is good at cutting sides and corners during shaping. Rusting is not a risk

factor. It is appropriate for indoors and outdoors and generally used for plating, coating and

decoration.

Supren is a product of cutting and crushing the metamorphic rocks into tiny pieces with a high

mechanical force like Leopard. It is gray-white with yellow and reddish patterns. It is appropriate for


Some of the others are: Manyas White, Bilecik Beige, Karacasu Green (Turquoise), Kutahya Chocolate

Brown.

Travertine

With more than 650 million metric tons, the broadest reserves of different travertine types are

located in Denizli in southwest of Turkey. Other sources of travertine in Turkey are: Antalya, Bursa,

Malikoy - Haymana in Ankara, Eskipazar in Cankiri, Sicak Cermik in Sivas, Adana, Antakya, Reyhaniye,

Nigde (especially boron).

Granite

Granite is highly demanded not only in the developed countries but also in the local market of

Turkey, as well. The characteristics of granite, which are beautiful appearance, sturdiness over time,

durability even in external use and high resistance to eroding make it attractive for both indoor and

outdoor decorations.

Granite reserves are in Ordu, Rize, Trabzon, Kirklareli, Kirsehir, Bolu, Izmit, Canakkale and Izmir. The

sources of other magma based stones such as diabase, serpentine, basalt, crystalline schist and gyans

42









in Turkey are Kapidag in Balikesir, Armutlu in Bursa, Sivrihisar in Eskisehir, Gumushane, Zambakkaya

(especially diabase) in Gemlik and Kurselik-Abbaslik (especially serpentine) in Bilecik.

The major granite types in Turkey are:

Ayvalik Granite: is easy to take in the form of blocks and plates. While cutting sides and corners is

easier, the process of shaping and polishing is normal but cutting it can be slow. It is appropriate for


Bergama Grey: is the most known and applied grey granite species of Turkey. Thanks to its soft

structure compared to other granite species; Bergama Grey granite is mostly applied as cobble stone

and decorative applications.

Aksaray Yaylak: is an important granite species of Turkey. It is demanded both in domestic natural

stone market and foreign natural stone market because it’s high hardness ratio, homogeneous

structure and cheap price. Aksaray Yaylak Granite is formed with white to grey quartz crystals and

give perfect results in wide area applications with polished and honed surface process.

The wholesalers in big provinces should have the priority in marketing activities. As a fact,

successful and long term strategic business relationships with supporting sectors help companies

achieve the best practices and sustainable competitive advantage. A strategic partnership

involves a supplier or manufacturer partnering with a distributor or wholesale consumer. Rather

than approaching the transactions between the companies as a simple link in the product supply

chain, two companies form a closer relationship where they mutually participate in advertising,

marketing, branding, product development, and other business functions.

43









International Market

Potential markets are determined by using target country points. Target country points are

calculated by using 9 quantitative variables. All 9 variables have different weights in the target

country point equation. Variable A is Ministry of Economy Target Countries (2016-2017). Exporting to

these countries encouraged and supported by Ministry of Economy for that reason weight of the

variable is 2. Variable B is Ministry of Economy Prior Countries (2016-2017). Exporting to these

countries also encouraged but less than variable A. Weight of the variable B is 1. Variable C is

exported value of HS code 6802 of Turkey to the country in 2015. Higher value of variable C indicates

that country is more preferable export destination. Growth of Turkey export at 6802 class in between

2011-2015 to the countries assigned to the variable D. Countries total import of 6802 class in 2015

defined as variable E. Variable F is Annual Growth value in between 2011-2015. Average Distance of

importing countries defined as variable G. For a selected product, the average distance of supplying

or importing countries corresponds to the average distance between the selected country and all its

partner countries weighted by the trade values. With this indicator, the user is enabled to know the

average distance between the target market and the supplying or importing countries of the target

market. This indicator helps to answer the following question: is the market mainly supplied by

regional partners? Unit Value of the export is assigned to the variable H. The unit value is the

quotient of the value by the quantity. It shows the average value per unit of quantity of the

commercial transactions. It is not in any case a selling price of the goods. All trade data used in

calculations are obtained from International Trade Centre. Variable I is the concentration of

importing countries. The concentration is based on the Herfindahl index. It is calculated by squaring

the share of each country in the selected market and by summing the resulting numbers

where si is the share of the country i in the market, and N is the number of countries. The Herfindahl

Index (H) ranges from 1 / N to one.

44









Target Country Point = (ax2) +(bx1) +(cx1) +(dx1) +(ex2) +(fx2) +(gx0,5) +(hx1) +(ix1)

Multiplier and Type of Data Used in Identifying Target Country Point

- Input Data Type Multiplier

- a) Ministry of Economy Target Countries (2016-2017) Quantitative 2

- b) Ministry of Economy Prior Countries (2016-2017) Quantitative 1

- c) Exported value of Turkey to the country in 2015 Quantitative 1

- d) Growth of Turkey export at 6802 class in between 2011-2015. Quantitative 1

- e) Countries total import of 6802 class in 2015 Quantitative 2

- f) Annual Growth in value between 2011-2015 Quantitative 2

- g) Average Distance of importing countries Quantitative 0,5

- h) Unit Value Quantitative 1

- i) Concentration of importing countries Quantitative 1

Score Intervals Used in Identifying Target Country Point

- Input Score Interval

0 √ √√ √√√

- c) Exported value of Turkey to the country in 2015 (USD)

< 1.000.000 1.000.000 -10.000.000

10.000.000 - 30.000.000

> 30.000.000

- d) Growth of Turkey export at 6802 class in between 2011-2015 (%)

< 0 0 - 10 10 - 20 > 20

- e) Countries total import of 6802 class in 2015 (USD) < 5.000.000

5.000.000 - 50.000.000

50.000.000 -100.000.000

> 100.000.000

- f) Annual Growth in value between 2011-2015 (%)

< 0 0 - 6 6 - 15 > 15

- g) Average Distance of importing countries (km)

< 2.000 2.000 - 4.000 4.000 - 7.000 > 7.000

- h) Unit Value (USD/Ton) < 600 600 - 800 800 - 1.000 > 1.000

- i) Concentration of importing countries

> 0,3 0,3 - 0,18 0,18 - 0,1 < 0,1

45









Potential Markets

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+ (h

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United States of America √ √√√ √ √√√ √√ √√√ √√ √√ 21,5

Saudi Arabia √ √√√ √√ √√√ √√√ √ √ 20,5

Iraq √ √√√ √ √√√ √√√ √√ √ 20

U.A.E √ √√√ √√ √√√ √√ √√ √ 19

France √√√ √ √√√ √ √ √√ 13,5

Israel √√√ √ √√√ √√ √ √ √ 16,5

Canada √ √√√ √√√ √√√ √√ 13,5

Australia √√√ √√ √√√ √ √√√ √ √ 16,5

United Kingdom √√√ √√√ √√ √√√ √√ 15

Turkmenistan √ √√ √ √ √ √√ 8,5

Germany √ √√ √ √√√ √√ √ 12

Azerbaijan √ √√ √ √ √√√ 8,5

Kuwait √ √√ √√√ √√√ √√√ √ √√ 20,5

Russia √ √√ √√√ √ √ √ 12,5

Qatar √ √√ √√√ √√√ √√ √ √√ 18,5

Libya √ √√ √√ √ √√√ √ √ √ 15,5

Kazakhstan √ √ √√ √√ √√ √ √ 13,5

Indonesia √ √ √√ √√√ √√√ √√ √√√ 20

Singapore √ √ √ √√ √ √√ √√ 12

Romania √ √ √ √ √√ √ 8

Algeria √ √ √ √√√ √√√ √√ 16

South Africa √ √ √ √ √√√ √ 7,5

Spain √ √ √√ √√ √ √√ 10

Georgia √ √ √ √ √ √ 7,5

Austria √ √ √√√ √ √ √ 10,5

Lebanon √ √ √√ √√√ √√ √ 14

South Korea √ √ √√√ 9

Belgium √ √√√ √√ √ 9

Oman √ √ √ √ √√ √ √ 10,5

Italy √ √√√ √√ √√ 10

Holland √ √√ √√ √ √ 8

46









Potential Markets

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+ (h

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+ (i

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Morocco √ √ √√√ √√ √ √ 11,5

India √ √ √√√ √ √ √√√ √ 15,5

Bulgaria √ √ √√√ √ √ √√ √ 11

Poland √ √ √√ √√ √ 9

Ukraine √ √ √ √ √ √ 6,5

India √ √ √√√ √ √ √√√ √ 15,5

Panama √ √ √√√ √ √√ 7,5

Argentina √ √ √ √√√ √ √ 7,5

Bahrein √ √√ √ √√ √ √√ 11,5

Brazil √ √ √ √√√ √ √ 7,5

Nigeria √ √ √√ √√ √√ √√√ √ 15,5

Denmark √ √ √ √√√ √√ 8,5

Mexico √ √ √√√ √√√ √√ √√√ √ √√ 20,5

Egypt √ √ √√√ √√ √√√ √√ 16

Moldova √ √ √ √√ 4,5

Ireland √ √ √ √√ √ 7

Somali √ √√ √√ 4

China √ √ √√√ √ √√ 7,5

Hungary √ √√ √ √ 6

Norway √ √ √√ √ 6

Tunisia √√√ √ √ 6

Japan √ √√√ √ √√√ 11,5

Swaziland √√√ √√√ √√ √√ 12

Switzerland √√√ √√√ 9

Ghana √ √√√ √ √√√ √√√ √√√ 16,5

Congo √√√ √ √√√ √√√ √√√ √ 16,5

Venezuela √ √√√ √√ 5,5

Angola √√√ √ √√√ √√√ 9,5

Guatemala √ √ √√√ √√ 6,5

Kenya √ √ √ √√√ √√√ √√ 13,5

Vietnam √ √√√ √√√ √ √ 14,5

Colombia √ √ √√ √√√ √ 9,5

Malta √ √ √√ 3,5

47









Potential Markets

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+ (h

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+ (i

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New Zeeland √ √ √√ √√√ √√ √ 11,5

Belarus √√√ √ √ √ √ 7,5

Serbia √ √ √ 3,5

Philippines √√√ √ √ √ 7,5

Guinea √ √√ √√√ √√√ 10,5

Slovakia √√√ √ √ √ √ 7,5

Macedonia √√√ √ √ √√ 7,5

Costa Rica √ √ √√ √√√ √ √√ 11,5

Highest scoring potential market according to the analysis is U.S.A with a point of 21,5. U.S.A is

followed by Saudi Arabia, Kuwait, Mexico each have 20,5 points. Iraq and Indonesia scored 20 points

and placed at top of the potential markets list. United Arab Emirates and Qatar are two other

noticeable potential markets with scores respectively 19 and 18,5.

According to analysis U.S.A is the most preferable potential market for Turkey. Middle Eastern

countries like Iraq, Saudi Arabia, Kuwait, U.A.E and Qatar are also potential destinations to export

trimmed natural stone for the Turkish natural stone companies. Two other remarkable potential

markets for Turkey are Mexico and Indonesia.

48









Conclusions & Recommendations

The study has initiated competitiveness analysis of Bayburt and examining in detail various

aspects, the research has provided a comprehensive picture of the current natural-stone sector in

Bayburt and other selected regions.

According to analysis 10 themes have been selected to focus on. Themes are defined as

follows:

• Human Resource

• Marketing, Customer Segment, Export

• Innovation

• Clustering

• Financial Management

• Governmental Supports, Incentives

• Quarry Search and Opening

• Quarry Management

• Business Management, Entrepreneurship

• Processing of Natural Stone

Themes are divided into 3 groups according to their priorities. First priority group includes

Quarry Search and Opening, Business Management and Entrepreneurship, Human Resource and

Marketing-Customer Segment-Export. Second priority group includes, Processing of Natural Stone

and Clustering. Third priority group includes Financial Management, Governmental Supports and

Incentives, Innovation and Quarry Management. A questionnaire was made at the “Competitiveness

Awareness Conference” with the participation of stakeholders, companies in the sector and experts

of the sector in order to assess these themes and priority groups. Results of the questionnaire shown

in the table below.

49









Human Resource 20

Marketing, Customer Segment, Export 17

Quarry Search and Opening 17

Business Management, Entrepreneurship 12

Processing of Natural Stone 12

Clustering 11

Financial Management 6

Governmental Supports, Incentives 6

Innovation 4

Quarry Management 4

Figure 16: Questionnaire Results

Results of the questionnaire is consistent with the priority groups which were defined before.

4 focus themes have chosen to be covered in 3 thematic focus meetings according to the priority

groups specified by the experts and the results of the questionnaire. The chosen themes are Human

Resource, Marketing - Customer Segment - Export, Quarry Search and Opening and Business

Management-Entrepreneurship. Topics chosen for the thematic focus meetings are the most

essential ones for the natural stone sector in Bayburt for that reason they will be covered first but all

the other 6 topics defined previously will be covered throughout the entire project.

HUMAN RESOURCES

Skilled labor force is needed in marble and natural stone industry. Bayburt has weak local

labour market in quality and quantity. Employees in the region do not prefer to work in difficulties of

stone job while they are having the chance to get the same or more income from easy assignments

that ISKUR (Turkish Labor Agency) offers as an employment aid through the Working for Society

50









Benefit Programme (TYÇP).

Except a few of them, the companies active in natural stone sector recruits only needed

number of employees in production periods every year. As the weather is so harsh in Bayburt, which

is one of the major complaints of the sector people, the companies sign periodic working contracts

with the employees. For this reason, people do not want to work at the natural stone sector in

Bayburt.

The basic vocational skills and some special tips are being taught by the masters at the

company, but supporting this potential with a professional educational base would boost the

production efficiency in companies. Together with the basic production skills, detailed information

about the features of stones, modern techniques in processing different types of stones and

statistical process control trainings should be delivered to the companies through professional

trainers for an increased effectiveness in production. In order to achieve more skilled labor force

vocational trainings of Turkish Labor Agency would be beneficial.

The results of the analysis clearly show that the employees of the companies that are using

Bayburt stone as the raw material and some of the marble, granite and/or travertine processing

companies included are working generally as freelancers; signing their contracts for the period they

will work.

MARKETING-CUSTOMER SEGMENT-EXPORT

The companies in the Bayburt region are working with only self-representation; just a few of

them have business relations with some local and national business partners, but they don’t really

have concrete business partnerships guaranteed with contracts or agreements. A communication

and promotion strategy in collaboration with a corporate identity and visibility features is lacking

in the region and this is the major necessity for a successful accomplishment of any of the

marketing, partnering, networking or internationalization.

As a fact, successful and long term strategic business relationships with supporting sectors

help companies achieve the best practices and sustainable competitive advantage. A strategic

51









partnership involves a supplier or manufacturer partnering with a distributor or wholesale

consumer. Rather than approaching the transactions between the companies as a simple link in

the product supply chain, two companies form a closer relationship where they mutually

participate in advertising, marketing, branding, product development, and other business

functions.

Most of the companies in Bayburt Region don’t have marketing departments or strategies. On

the other hand, they need to be good players concerning promotion related affairs in order to

expand their markets. A few of the companies are online with their web pages, however excluding 1

company, all others are not up-to-date and the graphic designs are not appealing. There are

approximately 2.4 billion people who use the Internet worldwide. That’s 37.3% of the world’s

population. And about 1.68 billion people use the Internet every day. It would even be higher if only

poverty and the lack of access to Internet resources aren’t a problem. In North America, 78.6% of the

population uses the Internet. Appearance on internet is a crucial thing in today’s world. In order to

expand their markets and to be recognizable in the sector and, having a web page is a must for

Bayburt Natural Stone companies. Natural Stone Manufacturing and Marketing Support Centre

should also build its website as soon as possible in order to represent itself on the internet and reach

much more target groups.

Companies in the region do work in relatively narrow market, mainly Bayburt and

neighborhood cities. In order to develop a wider perspective by penetrating in the national and

international market, companies need to be informed about the business opportunities, market

trends, sectoral developments and they need to create mutual-beneficial business relationships

with some distributors, representatives of construction companies or architecture & decoration

offices.

Fairs are very effective meeting points for the sector. Most of the marble factories participates

to a couple of international fairs in each year. We are lucky that İzmir Fair is one of the biggest fair in

marble sector. Participating to IZMIR FAIR will give chance to reach not only local wholesalers but

also foreign ones. In addition, it is a good platform to contact with workshop owners in local market.

52









As a result, participation to İzmir fair for a couple of years strictly recommended as the core activity

of marketing. The companies in the other regions are giving more importance to cooperation

especially in internationalization. Attending international trade shows and fair helps companies to

market their products. Bayburt Natural Stone companies competing in a limited small market which

blocks them by means of sales volume. In order to increase sales volume and their market share

Bayburt Natural Stone companies should involve more in both national and international marketing

activities and fairs. Closeness to Georgia, Russia, Ukraine, Kazakhstan is a competitive advantage for

Bayburt, participation to CAUCASUS BUILD Fair in Tiflis, Stone Industry Fair in Moscow, KazBuild in

Kazakhstan and proactive marketing activities recommended in this markets as an international

marketing activity. Also contacting with traders and other trade intermediaries like Stone Library

Company in Antalya plays an important role for marketing activities.

Turkish Marble Promoted in Singapore

Istanbul Mineral and Metals Exporters' Association (IMMIB) which has a cooperation institute

status by 2010/8 International Competitiveness Development Support Programme (UR-GE) of

Ministry of Economy arranged an international marketing activities in Singapore between 7 and 11

December 2015. First day of trip which is organized by Singapore Office of Commercial Counsellor

included visit to Singapore Constructors Union to gain knowledge about construction sector in

Singapore. After the meeting at Singapore Constructors Union, some major companies listed below

visited for interviews which includes 2 biggest architecture firms of Singapore.

53









Singapore Contractors Association.

DP Architects Pte Ltd.

CPG Consultants

Builder Shop Pte Ltd.

DCA Architects

Jurong Consultants

Interviews with these firms provided information about how they choose marble and natural

stone used in construction projects, detailed information of marble imported and how construction

and architecture firms involve in choosing project of materials used in construction projects.

Visitor companies from Turkey attended Singapore International Stone, Marble and Ceramic

Show as “Turkish Stones Marketing Cluster” at 8-11 December 2015. 33 individual companies and 17

UR-GE cluster companies attended the fair which is organized by Expotim A.Ş.

The factory should focus national market for its marketing activities. The wholesalers in big

provinces should have the priority in marketing activities.

54









Bayburt Stone is more suitable for handmade products due to its structure. There is an

increasing demand for handmade souvenirs and decorative materials especially in countries like

Nordic countries which have high gross national product. Bayburt has competitive advantage at

markets like Georgia and Azerbaijan because of its closeness to the region. Since other marble and

natural stone producing regions which can supply inputs for the natural stone center in Bayburt are

far away from the region exploration studies for opening new quarries should be encouraged.

55









QUARRY SEARCH AND OPENING

According to Mining General Directorate (MİGEM) there are 8 licensed quarries in Bayburt. 1

of the quarries are actively working and 7 of them suspended. These 8 quarries distributed as 4

marble, 3 travertine and 1 tuff. Companies which are operating at the quarries stated that they

produce 18.497 m3 crude and 3.873 m3 block form of natural stone in a year. Natural Stone

Manufacturing and Marketing Support Center is not suitable to process crude form of natural stone.

Input of Natural Stone Manufacturing and Marketing Support Center will be block and therefore

current production capacity of Bayburt is not enough to cover production capacity of Natural Stone

Manufacturing and Marketing Support Center.

In order to supply inputs for the Natural Stone Manufacturing and Marketing Support Center

there should be more quarries. Erzincan has 5 marble, Erzurum has 4 marble and 4 travertine and

Gümüşhane has 3 marble and 3 travertine quarries licensed by Mining General Directorate (MİGEM).

Natural Stone Manufacturing and Marketing Support Centre will give slab sawing, resin filling,

cement filling, polishing and brushing finishing services for natural stone companies in Bayburt. It is

clear that the volume of local market is not enough for the factory. In order to meet the capacity of

the factory new marble and natural stone quarries in Bayburt are needed.

Short term solution for this problem could be revising the suspended quarries in Bayburt and

make them ready to meet criteria of Mining General Directorate (MİGEM). It will nearly triple the

current production of natural stone. Opening new quarries as a solution is not feasible at first step.

Quarries need nearly two years to become efficient. That means current investment will became

productive after two years. So as a long term solution in order to increase investment of natural

56









stone quarries and open new quarries in Bayburt there should be more governmental incentives. In

order to fasten this investment process there should be natural stone reserve area survey reporting

service for new investors. This service will increase productivity and decrease the risk of unnecessary

exploration costs for new quarries. As a result of natural stone reserve area survey reporting, natural

stone investors will be able to invest more confidently.

BUSINESS MANAGEMENT-ENTREPRENEURSHIP

Current management structure and facilitations address the lack of managerial culture and

skills in the enterprises together with the need for support in marketing. The managerial culture of

the companies seems like the biggest constraint of all against to meet the training needs of the

managers and employees. Business development skills are limited in the region, the companies act in

mainly closed business environment and company representation in businesses is only carried out by

the general managers of the companies.

With regards to an organizational development vision -excluding the trademarks and group

companies in the region- the sector is substantially far from a fairly professional management

structure. The companies of the region are mostly classical family businesses in which a sole

proprietor holds the governance and decision-making rights, which are still not-updated with the

conventional commercial vision. Nearly none of them holds quality certificates and with the

employee circulation strategies, they are far from generating long-term teams and trainings for a

stable commercial growth.

The companies generally in need to transforming to a better business or finance plan. Many of

the companies should be keeping proper accountancy and finance management system. 75% of the

companies don’t keep good track of the principal factors of their businesses such as, costs, stocks,

annual production statistics and rates of production ranges, paid personnel, power, raw materials,

consumable costs, revenues… etc. Besides, many of the companies are not aware of available

business development aids; they all state their need to be informed better for the use of state aids.

General Managers in Bayburt region should be trained for basic management skills to primarily

develop their planning, organization, financial management, procurement and decision making skills.

57









This training would also help them gain leadership and employee relations to enhance employee

motivation, stress management and time management to indirectly guarantee customer satisfaction.

Another suggestion for increasing business management-entrepreneurship capacity of the

region is launching “Bayburt Best Entrepreneur of the Year” competition: similar to many positive

experiences in other countries to boost up entrepreneurial attitude, an open and transparent

competition between entrepreneurs from Stone Sector to be presented in local TV, newspapers,

media, public opinion etc. would help a lot in disseminating the concept of modern

entrepreneurship.

To mitigate gaps in all activities and to raise up the SMEs’ effectiveness by improving the value

chain of the sector through the establishment of a pilot cluster to start the process of increasing

competitiveness; the pilot cluster could be considered as a “catalizator”, an example for other SMEs

and sectors as well. to move from “survival entrepreneurship” to a dynamic entrepreneurship and to

introduce modern management process within SMEs, by designing and delivering specific pragmatic

and concrete (no academic ones) training and executive programmes in management fields and to

improve entrepreneurial skills.

58









Annex-1 Natural Stone Fairs

Fair City/Country Date

The International Surface Event Las Vegas, Nv, U.S.A 18-20 January 2017

Morocco Stone Fair Casablanca, Morocco 19-21 January 2017

Stone & Tile Event Ghent, Belgium 19-21 January 2017

Home and Decor Bhubaneswar, India 20-30 January 2017

Singapore Stone Show Singapore 23-25 January 2017

Ocm Moscow, Russia 24-27 January 2017

India Stonemart Jaipur, Indıa 02-05 February 2017

Home and Decor Ranchi, India 10-20 February 2017

Vitoria Stone Fair Esprito Santo, Brazıl 14-17 February 2017

Cevisama Valencia, Spain 20-24 February 2016

Asian Ceramics Ahmedabad, India February 2017

Uralexpostone Ekaterinburg, Russia 15-17 March 2016

Stone Xiamen Fair Xiamen, China 06-09 March 2017

Expo Revestir São Paulo, Brazil 07-10 March 2017

Giardina Zurich, Switzerland 15-19 March 2017

Domotex Asia Shanghai, China 21-23 March 2017

Marble İzmir, Turkey 22-25 March 2017

The Big5 Saudi Jeddah, Saudi Arabia 27-30 March 2017

Moldconstruct Chisinau, Moldova March 2017

Glass&Stone Poznan, Poland March 2017

Keramika Jakarta, Indonesia March 2017

Interbuildexpo Kiev, Ukraine March 2017

Techno+Stone Ukraine Kiev, Ukraine March 2017

Ceramics, Tile & Sanitary Ware Shanghai, China March 2017

Coverings Orlando, FLA, USA 04-07 April 2016

Ceramitec Munich, Germany 10-13 April 2018

59










Stone Expo Serbia Belgrade, Serbia 19-23 April 2016

The Natural Stone Show London, Great Britain 25-27 April 2017

Qatar Stonetech Doha, Qatar 09-12 May 2016

Caucasus Build Tbilisi, Georgia 18-21 May 2016

Middle East Stone Dubai, UAE 22-25 May 2017

Stone+Tec Nuremberg, Germany 24-27 May 2017

Turkey Stone Antalya Antalya, Turkey 26-29 May 2016

Carraramarmotec Carrara, Italy May 2016

Stone Expo Odessa Odessa, Ukraine May 2016

Isfahan Stone Fair Isfahan, Iran May 2016

Fortaleza Brazil Stone Fair Fortaleza, Brazil 01-03 June 2016

Stone Industry Moscow, Russia 21-24 June 2016

Hillhead Buxton, UK 28-29 June 2016

Buildexpo Africa Dar Es Salaam, Tanzania 02-04 July 2016

Stone Qd Qingdao, China 16-19 July 2016

Cerafair Tehran, Iran 18-21 July 2016

Irse Tehran, Iran 21-24 July 2016

Cachoeiro Stone Fair Cachoerio, Brazil 23-26 August 2016

Stone Tech Machinery Afyon, Turkey 01-04 September 2016

Kazbuild Atakent, Kazakhstan 05-08 September 2016

Tiles & Sanitaryware Expo Colombo, Sri Lanka 09-11 September 2016

Galabau Nuremberg, Germany 14-17 September 2016

Philbex Cebu, Philippines 15-17 September 2016

Construction Indonesia Jakarta, Indonesia 20-23 September 2017

Stone Jo Show Amman, Jordan 22-25 September 2016

Cersaie Bologna, Italy 26-30 September 2016

Iran Tile Show Mashhad, Iran 27-30 September 2016

60










Marmomacc Verona, Italy 28-30 September 2016

Build Expo Cairo Cairo, Egypt 11-13 October 2016

Saudi Stone Tech Riyadh, Saudi Arabia 17-20 October 2016

Yunfu Stone Fair 2016 Yunfu, China 18-21 October 2016

Asla Annual Meeting and Expo New Orleans, U.S.A 21-24 October 2016

The Economic Times Bengaluru Bangalore, India 21-23 October 2016

Piedra Madrid, Spain 25-28 October 2016

Japan Home & Building Show Tokyo, Japan 26-28 October 2016

Build Pakistan Karachi, Pakistan 27-29 October 2016

Block Marble Fair Bursa, Turkey 02-05 November 2016

Iranconmin Tehran, Iran 05-08 November 2016

Shuitou Stone Shuitou, China 08-11 November 2016

Salon Vivons Création Bordeaux, France 09-13 November 2016

Stone Poznan, Poland 16-19 November 2016

İstanbul Marble Fair İstanbul, Turkey 17-20 November 2016

Stone Industry Fair Poznan, Poland 17-20 November 2016

The Big 5 Show Dubai, U.A.E. 21-24 November 2016

12th Tanzania Trade Show Dar-es-Salaam, Tanzania 25-27 November 2016

Stonefair Asia Karachi, Pakistan 06-08 December 2016

Ms Africa Cairo, Egypt 10-13 December 2016

Basrah Building Basra, Iraq 11-14 December 2016

Festival De La Porcelaine Tunis, Tunisia 16-25 December 2016

61









Annex-2 Natural Stone Related Harmonized System Codes

2515 Marble, travertine etc. and alabaster, crude etc.

251511 Marble, Travertine (Crude or Roughly Trimmed)



251512 Marble, Travertine (Merely Cut by Sawing or Otherwise)



251520 Ecaussine, Other Calcareous Monumental or Building Stone

25152000 Ecaussine, Other Calcareous Monumental or Building Stone

251520000011 Ecaussine

251520000012 Alabaster

251520000019 Other Calcareous Monumental or Building Stone

6802 Worked monument etc. stone & art nesoi, granule etc.

680210 Tiles, cubes and similar articles, artificially colored granules

68021000 Tiles, cubes and similar articles, artificially colored granules

680210001000 Cubes for mosaics etc. and artificially colored granules

680210009011 Tiles, cubes and similar articles from calcareous stone/alabaster

680210009019 Other tiles, cubes and similar articles

680221 Marble, travertine and alabaster, simply cut or sawn, with a flat or even surface

68022100 Marble, travertine and alabaster, simply cut or sawn, with a flat or even surface

680221000011 Marble; simply cut or sawn, with a flat or even surface

680221000012 Travertine, simply cut or sawn, with a flat or even surface

680221000013 Alabaster, simply cut or sawn, with a flat or even surface

680221000019 Other marble, travertine and alabaster, simply cut or sawn, with a flat or even surface

680223 Granite, simply cut or sawn, with a flat or even surface

62











680229 Other monumental or building stone and articles thereof, simply cut or sawn, with a flat

or even surface


or even surface


or even surface

680229009000 Other stones; cutable

680291 Marble, travertine and alabaster

68029100 Other monumental or building stone materials from marble, travertine and alabaster

680291000011 Monumental stone materials from marble

680291000019 Other monumental or building stone materials from marble, travertine and alabaster

680291000019001 Trimmed Marble

680291000019002 Trimmed Travertine

680291900029001 Trimmed Marble

680291900029002 Trimmed Travertine

63









Annex-3 Questionnaire

ANKET FORMU QUESTIONNAIRE

İsim: Name Firma/Kurum: Institution

Bayburt Doğal Taş Sektörün rekabet gücünün artırılması için en önemli olduğunu düşündüğünüz üç konuyu işaretleyiniz. Choose three of the most important thematic issues for increasing competitiveness of Bayburt Natural Stone Sector.

İnsan Kaynağı Human Resource

Pazarlama, Müşteri Segmentleri, İhracat Marketing, Customer Segments, Export

İnovasyon Innovation

Kümelenme (Ortaklaşa Rekabet) Clustering

Finans Yönetimi Financial Management

Devlet Teşvik ve Destekleri Governmental Supports, Incentives

Ocak Etüt ve Açılması Quarry Search and Opening

Ocak Yönetimi Quarry Management

İş Yönetimi, Girişimcilik Business Management, Entrepreneurship

Doğal Taşın İşlenmesi Processing of Natural Stone

64









Annex-4 Export-Import Data

List of exporters for Product:2515 Marble, travertine, ecaussine etc. in 2015 (Sources: ITC calculations based on UN COMTRADE statistic)

Exporters

Trade Indicators

Value

exported

in 2015

(USD

thousand)

Trade

balance in

2015

(USD

thousand)

Quantity

exported

in 2015

Quantity

Unit

Unit value

(USD/unit)

Annual

growth

in value

between

2011-

2015 (%)

Annual

growth

in

quantity

between

2011-

2015 (%)

Annual

growth

in value

between

2014-

2015 (%)

Share

in

world

exports

(%)

Average

distance

of

importing

countries

(km)

Concentration

of importing

countries

World 2,277,716 85,379 11,204,666 Tons 203 -1 -5 -16 100 6,398 0.4

Turkey 872,047 869,595 4,355,474 Tons 200 3 -3 -11 38.3 6,797 0.7

Italy 377,045 270,952 1,275,964 Tons 295 0 0 -14 16.6 6,452 0.17

Spain 205,288 192,442 900,437 Tons 228 -9 -10 -25 9 6,672 0.21

Egypt 142,517 119,767 991,933 Tons 144 -11 -15 -34 6.3 7,438 0.79

Greece 131,773 115,292 538,245 Tons 245

1 3 -14 5.8 7,108 0.59

65









Iran, Islamic Republic of 102,224 100,719 488,498 Tons 209 -6 -8 4 4.5 5,280 0.54

Portugal 69,118 62,684 526,126 Tons 131 -7 0 -15 3 7,911 0.41

Pakistan 57,343 56,787 317,497 Tons 181 0 0 -22 2.5 4,344 0.88

India 29,410 -267,428 159,522 Tons 184 -5 -6 -17 1.3 4,534 0.16

United States of America 28,753 19,867 48,565 Tons 592 13 1 45 1.3 5,096 0.33

Namibia 24,894 24,696 46,106 Tons 540 35 11 -21 1.1 9,525 0.38

Viet Nam 21,125 15,150 59,814 Tons 353 10 5 -28 0.9 3,833 0.34

Germany 20,798 11,833 177,851 Tons 117 -12 -9 -48 0.9 5,743 0.5

China 19,645 -

1,254,497

100,197 Tons 196 26 5 -18 0.9 3,742 0.18

Macedonia, The Former

Yugoslav Republic of

18,052 17,871 71,075 Tons 254 2 3 -16 0.8 1,958 0.38

Belgium 17,084 9,614 30,926 Tons 552 -1 9 -5 0.8 692 0.31

Croatia 16,655 16,093 389,592 Tons 43 3 -10 -47 0.7 2,216 0.55

Mexico 15,630 12,838 53,623 Tons 291 8 -5 -13 0.7 12,082 0.48

Oman 15,606 12,835 57,933 Tons 269 -3 -32 -24 0.7 3,267 0.16

Indonesia 14,065 -8,472 0 No

quantity

-18 -19 -32 0.6 4,486 0.64

Tunisia 9,536 2,312 73,738 Tons 129 -4 1 -21 0.4 4,105 0.43

Morocco 9,438 -1,497 32,237 Tons 293 14 10 -7 0.4 7,623 0.2

France 7,164 -2,995 27,974 Tons 256 -11 -5 -29 0.3 3,840 0.18

Brazil 6,560 -1,719 15,526 Tons 423 29 33 -11 0.3 10,079 0.64

66









United Arab Emirates 6,448 -17,949 0 No

quantity

28 17 213 0.3 2,488 0.5

Palestine, State of 3,309 3,294 30,087 Tons 110 23 15 154 0.1 180 0.94

Bulgaria 3,081 1,299 41,593 Tons 74 6 17 -44 0.1 1,438 0.33

Canada 3,048 -10,221 12,586 Tons 242 26 55 16 0.1 6,086 0.26

Thailand 3,012 -13,437 90,840 Tons 33 108 453 -61 0.1 610 0.92

Slovenia 2,449 2,070 6,454 Tons 379 9 7 -16 0.1 4,858 0.26

Austria 2,048 823 48,037 Tons 43 -9 -8 -19 0.1 610 0.47

Albania 1,872 550 16,473 Tons 114 5 20 38 0.1 1,673 0.23

Philippines 1,801 1,573 19,971 Tons 90 18 26 -15 0.1 2,431 1

Myanmar 1,562 1,492 14,193 Tons 110 1 13 10 0.1 2,665 0.93

Benin 1,395 1,369 91,195 Tons 15 21 42 60 0.1 173 1

Hong Kong, China 1,338 -3,692 3,501 Tons 382 -16 -7 -59 0.1 1,035 0.95

Lebanon 1,333 -11,862 4,140 Tons 322 -19 -29 -28 0.1 3,433 0.4

Australia 1,308 1,078 1,468 Tons 891 19 12 -33 0.1 15,243 0.87

Netherlands 1,292 -644 3,024 Tons 427 -18 -31 -45 0.1 4,715 0.37

Estonia 1,013 1,004 354 Tons 2,862 24 31 4 0 542 1

67









Importers

Trade Indicators

Average

tariff

(estimated)

applied by

the

country (%)

Value

imported

in 2015

(USD

thousand)

Trade

balance in

2015 (USD

thousand)

Quantity

imported

in 2015

Quantity

Unit

Unit value

(USD/unit)

Annual

growth

in value

between

2011-

2015 (%)

Annual

growth

in

quantity

between

2011-

2015 (%)

Annual

growth

in value

between

2014-

2015 (%)

Share

in

world

imports

(%)

Average

distance

of

supplying

countries

(km)

Concentration

of supplying

countries

World 2,192,337 85,379 0 No

quantity

-2 -4 -19 100 6,341 0.19

China 1,274,142 -

1,254,497

6,757,380 Tons 189 -5 -6 -26 58.1 7,481 0.28 9.1

India 296,838 -267,428 795,784 Tons 373 17 14 30 13.5 5,510 0.36 9.9

Italy 106,093 270,952 301,819 Tons 352 3 -2 -17 4.8 4,512 0.06 0

Taipei, Chinese 93,865 -93,188 248,616 Tons 378 0 -2 -22 4.3 6,357 0.2 0.7

United Arab Emirates 24,397 -17,949 41,292 Tons 591 1 -35 -24 1.1 4,944 0.47 4.5

Egypt 22,750 119,767 240,860 Tons 94 3 7 -29 1 2,174 0.32 7.6

Indonesia 22,537 -8,472 54,416 Tons 414 3 6 -10 1 9,799 0.39 4.8

Algeria 21,660 -21,637 119,976 Tons 181 -2 -10 -9 1 1,315 0.54 13.1

68









Jordan 21,433 -21,007 170,669 Tons 126 6 0 18 1 1,557 0.32 14.1

Singapore 17,127 -16,739 20,081 Tons 853 -7 -9 4 0.8 6,748 0.25 0

Greece 16,481 115,292 77,858 Tons 212 -3 -5 -28 0.8 1,010 0.44 0

Thailand 16,449 -13,437 55,610 Tons 296 6 1 34 0.8 7,071 0.23 10.3

New Caledonia 13,932 -13,932 669,633 Tons 21 43 46 69 0.6 6,918 0.49 ...

Canada 13,269 -10,221 169,770 Tons 78 8 47 -1 0.6 3,149 0.61 0

Lebanon 13,195 -11,862 77,350 Tons 171 -7 -4 -36 0.6 2,210 0.38 0.8

Spain 12,846 192,442 33,745 Tons 381 -11 -8 0 0.6 3,362 0.13 0

United Kingdom 12,378 -11,901 10,558 Tons 1,172 -13 -16 -24 0.6 2,530 0.24 0

Morocco 10,935 -1,497 46,749 Tons 234 -7 -6 -25 0.5 1,276 0.49 19.5

France 10,159 -2,995 23,992 Tons 423 -5 4 -26 0.5 1,488 0.13 0

Germany 8,965 11,833 50,403 Tons 178 -6 -6 -27 0.4 3,577 0.19 0

United States of America 8,886 19,867 20,227 Tons 439 13 17 20 0.4 7,860 0.13 0.6

Brazil 8,279 -1,719 17,401 Tons 476 -9 -6 -37 0.4 9,068 0.32 5.4

Saudi Arabia 7,514 -7,514 13,240 Tons 568 -1 -8 -30 0.3 3,640 0.49 4.6

Belgium 7,470 9,614 35,663 Tons 209 -6 4 -23 0.3 1,737 0.13 0

Tunisia 7,224 2,312 84,639 Tons 85 -8 -2 -27 0.3 790 0.79 11.8

Nepal 6,780 -6,780 41,102 Tons 165 8 7 -19 0.3 871 1 21.6

Portugal 6,434 62,684 19,066 Tons 337 -16 -11 42 0.3 2,228 0.17 0

69









Malaysia 6,406 -6,345 39,238 Tons 163 12 13 -2 0.3 7,533 0.34 12.3

Switzerland 6,226 -6,107 71,058 Tons 88 -7 -3 -17 0.3 582 0.34 0.1

Viet Nam 5,975 15,150 26,585 Tons 225 15 22 -1 0.3 8,015 0.38 1.5

Hong Kong, China 5,030 -3,692 13,813 Tons 364 2 10 9 0.2 4,646 0.4 0

Sri Lanka 4,637 -4,637 13,433 Tons 345 -14 -13 -39 0.2 6,488 0.4 14.7

Colombia 4,412 -4,401 13,250 Tons 333 -3 1 -20 0.2 8,271 0.43 0.2

Qatar 3,798 -3,798 11,167 Tons 340 -22 -8 -22 0.2 3,094 0.28 4.5

Bangladesh 3,715 -3,715 30,085 Tons 123 14 9 54 0.2 5,981 0.41 25

Venezuela, Bolivarian Republic

of

3,365 -3,360 9,918 Tons 339 -4 -3 -18 0.2 7,028 0.58 5.4

Libya, State of 3,106 -3,106 18,736 Tons 166 -13 -16 -80 0.1 1,619 0.39 0

Syrian Arab Republic 2,936 -2,634 88,648 Tons 33 -41 -40 -49 0.1 727 0.86 4.3

Cambodia 2,912 -2,912 90,811 Tons 32 331 1599 -63 0.1 545 0.99 6.9

Korea, Republic of 2,799 -2,767 14,355 Tons 195 33 50 -28 0.1 6,781 0.12 1.8

Mexico 2,792 12,838 11,464 Tons 244 -4 6 21 0.1 5,585 0.36 3.4

Oman 2,771 12,835 8,554 Tons 324 10 32 46 0.1 2,510 0.31 4.5

Kuwait 2,770 -2,744 4,761 Tons 582 431 731 7 0.1 3,049 0.19 4.5

Turkey 2,452 869,595 11,804 Tons 208 34 31 -23 0.1 1,928 0.26 0

Netherlands 1,936 -644 4,209 Tons 460 -39 -44 -70 0.1 1,586 0.15 0

Bulgaria 1,782 1,299 19,123 Tons 93 10 9 98 0.1 615 0.47 0

70









Slovakia 1,688 -1,686 3,247 Tons 520 -1 2 -20 0.1 425 0.92 0

Japan 1,676 -1,660 3,246 Tons 516 -16 -15 -34 0.1 8,644 0.16 0

Iraq 1,662 -1,662 5,485 Tons 303 10 16 22 0.1 1,820 0.33 ...

Bosnia and Herzegovina 1,626 -1,485 10,431 Tons 156 2 6 8 0.1 731 0.24 0

Luxembourg 1,511 -1,507 2,575 Tons 587 21 38 -21 0.1 851 0.17 0

Iran, Islamic Republic of 1,505 100,719 10,465 Tons 144 50 100 402 0.1 2,168 0.59 8.2

Albania 1,322 550 25,256 Tons 52 -7 -7 -16 0.1 584 0.26 1.7

South Africa 1,306 -687 9,472 Tons 138 -1 -2 10 0.1 2,616 0.67 0

Austria 1,225 823 3,951 Tons 310 -9 -4 2 0.1 737 0.33 0

Ethiopia 1,204 -870 667 Tons 1,805 151 193 0 0.1 4,371 8.1

Russian Federation 1,080 -588 3,744 Tons 288 -16 -10 -43 0 2,849 0.35 3.1

Bahrain 1,060 -1,052 2,373 Tons 447 21 1 54 0 2,286 0.26 4.5

Romania 1,004 -573 4,486 Tons 224 -19 -1 25 0 924 0.28 0

71









List of exporters for Product:6802 Worked monumental/building stone & art; mosaic cube, granules in 2015 (Sources: ITC calculations based on UN

COMTRADE statistic)

Exporters

Trade Indicators

Value

exported in

2015 (USD

thousand)

Trade

balance in

2015 (USD

thousand)

Quantity

exported in

2015

Quantity Unit Unit value

(USD/unit)

Annual

growth

in value

between

2011-

2015 (%)

Annual

growth

in

quantity

between

2011-

2015 (%)

Annual

growth

in value

between

2014-

2015 (%)

Share

in

world

exports

(%)

Average

distance

of

importing

countries

(km)

Concentration

of importing

countries

World 14,279,332 2,641,948 0 No quantity 6 2 2 100 5,348 0.07

China 7,085,870 7,058,335 9,212,496 Tons 769 11 -3 17 49.6 5,538 0.06

Italy 1,762,133 1,656,477 1,476,042 Tons 1,194 2 0 -10 12.3 4,618 0.11

Turkey 1,016,556 815,684 2,047,282 Tons 497 5 4 -10 7.1 5,318 0.13

India 1,009,206 824,110 1,728,546 Tons 584 6 4 -9 7.1 7,699 0.09

Brazil 936,750 905,117 1,219,548 Tons 768 10 13 -1 6.6 7,899 0.7

Spain 409,699 354,082 716,696 Tons 572 1 7 -12 2.9 4,456 0.06

72









Portugal 227,763 210,044 394,275 Tons 578 2 3 -13 1.6 3,681 0.08

Greece 161,518 150,383 234,702 Tons 688 3 -11 -10 1.1 5,472 0.05

Canada 155,405 -137,799 No quantity 6 4 1.1 1,277 0.96

Oman 118,219 73,568 332,942 Tons 355 13 19 -1 0.8 2,156 0.21

Viet Nam 115,018 -252,045 307,106 Tons 375 20 14 -1 0.8 7,319 0.18

Germany 105,365 -273,526 83,525 Tons 1,261 -4 -8 -21 0.7 1,508 0.15

United States of America 89,234 -

3,147,601

No quantity 2 0 0.6 2,875 0.38

Belgium 87,499 -71,613 159,556 Tons 548 -6 -7 -24 0.6 576 0.25

Mexico 80,180 -74,680 106,135 Tons 755 2 5 -1 0.6 1,834 0.87

France 75,824 -124,317 126,981 Tons 597 1 4 -7 0.5 2,621 0.09

Egypt 67,862 4,651 0 No quantity 6 18 5 0.5 4,796 0.06

Jordan 64,833 21,026 363,214 Tons 178 36 8 30 0.5 1,369 0.56

United Arab Emirates 47,739 -391,656 0 No quantity 25 15 33 0.3 1,580 0.24

Indonesia 46,154 -73,645 0 No quantity -8 -8 -5 0.3 10,250 0.1

Netherlands 39,991 -34,050 43,525 Tons 919 -13 -36 -22 0.3 647 0.51

Saudi Arabia 34,647 -79,101 227,366 Tons 152 28 79 -32 0.2 4,683 0.26

United Kingdom 31,808 -187,663 8,299 Tons 3,833 24 9 45 0.2 1,598 0.4

Taipei, Chinese 29,165 -30,270 17,494 Tons 1,667 -9 -15 -14 0.2 8,319 0.26

South Africa 28,504 565 54,255 Tons 525 13 15 7 0.2 8,822 0.09

73









Austria 28,290 -74,596 19,614 Tons 1,442 1 3 -23 0.2 1,197 0.3

Poland 25,991 -63,262 35,600 Tons 730 7 13 -29 0.2 973 0.27

Finland 25,237 17,261 12,636 Tons 1,997 -14 -9 -28 0.2 1,488 0.12

Ukraine 23,965 7,516 0 No quantity -4 -5 -6 0.2 1,145 0.47

Iran, Islamic Republic of 22,227 -67,202 52,100 Tons 427 13 20 -5 0.2 3,457 0.13

Palestine, State of 20,948 20,063 54,010 Tons 388 7 5 -10 0.1 1,194 0.28

74









List of importers for Product:6802 Worked monumental/building stone & art; mosaic cube, granules in 2015 (Sources: ITC calculations based on UN

COMTRADE statistic)

Importers

Trade Indicators

Average

tariff

(estimated)

applied by

the

country (%)

Value

imported in

2015 (USD

thousand)

Trade

balance in

2015 (USD

thousand)

Quantity

imported

in 2015

Quantity

Unit

Unit value

(USD/unit)

Annual

growth

in value

between

2011-

2015 (%)

Annual

growth

in

quantity

between

2011-

2015 (%)

Annual

growth

in value

between

2014-

2015 (%)

Share

in

world

imports

(%)

Average

distance

of

supplying

countries

(km)

Concentration

of supplying

countries

World 11,637,384 2,641,948 0 No

quantity

5 3 -3 100 5,773 0.22

United States of America 3,236,835 -

3,147,601

3,772,841 Tons 858 10 12 4 27.8 9,079 0.17 2

Korea, Republic of 771,583 -767,505 2,626,976 Tons 294 0 1 2 6.6 1,484 0.85 5.1

Japan 639,116 -634,579 606,082 Tons 1,055 -5 -8 -20 5.5 2,156 0.89 0

United Arab Emirates 439,395 -391,656 0 No

quantity

14 3 4 3.8 4,315 0.22 4.5

Iraq 381,687 -381,683 570,161 Tons 669 29 3 45 3.3 5,176 0.59 ...

Germany 378,891 -273,526 753,800 Tons 503 -4 -2 -21 3.3 5,276 0.26 0.3

75









Viet Nam 367,063 -252,045 567,627 Tons 647 30 4 55 3.2 2,538 0.79 12.8

Canada 293,204 -137,799 1,051,297 Tons 279 -1 13 -12 2.5 8,175 0.16 3.2

Macao, China 233,953 -233,895 52,551 Tons 4,452 95 16 101 2 0.96 0

United Kingdom 219,471 -187,663 200,514 Tons 1,095 -1 -3 -13 1.9 5,502 0.15 0.3

Switzerland 214,622 -202,259 189,698 Tons 1,131 -1 0 -10 1.8 1,288 0.32 0.6

Turkey 200,872 815,684 355,691 Tons 565 1 2 -13 1.7 4,735 0.24 0.5

France 200,141 -124,317 292,005 Tons 685 -3 -2 -15 1.7 3,673 0.14 0.3

Qatar 199,682 -198,375 458,729 Tons 435 12 1 8 1.7 3,728 0.13 4.5

India 185,096 824,110 184,084 Tons 1,005 4 1 15 1.6 3,629 0.22 9.4

Belgium 159,112 -71,613 406,332 Tons 392 -9 -10 -24 1.4 6,363 0.2 0.3

Mexico 154,860 -74,680 226,689 Tons 683 12 10 15 1.3 10,067 0.17 7.3

Australia 152,963 -149,436 228,444 Tons 670 2 4 0 1.3 11,006 0.25 2.6

Russian Federation 144,057 -140,336 222,453 Tons 648 -10 -10 -38 1.2 3,447 0.2 7.2

Kuwait 127,105 -125,409 299,217 Tons 425 22 14 13 1.1 3,535 0.16 4.5

Indonesia 119,799 -73,645 110,447 Tons 1,085 19 2 -18 1 5,490 0.54 9.2

Saudi Arabia 113,748 -79,101 466,377 Tons 244 24 15 8 1 2,823 0.22 4.6

Israel 106,938 -98,664 0 No

quantity

6 -2 0.9 3,516 0.29 0

Italy 105,656 1,656,477 191,976 Tons 550 -8 -7 -9 0.9 4,971 0.14 0.3

Austria 102,886 -74,596 159,946 Tons 643 -6 -5 -21 0.9 2,923 0.23 0.3

76









Algeria 100,588 -100,549 0 No

quantity

34 24 17 0.9 6,624 0.32 28.8

Iran, Islamic Republic of 89,429 -67,202 0 No

quantity

6 -18 -46 0.8 5,627 0.85 50

Poland 89,253 -63,262 216,510 Tons 412 -7 -5 -30 0.8 5,641 0.29 0.3

Morocco 86,123 -79,986 201,457 Tons 428 5 7 -2 0.7 2,497 0.33 19.6

Singapore 83,835 -79,350 102,409 Tons 819 1 -4 -13 0.7 5,818 0.31 0

Hong Kong, China 82,335 -70,937 139,265 Tons 591 2 -3 -3 0.7 2,351 0.66 0

Lebanon 81,853 -73,145 125,516 Tons 652 16 -1 4 0.7 5,526 0.38 21

Netherlands 74,041 -34,050 100,901 Tons 734 -15 -23 -18 0.6 6,543 0.26 0.3

Malaysia 69,997 -64,968 123,457 Tons 567 17 23 62 0.6 3,747 0.75 27

Kazakhstan 68,428 -68,354 116,127 Tons 589 6 13 -35 0.6 3,497 0.24 7.2

Egypt 63,211 4,651 0 No

quantity

15 14 25 0.5 5,262 0.4 10.6

Taipei, Chinese 59,435 -30,270 289,162 Tons 206 7 4 3 0.5 2,323 0.53 9.3

Spain 55,617 354,082 86,105 Tons 646 -6 -10 -12 0.5 5,958 0.15 0.3

Nigeria 54,959 -54,821 78,038 Tons 704 8 -1 -11 0.5 8,988 0.38 18.8

77









List of importing markets for Product:2515 Marble, travertine, ecaussine etc., by Turkey in 2015 (Sources: ITC calculations based on UN COMTRADE statistic)

Importers

Trade Indicators

Tariff

(estimated)

faced by

Turkey (%)

Exported

value

2015 (USD

thousand)

Trade

balance

2015 (USD

thousand)

Share in

Turkey's

exports

(%)

Exported

quantity

2015

Quantity

unit

Unit value

(USD/unit)

Exported

growth

in value

between

2011-

2015 (%,

p.a.)

Exported

growth in

quantity

between

2011-2015

(%, p.a.)

Exported

growth in

value

between

2014-

2015 (%,

p.a.)

Ranking

of partner

countries

in world

imports

Share of

partner

countries

in world

imports

(%)

Total

import

growth in

value of

partner

countries

between

2011-2015

(%, p.a.)

World 872,047 869,595 100 4,355,474 Tons 200 3 -3 -11 100 -2

China 725,995 725,870 83.3 3,554,017 Tons 204 3 0 -12 1 58.1 -5 0

India 59,616 59,598 6.8 220,330 Tons 271 14 14 16 2 13.5 17 10

Taipei, Chinese 13,025 13,025 1.5 56,740 Tons 230 -7 -8 -34 4 4.3 0 0.8

Indonesia 8,447 8,447 1 28,917 Tons 292 8 4 52 7 1 3 5

Egypt 8,156 8,156 0.9 111,402 Tons 73 17 9 -13 6 1 3 3

78









Italy 8,005 7,464 0.9 18,842 Tons 425 -4 -16 -19 3 4.8 3 0

Thailand 5,416 5,416 0.6 20,824 Tons 260 2 0 17 12 0.8 6 11

Hong Kong, China 4,341 4,341 0.5 19,992 Tons 217 -8 -8 -13 31 0.2 2

Viet Nam 3,405 3,405 0.4 16,223 Tons 210 20 22 -8 30 0.3 15 1.3

Syrian Arab Republic 2,717 2,717 0.3 87,683 Tons 31 -40 -39 -44 38 0.1 -41 4.8

Lebanon 2,401 2,401 0.3 19,291 Tons 124 -9 -6 -29 15 0.6 -7 1

Singapore 2,313 2,313 0.3 10,349 Tons 223 12 28 54 10 0.8 -7

Saudi Arabia 2,213 2,213 0.3 5,290 Tons 418 41 25 9 23 0.3 -1 5

Spain 2,062 1,952 0.2 11,433 Tons 180 -10 -3 -17 16 0.6 -11 0

Bangladesh 1,920 1,920 0.2 19,962 Tons 96 23 16 23 35 0.2 14 25

Jordan 1,894 1,894 0.2 44,233 Tons 43 -2 -9 44 9 1 6 11.4

Greece 1,879 1,779 0.2 22,895 Tons 82 -15 -13 -46 11 0.8 -3 0

Sri Lanka 1,742 1,742 0.2 6,648 Tons 262 10 9 50 32 0.2 -14 15

Brazil 1,439 1,439 0.2 2,857 Tons 504 -18 -19 -55 22 0.4 -9 5.7

Iran, Islamic Republic of 1,134 70 0.1 9,526 Tons 119 130 179 476 52 0.1 50 8.3

Portugal 1,130 1,130 0.1 5,456 Tons 207 11 11 -12 27 0.3 -16 0

United Arab Emirates 1,065 1,065 0.1 3,140 Tons 339 70 68 -46 5 1.1 1 5

Germany 918 914 0.1 5,656 Tons 162 -6 4 79 20 0.4 -6 0

Oman 834 834 0.1 4,198 Tons 199 51 87 -10 42 0.1 10 5

79









Iraq 798 798 0.1 2,916 Tons 274 18 40 -1 49 0.1 10

United States of

America

751 751 0.1 581 Tons 1,293 32 7 -14 21 0.4 13 0.9

Malaysia 722 722 0.1 3,274 Tons 221 -5 -1 32 28 0.3 12 13.3

Libya, State of 700 700 0.1 9,746 Tons 72 -2 16 -47 37 0.1 -13 0

Israel 622 622 0.1 5,713 Tons 109 16 -8 -28 77 0 -12

Turkmenistan 548 548 0.1 2,129 Tons 257 41 77 322 71 0 -30

Georgia 531 531 0.1 430 Tons 1,235 95 23 321 102 0 12 0

Azerbaijan 523 523 0.1 713 Tons 734 52 33 -42 60 0 -3

80









List of importing markets for Product: 6802 Worked monumental/building stone & art; mosaic cube, granules exported by Turkey in 2015

Importers

Trade Indicators

Tariff

(estimated)

faced by

Turkey (%)

Exported

value

2015 (USD

thousand)

Trade

balance

2015 (USD

thousand)

Share in

Turkey's

exports

(%)

Exported

quantity

2015

Quantity

unit

Unit value

(USD/unit)

Exported

growth

in value

between

2011-

2015 (%,

p.a.)

Exported

growth in

quantity

between

2011-2015

(%, p.a.)

Exported

growth in

value

between

2014-

2015 (%,

p.a.)

Ranking

of partner

countries

in world

imports

Share of

partner

countries

in world

imports

(%)

Total

import

growth in

value of

partner

countries

between

2011-2015

(%, p.a.)

World 1,016,556 815,684 100 2,047,282 Tons 497 5 4 -10 100 5

USA 320,467 320,010 31.5 566,232 Tons 566 9 9 0 1 27.8 10 0.5

Saudi Arabia 111,093 110,865 10.9 253,251 Tons 439 15 9 3 22 1 24 5

Iraq 80,135 80,135 7.9 308,755 Tons 260 2 1 -27 5 3.3 29

United Arab Emirates 49,247 49,247 4.8 86,093 Tons 572 12 11 8 4 3.8 14 5

France 43,554 41,821 4.3 102,607 Tons 424 3 8 -13 13 1.7 -3 0

81









Israel 41,232 41,232 4.1 124,490 Tons 331 5 10 6 23 0.9 6

Canada 37,172 37,168 3.7 38,586 Tons 963 -1 -4 -20 8 2.5 -1 5.4

Australia 31,247 31,247 3.1 59,347 Tons 527 10 13 -1 18 1.3 2 3.6

United Kingdom 31,167 31,081 3.1 42,722 Tons 730 -9 -11 -14 10 1.9 -1 0

Turkmenistan 18,168 18,164 1.8 12,786 Tons 1,421 8 -9 -5 53 0.2 -7

Germany 17,617 17,457 1.7 43,848 Tons 402 4 8 -15 6 3.3 -4 0

Azerbaijan 16,383 16,370 1.6 20,720 Tons 791 -7 -8 -37 49 0.3 -3

Kuwait 15,815 15,815 1.6 24,334 Tons 650 29 28 116 20 1.1 22 5

Russian Federation 14,676 14,646 1.4 18,749 Tons 783 -5 -10 -46 19 1.2 -10 8.6

Qatar 13,425 13,425 1.3 15,495 Tons 866 27 21 36 14 1.7 12 5

Libya, State of 10,956 10,956 1.1 26,209 Tons 418 15 17 -55 44 0.3 27 0

Cyprus 9,982 9,979 1 18,848 Tons 530 -46 -47 124675 86 0.1 -20 0

Kazakhstan 9,049 9,049 0.9 7,598 Tons 1,191 17 17 -58 35 0.6 6 8.6

Indonesia 8,694 8,665 0.9 8,595 Tons 1,012 13 6 -4 21 1 19 9.6

Singapore 7,904 7,904 0.8 9,836 Tons 804 0 -2 -12 30 0.7 1

Romania 7,644 7,644 0.8 17,633 Tons 434 0 6 2 42 0.3 -3 0

Algeria 7,032 7,032 0.7 28,815 Tons 244 7 13 -2 26 0.9 34 30

South Africa 6,426 6,426 0.6 10,133 Tons 634 1 -4 18 51 0.2 -8 0

Spain 6,132 -36,775 0.6 9,412 Tons 652 -17 -20 -14 38 0.5 -6 0

82









Georgia 5,828 5,762 0.6 12,631 Tons 461 -2 7 -20 79 0.1 2 0

Austria 5,198 5,198 0.5 12,299 Tons 423 3 7 -28 25 0.9 -6 0

Lebanon 5,145 5,145 0.5 15,729 Tons 327 1 -10 -34 32 0.7 16 25

Korea, Republic of 4,062 4,062 0.4 5,887 Tons 690 -11 -11 -25 2 6.6 0 3.1

Belgium 4,040 4,008 0.4 8,029 Tons 503 -15 -14 -21 16 1.4 -9 0

Oman 4,010 4,010 0.4 8,426 Tons 476 4 9 7 40 0.4 14 5

Italy 3,787 -8,121 0.4 6,164 Tons 614 -12 -14 1 24 0.9 -8 0

Netherlands 3,262 3,207 0.3 7,693 Tons 424 -24 -20 -7 33 0.6 -15 0

India 3,126 -72,965 0.3 4,815 Tons 649 -10 -13 -29 15 1.6 4 10

Bulgaria 3,121 3,105 0.3 10,869 Tons 287 21 26 23 76 0.1 3 0

Poland 2,963 2,963 0.3 4,686 Tons 632 -5 -5 27 28 0.8 -7 0

Ukraine 2,883 2,785 0.3 4,711 Tons 612 -10 -18 -71 68 0.1 -11 5

Morocco 2,618 2,612 0.3 7,705 Tons 340 22 33 -9 29 0.7 5 0

Panama 2,422 2,422 0.2 3,263 Tons 742 -6 -13 5 64 0.2 -2 12.4

Argentina 2,393 2,393 0.2 3,782 Tons 633 3 3 38 59 0.2 -8 9.4

Bahrain 2,165 2,165 0.2 3,808 Tons 569 14 15 21 62 0.2 9 5

Brazil 1,981 106 0.2 3,717 Tons 533 -3 -1 -41 46 0.3 -9 6.4

Nigeria 1,964 1,964 0.2 3,103 Tons 633 16 12 -26 39 0.5 8 20

Denmark 1,680 1,652 0.2 2,251 Tons 746

-1 -2 -8 54 0.2 -6 0

83









Mexico 1,664 1,660 0.2 2,659 Tons 626 67 68 -11 17 1.3 12 9.1

Egypt 1,530 1,454 0.2 2,583 Tons 592 61 44 55 36 0.5 15 4

Iran, Islamic Republic of 1,496 -3,842 0.1 1,948 Tons 768 22 34 -29 27 0.8 6 50

Moldova, Republic of 1,336 1,336 0.1 1,495 Tons 894 8 -1 79 115 0 -5

Ireland 1,231 1,231 0.1 2,085 Tons 590 -9 -5 -4 45 0.3 6 0

Somalia 1,197 1,197 0.1 1,382 Tons 866 187 337 141 0

China 1,128 -9,241 0.1 3,232 Tons 349 -30 -41 -59 52 0.2 -2 18.9

Hungary 1,083 1,083 0.1 2,781 Tons 389 18 22 -24 67 0.1 -6 0

84









Annex-5 Thematic Focus Meeting on Human Resources,

Entrepreneurship and Business Management

Annex-6 Thematic Focus Meeting on Export, Marketing and

Consumer Segment

Annex-7 Thematic Focus Meeting on Quarry Search and Opening

Documents

COMPETITIVENESS ASSESSMENT REPORT...Bayburt Doğal Taş Üretim ve Pazarlama Merkezi EuropeAid/133049/IH/SER/TR COMPETITIVENESS ASSESSMENT REPORT Activity 1.2 “Competitiveness Assessment”