Türkiye İMSAD Construction Materials Industry Foreign Trade Index Results for January 2020 Announced

Turkey's İMSAD Construction Materials Industry Foreign Trade Index shows strong January start but export prices hit 7-year low The Turkey İMSAD Construction Materials Industry Foreign Trade Index results for January have been released. According to the index, construction materials exports grew 10.2% in value in January 2020 compared to January of the previous year. In the first month of the new year, the construction materials industry continued to focus on exports, with exports reaching USD 1.76 billion. Export volume grew 28.3% compared to January of the previous year, reaching 4.79 million tonnes. The average unit price of construction materials exports was USD 0.43/kg in January 2019, but fell to USD 0.37/kg in January 2020. The index noted that while the construction materials industry got off to a strong start in 2020, January saw the lowest average export unit prices in 7 years. The index warned that if the low averages persist, difficulties could emerge in coming periods.

Import growth trend continues in 2020

Construction materials imports maintained their upward trend in the first month of the new year. Import volume in January rose 13.2% compared to January of the previous year, reaching 224.5 thousand tonnes. Construction materials imports grew 2.2% in value compared to January of the previous year, reaching USD 551 million. The average unit price of construction materials imports fell 9.6% in January compared to January 2019, declining from USD 2.72/kg to USD 2.46/kg.

Export unit prices fell in 7 of 8 sub-categories

In the first month of 2020, export unit prices in 7 of 8 sub-product groups in the construction materials industry declined compared to January 2019. Price decreases occurred at varying rates across sub-categories. The only sector with rising prices was prefabricated structures at 3.7%. In January 2020, the export unit price of chemical-based products fell 14.9%. The average export unit price of mineral products fell 8.3%. The average export unit price of iron and steel products also declined 7.4%. Metal-based products' export unit prices fell 1% in January 2020, making metal-based products the sub-sector with the most limited decline. In January 2020, all 8 sub-product groups achieved export volumes above January of the previous year. The highest export volume growth in January 2020 was 58.8% in prefabricated structures. The other sub-sector with high volume growth was wood and wood products at 42.7%. Export volume growth in mineral products reached 33.7%. Only insulation materials showed single-digit export volume growth at 5.1%. All other sub-categories showed double-digit and high rates of growth in export volume. In January 2020, 7 of 8 sub-product groups exceeded the previous year's January export value. The highest export value growth in January 2020 was 64.5% in prefabricated structures. Wood and wood products exports grew 37.2% in value. Mineral products exports also rose 15% in value. The only sector with declining export value was insulation materials at 2.5%. Source: İMSAD