Despite a major drop in the Russian business that is integral to Turkey's textile industry, the sector is hopeful that it will make up for its losses in the coming season, according to statements from industry leaders, Turkey based Today’s Zaman reports.

“In the past year and a half we have experienced a serious Russian-based crisis. We have confronted the economic difficulties that have arisen from this crisis, and in the last few months they have been diminished,” said Giyasettin Eyyüpkoca, Laleli Industrialists and Businessmen's Association (LASÄ°AD) Chairman, speaking at an iftar dinner arranged by the association late last month.

“Russia is bouncing back, and in the upcoming season we anticipate, at the very least, the compensation of a large portion of our losses,” Today’s Zaman quotes.

Textiles hub

The Laleli quarter of Istanbul is known as the country's textiles hub, as hundreds of shops sell clothing products at the retail and wholesale level to mainly Russian buyers.

The area has a decades-long history of customers from Russia and from other former Soviet states purchasing textile products to sell in their home countries. The fourth annual Laleli Fashion Shopping Festival is slated to kick off in August. Last year the festival was attended by buyers from 27 countries.

Positive outlook

Speaking after Giyasettin Eyyüpkoca at the iftar dinner, the chairman of the Istanbul Textile and Raw Materials Exporters' Union (Ä°THÄ°B), Ä°smail Gülle said that the improvements relating to Russia are noticeable.

“Our biggest exporting problem is when prices fall as sales increase. In the second half of this year we believe that this situation will improve. It's not easy: In around one year we've gone through three elections. God willing, a new government will be formed, and with that new government, we can move forward with new projects prioritizing growth in exports, employment and industry,” explained Ä°smail Gülle.

Major crisis

According to figures from the Turkish Exporters Assembly (TÄ°M) from earlier this year, exports bound for Russia declined by 43% between January and April, compared to the same period in 2014. The biggest factor contributing to the major drop stemmed from losses in the ready-made clothing sector, according to exporters.

Economic sanctions imposed on Russia this year, in conjunction with the devaluation of the ruble, have created a major crisis for the Russian economy, which has spilled over into Turkey, particularly affecting the textile and tourism sectors, Today’s Zaman reports.

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