In this episode of “Invest in Türkiye Talks", we speak with BASF Türkiye Managing Director and Country Cluster Head for Türkiye, Azerbaijan, and Georgia, Tolga Demirözü. The discussion revolves around critical themes such as sustainability, investment opportunities, and the evolving landscape of Türkiye's chemicals industry. As one of the world's largest chemical producers, BASF's strategic initiatives and insights provide a valuable perspective on the future of sustainable practices in the region.
Demirözü emphasizes BASF's unwavering commitment to sustainability, a core principle that has guided the company for nearly a decade. With the motto “We create chemistry for a sustainable future," BASF has set ambitious goals to achieve 100 percent green energy sourcing and significantly reduce carbon emissions ahead of the 2030 targets. This proactive approach aligns with global sustainability trends and positions BASF as a leader in the chemicals industry, demonstrating that economic growth and environmental responsibility can go hand in hand.
The conversation highlights the importance of integrating sustainability into the company's operations and supply chain. Demirözü explains that BASF sources many raw materials and collaborates closely with suppliers to ensure compliance with local laws and international environmental standards. This commitment to ethical and sustainable practices is crucial for minimizing risks and enhancing the overall sustainability of the supply chain, both in Türkiye and globally.
The podcast also delves into BASF's long-term sustainability goals, particularly in the context of Türkiye's chemicals industry. Demirözü notes that the Turkish chemicals sector has significant potential for growth, particularly as the country aims to transition to a low-carbon economy. The European Union's Green Deal, which emphasizes stricter environmental regulations, presents an opportunity for Turkish industries that align with these requirements to gain a competitive advantage in accessing the EU market.
Demirözü expresses optimism about the future, stating that the latest regulations and incentives from the Turkish government are promising for the chemicals industry. He highlights the importance of fostering collaboration among various stakeholders to drive innovation and sustainable practices. This collaborative approach is essential for addressing the challenges posed by climate change and ensuring that industry can meet the evolving demands of society.
The discussion also touches on Türkiye's current investment climate, particularly in the chemicals sector. Demirözü points out that Türkiye boasts a diverse and robust manufacturing sector, supported by a well-established production infrastructure and a skilled workforce. These factors contribute to the country's competitiveness in producing and exporting various goods, including chemicals.
Moreover, investment in modern and efficient logistics infrastructure is crucial for facilitating international trade. Demirözü proudly notes that the Turkish logistics and transportation sector ranks 11th globally, underscoring the country's strategic position as a logistics hub bridging Europe and Asia. This advantageous location enhances Türkiye's appeal to international investors and supports the growth of the chemical industry.
Innovation plays a pivotal role in BASF's strategy, and Demirözü highlights the significance of the company's innovation center in Istanbul. This center is dedicated to developing sustainable solutions that address the needs of customers and society. By actively engaging with customers and understanding their visions related to sustainability, BASF aims to create platforms where sustainable products and solutions can be prominently showcased.
This podcast underscores the necessity of collaboration across various sectors to achieve sustainability goals. Demirözü stresses that no single entity can achieve these objectives alone; it requires a collective effort from industries, governments, and society. By working together, stakeholders can develop innovative solutions that address the pressing challenges of climate change and resource scarcity.