Turkey will emerge as the next big logistics hub, a survey of European supply chain managers revealed on Monday adding that the Anatolian nation will top the European supply chain managers list over the next five years.
The survey, carried out by surveyors Jones Lang LaSalle, said more than one quarter of all respondents have ranked Turkey in their top three emerging locations across Europe, the Middle East and Africa. Poland and Romania follow in second and third spots, it added.
Alexandra Tornow, head of logistics and industrial property at Jones Lang LaSalle, said that Turkey offers all attributes required to become an emerging logistics market. “It’s geographic location bridging Europe with Middle Eastern, Asian and African countries is ideal to make it an international logistics hub, it’s economy is growing strongly based on a stable political framework, there have been and are still significant investments in infrastructure,” she added.
The report said that strong growth in container traffic in the main seaports around Istanbul is another driver for the Turkish logistics market. In 2010 together they recorded a total container throughput of 4.5 million TEU, similar to Bremerhaven and Valencia (respectively ranked 4th and 5th in the European comparison).
Despite its significant retail market and trade volumes, the Turkish logistics market is currently underdeveloped and dominated by local players and small family businesses.
JLL say that whilst the availability of modern logistics space has increased significantly in recent years, much of the stock that has been produced has been quite far from being considered “grade A” modern institutionally investable logistics stock. The amount of the “grade A” stock in the market is still relatively at very low levels limiting the international investment in the market.