Report Description

Forecast Period

2024-2028

Market Size (2022)

85.11 MMT

Largest Market

Residential

CAGR (2023-2028)

6.43%

Fastest Growing Segment

Portland


Turkey Cement market is expected to develop at a rapid pace between 2024 and 2028. The rise in infrastructure development and construction activities are driving the demand for the Turkey Cement market. The country’s cement industry, with export volume rising every year, has gained increasing importance in the economic structure of Turkey, while also providing a significant level of employment. In 2011, the production capacity was 65 million TPA (Tonnes per Annum) of clinker and 106 million TPA of cement. Realized production volumes were 54.2 million tons of clinker and 63.4 million tons of cement in 2022. The country has a significant infrastructure and housing shortage, and the construction industry has a promising future.  In 2022, the production volume of cement in Turkey amounted to an estimated 85 million metric tons. Thus, Turkey was ranked as the fifth leading cement producing nation in the world that year, following China, India, Vietnam, and the United States.

Furthermore, in 2012, domestic cement demand grew by around 4-5%. In the next 10 years, the industry is expected to grow in the domestic and export markets, reaching a production volume of 100 million tons. According to cement industry forecasts for the years 2013 - 2023, measured in 2023 values, it is expected that production will increase to 99.8 million tons and consumption to 78.9 million tons.

Growing Investment & Rising Cement Plants to Boost the Market Growth

Cement is made by combining limestone, clay, and sand in a rotating kiln at high temperatures. The raw materials are heated to about 1,450 degrees Celsius (2,642 degrees Fahrenheit), which causes them to fuse together and form clinkers. The clinkers are then grounded into a fine powder, which is cement. The cement manufacturing companies are using its raw material resources to meet the country's ongoing construction activities' demand, by reducing the cost incurred in the production process. Manufacturers are making high-end investments to modernize the infrastructure required to make fine cement particles. For an example, Marmara Cement was founded by Ustyapi, a Turkish road builder and construction contractor, in 2018. It was built, in part, to bring cement production in house for Ustyapi’s own projects. Before Marmara Cement, Ustyapi had previously founded, built, commissioned, and subsequently sold another cement plant, Kavçim, between 2012 and 2016. The construction of the factory took place in 2019 and 2020, although the COVID-19 pandemic somewhat slowed down the construction in 2020 as well. At the beginning of 2021, the construction work was finished, and now companies are able to fire up the furnace. The first clinker was produced on April 1, 2021. Owing to this growing investment, the turkey cement market is growing in the forecast period.

Increasing Awareness of Green Cement

According to an average, one ton of Portland cement emits approximately 6% of the world's anthropogenic CO2 emissions, contributing significantly to current environmental issues. This leads to high carbon dioxide & greenhouse gas emissions, which have forced many builders, authorities, and architects to choose greener solutions such as the development and use of green cement.  The green cement is an effective choice for building bridges and roads, due of its high tensile strength and corrosion resistance. It has a lower rate of shrinkage, making it more durable than traditional cement. These factors are pushing the turkey cement market towards favourable opportunities in the country.

Turkey Government Housing Program

The major announcement for the urban renewal projects by the leading authorities to boost the country's economy, is significantly contributing to the Turkey Cement market growth. The government is introducing affordable housing schemes in the country, boosting the demand for the residential construction sector. For instance, The TOKIN TOKİ social housing program targets people with low and middle incomes who would not be able to own a home in the current market situation. In January 2022, 86% of TOKİ's project portfolio is the social housing for these target groups. The remaining 14% are projects implemented by the administration to develop economic resources. Since 2002, under the "Planned Urbanization and Housing Development Mobilization" of the Government of the Republic of Turkey; TOKİ started the production of 1,062,676 apartments in 81 provinces on 4,834 construction sites. (Until January 2022), 7093 offers worth 180 billion TL. This investment will future boost market. TOKİ's social housing program, a social project, was developed on land, and is owned by administration's resources. To ensure that the housing program goes smoothly, government is investing more fund in the residential sector.

Renovation and Modernization of Old Projects Will Drive the Market

Redesign and modernization projects play an urgent part in driving the cement market in Turkey. With its rich verifiable legacy and social tourist spots, Turkey has an immense range of authentic locales, structures, and landmarks that require customary support, rebuilding, and modernization endeavours. The interest in concrete in these ventures is huge, as it is a basic development material for underlying security and protection.

To preserve their architectural integrity and cultural significance, historic buildings and sites like mosques, churches, ancient ruins, and palaces require meticulous restoration. These tasks include fixing and supporting existing designs, supplanting weakened materials, and guaranteeing the life span of the structures. There is a growing need to upgrade residential and commercial spaces to meet modern standards as Turkey experiences urbanization and population growth.

Redesign projects include changing obsolete structures into current designs, further developing energy effectiveness, integrating trend setting innovations, and upgrading usefulness. The preservation of historical sites and the promotion of sustainable urban development are recognized by the Turkish government. These initiatives make it possible for both Turkish manufacturers and suppliers to benefit from the increased demand for cement in the country.

In general, renovation and modernization projects in Turkey's cement market not only help to preserve the cultural heritage of the nation but also significantly contribute to the expansion of the construction industry, the creation of employment opportunities, and the expansion of the economy.