TURKISH CLOTHING MANUFACTURERS’ ASSOCIATION

THE 7TH ISTANBUL FASHION CONFERENCE

MAY 8-9 2014

SHANGRI-LA BOSPHORUS, ISTANBUL

THE 7TH ISTANBUL FASHION CONFERENCE

HOSTED THE BIGGEST NAMES IN THE FASHION

INDUSTRY

Hosted by the Turkish Clothing Manufacturers Association, the 7th Istanbul Fashion Conference took

place with the participation of 700 individuals from both Turkey and abroad. Attendees included leaders

of the industry that have revolutionized the world of fashion, as well as the CEOs and Executive Board

Directors of world-renowned brands.

The conference was held on May 8, 2014 at the Shangri-La Bosphorus Hotel. During his speech at

the opening ceremony, TGSD President Cem Negrin underlined the necessity of reducing interest

rates so that export levels could be increased.

He also revealed that decreasing credit card limits has led to a

shrinkage of the internal market and emphasized that in order for

exports to increase, the Euro-to-TL exchange rate should be lower than

3. Negrin continued: “With this conference, our objective is to create

new purchasing agreements in order to develop our sector. We have

turned Istanbul into a center of attraction for the fashion and apparel

industry. Turkey has achieved 18 billion dollars in exports. We export

75 percent of this to the Euro zone alone. However, this corresponds

to only 7 percent of products purchased by European countries. With

this in mind, we have a lot to cover. Confidence in the internal market,

the easing of visa requirements, opening new malls and developing

Turkish brands are among the factors that have contributed to a sales

increase to 52 billion TL and to the increase of organized retail to 34

billion TL in 2013. We offer the trendiest products to Europe through

successful collections that we produce faster than the Far East. The top

10 countries that we export to include: Germany, the United Kingdom,

Spain, France, the Netherlands, Italy, Iraq, Denmark, the United States

and Russia, respectively. We have to have the necessary means to increase our export levels to the USA.

Reducing the Euro to an exchange rate below 3 TL would pose a significant challenge to exporters. We

expect interest rates would drop.”

Uniqlo chooses Turkey for its European production

One of the most distinguished guests of the conference was

Yoshihiro Kunii, Group Executive Vice President of the

Japanese conglomerate UNIQLO Group. He expressed their

plans to establish an office in Turkey in order to expand to

the global market and indicated they would like to develop

their business in Europe through Turkey. He stated: “We

respect Turkey. We are here for the long term and for a

genuine partnership.”

Known for the distinctive collection themes they produce each

season, Uniqlo's Yoshihiro Kunii commented: “Uniqlo’s

production volume is 1 billion. We carry out the majority of our

production overseas. In October, we will open an office in Turkey and will move forward into Europe from

here. Our aim is to increase our production volume five-fold. In 2013, we produced 1 Billion units, but we

have to ramp it up to 5 billion. Turkey will become our 5th production office after India, China, South

America and Asia. We would like to develop our business activities in Europe through Turkey. We

respect Turkey very much: you create fashion for the EU and the USA. We are learning a lot from you.

We would like to create high quality fashion products together with you in order to sustain a long-term,

genuine partnership.” In addition to this comment, he delivered several other important messages.

Kunii also indicated that by 2020 they would like to achieve their goal of 50 Billion US Dollars in sales as

well as opening one thousand stores each year on average; he added that they currently have 1427 stores in

16 different countries, and of these, 20 stores are located in Europe. Kunii said: “We have 7 brands. Uniqlo

is our main brand and makes up 30 percent of our group. Last year, our total business volume was equal to

14 billion US dollars and on average we grow 20 percent each year. We are the 3rd largest company in the

world. We aim to reach 50 billion dollars by 2020. We produce high technology products. For us, quality

is much more important than price. You may lower the price, but you may never reduce the quality.”

“The Woolmark Company brought together famous

fashion writer and historian Colin McDowell, Creative

Director Sofia Neophitou, and the popular designer of

Italian fashion, Antonio Berardi, in Istanbul.

“Using fabrics made out of innovative Merino wool in

his designs while highlighting natural lines, Antonio

Berardi also brings out feminine shapes.” With

contributions by The Woolmark Company, the 7th

Istanbul Fashion Conference hosted Italian Designer

Antonio Berardi, who has dressed celebrities such as

Nicole Kidman, Cate Blanchett, Amy Adams,

Madonna, Anne Hathaway, Zoe Saldana, Beyonce,

Diane Kruger, Kate Hudson and Rosie Huntington-Whiteley, as one of the keynote speakers.

As a sponsor of Istanbul Fashion Conference since its inception, Cotton Council International and Cotton

Incorporated Turkey Director Marsha Powell shared the results of a study that examined the shopping

habits of Turkish customers.

Another keynote speaker, Luxury Brand Manager

PGDS Consulting President Prof. Dr. Piergiorgio

Dal Santo, delivered an important message to

brand representatives with his speech, “What Can

Be Learnt From Luxury.” He listed the factors that

distinguish luxury brands as the following: long-

term market presence, staying loyal to the

company’s DNA and history, classifying sales,

product quality and limited variety, the

development of new products, building trust by

realizing promises, having close contacts with

consumers and the development of not only online

capabilities but physical capabilities as well. The

cities in which luxury consumption levels are high are New York, London, Paris and Hong Kong.

The speech made by Coface Insurance General Manager and Executive Board Member Belkıs E.

Alpergun attracted attention as well. One of the sponsors of TGSD, his speech“Some Like Red’’ was a

presentation on the advantages of Risk Monitoring and Commercial Assets Insurance that his company

provides to other companies. Alpergun provided a country risks map prepared by Coface and indicated that

the countries shown in red pose commercial risks even though they are attractive in other ways. She

underlined that information and asset risk management is significant to conducting reliable trade with these

countries.

The Second Generation Effect on the

Fashion Industry Session, sponsored

by the Republic of Turkey Prime

Ministry Investment Support and

Promotion Agency,

was moderated by Gülden Yılmaz,

KOTON Executive Board Member and

TGSD Vice President.

Session speaker MUDO Executive

Board Member Ömer Taviloğlu

included the slogan “At work, what is

chance? Do what you love, work with

the one you love!” Meanwhile, Aytemizler Textile Executive Board

Chairperson Ahmet Aytemiz used the

slogan, “More imagination for the

brands of the future, a new vision,” and Kiğılı Vice CEO Sena Suerdem gave her speech using the

slogan ‘’…..UP?’’, attracted the attention of the entire audience. Kığılı Executive Board Chairperson

and CEO Abdullah Kiğılı, who came to watch his granddaughter Sena Suerdem, moved the audience

as well.

Another conference sponsor, VODAFONE Turkey Corporate Marketing Director Ebru Özgüç’s short,

engaging presentation explained VODAFONE’s digital transformation solutions designed specifically for

the apparel sector.

Following a promotional five-minute film by NEBİM, another sponsor that creates computer software

related to the retail sector, the Session on Procurement began, which was especially anticipated by

producer-retailer company representatives.

David Shepherd, the COO of Arcadia Group,

which includes top brands such as Topshop,

Topman, Miss Selfridge, Wallis, Dorothy Perkins,

Burton Menswear London, BHS, Outfit and Evans

reflected

on the changing dynamics of fashion while sharing

his experiences.

Arcadia Group also participated in the Session on

Procurement, which was moderated by Spring Near

East Manufacturing Executive Board Member and

General Manager as well as TGSD Executive

Board Member Esra Ercan Taşören. Arcadia

COO David Shepherd, Head of Supplier Jemie Berks, and Head of Group Sourcing Joanne Soulsby

were all closely followed by the participants.

After this, the Session entitled, "50 Shades of

Creating Values," sponsored by TEB

Faktoring A.Ş., began.

The first speaker, MediaSa Executive Board

Chairperson Demet Sabancı Çetindoğan, noted

that the most significant issue related to creating

an international brand is being sponsored by the

state during her speech entitled, ‘’A country brand

is stronger than one single brand."

The Former President of FCI and a current Executive Board member, Financial Corporations Union

Executive Board Member and TEB Faktoring A.Ş.

General Manager Çağatay Baydar also participated in

the 7th Istanbul Fashion Conference as a speaker. As

one of conference sponsors, he stressed that their aims

are to guarantee textile exports through factoring;

collect and provide management capital; and

generate values for our country by contributing to

the development and growth of both the textile

sector and our national trade levels.

50 Shades of Creating Values Session, sponsored

by TEB Faktoring A.Ş., convened with the moderation of General Manager Suat Soysal.

Session speakers Penti Executive Board Director

Sami Kariyo presented under the title: "’Production

and Retail: Is Vertical Integration Possible?’’, while

Türkven Genel General Manager Seymur Tarı used:

‘’Your Dreams Won’t Come True If You Don’t

Dream.” Both speakers shared their knowledge and

experiences, which were both enjoyable and

meaningful.

NEW BUSINESS OPPORTUNITIES GENERATED DURING

THE 7TH ISTANBUL FASHION CONFERENCE WITH 35

FOREIGN EXTERNAL PURCHASING OFFICES

PARTICIPATING IN THE B2B – BILATERAL BUSINESS

MEETINGS

The B2B – Bilateral business meetings,

which took place on May 9, 2014, were again

a huge success this year.Meetings were held

between purchase groups and suppliers at

the Shangri-la Bosphorus Istanbul Ballroom

at specially-designed booths and meeting

tables.

Purchasing Offices that Participated in the B2B Bilateral Business Meetings This

Year: ABİTEKS TEKSTİL SAN. ve TİC.A.Ş., ABM GİYİM, ANT DIŞ TİCARET, BESTSELLER TEKSTİL,

BIS TEXTILES, C&A SOURCING CARREFOUR, CHERRYFIELD SESBY, COLVETA AG, COMAB

SAS, CONNOR, CONTEX, EDPA TEKSTİL TİCARET A.Ş., EL CORTE INGLES LIAISON OFFICE

TURKEY, FRENCH CONNECTION, GEORGE TEDARIK HİZMETLERİ, GROUPE BEAUMANOIR,

HERMES OTTO INTERNATIONAL, H&M, ISTANBUL SOURCING , K+L RUPPERT, MİNO

TEKSTİL, MODATİMKAR, MONTANA İTHALAT İHRACAT DANIŞMANLIK, N11, NOVATEKS,

PERSEUS TEKSTİL DIŞ TİCARET LTD., RSR TEKS.İTH.İHR.VE MÜM.SAN.VE TİC.LTD.ŞTİ.,

SONGUR MÜMESSİLLİK, SPRING NEAR EAST MANUFACTURİNG CO. LTD., TESCO KIPA,

TEKSPERT TİC., TUREKS İTH.İHR.VE TİC A.Ş., ULTİMO LTD .

Local Brands that Participated in the B2B Bilateral Business Meetings: KIĞILI, KOTON, LC WAIKIKI, ROMAN, SUVARİ

The companies that came with the support of the Ministry of Finance also drew interest during the

bilateral business meetings. In particular, FINATEX-Finland Textile and Apparel Industry Federation

CEO Anna-Kaisa Auvinen attended the meetings to discuss the possibilities of cooperation between

Finland and Turkey.

Foreign companies that participated in the event included: Cluster Facts, Jasmil Doo Company, Ivatex

Doo Company, AMC Doo Company and Charles Vögele.

7th ISTANBUL FASHION CONFERENCE OPENING

DINNER AND

TGSD 38TH YEAR ANNIVERSARY CELEBRATION

The opening reception and dinner for the 7th Istanbul Fashion Conference, organized May 8-9 2014 at the

Shangri-La Bosphorus in Istanbul, took place with the participation of speakers, sponsors, purchasing

offices, association union presidents, executive board members and former TGSD Presidents. As the

event coincided with the 38th anniversary of the founding of Turkish Clothing and Manufacturers

Association, a 38th Anniversary cake was cut in front of the honored guests.

TGSD CELEBRATED ITS 38th ANNIVERSARY WITH A CAKE ON OPENING NIGHT

7th ISTANBUL FASHION CONFERENCE

Shangri-La Bosphorus Istanbul

08 May 2014 Thursday 1st Day

08:30-09:00 Welcome and Registration

09:00-09:30 Opening Speeches

Cem Negrin – President of TGSD

09:30-10:00 Key-Note :UNIQLO

Yoshihiro Kunii, Group Executive Vice President Production

10:00-10:45 Antonio Berardi, importance of Merinos Wool for his designs

By the Woolmark Company

Sofia Neophitou - Editor in Chief and Publisher of 10 Magazine and

10 Men Magazine

Moderator: Colin McDowell – Journalist and Historian

10:45-11:05 Coffee Break

11:05-11:20 Marsha Powell – Turkey Program Director of Cotton Council

International and Cotton Incorporated

11:20-11:50 High Brand Management

Prof. Dr. Piergiorgio Dal Santo - PGDS Consulting, President

11:50-12:00 Belkıs E. Alpergun – COFACE Insurance Company Board Member,

General Manager

“Some like it red”

12:00-13:00 Second Generation Effect in the Fashion Industry

Moderatör: Gülden Yılmaz – KOTON – Board Member

Ömer Taviloğlu – MUDO – Board Member

Ahmet Aytemiz – AYTEMİZLER TEKSTİL – Chairman of the Board

“More imagination and a new vision for future brands”

Sena Suerdem – Kiğılı – Deputy CEO

“.. UP?”

13:00-13:05 Arda Ermut - Prime Ministry Investment Agency - Vice President

13:05-14:00 Lunch / Networking

14:00-14:30 Key Note: Luigi D Orsogna Bucci - TOM Ford International

MTM (Made to Measure) Manager Moderator: Vittorio Zagaia - Galata Transportation Vice Chairman and CEO

14:30-14:35 Ebru Özgüç - Vodafone Turkey Corporate Marketing Director

14:35-14:40 NEBIM

14:40-15:40 Supply Session

Key-Note: David Shepherd – Arcadia COO Moderator: Esra Ercan Taşören – Managing Director at Spring NearEast Sourcing and

Manufacturing

Jon Bennett - Arcadia Group Sourcing Director

Jamie Beck - Head Of Supplier Management at Arcadia Group Ltd.

15:40-16:00 Coffee Break

16:00-16:05 Çağatay Baydar- TEB Faktoring A.Ş., General Manager,

'Create value by factoring, reaching of export target for 2023'

16:05-17:05 50 shades of Value Creation (with the contributions of TEB Faktoring A.Ş) Moderator: Suat Soysal – Soysal Consulting General Manager

Sami Kariyo –Penti – Chairman of The Board

“Manifacturing and retail: Is vertical integration possible”

Seymur Tarı –CEO of Türkven “If you don’t dream your dreams won’t come true” Demet Sabancı Çetindoğan- MediaSa – Chairman of The Board '' What's wrong with a brand, there is the sound of country brand''

09 May 2014 Friday 2nd Day

10:00 - 11:00 B2B Meetings

Producers and buyers come together with appointment system platform

11:00 – 11:30 Coffee Break

11:30 - 12:30 B2B Meetings

Producers and buyers come together with appointment system platform

12:30 – 13:30 Lunch / Networking

13:30 – 15:30 B2B Meetings

Producers and buyers come together with appointment system platform

15:30 – 16:00 Coffee Break

16:00 – 18:00 B2B Meetings

Producers and buyers come together with appointment system platform

We would like to thank all of our sponsors, who have supported

us during the 7th Istanbul Fashion conference.

Please visit our website www.tgsd.org.tr for detailed information about the conference and to view

conference photos.