New collapse of the Turkish lira, waiting for the influx of imported fruits from Turkey

Published 2023년 6월 9일

Tridge summary

Following the re-election of Turkish President Recep Tayyip Erdogan, the Turkish currency, the lira, has experienced a significant decline by 14% against the US dollar, marking a two.7-fold decrease over the past two years. This currency drop is anticipated to bolster Turkey's fruit and vegetable exports, which already surpass $6 billion annually, making it the region's largest exporter. However, the devaluation also brings challenges such as increased costs for imported necessities and potential quality issues in produced crops. While the devaluation could lead to a surge in exports of products like greenhouse tomatoes, cucumbers, cherries, apricots, peaches, plums, dried fruits, and watermelons, local consumers face the burden of rising food and good prices.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

By a probably completely random coincidence, immediately after the end of the presidential elections in Turkey, which were won by the incumbent President Recep Tayyip Erdogan, the Turkish currency suffered another collapse. And this, according to EastFruit analysts, has a huge impact on the fruit and vegetable trade of the entire region: Central Asia, the Caucasus, Eastern Europe, the Middle East and even the European Union. Since the end of the elections, the value of the Turkish lira against the US dollar has already decreased by 14%, and the downward trend in the value of the currency continues. Interestingly, exactly two years ago, one dollar was worth 8.67 Turkish lira, and today it is already 23.37 lira. Thus, in two years, the Turkish currency has already fallen in price by 2.7 times. It is well known that a depreciation of the local currency always helps to stimulate exports and severely limits the possibilities of imports. In the first 4 months of 2023, exports of fruits ...

Source: Eastfruit