State-Supported Petrochemical Investment In Adana Comes To An End

SASA, which produces polyester in facilities established on an area of ​​approximately 2 million 500 thousand square meters, aims to provide contribution to both employment and the country's economy with the PTA facility to be established for the first time in Turkey.

The construction work of the facility, where the first excavation was started in 2021 with the US$935 million licensing and technical service agreements with the American company Invista (Koch Industries) and the engineering agreements with a Spanish company, and which was decided to be supported by the "project-based state aid" application, has come to an end.

- "We are building facilities that will completely prevent Turkey's imports"

Mehmet Şeker, SASA Polyester Sanayi AŞ Board Member, told the AA correspondent that they increased their production capacity in the facility they took over from Sabancı Holding in 2015 to 1,4 million tons per annum.

Mentioning that new investments are ongoing to increase this figure even higher, Şeker said, "Here, we are building facilities that will completely prevent Turkey's imports. We first built fiber, poy, bottle chips, and textile chips facilities. These are currently in operation. We are in a position to fulfill Turkey's needs. The construction of a new fiber and a new bottle chips facility continues with 1,300 employees. If there are no major obstacles, we will finish these constructions of ours quickly as well."

Şeker stated that the work on the construction of the PTA facility is ongoing fast.

Stating that 7 thousand people are currently working on the installation of the PTA facility, Şeker said:

"We are working with all our strength. Building an industrial facility is not like building an apartment building. You bring together lots of machines, cables, and pipes. The pipe we are laying now is enough to surround Turkey, no matter how you look at it. These have a process to complete. That is why we are unable to say anything like 'It will happen this day or that day.' Our work on putting it into production continues. Developments regarding this will be made public on our website and in respective media."

Şeker said that 13 thousand people are currently employed in SASA, including the investments, and that the company will provide a substantial contribution to the country's economy when its investments are completed.

Highlighting the fact that with the opening of the PTA facility, there will be no need to import this material, Şeker said:

"We estimate that this facility may contribute between 200-250 million dollars to our operating income with today's prices and market conditions. We import it completely from Korea and China. At least our money will not be going to Korea or China. We will not be sending our country's money abroad. This will make a huge contribution to the country's economy. 500 people working here will make a living here. Currently, people working in its construction are taking bread home. That’s to say, if we produce as many products as our country imports, our foreign dependency and current account deficit will diminish. PTA is the raw material of polyester. Polyester is a substitute for cotton and is now widespread all around the world. There are PTA facilities in the Far East, especially in India and China. But after putting this facility of ours into service, we will be controlling North Africa, Europe, and the Asian side that extends as far as India. We aim to produce and sell it all the way toward Russia."

- The target is US$1 billion of exports

Şeker stated that production capacities will increase upon putting the investments into service and said, "Our exports in 2022 were approximately US$500 million. We will probably approach US$1 billion of exports at the end of 2025; we are working on it. The aim is that with the cheaper costs you can produce it, the better you can sell it to Europe. So, if we stop buying goods from China and Korea and produce our raw materials here, our export door will open more easily. Our industrialists will compete better and find markets better." Şeker added that their investments in the center of Adana will be completed in 2025, and then they will continue their investments in the industrial facility planned to be established in the district of Yumurtalık.