press release

TimReport Interview with GCA General Manager Mr. Abdullah Gayret

TimReport Interview with GCA General Manager Mr. Abdullah Gayret

01-08-2019

1) How many glass containers do you produce per year and how this figure changed over the past few years? Do you plan any developments, like expansion production capacities or anything else in the coming years?

We produce between approximately 1 - 1.5 million glass bottles and glass jars per day. This figure is currently at a level we are pleased to see with our production capacity. With this being said, potential increase in our production capacity is certainly amongst our long-term plans as we grow every year with our winning customers. We consider this as an inevitable result of progress and growth, therefore in the short and mid-term we are giving our attention and priority to our Research&Development&Engineering investments. For our company, there is considered to be no limits when it comes to quality standards and thus, we are continuously trying to improve our quality and innovative products with related investments we make. Our Group has as a philosophy and corporate mission to take the lead in all sectors we operate in and be favored both in business world and by consumers as we adopt a pioneering role. As of now, we continue strong with our business partners by integrating state-of-the-art technologies into our production processes and developing fast our already globally rewarded design capabilities.

 

2) In your opinion what makes your company successful? What is the main competitive advantage of your products?

GCA, endorsing its name under high quality products and expertise in tableware glass for 20 years, has been constantly making investments necessary for the quality glass packaging manufacturing. From design to production and sales, our teams work to deliver customer satisfaction and high quality services and products to our customers.

Since GCA is targeting absolute customer satisfaction, services are designed according to the needs of our customers. GCA carries out a service innovation in its industry and assigns Customer Project Coordinators within its engineering teams to its customers. The Customer Project Coordinators are the main contact people for our customers and act as spokespersons within our Company, bringing the “voice” of our customers to all our corporate functions.

We, at GCA, are aware about the significance of offering your products in a healthy, high quality and eye-catchy manner. GCA provides our customers with the products to help this happen. From design to manufacturing, our teams do their best for customer satisfaction and our customers to receive high quality services and products.

Our manufacturing systems have been designed and certified in accordance with the BRC IoP Product Safety System. This Certificate guarantees that the products leaving the system are offered to business partners directly without any physical or chemical contamination. Furthermore, our entire glass packaging manufacturing processes are carried out and supervised in line with the ISO 9001 Quality Management System.

For the purposes of providing the values undertaken by GCA in the glass packaging manufacturing specifications various laboratory tests are undertaken. First “polariscope” is used to verify the internal tensions measured in the automatic quality control equipment, then thermal shock resistance, vertical load strength, side impact strength, coat thickness, internal wall thickness distribution of the products are tested and measured in the automatic quality control machines as well as glass color of the products via spectrophotometer equipment.

 

3) What is the present situation in the hollow glass market in Europe and in Turkey? Do you notice any problems with demand, oversupply, prices, raw materials or anything else?

Turkey has a high potential in terms of resources used in the glass industry and its population growth. Therefore, Turkish glass industry has the opportunity to purchase a high proportion of its raw materials from domestic and convenient resources. In this case, this may give glass packaging manufacturing companies a competitive advantage in terms of cost of production and quality of raw material. Turkish glass containers are trusted with their reliability and quality not only in Turkey but also in neighboring countries. Availability of resources and consumption enable the volume of the domestic market in Turkey expand every year. Together with the consumers' awareness of glass packaging, the demand is also is growing annually.

On the other hand, the glass packaging industry is an energy-sensitive business, because of this fact local fluctuation of exchange rates affects fuel and electricity prices, resulting in difficulties in cost supervision and business complexities.

If we look at the glass packaging production at European level, the industry grew by 1% in volume (tonnes) and by 1 % in unit terms in the first half year 2018 compared to previous half year according to data published in February by the European Container Glass Federation, FEVE.  The growth is in line with the Year 2017 data recording a growth by 2% in weight terms and 2.3% in units and comparing favorably with the historical trend since 2012. Between 2012-2017, production has increased by almost 1.7 million tonnes (8.3% increase) or 6.4 billion units (8.9% increase). Generally, all food and beverage market segments experienced a demand growth for glass, and the outlook is very positive for the upcoming years.

Due to mediatic and political attention given to the “marine littering” issue all over the world, not only plastics but all packaging materials are obviously under the spotlight, and consumers are more and more attentive to the way products are packed. In fact, this can drive product choice: the Friends of Glass research reveals that 73% of Europeans rate glass as the most ocean-friendly packaging, 78% rank it amongst top packaging choices when buying their food and beverage products, and 1 in 2 consumers say they use more glass than three years ago. In Turkey GCA is taking the lead in communicating the sustainability advantages of glass with its 100% and infinitely recyclable properties.

 

4) Do you expect growth in sales in the coming years? Do you export any glass containers? Any changes in this direction?

GCA is a company that provides service quality at a global level, which enables us to be a trustworthy supplier for international companies and countries. We currently carry out export operations in multiple countries and regions, especially in the neighboring region of the Middle East, Africa and Europe.

There is no doubt that we always try to stay up-to-date with global trends in our industry and increase our market share in international markets. For this purpose, we participate in several of the most important international food and beverage fairs and trade shows such as Anuga in Germany, Gulfood in Dubai and Sial in Paris. This lets us meet with the top food and beverage companies that are pioneers in their related sectors.

In Turkey, we participate in the Eurasia Packaging Fair that is held once a year, hosting both local and global businesses opening new opportunities for us to hold various meetings and

acquaintances leading to new projects. This year this organization will take part between 23-26 October 2019 in Istanbul Tuyap Fair and Exhibition Center and we would welcome all our guests to our booth in the 5th aisle.

Apart from our active participation in trade exhibitions and organizations, we are also utilizing intensively from digital media, which lets us reach our B2B target audience and increase our brand awareness in our target markets.

 

5) What are the other main trends in the hollow glass industry in Turkey?

Global trends are changing with an unstoppable pace in the world, which also applies for Turkey. As GCA, we always try to keep up the pace with the most updated consumer and market trends. Especially in today’s age, the change of tendencies is even faster and the glass packaging industry is greatly affected by them. Today, how well we follow the trends determines the quality of services we provide to our customers who we consider as business partners.

A few of the latest consumer megatrends affecting as well the hollow glass industry in Turkey, would be considered “the emphasis on Healthy Living”, “premiumisation”, “Experience More” and “Ethical Living”.

Glass packaging, which does not interact with any of the ingredients stored inside because of its high chemical resistance, ensures that the taste, smell and flavor of the food and beverage be kept unchanged for a long time. Therefore glass packaging is preferred more and more by those who care about a healthy life.

Premiumisation is another trend which is very much observed in food and beverage categories. There are more brands who launch either new product ranges with premium positioning in the market, or new sub-brands positioned under their masterbrands in several sub-segments in the food and beverage categories. As GCA, we see an interesting tendency in the bottled water category, more and more brand owners opting for glass bottles as packaging to position themselves in more premium segmentation.

Consumers today are not only looking for daily consumption of consumer goods, but expect to get a higher value from their purchase. Thus, they demand brands to adjust their marketing and social responsibility activities accordingly. Since 2017 we, as a glass packaging manufacturer company, are trying to communicate on behalf of sustainability aspect of glass which is 100% and endlessly recyclable to consumers in Turkey. We support the “Endless Ocean” campaign in collaboration of European Glass Container Manufacturers Association, FEVE and its communication channel Friends of Glass. Larger commitment to the concept of responsibility for the environment has a positive effect on the popularity of glass packaging thanks to its nature-friendly structure.