Üç –El – walking on air

08/04/2003

For many Turkish footwear firms, production is focused on job creation while commercial gain is a secondary consideration. One producer who has a healthy balance of products, markets and business sense is Üç -El Ayakkabi of Manisa, north east of the Aegean city of Izmir.

 

Workers at his factory do three shifts over a six day week producing around 2,200 pairs of shoes per day. The footwear produced is mainly men’s and a small number of women’s and summer styles for children. Capacity at the factory is 3,000 pairs daily. In the crisis years of 1998/99 only 1,700 pairs were produced each day. Production today is 60% automated and CAD-CAM usage is nearly 30%.

 

Just under half of the factory’s output is exported and Israel is its prime market, due to this country’s quota-free conduit status with the US. Four in-house designers create 130 to 150 models per season, all items are in leather, suede or nubuck and many have pig-skin linings.

 

Instead of competing with Chinese imports, which is not an option as Uc-El’s prices average $15 to $30 FOB.  The factory’s managing director Mr Rifat Sari offers Sino-styles alongside his own to enlarge the threshold of choice and price range for Üç -El’s 300 or so customers. A specialist marketing unit called Ak-El Ayakkabi San. ve Tic. A.S. has recently been incorporated into the factory. Sales for 2003 are expected to top $6 or $7 million.

 

In a sector that has many production problems and is squeezed out by Chinese producers, it is encouraging to see a medium sized firm with a successful production model that is also competitive.