SUPPLY CHAIN STORIES: A MEDITERRANEAN MARKET RISES

WHAT
• $12 million Amount that a Turkish U.S. cotton fabric customer expanded our sales
• 300% Amount by which sales exceed investment in the Supply Chain Marketing Program
• 10,000 Cotton bales sent to companies in Morocco and Tunisia

HOW
• Cotton Council International (CCI) launched the Mediterranean SCM Program
 
WHY
• The program fuels a frenetically-paced Mediterranean design industry that’s ready to invest


THE SUBSTANCE

SUPPLYING DEMAND
The Cotton Council International (CCI) flagship Supply Chain Marketing (SCM) Program provides critical assistance to U.S. cotton customers around the world—enabling them to retain their market leadership.

The Mediterranean SCM Program began in 2009 to help Turkish companies that use our cotton to specifically develop new business with Egyptian, Moroccan and Tunisian garment manufacturers. The COTTON USA SCM Program also links their customers with brands and retailers in the European Union.

BIG BUSINESS
A single Turkish fabric company found extreme success with the program: new sales of U.S. cotton denim fabric are worth over $12 million, which is an estimated 10,000 cotton bales. The Turkish company itself is a stellar U.S. cotton customer, using over 98,000 bales of our cotton a year, which has a value of about $86.7 million.

PRODUCTION REGION
The Mediterranean market is critical to the U.S. cotton industry. In 2011, the U.S. exported approximately 1.9 million bales of cotton to Turkey. Turkey’s total cotton imports were about 2.8 million bales. In 2011, U.S. cotton represented 67 percent of Turkey’s total cotton imports. Collectively, all members of the Mediterranean SCM program used more than 550,000 bales of U.S. cotton valued at more than $400 million and had fabric sales worth $65 million in 2011.

BIG PICTURE
Since the launch of the Mediterranean SCM Program, CCI has facilitated a series of buyers’ tours, including Mediterranean Sourcing Forums in Antalya and Marrakech and a mill tour to Morocco that allows buyers and suppliers to meet face-to-face.

Turkish fabric manufacturers have identified nearly 150 potential new customers to more effectively focus their sales efforts. Both buyers and suppliers are pre-screened and selected on an invitation-only basis to ensure proper COTTON USA qualifications. Win-win.

“A single Turkish fabric company found extreme success with the program: new sales of U.S. cotton denim fabric total over $12 million.”