Subject:
Investment Incentives and General Supports for the Textile Sector
Reading Time:
10 Min
Date:
Dec 8, 2025
What is the Textile Sector?
Textile is an industrial branch that includes materials created by the combination of fibers, yarns, and fabrics, the methods and processes used to create these materials, and all organizations within the supply chain. The Textile Sector is one of the most important and employment-providing sectors in Turkey, covering goods obtained from the use of textile fibers, textile products, and by-products.
The Situation of the Textile Sector in Turkey and Worldwide
The textile sector holds the second highest share in the Turkish economy and ranks second among all industry branches in terms of production and export. For this reason, the textile sector is strategically important for Turkey. The rapid growth and development momentum that started in the 1980s in the textile and apparel industry has been sustained for many years. It accounts for more than 11% of the registered employment in the country and more than 25% of the unregistered employment. Turkey's textile industry, which has strong potential in many areas from cotton production to ready-to-wear production, is developing day by day.
When examining the global textile sector, it is observed that textile exports worldwide have declined since 2019. China maintains its position as the largest exporter. Following China with a market share of 39.2%, the EU comes next with a market share of 21.7%. India, which ranks third, holds a market share of 5.6%.
Leading Companies in the Textile Sector
1 | Sasa Polyester Industry Inc. |
2 | AKSA Acrylic Chemical Industry Inc. |
3 | Gülsan Synthetic Woven Industry and Trade Inc. |
4 | Merinos Carpet Industry and Trade Inc. |
5 | Kipaş Textile Enterprises Inc. |
6 | Sanko Textile Enterprises Industry and Trade Inc. |
7 | Korteks Textile Industry and Trade Inc. |
8 | Kordsa Technical Textiles Inc. |
9 | İstikbal Furniture Industry and Trade Inc. |
10 | Aunde Technical Textiles Industry and Trade Inc. |
1- What General Supports are Available for the Textile Sector?
Various supports are provided to the textile sector by institutions such as TÜBİTAK, KOSGEB, and the Ministry of Trade. Supports provided to the sector are divided into two types: project-based and general supports. The details of the supports provided to the textile sector are provided below.
TÜBİTAK Project-Based Supports
A) TÜBİTAK 1501 - Industrial R&D Project Support Program
Under the 1501-Industrial R&D Support Program, R&D projects carried out in the framework of the definition of innovation; include the production of a new product, the improvement of an existing product, the raising of product quality or standard, or the development and implementation of new techniques and new production technologies of a cost-reducing nature. The support rate of the program is applied at 75%.
Supported Expenditures | Support Duration |
Personnel Expenditures | % 75 |
Travel (Transportation Only) Expenditures | |
Tool, Equipment, Software, and Publication Purchase Expenditures | |
R&D Service Expenditures | |
Domestic and Foreign Consultancy Expenditures | |
Material and Supply Expenditures |
*There is no budget limit.
*Feasibility is required for investments over 5 million.
B) TÜBİTAK - 1507 - SME R&D Start-Up Support Program Call
The supports provided within the scope of the 1501 Industrial R&D Support Program aim to support project-based research, technology development studies, and innovation activities of Small and Medium Sized Enterprises (SMEs).
Supported Expenditures | Support Duration |
Personnel Expenditures | % 75 |
Travel (Transportation Only) Expenditures | |
Tool, Equipment, Software, and Publication Purchase Expenditures | |
R&D Service Expenditures | |
Domestic and Foreign Consultancy Expenditures | |
Material and Supply Expenditures |
*Valid for projects up to 1,200,000 TL.
KOSGEB Project-Based Supports
A) KOSGEB Technology Investment Program
https://odsdanismanlik.com/tr/kosgeb-kobi-teknoyatirim-destek-programi/
B) KOSGEB Foreign Market Program
https://odsdanismanlik.com/tr/kosgeb-yurt-disi-pazar-destek-programi/
C) KOSGEB R&D Product Development Program
https://odsdanismanlik.com/tr/kosgeb-arge-urge-ve-inovasyon-destek-programi/
KOSGEB General Supports
BUSINESS DEVELOPMENT SUPPORT PROGRAM SUPPORTS | SUPPORT UPPER LIMIT (TL) | SUPPORT RATE |
1- Domestic Fair Support | 50,000 | 60% |
2- Foreign Business Trip Support* | 60,000 | |
3- Qualified Personnel Employment Support** | 50,000 | |
75,000 | ||
4- Design Support | 50,000 | |
5- Industrial Property Rights Support*** | 50,000 | |
6- Certification Support**** | 150,000 | |
7- Testing and Analysis Support***** | 100,000 | |
8- Energy Efficiency Electric Motors Replacement Support****** | 80,000 | |
9- Independent Evaluation Support | 20,000 | |
10- Model Factory Support | 70,000 | |
11- Technical Consultancy Support******* | 40,000 | |
50,000 |
For detailed information; https://odsdanismanlik.com/tr/hibe-ve-destek-yonetimi-danismanligi/
What Sectors Does KOSGEB Support for the Textile Sector?
NACE REV 2 CODE | SECTOR NAME | NACE TYPE |
13 | Manufacturing of textile products | C |
13.1 | Preparation and twisting of textile fibers | C |
13.10 | Preparation and twisting of textile fibers | C |
13.10.2006 | Manufacturing of natural jute, linen, and other plant textile fibers (carding, combing, etc.) (excluding cotton) | C |
13.10.2014 | Twisting and yarn-making of jute, linen, and other plant textile fibers (excluding cotton) | C |
13.20.20 | Manufacturing of woven fabric from flax, ramie, hemp, jute fibers and other plant textile fibers (including woven tulle fabric from plant fiber) (excluding cotton) | C |
13.3 | Finishing of textile products | C |
13.30 | Finishing of textile products | C |
13.30.01 | Bleaching and dyeing services for fabrics and textile products (including clothing) | C |
13.30.02 | Bleaching and dyeing services for textile fibers and yarns (including scouring) | C |
13.30.03 | Printing services for fabrics and textile products (including clothing) | C |
13.30.04 | Other finishing services for fabrics and textile products (including calendaring, pleating, sanforizing, etc.) | C |
13.9 | Manufacturing of other textile products | C |
13.92 | Manufacturing of completed textile products excluding clothing | C |
13.92.04 | Manufacturing of cleaning cloths such as rugs, dishcloths, dustcloths, etc. from textiles | C |
13.92.06 | Manufacturing of bags, sacks, pouches, and similar items from textiles (used for packaging purposes) | C |
13.92.10 | Manufacturing of covers and casings from textiles (for cars, machines, furniture, etc.) | C |
13.93.01 | Manufacturing of carpets (including wall carpets) and kilims (including mats, runners, and similar textile floor coverings) | C |
13.96 | Manufacturing of other technical and industrial textiles | C |
13.96.02 | Manufacturing of lace, trim, and similar decorative items from textile materials | C |
13.96.04 | Manufacturing of woven labels, badges, patches, and other similar items from textile materials | C |
13.96.05 | Manufacturing of textile products and items for technical use (including wicks, luxury lamp sleeves, hoses made from textile materials, carrying or conveyor belts, mesh fabric, and filter fabric) | C |
13.96.07 | Manufacturing of yarn or cords made from rubber thread or cord covered or impregnated with textile | C |
13.96.08 | Manufacturing of coated or impregnated textile fabrics (including fabric for book covers, engineer tarpaulins, theater sets, canvas, etc.) | C |
13.99 | Manufacturing of other textiles not classified elsewhere | C |
13.99.03 | Manufacturing of felt, press-sensitive cloths, shoelaces, powder puffs, etc. from textiles | C |
13.99.04 | Manufacturing of textile scraps (for filling mattresses, quilts, pillows, pads, etc.) | C |
14.19.08 | Manufacturing of clothing (from felt or other non-woven fabric or from impregnated or coated textile fabrics) | C |
15.20.15 | Manufacturing of shoes, slippers, boots, and similar items from leather (excluding those made entirely of textile and orthopedic shoes and ski boots) | C |
15.20.17 | Manufacturing of shoes, boots, slippers, etc. from plastic or rubber (excluding those made entirely of textile and orthopedic shoes and ski boots) | C |
15.20.18 | Manufacturing of footwear from textiles and other materials (excluding leather and plastic ones, completely textile-made ones, orthopedic shoes and ski boots) | C |
17.24.02 | Manufacturing of wallpapers and similar wall coverings (excluding textile wall coverings) | C |
17.24.03 | Manufacturing of textile wall coverings | C |
22.19.07 | Manufacturing of rubber-coated, impregnated, plastered, and laminated textile fabrics, with rubber as the main component (excluding cord fabrics) | C |
23.91.01 | Manufacturing of abrasive products (grinding stones, whetstones, sandpaper, etc.) (excluding sandpapers attached to woven textile fabrics, paper, and cardboard) | C |
23.91.02 | Manufacturing of sandpapers attached to woven textile fabrics, paper, and cardboard | C |
25.99.05 | Manufacturing of various items made of metal (clips, combs, hairpins, hair clips, curlers, hooks, hangers, badges, ranks, closures, traps, trash bins, cigarette cases, pallets, reels, hooks, cosmetic boxes, etc.) (excluding those used in textile product manufacturing) | C |
28.94 | Manufacturing of machines used in the textile, clothing, and leather production | C |
28.94.04 | Manufacturing of machines used for extrusion, stretching, texturing, or cutting synthetic and artificial textile materials and machines for preparing natural textile fibers and weaving machines (including cotton ginning machines and carding machines) | C |
28.94.05 | Manufacturing of machines for washing, bleaching, dyeing, finishing, cleaning, squeezing, rolling, impregnating, finishing, cutting, overlocking, and similar processes of textile yarn and fabric | C |
28.94.06 | Manufacturing of textile twisting, folding, winding, or balling machines | C |
28.94.08 | Manufacturing of auxiliary machines used with textile purpose machines and textile printing machines (excluding offset printing machines, typographic, flexographic, and gravure printing machines) | C |
28.94.09 | Manufacturing of parts of machines used in the textile, clothing, and leather production (excluding those used in sewing machines) | C |
28.99.11 | Manufacturing of dryers (used in the production of wood, pulp, paper, cardboard, milk powder, and other materials) (excluding home types, those for agricultural products, and those for textile) | C |
33.12.16 | Maintenance and repair of machines used in textile, clothing, and leather production (including the repair of hosiery machines) | C |
33.19.01 | Repair of tents, camping equipment, bags, and fishing nets, and other ready-made textile materials | C |
33.20.40 | Installation services for industrial machines and equipment used in textile, clothing, and leather production | C |
38.11.01 | Collection of non-hazardous waste (trash, recyclable materials, textile waste, etc.) (excluding construction and demolition debris, branches, twigs, rubble, etc.) | E |
46.11 | Brokers related to the sale of agricultural raw materials, live animals, textile raw materials, and semi-finished products | G |
46.11.01 | Brokers who wholesale flower, plant, other agricultural raw materials, textile raw materials, and semi-finished products on a fee or contractual basis | G |
46.16 | Brokers related to the sale of textiles, garments, furs, shoes, and leather goods | G |
46.16.04 | Brokers who wholesale textile products on a fee or contractual basis (yarns, fabrics, home textiles, curtains, etc.) (excluding clothing) | G |
46.41 | Wholesale trade of textile products | G |
46.41.01 | Wholesale trade of household textile sets, curtains, and various home accessories from textile materials (including sheets, bedding sets, pillowcases, tablecloths, towels, blankets, quilts, and other furnishings) | G |
46.41.05 | Wholesale trade of other textile products (including fishing nets, sacks, burlap, ropes, twine) | G |
46.64 | Wholesale trade of textile industry machines and sewing and knitting machines | G |
46.64.01 | Wholesale trade of textile industry machines and sewing and knitting machines (excluding home types) | G |
46.64.02 | Wholesale trade of parts and accessories of textile industry machines, sewing and knitting machines (excluding those for home types) | G |
46.73.21 | Wholesale trade of wallpapers, textile wall coverings, plastic flooring, wall or ceiling coverings (including mats, rubber mats, flooring linoleum, marley, etc.) | G |
46.76.01 | Wholesale trade of textile fibers (unspun raw silk, wool, animal hair, carded or combed cotton, etc.) | G |
46.76.90 | Wholesale trade of other intermediate goods not classified elsewhere (excluding agriculture) (including corundum, rubber cord fabric, textile products for technical use (hoses, conveyor belts, mesh fabric), plastic or rubber sheets and pipes, industrial diamonds, non-food ice, etc.) | G |
47.51 | Retail trade of textile products in dedicated stores | G |
47.51.05 | Retail trade of household textile sets and various home accessories made from textile materials in dedicated stores (including sheets, bedding sets, pillowcases, tablecloths, towels, blankets, quilts, and other furnishings) | G |
47.51.90 | Retail trade of other textile products in dedicated stores (excluding haberdashery products and sewing threads; including other yarns, gas-woven fabrics, gas lamp wicks, car covers, etc.) | G |
47.53.02 | Retail trade of carpets, kilims, and other textile floor coverings in dedicated stores (including those made of felt) | G |
47.53.03 | Retail trade of wallpapers, textile wall coverings, rubber floor coverings and mats, and plastic flooring, wall or ceiling coverings in dedicated stores (including elastic floor coverings such as linoleum, marley, etc.) | G |
47.71.04 | Retail sale of other outerwear in dedicated stores (coats, jackets, anoraks, suits, jackets, trousers, shorts (made from textile fabric or knitting and crochet)) | G |
47.71.90 | Retail trade of women's clothing in dedicated stores (including those made of plastic, vulcanized rubber, paper, non-woven fabric, and impregnated or coated textile fabrics) | G |
47.72.01 | Retail trade of shoes, slippers, etc. in dedicated stores (including haberdashery except for sports shoes and those made entirely of textile) | G |
47.72.02 | Retail trade of luggage, handbags, and other travel accessories in dedicated stores (made of leather, leather composites, plastic sheet, textile materials, vulcanized (ebonite) fiber, or cardboard) | G |
47.78.30 | Retail trade of sacks, bags, etc. made from textiles in dedicated stores (used for packaging purposes) | G |
47.82 | Retail trade of textiles, clothing, and shoes via markets and fairs | G |
47.82.03 | Mobile retail trade of textiles, clothing, and shoes | G |
71.20.09 | Technical testing and analysis activities regarding physical properties (testing and analysis activities regarding the strength, elasticity, conductivity, and other physical properties of metals, plastics, textiles, concrete, and other materials as well as stress, hardness, impact resistance, etc.) | M |
74.10.02 | Other specialized design activities (including design of personal belongings and household items such as textiles, clothing, shoes, and industrial design, excluding activities of interior designers and specialized graphic designers) | M |
77.29.01 | Rental of wedding dresses, costumes, textiles, clothing, shoes, and jewelry (excluding financial leasing) | N |
95.29.02 | Repair and alteration of clothing and household textile products (excluding leather clothing) | S |
96.01 | Washing and (dry) cleaning of textile and fur products | S |
96.01.03 | Services for dyeing and coloring of clothing and other textile products (excluding those done during the manufacturing process) | S |
96.01.04 | Dry cleaning services (dry cleaning of clothes and other textile products, fur, and leather products) | S |
96.01.05 | Ironing services for clothing and other textile products (including press and cylinder ironing services) | S |
Ministry of Trade Project-Based Supports
A) Global Supply Chain Project
Support Amount: 15,000,000 TL
Support Rate: 50%
Support Duration: 2 Years
Sectors that the Global Supply Chain Support Project can be implemented in;
• Mining and Metal
• Chemical products
• Automotive
• Machinery
• Space / Aviation
• Electrical / Electronics
Other sectors may also be considered if they meet the criteria.
Items to be supported:
• Machine, equipment hardware
• Software purchase
• Training, consultancy
• Certification, testing analysis, and product validation expenses
For detailed information; https://odsdanismanlik.com/tr/ticaret-bakanligi-kuresel-tedarik-zinciri-programi/
B) Design Product Development Project
Support Amount: 5,000,000 TL
Support Rate: 50%
Support Duration: 3 Years
Sectors that the design product development support project can be implemented in;
• Designer companies
• Design offices
• Collaborative organizations
• Enterprises engaged in commercial and industrial activities
Items to be supported:
• Tools, equipment, materials, and software
• Membership to websites
• Recruitment of personnel (designers, modelists, engineers)
For detailed information; https://odsdanismanlik.com/tr/tc-ticaret-bakanligi-tasarim-ve-urun-gelistirme-programi/
Ministry of Trade General Supports
• Support for Market Entry Documents - 4,000,000 TL (50%)
• Support for Foreign Market Research - 100,000 TL per trip
• Support for Participation in Domestic and Foreign Fairs (within upper limits)
• Foreign Promotion Support 4,000,000 TL %50
• Foreign Trademark Registration Support 750,000 TL (50%)
• Foreign Unit Support 2,000,000 TL (50%)
• Support for Preparing Market Entry Project 200,000 TL (50%)
• Support for Acquiring Trademark of Foreign Company and Brand of a Company Based Abroad 3,000,000 TL %50
For detailed information; https://odsdanismanlik.com/tr/hibe-ve-destek-yonetimi-danismanligi/
2-Investment Incentives for the Textile Sector
Subjects of the Textile Sector that can benefit from regional incentive elements
Sector Code | US-97 Code | 2020 - Textile Incentive Sector and Subjects (Investment Incentives) |
4 | 17 | Manufacturing of textile products (excluding yarn and weaving investments that do not meet the conditions specified in footnote 8) |
5 | 18 | Manufacturing of clothing |
6 | 19 | Tanning and processing of leather |
7 | 1911 | Tanning, processing of leather (only for investments to be made in Istanbul Leather Specialized OSB and Tuzla OSB) |
8 | 1912, 1920 | Manufacturing of suitcases, handbags, leather goods, shoes, etc. |
47 | Smart multifunctional technical textiles |
Regional Incentive Support Elements and Rates for the Textile Sector
INCENTIVE REGIONS | 1st Region | 2nd Region | 3rd Region | 4th Region | 5th Region | 6th Region |
VAT Exemption | YES | YES | YES | YES | YES | YES |
Customs Exemption | YES | YES | YES | YES | YES | YES |
Tax Exemption (%) (2) | 15 | 20 | 25 | 30 | 40 | 50 |
SGK Employer Contribution Exemption | 2 Years | 3 Years | 5 Years | 6 Years | 7 Years | 10 Years |
Investment Site Allocation | YES | YES | YES | YES | YES | YES |
Interest or Profit Share Support (TL/Foreign Currency) | NONE | NONE | 3 Points | 4 Points | 5 Points | 7 Points |
NONE | NONE | 1 Point | 1 Point | 2 Points | 2 Points | |
Construction-Property Tax Exemption | YES | YES | YES | YES | YES | YES |
Property Tax Exemption | YES | YES | YES | YES | YES | YES |
Stamp Tax Exemption | YES | YES | YES | YES | YES | YES |
What are the Investment Amounts for the Textile Sector?
Sector Code | US-97 Code | 2020 - Textile Incentive Sector and Subjects (Investment Incentives) | 1st Region | 2nd Region | 3rd Region | 4th Region | 5th Region | 6th Region |
4 | 17 | Manufacturing of textile products (excluding yarn and weaving investments that do not meet the conditions specified in footnote 8) | For complete new investment in textile finishing 10 Million TL, for expansion investment 5 Million TL, and for other types of investment 4 Million TL. For investments other than finishing, 4 million TL | For complete new investment in textile finishing 10 Million TL, for expansion investment 5 Million TL, and for other types of investment 3 Million TL. For investments other than finishing, 3 million TL | For complete new investment in textile finishing 10 Million TL, for expansion investment 5 Million TL, and for other types of investment 2 Million TL. For investments other than finishing, 2 million TL | For complete new investment in textile finishing 10 Million TL, for expansion investment 5 Million TL, and for other types of investment 1 Million 500 Thousand TL. For investments other than finishing, 1 Million 500 Thousand TL | For complete new investment in textile finishing 10 Million TL, for expansion investment 5 Million TL, and for other types of investment 1 Million 500 Thousand TL. For investments other than finishing, 1 Million 500 Thousand TL | 1 Million 500 Thousand TL |
5 | 18 | Manufacturing of clothing | 4 Million TL | 3 Million TL | 2 Million TL | 1 Million 500 Thousand TL | 1 Million 500 Thousand TL | 1 Million 500 Thousand TL |
6 | 19 | Tanning and processing of leather | 4 Million TL | 3 Million TL | 2 Million TL | 1 Million 500 Thousand TL | 1 Million 500 Thousand TL | 1 Million 500 Thousand TL |
7 | 1911 | Tanning and processing of leather (only for investments to be made in Istanbul Leather Specialized OSB and Tuzla OSB) | 4 Million TL | - | 2 Million TL | - | - | - |
8 | 1912, 1920 | Manufacturing of suitcases, handbags, leather goods, shoes, etc. | 4 Million TL | 3 Million TL | 2 Million TL | 1 Million 500 Thousand TL | 1 Million 500 Thousand TL | 1 Million 500 Thousand TL |
47 | Smart multifunctional technical textiles | 4 Million TL | 3 Million TL | 2 Million TL | 1 Million 500 Thousand TL | 1 Million 500 Thousand TL | 1 Million 500 Thousand TL |
Support elements for Investment Incentive Certificates vary by the investment locations in regions 1, 2, 3, 4, 5, and 6. The supported investment topics for textile product manufacturing
• Textile weaving
• Textile finishing
• Carpet and kilim manufacturing
• Manufacturing of rope, thread, twine, and nets
• Products other than woven fabrics and those made from them
• Manufacturing of knitted products (tricot)
• Manufacturing of knitted and crocheted fabrics
• Manufacturing of knitted and crocheted socks
• Manufacturing of knitted and crocheted sweaters and cardigans
How Can ODS Assist You with Consulting for Textile Sector Incentives?
Since our establishment, we have provided consultancy services with our professional team to hundreds of companies in the textile sector. We continue to create the most suitable projects for your company by taking on processes such as project writing and management.
