SaSaD – Turkish Defence and Aerospace Manufacturers Association

Date: Issue 88 - January 2019

Established in 1990 with the guidance of the Ministry of National Defence, SaSaD is an association founded for the development and strengthening of its members as well increasing their competitiveness. SaSaD was founded upon the purpose of providing contribution to the competitiveness of its members in the world markets and it has been presenting the joint views and suggestions of the industry to the relevant authorities for the continuation of the activities of industry’s players in a more convenient environment.

At the same time, SaSaD is the organizer of the platforms in which the national and international business negotiations are conducted, scientific issues are discussed and awareness on technologic tendencies is created. In this context, in order to support the scientific infrastructures of its members SaSaD has been organizing national and international conferences, workshops and seminars in which scientific issues, technologic developments and tendencies are discussed and where cooperation opportunities are sought. 

SaSaD gathers industry’s data every year, and issues Sector Performance reports where all these data are consolidated, analyzed and interpreted. These reports are regarded as the only report of the industry by all the relevant shareholders and also utilized as reference documents by the decision-making authorities. 

As a result of the priority adopted by the Ministry of National Defence since the beginning of the 2000s that is based on fulfilling the demands of the Turkish Armed Forces through national and domestic solutions, our industry acquired critical capabilities in aerospace and defence areas by including numerous products to its inventory and started to take its place as a competitive country in the world markets. 

One of the Ministry of National Defence’s and our Association’s strategic targets is defined as sustaining this obtained capacity through developing it.

Within this context, suggestions on the following were developed, reports were prepared to the Ministry of National Defence and were availed for negotiations:

New areas of technology aimed to be acquired in the short, medium or long term (Technology Taxonomy) and new systems and products,

Developing competition, indigenization of sub systems and components, developing and supporting subcontractors for the removal of foreign dependency on critical sub systems and components,

Maintaining the logistic support to the platforms and systems in an integrated and performance-based fashion, utilization of organic assets

Creating competent human resources required by the industry

Improvement of the provisions in the contracts in force that increase the responsibilities of the contractor significantly and affect their potential of assuming business

Contribution was provided to the Ministry of Science, Industry and Technology on the improvement of the R&D Incentives Legislation, on supporting the SMEs and increasing incentives. A memorandum of understanding was signed on supporting the Investments on Strategic Product Development and High Technology Areas for the Small and Medium Industry Development Organization - KOSGEB and SMEs.

Joint activities were executed with the Ministry of Economy on increasing the incentives towards the export of high technology products, preparation of new legislation on the incentives regarding participation in events and procurement and trade delegations (covering international events such as IDEF).

The close interest of our relevant institutions in concern with the aforesaid points and the concrete developments regarding the solutions please us on behalf of our industry. 

Our industry has been performing a highly essential and critical task in respect of the protection of our country’s future. Therefore, although the economic sizes of the industry lag far behind many other sectors, the interest it created in the public opinion and government’s perspective and approach to the industry is far beyond the expectations.

These figures indicate an increase by 12% in turnover and a 3.7% increase in exports compared with the percentages of the previous year. The Product and Technology Development Expenses reached approximately the level of the previous year yet there is a decrease of 32% in Orders Received.

The new platforms such as the National Combat Ship MILGEM Project, Main Battle Tank Project - ALTAY, Unmanned Air Vehicle Project - ANKA and BAYKAR UAV/ AUAV, CİRİT, Anti – Tank Missiles, BORA and KASIRGA Missiles, New Generation Trainer Jet (HÜRKUŞ), Patrol and Coast Guard Boats, Light Weapons and various modern ammunition, etc. of which the development and verification activities were completed will be increasing our export potential and help us take the place we deserve in the world markets. The products of the industry have been utilized fruitfully in Operation Euphrates Shield and Operation Olive Branch and are appreciated by the Turkish Armed Forces and have become the focus all over the world.

Our industry is confident about the future. Currently, around 600 projects are being conducted by the Presidency of Defence Industries (SSB). Decisions were adopted in the last two Defence Industry Executive Committees for the launch of the contract activities of new projects at an amount of $ 9.5 billion. Among the aforesaid decisions, the indigenization / nationalization projects regarding the sub systems and components that will reduce foreign dependency would be a critical step in respect to the development of our exports.

Our industry has started to take its place both in the internal market and at world markets as a powerful player. In this way, the powerful defence industry that will maintain the fulfilment of Turkish Armed Forces’ requirements through national and domestic resources will be the basis of the motto of Powerful Army and Powerful Turkey.