Lira Crisis Not Affecting Turkish Bunker Market: Muhtaroglu

by Ship & Bunker News Team
Monday August 20, 2018

Reports that the Turkey's Lira crisis is affecting the country's buoyant bunker market are “surprising” and not reflective of the true situation, Mustafa Muhtaroglu, Chief Executive of Turkish supplier Energy Petrol, has told Ship & Bunker.

"We are working with USD so this has nothing to do with the Turkish Lira. In fact we are actually getting more support due to bringing billions of dollars in hard currency to country," said Muhtaroglu.

Istanbul’s bunker business has so far been enjoying an excellent year with volumes for the first four months up 18% to record highs of over 1 million mt.

“According to country's oil authority, EPDK, official reports show a total of 3 million tonnes sold over the last 12 months, so Istanbul players are very healthy and doing very well,”

But particularly in recent months, Turkey's economy has been under pressure following a series of U.S. tariffs and sanctions, and the country's Lira this year has fallen some 40% against the US dollar.

However, there is no connection between this and any events taking place in the bunker markets, Muhtaroglu insists.

"There is very long holiday in turkey between August 17-27, which has created a fully booked market situation from this week and increased prices due to some extra expenses during that period," he said.

"Otherwise, Istanbul keeps its position as most preferred bunkering location in the area."