Domestic Supplier's Value Understood in Difficult Times

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In this issue, we discussed the developments and company activities at the point of supply with Murat ZORLU, General Manager of LED Cases, which manufactures empty cases for the Led Lighting sector.

Can you briefly tell us about your company?
Our company is headquartered in Pendik, Istanbul and we produce for led lighting sector with a team of 40 people. Our main area of activity is the wholesale supply of linear lighting profiles, injection cases, decorative products and accessories.

LED cases manufacture mold, aluminum empty case, injection and decorative products that the lighting industry needs. We are producing entirely in our own facilities. We focus on three main product groups.

In the linear profile group, we have over forty molds belonging to our company. We also produce projectors, street lamps, canopies, high ceiling fixture products as well as accessories with injection manufacturing. Finally, from our decorative product groups to the ring, drums, squares, triangles. We have special design products for projects etc. We produce products according to customers' demands.

How do you respond to these requests as a company?
Since the day we were founded, we have responded to our customers with our own products. We didn't buy or sell. We have developed and marketed products that are completely unique to us. We responded instantly by foreseeing which products our customers would demand from us and keeping our stocks strong. We did not victimize our customers by keeping our stocks ready in our factory, including our store.

What kind of organization do you have?
As mentioned above, we have three main production areas, including the retail store. We have three different facilities as a factory as it shows production differences in itself. Our injection printing plant and molding plant are in different places. Since they are industrial products, we cannot produce under one roof at the moment. Each one has to be in the independent area. In the future, we plan to turn it into an integrated facility under one roof. We plan to expand our sales store soon. The goal is to serve our customers in an area of over 4000 square meters.

What are the priorities in your products?
Our priority is customer-oriented studies. The pattern you make needs to be entirely in line with the industry and the market. We can't design and market products in our own way. Since some criteria are available, you have to produce products that appeal entirely to the market. Planning is done during the year, parameters are drawn and the trends of the next year are determined. As every year, we have brought new products to the sector with many molds. In doing so, we follow the sector and make predictions. When you make a mold, you have to calculate the cost it gives you and the profits it will bring. By evaluating the demands that come in during the year, we look at what we can produce in the next year and how we can contribute to the sector. You have to constantly develop products in the lighting industry. With the LED, the designs went out of standard. In addition to the products we design and produce based on our own ideas and predictions, we also produce products that are unique to our customers' companies. By evaluating the incoming request and combining our technical knowledge, the mold is designed and the mold we make belongs entirely to the customer.

Can you tell us a little bit about non-standard production?  
As in every sector, many products in our sector are close to one another. Standard products are ready-made products that appeal to the market. The customer buys and uses the product. Anyone can provide that. When the customer wants the mold completely to himself, we make unique products for that customer. We don't sell products from that mold to another customer. Because the customer is taking on all the costs. We have many customers who work in this way.

Since you are a supplier company, you are the one who needs raw materials the most. In 2020, prices rose to unexpected levels. What are the reasons for this?

In 2020, there was a shortage of mainly plastic and polycarbonate raw materials. Due to the negatives brought about by the pandemic process, this process has become even more troublesome. The inflow of raw materials into the country has slowed. In this process, as the 'Solution Partner' of our valued customers and standing by our promise, we did not cause any problems in terms of supply with our strong stocks. As led kasalar family, I would like to point out that this goal will always come first.

There was no shortage of aluminum supplies. But there are price increases from the LME exchange. Currency fluctuations have been the trigger for the increases. Since we have been in the trade for many years, we have gained experience for such environments. We are prepared for the negatives that will occur during the year by working in stock. Therefore, our customers do not worry.

In LED products, the case is very important. After all, you're selling a raw material that's given energy. Aluminum always takes precedence. Sometimes they can confuse us with companies that use plastic products instead of coolers. There is a cost difference between aluminum and plastic. It also carries a risk for lighting. Although they both do the same job, the quality and reliability of my aluminum is greater.

A pandemic has been declared in the world. What has changed during this period.
Unfortunately, there has been a covid-19 outbreak in our country and around the world. The effects aren't quite over yet. We don't know what the future holds. As a company, we have experienced the effects of this process. Not in a bad way, but in a business sense. Our business volume has increased a lot compared to previous years. This demonstrated the importance of the domestic supplier. Companies that had not previously requested products from us started to demand products. If there are no domestic suppliers in a country, it is not in production in that country.

The domestic supplier must be protected. Customs were particularly troubled by the lack of containers and additional taxes. There have been grievances due to delays caused by China due to china-oriented work in the LED lighting sector. That's why the prices doubled. The increase in container costs is not yet over. The domestic manufacturer found us as a remedy.

What kind of start did you make to 2021?
We have made an intensive and effective start to 2021 in terms of business. I think our business will be better with the normalization of the world. We respond to the needs of the sector with our new products as if we started a normal year. Our country has great economic potential. We strive to contribute to this. What we want is for there to be no bad events in our country. Because of our geopolitical position, there are situations around us that we don't want. I hope we get through this soon.

Finally, how do you see the future of the lighting industry?
Yes! We have been supplying products to this sector for a long time. We are aware of the companies that enter and exit the sector. In recent years, there has been a rapid uptrend in the LED lighting industry. We see the effects of LED technology, which has an innovative structure, touching the sector and our lives. Since the LED is the latest technology light source, it constantly renews itself. New designs, new products are coming up. Currently, each country has a market in itself because this technology is not spread throughout the countries. This is all about production potential. Led technology is almost nonexistent in rural areas including our country. Since LED technology is new, I believe that great potential will go a long way. What our companies need to do is to use this technology in the way it deserves by keeping the quality at the highest levels. In this respect, I recommend that people who will enter the sector create their own style with the right product. It has become part of the lighting in electronics along with LED technology. When these pieces are combined, they'll get to a good point.

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