The Turkish lira has slumped to a record low amid political and economic turmoil in the country. Turkish currency has fallen against the dollar by as much as 40 per cent this year. The drop makes Turkey a cheaper option than before, which may tempt new business. The price to import will become much cheaper, but there are risks associated with that because of the uncertainty in the economy.

However, it has pushed up the cost of any loans taken out by manufacturers denominated in US dollars by more than a third. A lot of Turkish businesses could go bust in the next two or three months. It’s a disaster for manufacturing – not just on clothing but all industries.

Although more expensive than their counterparts in Asia, Turkish manufacturers can offer faster delivery times and the flexibility to repeat in season, which has led to many UK retailers and brands to move some production to the country.

Political instability has deterred many UK companies from investing in ranges sourced from Turkey. Though such sourcing is cheaper, Turkey’s political instability may weigh on brands when deciding on their sourcing options. Turkey is high up on the scale of risk – as high or higher than Bangladesh.