Companies throughout the denim supply chain are recalibrating their strategies.
Calik Denim, known for its responsible manufacturing processes and pioneering technologies, is one of those suppliers that has restructured to address the ongoing contraction in the global fashion and denim industries. The Turkish mill has also reduced its monthly output. For 2025, it is producing 2 to 2.5 million meters of denim per month, however Calik plans to increase this to 2.5 to 3 million meters per month in the coming years.
Related Stories
“As we all know, the market was quite active for a year following the pandemic, driven by positive developments. However, global economic developments, high production costs, international policies and wars, and U.S. tariffs subsequently led to a contraction in the industry,” said Ibrahim Ethem Buyukpepe, Calik Denim’s acting general manager since February.
Consequently, the new structure has garnered significant attention and sparked rumors that Calik is shutting down. While Buyukpepe said the company is “receiving sad news such as closures and bankruptcies for many of our stakeholders in the industry,” he is adamant that Calik is not one of them.
“At Calik Denim, we continue to prepare brand-new innovations for the new season and move the industry forward with our new strategic projects,” he said.
In this lightly edited interview, Buyukpepe speaks with SJ Denim about the road ahead for Calik, the company’s unwavering commitment to quality, and its steadfast pursuit of sustainability goals.
SJ Denim: The denim industry has faced some headwinds recently. Has Calik Denim experienced any contraction in business, and if so, what have been the main drivers behind it?
Ibrahim Ethem Buyukpepe: By taking action focused entirely on effective cost management and production efficiency, we’ve reduced our monthly production from 3 million to 2-2.5 million. This, in turn, encouraged restructuring. And this allows us to continue focusing on a more core and premium-focused business, and we will increase our monthly production in the coming periods as the sector revives.
SJ Denim: What is your perspective on the increasing trend of manufacturers relocating to countries like Egypt? How does this affect your operations and strategy?
IEB: This situation particularly affects companies producing labor-intensive ready-made clothing in Turkey, and since the sector has been experiencing a cost-cutting problem for some time, with global brands lowering their purchasing prices, garment companies with the opportunity are being forced to move to Egypt to continue their production activities.
For the denim fabric producers, the situation hasn’t been as significant, and for us, Calik Denim’s shipments to Egypt have increased.
SJ Denim: With over 1,250 employees still in operation, what measures have been taken to maintain stability and morale within the organization?
IEB: This restructuring became a source of motivation, as every mechanism within the organization continues to operate more effectively and efficiently, along with our current monthly production volume. Following the current organizational restructuring, we continue to produce orders at full capacity. These incoming and ongoing orders have also bolstered our internal confidence in the restructuring. Moreover, a significant development over the last three or four months has seen us gain a new position as the denim fabric manufacturing partner of two of the world’s leading denim and fashion giants, a position that has provided us with significant motivation.
With this determination and excitement, we move forward as a Calik Denim family toward new goals.
SJ Denim: What does the new structure allow Calik to do better, or differently, compared to the past?
IEB: Compared to the past, the new structure has reduced the number of levels, making decision-making much more efficient and faster. This forms the company of an agile structure. Employee motivation, performance, and therefore effectiveness has increased. At the same time, interdepartmental collaboration has increased, further expanding the team culture.
SJ Denim: Calik is launching a new net zero strategy this fall. Can you share a preview of what this entails?
IEB: For us, sustainability has never been a trend or something we’ve implemented based on a customer demand. We’ve always prioritized efficiency in production, efficient use of resources, and producing products that are both trendy and eco-innovative for the future of our planet. This has naturally positively impacted all our processes.
As you know, when we decided we needed to take this to the next level in terms of communication, we established our “Passion for Denim, Passion for Life” strategy and its associated targets. One of these targets was to define a sound and well-founded strategy for Calik Denim to become a carbon-neutral company. Today, we are proud to announce that Calik Denim is nearing the finalizing of its net zero strategy and will launch it in the new season.
SJ Denim: How will this strategy influence your product offerings and overall operations?
IEB: Today, sustainable products and technologies constitute approximately 60 percent of all the products and technologies we produce at Calik Denim. Over the past six years, this rate has risen from around 10 percent to this level. As a result of the significant contributions made by our eco-innovation-focused products and technologies, which we have significantly increased over the past decade, we are undergoing a very enjoyable preparation process. Each target we set is even more motivating because it represents a destination that is not difficult for us to reach. As Calik Denim’s mission, with the launch of this strategy, we will naturally include all our stakeholders, along with ourselves, in this positive journey and contribute to minimizing their carbon footprint on our net-zero journey.
Advancing the industry is invaluable to us. Therefore, we will continue our work with this and many other projects, aiming to advance both ourselves and the sector.
SJ Denim: What is Calik Denim’s vision for the next 3 to 5 years?
IEB: As Calik Denim, we will continue to operate as a high-quality and reliable solution partner, ever evolving with our innovations, setting news trends, and being the first business partner that comes to mind.
In terms of production capacity, we aim to increase our premium denim production from 2.5 million meters per month to 3.5 million meters over a 3- to 5-year period.
In addition, one of our key targets is to continue collaborating with our strategic business partners in the industry to well-known by the end consumers as a reliable, innovative, and trendsetting denim fabric producer.
Furthermore, as we have always emphasized, as a leading global premium denim fabric producer, we will continue to undertake new projects in the coming period, focusing on responsible production and ensuring traceability and transparency, with the emphasis we place on the “seed to product” process. Our net zero strategy, which we will launch soon, and circular economy projects will continue to make a splash in the industry.
SJ Denim: What message would you like to share with your clients and the wider denim industry in this moment of transformation?
IEB: Denim is the textile industry’s most unique product. It’s the only thing worn by everyone, from 7 to 70, perhaps even purchased more than once each season. You won’t find this dynamic in any other industry. The only thing that fits to every age, every size, every profession, every country, every status, and every belief: denim.
While global brands are shifting to labor-intensive yet inexpensive production during this period, experience, product quality, and innovation will always maintain their strength. And we have full confidence that this stagnation will lift in the coming period, and the industry will revitalize. We wholeheartedly believe that, as our customers, suppliers, and all stakeholders, we will overcome these challenges together. And as Calik Denim, we will continue to operate with all our strength and maintain our presence as a solution partner in the industry.
