Photo: TKİ
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The Turkish Coal Operations Authority (TKİ) has lost money in the cosmetic business it started in 2016, destroying a total of 48,500 expired products.
The TKİ entered the sector with the "Elegance" brand and produced 11 types of products, including shampoo, depilatory cream, sunscreen, face mask, wound healing cream, soap, night cream, and anti crepey skin cream.
The Court of Accounts stated in its 2017 reports that the TKİ cannot compete with the brands in the cosmetic sector and suggested that it would be a better strategy for it to sell humic acid, a byproduct of coal, as raw material to firms in the cosmetic and agricultural sectors.
The reports had also noted that 40 percent of the products would expire by September 2019 and 60 percent would expire by April 2019 and that the raw materials used in production were also about to expire.
Until 2018, about 2.1 million lira (~370 thousand US dollars) were spent for the promotion and retail of the product. The TKİ also paid 4.7 million for a year to Genius consultancy firm and made separate payments to it for packaging and marketing costs. (HA/VK)