Public economic enterprises and privatization practices: The examples of sugar factories

Even though the model of liberal economic system had been adopted in the establishment years of Republic, for a variety of reasons it was failed to put it into practice. In the 1930's the scene occured both in national and international fields obligated public enterprises to be formed and spread country-wide, rapidly. However, in Turkey, in the time period of 1930's to early 1980's, liberal policies were attempted to be practiced from time to time; in general, the policies, which were adaptable to mixed economy model where public business and private sector placed together, were established and implemented. The 1980 and afterwards are the years when privatization practices were brought to agenda in accordance with the neoliberal policies and free market came into prominence. The New Right tought and as its reflection, new public management have been a guide for the idea of privatization to be improved and spread. Sugar with its by products has an important roles of advancement of agro-industry and especially, development of rural areas. Turkey, the 5th on producing sugar from sugar beet in the world, has an important role among other countries. In this research, along with the data obtained from literature rewiev and reasons, of privatization practices and its effect and results evaluated from a general theoretical frame. Privatization in sugar sector, primarily, the reform practices in some EU countries have been examined after that the current situation of the sugar sector in Turkey and its privatization have been analyzed.