Kastamonu Üniversitesi İktisadi ve İdari Bilimleri Fakültesi Dergisi, cilt.12, sa.2, ss.410-418, 2016 (Hakemli Dergi)
In the Ottoman Empire, industrialization attempt was performed through the
government after 1840. The major problem in the factories founded in order to meet the
requirements of the state was the scarcities in the import of technology and raw materials. As a
result of the inadequate employment of the qualified workforce, foreign workforce had to be
preferred. The high cost of workforce and raw materials affected the operations of the factories
in a negative way. The private industry enterprises founded after 1880 were supported with tax
immunities by the government. Karamürsel Baize, Kerseys and Fes Factory was supported with
customs and real estate tax immunities taken from the import of raw material for 15 years. Loan support was provided for land supply to the Karamürsel factory during the foundation phase.
The privileges demanded throughout the empire were realized after decided by the Council of
State Tanzimat Department. The state developed the promotion system in order to eliminate the
problems on technology and raw materials supply of the private factories.