Türkiye's geographical position, bridging continents, establishes it as a critical nexus for international trade. Istanbul, in particular, offers strategic advantages for the distribution of high-value agricultural products. Efarms is developing a 49,000 m² hydroponic greenhouse and a CO₂ extraction facility for medicinal and aromatic plants in Çeltik Village, Silivri, Istanbul, Türkiye. This project leverages the region's logistical capabilities to serve global markets with precision-cultivated products.
Geographic and Logistical Advantages
Istanbul's location facilitates efficient access to key international markets. The city serves as a natural hub for connecting supply chains between Europe, the Middle East, and beyond. This proximity to major consumption centers, including the EU, Middle East, and USA, reduces transit times for perishable goods and specialized processed products. The site in Silivri, Istanbul, is well-positioned to capitalize on these established trade routes.
The existing infrastructure around Istanbul supports multimodal transport options essential for a diverse product range. Air freight, sea routes, and overland networks provide flexibility for distributing fresh herbs, dried botanicals, essential oils, and CO₂ extracts. This ensures products reach destinations with maintained quality and timeliness, addressing the specific demands of the medicinal and aromatic plant sector. The strategic location contributes directly to the operational efficiency of the supply chain.
Advanced Cultivation and Processing Capabilities
Efarms employs controlled-environment agriculture (CEA) for the hydroponic cultivation of medicinal and aromatic plants. The project features a modern gothic-type greenhouse, covering a production area of 49,000 m² on a 61,372 m² land parcel. This facility is equipped with full automation for irrigation, fertigation, and climate control, ensuring optimal growth conditions. Sensors and remote monitoring systems provide continuous data on plant health and environmental parameters, supported by an on-site meteorological station. This integrated approach aims to deliver consistent product quality and yield regardless of external climatic variations.
The cultivation program focuses on specific botanicals, including peppermint, lemon balm, thyme, rosemary, sage, geranium, sweet basil, and purple basil. The product portfolio includes fresh and dried herbs, essential oils, CO₂ extracts, and hydrosols. A dedicated 1,000 m² CO₂ extraction facility houses a 500 L supercritical system, composed of two 250 L units. This system is designed to process 150 kg of biomass per batch, operating two batches per day for 300 days annually, resulting in a projected 90,000 kg of biomass processed per year. Additionally, a hydrosol line is integrated, projected to produce 71,550 L per year without requiring additional capital expenditure, leveraging existing infrastructure.
The project adheres to established compliance frameworks to meet international market requirements for quality and safety. These frameworks include İyi Tarım (Turkish Good Agricultural Practices), EU market requirements, CBAM, EU Taxonomy, and AAOIFI. Such adherence is designed to facilitate market entry and acceptance across various jurisdictions, providing assurance to international offtake buyers.
Market Access and Regulatory Alignment
Efarms targets diverse markets, including Türkiye, the EU, the Middle East, and the USA. Türkiye's existing trade agreements and geographical proximity are significant factors in facilitating efficient access to these regions. The established logistical infrastructure around Istanbul supports the necessary distribution networks for both fresh and processed botanical products, enabling timely delivery to international clients.
The project's operational protocols are designed to align with international regulatory standards. Compliance with EU market requirements, including considerations for the Carbon Border Adjustment Mechanism (CBAM) and alignment with the EU Taxonomy for sustainable activities, is integrated into operational planning. Furthermore, adherence to AAOIFI standards is considered for specific market segments. This strategic alignment addresses potential trade barriers and supports the unhindered export of specialized agricultural products, enhancing market confidence.
Operational Efficiency and Scalability
The full CEA build cost for the Efarms project is 112.62 USD per m², delivered on a turnkey basis. This cost includes comprehensive heating and cooling systems. The project timeline indicates setup and commissioning are projected for completion within 7 months. First harvest and revenue generation are anticipated from month 3 after installation, demonstrating a relatively rapid operational ramp-up.
Greenhouse operating projections indicate an annual yield of 3,469,400 kg after accounting for a 5% loss. The feasibility base case projects an average price of ₺45 per kg for the cultivated products. The consolidated project represents a total investment of ₺346,306,214. Total annual net profit after tax is projected at ₺81,130,734, with a consolidated payback period estimated at 4.27 years. These figures are based on internal feasibility studies.
Current project completion status indicates that ₺43,071,610 has been invested, representing 16.11% of the total project. Efarms has plans for future expansion, with an additional 250,000 m² module envisioned. The sector for medicinal and aromatic plants demonstrates a consistent growth rate of approximately 8% per year, indicating potential for sustained market demand and future project scalability.
Efarms invites interested parties to examine how the project structures participation and to learn more about the investment structure.