Turkish Wafer Giant Officially Declares Bankruptcy

In a significant blow to the regional food production sector, the Bursa 1st Civil Court of Intellectual and Industrial Rights has officially ordered the bankruptcy of the Turkish wafer giant Master Choco Gıda. Despite an eight-year run that saw the company become a major player in wafer and chocolate production, a final attempt to restructure its debts via a concordat (debt restructuring) agreement was rejected by the court on March 29, 2026.

The Court’s Ruling: Rejection of Restructuring

Master Choco Gıda had previously applied for a concordat to manage its widening “economic bottleneck.” However, the court found the company’s recovery plan insufficient.

• The Verdict: The concordat request was rejected, and the company was officially declared bankrupt.

• Immediate Effects: All precautionary measures protecting the company from creditors have been lifted. The court-appointed concordat commissioner has been relieved of duty, and the liquidation process is expected to begin shortly.

A Tale of Two Companies: Master Choco vs. Master Bronz

Interestingly, the court delivered a split decision for the two entities within the same corporate group:

• Master Choco Gıda: Declared bankrupt due to an inability to prove future solvency.

• Master Bronz: The court ruled that bankruptcy conditions had not yet been met for this subsidiary. It has been separated from the Master Choco legal proceedings, allowing it a temporary lifeline to continue operations.

Rapid Rise and Sudden Fall

Founded in 2018, Turkish wafer giant Master Choco Gıda was a success story in Bursa’s industrial zone before the current economic downturn.

• Production Capacity: At its peak, the firm produced 12 tons of wafers and chocolate products per day.

• Infrastructure: Operated out of a 2,000-square-meter indoor facility, focusing on industrial-scale confectionery manufacturing.

• The “Bottleneck”: Like many firms in the Turkish real sector (which saw a total FX deficit of $197.6 billion earlier this year), Master Choco likely struggled with rising raw material costs (cocoa/sugar) and high-interest financing.

Strategic Context: The 2026 Bankruptcy Wave

The fall of Master Choco reflects a broader trend in the Turkish manufacturing sector. As policy rates remain high (currently at 37% per Deutsche Bank’s latest reports), companies with high leverage and low liquidity are finding it increasingly difficult to secure the “breathing room” provided by concordat laws.