Last Updated on 04/12/2023
The current UK-Turkey trade agreement is poised for growth, as Foreign Minister Hakan Fidan revealed plans for expansion during a joint press conference in Ankara with his British counterpart James Cleverly. The objective is to broaden the scope of the bilateral trade volume, which, under the existing agreement inked in December 2020, approached nearly $20 billion in 2022.
Strengthening Bilateral Ties and Diversifying
Both countries engaged in discussions on regional and global issues, covering topics such as the Ukraine conflict, the restoration of the Black Sea Grain Initiative, and the Syria crisis. Minister Fidan underscored the successful collaboration in the tourism sector, emphasizing the UK’s position as a leading contributor to Türkiye’s tourist arrivals. Additionally, Cleverly highlighted the importance of the bilateral relationship, describing Türkiye as an “indispensable partner” crucial to the UK’s overall security and well-being. He acknowledged the increasing trade volume between the two countries and announced their intention to negotiate a new, enhanced free UK-Turkey trade agreement. This initiative aims to leverage opportunities in the 21st century, encompassing digital trade and trade in services.
Stepping into the Future: Advancing Strategic Cooperation
Both sides also emphasized the significance of collaboration in the defense sector. Fidan emphasized their shared dedication to advancing strategic cooperation through tangible initiatives. He highlighted the importance of the Türkiye-Iraq Development Road project, which involves Türkiye, Iraq, the UAE, and Qatar. The project aims to create new trade routes and strengthen economic connectivity in response to recent geopolitical changes. Additionally, it stands out as one of the most crucial UK-Turkey trade agreement to date.
Discovering Innovative Economic Routes for Development
In the dynamic global landscape, the importance of alternative economic frameworks is becoming increasingly apparent. Fidan highlighted recent developments, such as the trade agreement concerning the India-Middle East-Europe Economic Corridor (IPEC), while also noting the skepticism among experts regarding its rationale and efficiency.
He also underscored another pivotal economic initiative: the Development Road project, which stands as a significant UK-Turkey trade agreement thus far. Originating from the Gulf of Basra and traversing through Iraq, Turkey has actively engaged in discussions with key stakeholders, including Iraq, the UAE, and Qatar. The goal is to finalize official documentation and initiate the project in the coming months. This forward-thinking approach aligns with Türkiye’s strategic vision for economic expansion and global connectivity.
Benefits of a Broadened UK-Turkey Trade Agreement
The UK-Turkey trade agreement presents promising advantages for both nations. As they work towards concluding the upgraded trade pact, the potential for growth in various sectors is anticipated to thrive. One significant benefit lies in the prospect of enhancing economic development through heightened trade volume and a more diversified range of trade activities.
Furthermore, the expanded trade agreement is projected to encompass essential facets of the contemporary economy, including digital trade and services. In an increasingly digitalized world, addressing these areas within the trade agreement is essential to remain pertinent and competitive in the global marketplace. The UK-Turkey trade agreement has the potential to stimulate innovation, facilitate technology exchange, and encourage collaboration across diverse sectors.
Fostering Regional Stability and Economic Connectivity
Beyond the economic benefits, a strengthened UK-Turkey trade agreement can contribute to regional stability and connectivity. Both countries, as strategic partners, can work together to promote peace and stability in their respective regions and beyond. Besides, collaborative efforts in addressing regional and international issues discussed during the joint press conference demonstrate the commitment to a shared vision of a stable and prosperous world.
At the same time Turkey is engaging in other projects enhancing economic connectivity through projects like the Türkiye-Iraq Development Road that can play a pivotal role in transforming the economic landscape of the region. This development project has the potential to act as a catalyst for growth, promoting trade, investment, and cooperation among nations involved. Meanwhile, expanding and strengthening the UK-Turkey trade agreement is a testament to the enduring friendship and cooperation between these two nations. It paves the way for a brighter, more mutually beneficial future, promoting economic prosperity, stability, and collaborative global growth.