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Business Weary of Border Dispute

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Friday, January 19, 2007. Page 4. (javascript:window.print();)
Business Weary of Border DisputeBy Hasmik Lazarian
Reuters

YEREVAN, Armenia — The Turkish-Armenian border has been shut for 14
years because of a dispute rooted in the centuries-old suspicions
between Muslims and Christians in this remote part of the world.

But the business communities in both countries pay heed to a different
imperative — making money — and they are telling their political
leadersto put the past behind them.

"I want the borders opened," Turkish businessman Kaan Soyak said on
the sidelines of a conference in Armenia’s capital over the weekend
that brought together business leaders and officials from both
countries.

"The first problem is the lack of trust. Turks don’t know Armenians,
and Armenians don’t know Turks because there is no connection. … We
need more dialogue, more visits."

Turkey and Armenia share a 355-kilometer frontier that snakes through
the Caucasus mountains.

Ankara closed all border crossings and cut diplomatic ties in 1993 to
pr otest the seizure by Armenian forces of territory in Azerbaijan,
Turkey’s historical ally that at the time was fighting a war with
Armenia.

Lurking in the backdrop are Armenian accusations that Turkey carried
out a genocide of 1.5 million Armenians during the last days of the
Ottoman Empire.

Turkey denies that there was a genocide, a stance that has complicated
its bid to join the European Union.

These, however, are not the most immediate concerns for businesses
struggling to operate in this isolated corner.

For Turkey, the closed border means building materials and textiles it
exports to the booming Russian market have to go by road via Georgia
to the north, instead of using the cheaper but now rusting railway
route through Armenia.

Armenia, under virtual blockade because its border with Azerbaijan to
the east is also closed, has to import goods from Turkey by air or
through third countries. And Armenian exports have to go around
Turkey.

"There are two aspects: [opening the border] will make trade with
Turkey cheaper and on the other hand it will open up transit routes
for Armenia to the Mediterranean," said Arsen Kazaryan, an Armenian
businessman.

With no sign of any diplomatic thaw soon between Yerevan and Ankara,
business groups are trying to ratchet up the pressure for the border
to bereopened.

The conference, at Yerevan’s plushest hotel, was organized by a
U.S.-based think tank and attracted several hundred entrepreneurs,
economists, researchers and officials.

It was supported by the U.S. government. All speakers were in favor of
reopening the border.

A cross-border business lobby, the Turkish-Armenian Business
Development Council, is spearheading the campaign.

Mayors and regional bosses near the border with Armenia in eastern
Turkey — one of the poorest parts of the country and the area that
would gain most from free trade links — are also pressing Ankara on
the issue.

Soyak, co-chair of the Business Development Council, said opening the
border would mean a flood of Armenian tourists visiting historic sites
in eastern Turkey like Ani, once the capital of a medieval Armenian
kingdom.

"That would mean $100 per day [from each visitor]," he said. "The
eastern part of Turkey doesn’t have that sort of
money. … Unfortunately, the central government in Turkey does not
take into consideration the problems of the eastern part."

In the meantime, people in Turkey and Armenia are not waiting for the
politicians.

Charter flights regularly take Armenian tourists to Turkish holiday
resorts and Turkish businessmen can be seeing cutting deals in hotel
lobbies in Yerevan.

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