‘TURKISH AND ARMENIAN BUSINESSMEN AWAIT NORMALIZATION OF RELATIONS’
Today’s Zaman
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Feb 16 2009
Turkey
Interviews
Kaan Soyak, co-founder and co-chairman of the Turkish-Armenian Business
Development Council (TABDC), has said Turkish and Armenian business
people are waiting for relations between their two countries to see
normalization so they can go ahead with new projects that will benefit
both sides.
One of these projects is the establishment of a qualified industrial
zone between Turkey and Armenia for cooperation in the textile sector.
Noting that Armenia is active in the textiles business abroad,
Soyak said they also have an effective marketing network in the
United States.
"We can use this to the advantage of both sides. … In Turkey, we
have machines and fabrics, and there is a labor force in Armenia. It
is possible to produce cost-effective textiles and sell them in the
United States without taxes and customs tariffs."
With that aim, the TABDC has been working with US congressmen for
years to map out the details of the project.
"But we are waiting on the improvement of Turkey-Armenia relations,"
Soyak added. Fortunately, increased and open diplomatic traffic between
Turkey and Armenia has signaled that there are more efforts under
way to normalize relations between the two countries. Turkey closed
its border with Armenia and severed diplomatic links with Yerevan
in a show of solidarity with Azerbaijan over Armenia’s occupation of
Nagorno-Karabakh in southwestern Azerbaijan in the early 1990s.
Speaking with Monday Talk, Soyak elaborated on these issues and more.
There seems to be increasing dialogue between Turkey and Armenia,
although there have not yet been any concrete steps for normalizing
relations. Do you expect a breakthrough soon?
President Abdullah Gul’s visit to Yerevan in September last
year marked a new era in Turkey’s relations with Armenia. But no
immediate further steps were taken in October or November to normalize
relations. However, serious contacts started by the end of January and
they are continuing. Foreign ministers from both sides are talking
frequently. The Turkish side wants to set up a joint historical
commission to review past events, but the Armenian side wants to see
the normalization of relations and the establishment of diplomatic
relations first. Meanwhile, some minority nationalists in the Armenian
diaspora believe this slow progress is to their advantage. Some claim
that the Armenian side is using delays as a tactic and waiting for
the genocide resolution to be passed in the US Congress first. Claims
regarding the Turkish side are about delaying normalizing relations
with Armenia to first see whether the US administration recognizes
the genocide on April 24. If there are such tactics on the both sides,
they will not bring any positive developments. Now is the right time
for both sides to sit down, settle all existing problems and not
leave any burdens for future generations.
You mentioned that only a minority of the Armenian diaspora thinks of
benefiting from slow progress in improving relations between Turkey
and Armenia. But most Turkish people would think that the Armenian
diaspora is united on its negative stance. Who is correct?
Indeed, a majority of the Armenian diaspora supports the normalization
of relations between Armenia and Turkey and the opening of border
gates, as well; however, this group will remain silent if there are
no concrete steps taken for normalizing relations between Turkey and
Armenia. And the hard-line, nationalistic part of the diaspora will
be heard much more because they speak so loudly.
You mostly deal with the business development side of the border
issue. What opportunities would opening the border bring, given
personal relations between Turks and Armenians?
Armenia is a small country, but they have a large diaspora. There are
two effective diasporas in the world: One is the Jewish diaspora and
the other is the Armenian diaspora. And the Armenians are much closer
to the values of Anatolia. We can see almost all Anatolian traditions
in the lives of Armenians even today, even if they are born in the
United States or Europe. Who would think that Armenians would serve
irmik helvası during their funerals like Turks do? Armenians are very
respectful of Islamic traditions, as well as religious holidays. The
very first phone calls always come from my Armenian friends when there
are Islamic religious holidays or holy nights. Armenians are also very
sensitive to Middle Eastern problems and deeply empathize with the
problems of the Palestinians. They are also extensively engaged in the
business world of the Arab countries — an additional value to Turkish
business circles that are willing to do business in the Middle East.
What would change in the lives of the Armenians if the border were
opened?
Armenia would benefit quite a lot financially from the opening of
the border, since they currently have to purchase materials through
Georgia, further increasing their costs. Armenia is a land-locked
country. It is an economically poor country. And there are a lot of
people who left Armenia. The population has decreased to 1.5 million
from 3 million. When they are poor, the public is easily manipulated by
nationalist sentiments. But the public is so fed up with their economic
difficulties that they are ready for the opening of the border. The
Armenian public will feel more relaxed and they will be free to
visit Anatolian cities once the borders are opened. For example, they
would start spending their weekends in Anatolian cities such as Kars,
Gaziantep, KahramanmaraÅ~_ and Malatya. Diaspora Armenians would be
very happy to regularly visit their ancestral cities.
What is the current trade volume between Turkey and Armenia and what
is the expected rise after the border gates are opened?
The trade volume is currently about $100 million a year and it is
expected to increase to $300 million. This may not be considered a high
volume for businessmen in Ä°stanbul, but this amount is important for
businesses in the southeastern and eastern provinces of Turkey. Take
the tourism sector, for example; it is one of the areas in which Turkey
may make significant gains, especially in the area of religious and
cultural tourism. The records show that 400,000 European and American
Armenian tourists visited Armenia last year. These are people who can
afford expensive visits, people in the Armenian diaspora. If they
spend $100 a day, it would add up to $40 million. And if they stay
for three days, then you have $120 million in a year. This may not
be a noteworthy amount for the businessmen in Ä°stanbul, but it is
important for businessmen in Batman or other southeastern provinces
in Turkey. It is important for those regions even if the amount is
an extra $5 million a year.
What do you think are the most lucrative sectors for Turkish and
Armenian businessmen?
One sector is textiles. Armenia was the production center of textiles
in the former Soviet Union. Armenia is still active in the textiles
business abroad. They have a very effective marketing network in the
United States. We can use this to the advantage of both sides. One
idea is to develop a qualified industrial zone or free zone in
both Turkey and Armenia. In Turkey, we have machines and fabrics,
and there is a labor force in Armenia. It is possible to produce
cost-effective textiles and sell them to the United States without
taxes or customs tariffs.
Isn’t there a need to pass legislation in the US Congress to do that?
Yes, there is. We have had initiatives in that regard. We had meetings
with both US Rep. Robert Wexler, co-chairman of the US-Turkish Caucus
in the US Congress and Frank Pallone, co-chairman of the US-Armenian
Caucus in the US Congress.
When did you have those meetings?
Since 2001, we have explained to them about our project to establish
a qualified industrial zone between Turkey and Armenia. Turkish and
Armenian textiles associations would need to pay a visit to the US
Congress to map out the details of the project, but we are waiting
on the improvement of Turkey-Armenia relations.
Isn’t this a hard task considering that the Congressional Caucus
on Armenian Issues supports the bill on the recognition of the
"genocide"? Do you think the group would be willing to back such
a development? The Armenians in Armenia say that the diaspora does
not really care about the improvement of relations between Turkey
and Armenia.
We believe the US-Armenian Caucus in the US Congress can also work
for the economic benefit of the Republic of Armenia aside from their
traditional political agenda. The people of Armenia are in need of
economic openings more than other openings today and this has to
be understood well by the members of the US-Armenian Caucus in the
US Congress.
When you try to put public pressure on Turkish or Armenian diplomats
regarding normalization of relations, what is the most difficult
situation you face?
We have been involved in Armenian-Turkish relations for about 12 years
and our experience has shown us that there are no bilateral relations
between Armenia and Turkey, but there has always been third-party
involvement. There were times that all the existing problems were
about to be solved but there were hands involved that influenced the
processes negatively in the past. Turkish and Armenian businessmen are
anxiously waiting for positive developments on the diplomatic front so
we can go forward with our projects. There is a need for the people of
these countries to determine their own future. Once the border opens,
many problems between the two countries can be discussed and solved
in the commissions that will be established.
Do you think the online petition circulated by Turkish intellectuals
offering an apology for the "great catastrophe" of 1915, to which
several thousand Turkish citizens added their names in support, has
had any effect, positive or negative, on the process of normalizing
relations?
I agree with President Gul’s remarks in this regard. Every person can
define his or her thoughts freely. On the other hand, all kinds of
statements in favor or not in favor of the petition have an influence
on the process. I cannot say negative or positive but it certainly has
an effect. Negotiations between Armenia and Turkey have progressed
very far as of today, so I personally think both governments would
welcome all public diplomacy efforts.
16 February 2009, Monday YONCA POYRAZ DOÄ~^AN Ä°STANBUL
Photo: ‘Nabucco may well pass through Armenia’
And what about the Nabucco project? Is Armenia a likely participant
in the project if its relations with Turkey are being normalized?
As we all know, due to political problems between Armenia and Turkey
and Armenia and Azerbaijan the Baku-Tbilisi-Ceyhan pipeline project
bypassed Armenia and passed through Georgia at an extra 20 percent
cost. The inclusion of Armenia in the Nabucco project is definitely
on the table. I assume parties are waiting for the normalization of
relations between Armenia and Turkey to advance in this regard.
Photo: PROFILE
Kaan Soyak Working tirelessly for normalization of Turkish-Armenian
relations
He co-founded the Turkish-Armenian Business Development Council
(TABDC) in 1997 and he is co-chairman of the organization, together
with Arsen Ghazarian, who is based in Yerevan. Soyak is also the
co-chairman and co-founder of the US-Turkish-Armenian Business Council
and the Turkish-Armenian Business Council in the European Union in
Brussels. Also co-founder and CEO of Trusa Consulting Services in
the United States, he represents several US-based security firms
on biometrics, pipeline security, tracking, secure data transfer
and secure surveillance systems in the Middle East, Turkey and the
Caucasus. In addition to his efforts to facilitate relations between
Armenia and Turkey, he is currently working on interfaith dialogue
between different religious institutions and promoting US-Turkish-Iraqi
Kurdish economic relations.