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    Categories: 2017

ANKARA: $100 bln. trade with Turkey attainable: Russian envoy

Anadolu Agency (AA), Turkey
 Monday



$100 bln. trade with Turkey attainable: Russian envoy



By Ebru Sengul

ANKARA

Turkey and Russia's desire to expand bilateral trade to $100 billion
is demanding but an attainable goal that can be realized with the help
of mutual investments globally, Russia's new ambassador to Turkey told
Anadolu Agency on Monday.

Speaking in Ankara after attending the 86th Izmir International Fair,
which runs between Aug 18 and 27, where Russia attended as a partner
country, Alexei Yerkhov hailed Turkey as a "crucial" trade partner for
Moscow in a wide range of areas including the construction sector.

"There are very serious and important investment activities for Ankara
and Moscow in our states that are not limited to only the construction
sector. Russia's biggest companies have been investing in the Turkish
economy for a long time while Turkish companies are operating very
successfully in the Russian market.

Yerkhov said that bilateral trade between Turkey and Russia started
with shuttle trade in the 1990's, but now the sphere of cooperation
has expanded to the extent now that huge infrastructure projects are
being implemented, including the Turkish Stream natural gas project
and Turkey's first nuclear plant - the Akkuyu Nuclear Power Plant.

The trade volume reached a record high in 2010 with $34 billion, a
time when political parties first voiced the target of $100 billion,
according to the Russian ambassador.

"However it is important to note that our trade volume recently
decreased extensively for known reasons as well as due to market
conditions. It dropped around 50 percent compared to levels seen seven
or eight years ago.

"Despite this, the target to increase the mutual trade volume up to
$100 billion is a demanding but attainable goal," he said.

Yerkhov underlined that both the business world and regional governors
are working hard to reach this goal, adding that an important example
to this effort is evident in the Alabuga Free Trade Zone in the
Republic of Tatarstan in which Turkish firms actively operate.

Cooperation areas

In reaching the trade volume target, the cooperation and synergy
between Turkey and Russia is key, Yerkhov said, adding that the recent
agreement between Iranian private company Ghadir Exploration and
Production Company, the Russian state company JSC Zarubezhneft and
Turkish Unit International to develop oil and natural gas fields in
Iran is a good example of this kind of cooperation.

"JSC Zarubezhneft is a very serious and successful company with
extensive experience especially abroad. This trilateral agreement is a
good example and indicator of cooperation between our countries," he
declared.

The Russian ambassador also invited Turkish entrepreneurs to avail of
a new Russian electronic payment system, branded 'Mir', which means
'peace' or 'world' in Russian.

Russia started to distribute its first electronic payment cards in
June, which areindependent from international payment systems such as
Visa Inc. and MasterCard Inc.

"I am sure that the Turkish business world would like to integrate
this system which now works only with the local ruble currency," he
said.

Eurasia Customs Union

Turkey's economy minister Nihat Zeybekci during his speech in Turkey's
Aegean province of Izmir on the opening day of the Izmir International
Fair, said Turkey wants to start negotiations on the Eurasian Customs
Union. The union comprises members of the Eurasian Economic Union
(EAEU), which includes Armenia, Belarus, Kazakhstan, Kyrgyzstan and
Russia.

In response to the question on how Turkey-Russian and Turkey-EU
relations would be affected by Turkey's aim to start negotiations on
the Union, Yerkhov asserted that the issue is more to do with
macro-economical balances, but he expressed his support for the
negotiations.

He advised, as this was a new issue on the table, that it needs to be
thoroughly investigated by Turkish and Russian experts, adding "but we
are in favor of deeper examination of this issue."

Turkish tomato imports

Imports of Turkish tomatoes to Russia were discussed in detail during
the Izmir fair both at the Joint Economic Commission level and among
Turkish and Russian experts, according to Yerkhov.

"Today, Russia meets 80 percent of its tomato demand from the domestic
market and 20 percent from Iran, Azerbaijan, Morocco, etc.," he
explained.

The ambassador highlighted the importance of two upcoming meetings to
resolve the issue, one being the joint agriculture committee meeting
to be held in Antalya on Sept. 13 and the other on Oct. 20 in a
meeting of the Joint Economic Commission in Kazan.

"I hope that if we try we can find a mutually beneficial agreement at
that time," he concluded.

After Turkey shot down a Russian military jet over an airspace
violation in Nov. 2015, Moscow took several measures against Ankara,
including banning imports of Turkish agricultural products and ending
visa-free travel for Turks.

Since last summer, Russia has relaxed the measures and lifted bans on
some products, particularly citrus fruits.

During a May 3 visit to Russia, Turkish President Recep Tayyip Erdogan
and Russian President Vladimir Putin had agreed on the resumption of
trade, including food and textiles, but with the exception of
tomatoes.

Raffi Khondkarian:
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