Negotiations to update trade agreement between Türkiye, UK to take place on June 10
Following the decision to initiate negotiations to update the existing Free Trade Agreement (FTA) between Türkiye and the UK, efforts are underway to make the agreement more comprehensive
Chris Gaunt, the head of the British Chamber of Commerce in Türkiye (BCCT), expressed optimism about the growing investment ties between Türkiye and the United Kingdom, saying that the relationship is moving towards establishing "a stronger investment environment."
Gaunt emphasized that Türkiye remains a priority market for both trade in goods and services, as well as investments.
Following the decision to initiate negotiations to update the existing Free Trade Agreement (FTA) between Türkiye and the UK, taken on July 18, 2023, efforts are underway to make the agreement more comprehensive.
The first round of negotiations to update the FTA, based on the Customs Union established nearly 30 years ago and primarily focused on industrial goods, is scheduled to take place in London during the week of June 10, 2024.
Expanding and modernizing the FTA to encompass various sectors is expected to enhance and diversify bilateral trade, further strengthening the cooperation and ties between the two countries.
The updated FTA aims to include provisions on trade in goods and services, investments, additional agricultural concessions, and comprehensive provisions.
This updated agreement seeks to establish a more robust and comprehensive legal framework for businesses in both countries, fostering an enhanced dialogue and bilateral cooperation.
Türkiye-UK bilateral trade stands at approximately $28 billion
Gaunt highlighted the enduring strength of trade relations between Türkiye and the UK, noting that they will continue to flourish.
He explained that the renegotiation of the FTA reflects the shared desire of Türkiye and the UK to expand their trade in the coming years.
"The renegotiation is centered on broadening the sectors covered by the agreement, which will naturally increase the trade volume and value," Gaunt noted.
Gaunt acknowledged the impact of the COVID-19 pandemic on bilateral trade, mentioning that it has now reached around $28 billion.
Noting the rise in exports from Türkiye to the UK, Gaunt highlighted the benefits to Turkey's economy, stating, "This increase in exports from Türkiye to the UK is significant, and it certainly boosts Türkiye's economy."
He emphasized the growing significance of the services sector in the updated FTA, saying, "We aim to enhance the agricultural engagement between Türkiye and the UK, as it is currently relatively limited. I believe the UK can offer substantial support to Türkiye in agriculture, given Türkiye's favorable environment and its status as a major agricultural producer. This is an area where the UK can assist Türkiye in achieving its goals."
Source: Newsroom
