Turkey: Economic Relations Between The UK And Turkey: NO STOPPING

Over the past decade, Turkey experienced one of the world's highest growth rates, with an average of 5.1%. This growth is also reflected in economic relations between the United Kingdom1 and Turkey2. Trade between the UK and Turkey has been growing rapidly. It has increased by almost 40% since 2009.3 2012 was the year when economic relations between the two countries reached a record-breaking level, with the trade volume amounting to USD 14.3 billion.4 Although the global economic recession affected economic relations (particularly foreign direct investment) in 2013, the two countries have maintained efforts to preserve the strength of trade relations.

Although the figures in 2013 were not as high as they were in 2012, 2013 still had promising numbers. In the first half of 2013, the UK was ranked 3rd after Germany and Iraq among the countries to which Turkey exported, with an export figure amounting to USD 4.12 billion. The United Kingdom was also ranked 1st among European Union countries with USD 148 million in direct investment in Turkey, in December 2013.5 In spite of the global recession, the number of companies in Turkey with British capital increased to 2,635 since January 2013.6

In 2012, the British government launched its most ambitious international marketing campaign: "GREAT", which is expected to last three years. GREAT's purpose is to attract worldwide interest in the UK, in sectors ranging from tourism and education to trade. According to Rafe Courage, the UK Vice Consul General in Istanbul, the UK has started to feel the positive effects of GREAT. The number of Turkish investors conducting business in the UK has increased over the past year. Florence Nightingale Hospitals, HDM Steel Pipe, Kahve Dünyası (coffee shops), Airties (modems), Koleksiyon Mobilya (furniture), Silk and Cashmere (textiles), BEKO (electronics), Sun Tekstil and the Doors Group (restaurants) are just some of the companies currently doing business in the UK.

Numbers regarding trade volume, direct investment and foreign-capitalized companies are only partial indicators. They are not enough to show the real strength of economic relations between the UK and Turkey. 2013 and early 2014 witnessed further developments to improve these relations. The London and Southeast Trade Mission was held in Istanbul on 10 February 2014, where 17 British companies7 assessed various corporate opportunities in Turkey. This visit, organized by the UK Trade & Investment Agency (UKTI), the British Consulate General and the British Chamber of Commerce of Turkey, created discussion opportunities on investment and new cooperation between British and Turkish companies. Directors of companies operating in London and South-East England met with Turkish sector and market experts and discussed the economic potential of the Middle East and South Caucasia.

Further plans for 2014 show the seriousness of the intention to make these economic relations even stronger. The British Business Summit, organized by UKTI, will be held in Istanbul on 17 and 18 March 2014. The event's main subjects are: (i) "Finance is GREAT"; (ii) "Technology is GREAT"; and (iii) "Infrastructure is GREAT".8> 500 people from both countries are expected to attend this event.

Apart from the strong economic relations between the two countries, the UK has not hesitated to show its political support for Turkey. In addition to David Cameron9 and his minister of Europe,10 Lord Green of Hurstpierpoint, UK's Minister of State for Trade and Investment, pledged the UK's full support for Turkey to become a European Union member at a conference held on 26 October 2013.11

Considering Turkey's ambition to become one of the strongest economies in the world, and the UK's intention to position itself as Turkey's partner of choice, it appears that both economic and political relations are expected to be stronger than ever over the next decade.


1 The UK is the 3rd largest economy in Europe and the 7th largest economy in the world.

2 Turkey is the 7th largest economy in Europe and the 18th largest economy in the world.

3 UK Trade and Investment, Overseas Business Risk – Turkey, 24 July 2013: http://www.ukti.gov.uk/export/countries/europe/southerneurope/turkey/overseasbusinessrisk.html

4 For further information, please refer to our article titled "Is England Becoming Turkey's Best Friend in the EU": http://www.kolcuoglu.av.tr/Home/OpenDocument/isenglandbecomingturkeysbestfriendintheeu

5 In 2012, the UK was ranked 1st with USD 1.9 billion of direct investment in Turkey.

6 Ministry of Economy, International Direct Investment Bulletin, February 2014: http://www.ekonomi.gov.tr/upload/13601A4F-E5AC-3480-01A2DFE52EB8C2DF/%C5%9Eubat2014web.pdf

7 These British companies are (i) Broglio, (ii) Talent Boutique Ltd, (iii) Whyte Chemicals Ltd, (iv) Matrica, (v) Burrell Architects, (vi) Hill Dickinson LLP, (vii) Lawrence Grant, (viii) Wine and Spirit Trade Association, (ix) Exus, (x) Eseye Ltd, (xi) Nicholas Keith Associates, (xii) ShopperTrak, (xiii) Valinor Finishes Ltd t/a Metall-FX, (xiv) Design LSM, (xv) Airbox Sampling Products Ltd, (xvi) Mediplus and (xvii) Concorde International.

8 http://www.bcct.org.tr/events/event/british-business-summit

9 David Cameron expressed his support for Turkey to become an EU member during his visit in 2010.

10 David Lidington, Minister of Europe, expressed England's continued support in December 2012.

11 "British Investor Sees Turkey as an Economic Center" ("İngiliz Yatırımcı Türkiye'yi Ekonomik Merkez Olarak Görüyor"), 27 October 2013: http://ekonomi.bugun.com.tr/turkiyeyi-ekonomik-merkez-olarak-goruyor-haberi/875839

© Kolcuoğlu Demirkan Attorneys at Law, 2014

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

Authors
Okan Demirkan
Burak Eryiğit
Similar Articles
Relevancy Powered by MondaqAI
Kolcuoglu Demirkan Kocakli Attorneys at Law
 
Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Related Topics
 
Similar Articles
Relevancy Powered by MondaqAI
Kolcuoglu Demirkan Kocakli Attorneys at Law
Related Articles
 
Related Video
Up-coming Events Search
Tools
Print
Font Size:
Translation
Channels
Mondaq on Twitter
 
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
 
Email Address
Company Name
Password
Confirm Password
Position
Mondaq Topics -- Select your Interests
 Accounting
 Anti-trust
 Commercial
 Compliance
 Consumer
 Criminal
 Employment
 Energy
 Environment
 Family
 Finance
 Government
 Healthcare
 Immigration
 Insolvency
 Insurance
 International
 IP
 Law Performance
 Law Practice
 Litigation
 Media & IT
 Privacy
 Real Estate
 Strategy
 Tax
 Technology
 Transport
 Wealth Mgt
Regions
Africa
Asia
Asia Pacific
Australasia
Canada
Caribbean
Europe
European Union
Latin America
Middle East
U.K.
United States
Worldwide Updates
Registration (you must scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions

Mondaq.com (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of www.mondaq.com

To Use Mondaq.com you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.

Disclaimer

The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.

General

Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions