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WTO Publishes Turkey TPR Conclusions,
by Carla Johnson, Investors Offshore.com, London
Monday, December 10, 2007
Since its third Trade Policy Review (TPR) in 2003, Turkey has been implementing
ambitious reforms that have resulted in high economic growth, rapid disinflation,
and declining public and external debt burdens, according to a report on the
trade policies and practices of Turkey published by the WTO Secretariat this
week.
According to a WTO statement on the Review:
"An important element in Turkey’s performance is that its applied
MFN tariff on non-agricultural goods are at relatively low rates. The high level
of tariff protection for agriculture, however, has limited the exposure of the
sector to competition."
The report states that an acceleration of Turkey’s structural reforms,
extension of the scope of tariff binding commitments, reduction of bound rates,
and further tariff rationalization would help sustain its economic performance.
The WTO Secretariat continued:
"An additional favourable factor is that Turkey has moved to improve the
investment climate. As a result, Turkey’s annual Foreign Direct Investment
inflows reached a peak estimated at around US$20,000 million in 2006."
Nevertheless, the report indicated that a number of sectors are still subject
to FDI restrictions (e.g. broadcasting, fishing, petroleum, mining, and financial
services). Turkey also continues to build on an extensive network of preferential
trade agreements, due to its customs union with the EC.
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