UAE, Turkey expanding trade relations

Established during Turkish President Tayyip Erdogan's visit to the UAE in July this year, the body is designed to expand and diversify the two nations' trade and commercial relations and help achieve the goals of the Comprehensive Economic Partnership Agreement, which came into force on September 1 with the aim of increasing non-oil trade to USD 40 billion within five years.

During the meeting, Al Zeyoudi and Omer Bolat, Minister of Trade of the Republic of Turkey, heralded the progress of UAE-Turkish relations and expressed optimism about the prospects of further economic integration.

During the first half of 2023, bilateral non-oil trade amounted to USD 13.5 billion, an increase of 87 per cent compared to the same period in 2022. This is almost equal to the total non-oil trade recorded in 2021 and double that achieved in 2020. Turkey is the UAE's fastest-growing trading partner among its top ten partners and the sixth largest overall, accounting for more than 3 per cent of the country's total non-oil trade. In terms of investment, the UAE's FDI into Turkey now stands at USD 7.8 billion.

Al Zeyoudi was joined at the commission by Sultan bin Saeed Al Mansoori, Special Envoy to the Republic of Turkey; Saeed Thani Al Dhaheri, UAE Ambassador to the Republic of Turkey; Mohammad Saeed Al Nuaimi, Acting Under-Secretary of the Ministry of Climate Change and the Environment; and HE Juma Mohammed Al Kait, Assistant Undersecretary for International Trade Affairs at the UAE Ministry of Economy.

The conversations during the inaugural session covered sectors such as agro-food, automotive, fintech, healthcare, water technology, infrastructure, logistics and collaboration in joint projects in third countries. With the upcoming 2023 UN Climate Change Conference (COP28) taking place in Dubai in November and December, both parties also reiterated their commitment to collaborating on energy transition projects, transitioning to a low-carbon economy and supporting the development of a circular economy.

Al Zeyoudi stated, "This Joint Economic and Trade Commission is one of the key platforms to enable us to achieve the ambitious non-oil trade targets we have established. It will allow us to identify areas of maximum opportunity for our exporters, enable us to explore priority sectors for investment, help us build consensus on digital trade frameworks, standardization and accreditation, and most importantly, reinforce trust and transparency in a relationship that is increasingly pivotal to both nations."

Al Zeyoudi went on to stress the importance of the active participation of the private sector, saying, "The Comprehensive Economic Partnership Agreement has opened the door to greater trade and investment, but it requires the cooperation and collaboration of our private sectors to fully realize its benefits. That means a forum for all stakeholders to share opportunities and discuss possibilities openly and honestly. That means a place where conversations can begin - and carry on long into the future for our mutual benefit."

Thani echoed this message in a series of business events held alongside the joint commission, which included the Turkey-UAE Business Forum and a high-level roundtable. Representatives of leading companies and investors from both countries participated in the sessions, where they held a series of bilateral meetings to exchange ideas and explore high-potential investment and partnership opportunities.

Subsequently, a total of three memoranda of understanding (MoU) were exchanged between Emirati and Turkish entities during the events, including an MoU between the Abu Dhabi Department of Economic Development and DEIK, the Foreign Economic Relations Board of Turkey; and between UAE-based Sharjah Research Technology and Innovation Park (SRTIP) and Turkey's Yildiz Technopark. SRTIP also signed an MoU with the World Business Angel Forum (WBAF).

Commenting on the success of the events in Istanbul, Sultan bin Saeed Al Mansoori said: "The UAE recognizes the immense potential of our relationship with Turkey, a likeminded, pro-growth nation that has emerged as one of the region's most dynamic economies.

It is also one of the UAE's fastest-growing trade partners and, with the UAE-Turkey CEPA now fully implemented, we are set to enjoy a new era of cooperation between our two nations--one where we can harness our joint capabilities and resources to create a wide range of mutually beneficial growth opportunities. The meetings held in Istanbul this week have highlighted the breadth of possibilities in front of us and I look forward to supporting the development of the relationships and networks they will create."

For his part, Omer Bolat said: "UAE-Turkish relations are witnessing a remarkable period of growth owing to the shared will from both sides to deepen our economic ties. This can be seen with record growth in our bilateral non-oil trade, which continues to flourish compared to previous years. We expect the value of non-oil trade will climb even further, supported by the Comprehensive Economic Partnership Agreement between the UAE and Turkey, which came into effect in early September."

He added, "Other areas of cooperation are also witnessing tangible positive developments. For instance, Turkish construction companies have undertaken 141 projects worth USD 12.6 billion in the UAE to date. This figure positions the Emirates as tenth globally for the number of projects undertaken by Turkish companies."

The visiting delegation to Istanbul included 79 participants, including senior federal and local government officials, in addition to representatives of a number of major UAE companies operating in various sectors, including trade and investment, logistics, industry, energy, technology, healthcare, environment, agriculture, food security and financial services.The second session of the Joint Economic Trade Commission will be held in the UAE, with a date set to be agreed upon in the near future. (ANI/WAM)