European companies eye bypassing sanctions over Russia via Turkey

European companies eye bypassing sanctions over Russia via Turkey

ISTANBUL – Anadolu Agency
European companies eye bypassing sanctions over Russia via Turkey


Many European companies have requested to sell goods and services to Russia via Turkish companies to bypass the sanctions on Russia, but local companies have not accepted such offers, Turkish Exporters’ Assembly (TİM) head Mehmet Büyükekşi has said.

“Many European companies want to continue to export to Russia, but they cannot do so due to the sanctions on Russia. I know many European companies have asked to export to Russia via Turkish companies, but Turkish companies do not want to do this because they do not find this strategy sustainable,” Büyükekşi said on Jan. 27 at a meeting to announce the TİM's “Exporting Realizations for Q4 2014 and Expectations for Q1 2015."

He noted that Turkey’s exports to Russia decreased by 15 percent in 2014, while adding that Turkish exporters know Russia well and can make in-depth analyses to boost exports.

Russia has been one of the main target markets for Turkey's biggest exporters in the first quarter of 2015, along with the United States, Japan and France, he said, adding that for smaller exporters Argentina, African countries, Iraq and Iran were rising as popular markets.

“We especially need to find markets where we can sell our goods and services in the dollar, due to the recent changes in exchange rates,” he said.

The biggest problem for Turkish exporters is high input and energy costs, according to the TİM survey, with many saying that they want to see a recovery in the input costs to overcome the disadvantages arising from the exchange rate fluctuations and conflicts in the regional markets.

Some 38.6 percent of Turkish exporters said they expected an increase in exports in the first quarter of 2015, according to the survey.