Turkey intends to increase trade with Azerbaijan

By Azernews

By Leman Mammadova

Every year, trade and economic cooperation between Azerbaijan and Turkey diversifies and covers new areas. Both countries are interested in the maximum expansion of relations.

The trade turnover between Turkey and Azerbaijan reached $118.468 million in June 2019, a source in the Turkish Ministry of Trade told Trend.

In the reporting period, Turkish exports to Azerbaijan amounted to $100.575 million, while imports from Azerbaijan made up $17.893 million.

“Following the results of the first half 2019, trade between the two countries amounted to $907.661 million,” noted the ministry, adding that Turkey’s exports to Azerbaijan were $699.060 million and imports from Azerbaijan – $208.601 million.

The ministry doesn’t exclude that Turkey’s trade with Azerbaijan will exceed $2 billion by late 2019.

The source pointed out that Turkey intends to increase trade with Azerbaijan. “The two countries have enormous potential to increase trade turnover to $5 billion.”

“Last year, the trade turnover between the two countries amounted to $1.853 billion, and on the background of fraternal relations between the countries, it looks insignificant,” the ministry said.

Joint energy and transport projects are the main driving force in the economic relations between Azerbaijan and Turkey.

Azerbaijan’s investments in Turkey totaled $516 million in 2018. During the year, the biggest volume of investments from Azerbaijan to Turkey was made in November ($178 million), and the smallest - in December ($13 million). Azerbaijan accounts for almost 8 percent of all investments in Turkey.

At the same time, Azerbaijan’s direct investments in Turkey accounted for $489 million.

Azerbaijan’s total investments in Turkey are estimated at $14.5 billion, about $13 billion of which accounts for the oil and gas sector.

In turn, Turkey invested $11.8 billion in Azerbaijan, of which $9.1 billion accounts for the oil sector. Turkey invested $2.7 billion in the non-oil sector of the Azerbaijani economy, being the leading investor in this sector.

Turkey is a partner in many strategic projects of Azerbaijan. The countries effectively use their economic and energy capabilities as well as the geopolitical position to expand bilateral and regional cooperation.

All projects initiated by Azerbaijan and Turkey are implemented successfully and serve for further development and well-being of the two nations.