Strategic relations, trade with Ankara still important for London in post-Brexit

THE U.K.’s exit from the European Union will not affect its appreciation of Turkey’s strategic value and their relations will continue, said Britain’s consul general in Istanbul.

“Our strategic bilateral relationship with Turkey will continue to be of great importance to the United Kingdom,” Judith Slater, who is also the U.K.’s Trade Commissioner for Eastern Europe and Central Asia, told Anadolu Agency (AA) yesterday.

Slater said the U.K. aims to strengthen its partnership with Turkey and make both countries more prosperous and safer.

“That means working together across a broad range of issues to facilitate regional stability and security, promote people-to-people and cultural links and growing our bilateral trade and investment,” she stressed.

She noted that the U.K.’s partnership with Turkey in leading organizations, like the G-20, the Council of Europe and NATO, is likely to become increasingly significant. “We are leaving the European Union but not turning our backs on Europe. We will continue to cultivate close, productive relations – of mutual benefit – with European countries,” she added.

Touching on the issue of a free trade agreement (FTA) between the two countries, Slater said both sides are very keen to ensure, as far as possible, a smooth transition (for post-Brexit trade relations) by putting an FTA in place before the end of the year.

“The eighth meeting of the Trade Working Group was held on June 25, 2020, and made good progress,” she said, noting that further talks are scheduled for the summer.

“Turkey’s unique position in a Customs Union with the EU means some of the U.K.’s trade (with Turkey) will be influenced by the agreement which the U.K. reaches with the EU.”

The U.K. has signed FTAs with many nations, but Ankara is unable to sign an FTA with London due to Turkey’s international commitments with the EU.

The U.K. continues to work closely with Turkey to progress their discussions to ensure that a strong trading relationship continues at the end of the transition period on Dec. 31, 2020, she said.

FTA TO FACILITATE TRADE

The U.K. government places a great deal of importance on its trade relationship with Turkey, Slater said, recalling that bilateral trade grew by over 65% between 2008 and 2019.

The U.K. is Turkey’s second-biggest export market and third-largest foreign direct investment (FDI) partner, she added.

“Ratification of a continuity FTA will facilitate future trade. We continue to promote bilateral trade and investment and are also keen to address existing market access barriers to our companies and to collaborate in projects in third countries,” she stressed.

“We believe that the U.K. is a very attractive destination for foreign investment and will continue to be so.”

Last year, the U.K. secured more FDI than Germany and France combined, continuing to hold the title of the most attractive place in Europe for FDI, she said.

“We have seen investment from big Turkish firms, like the purchase of United Biscuits by Yıldız Holding, Turkish investment in the financial sector and also the interest of Turkish entrepreneurial companies and startups, particularly in the tech sector.”

She said there is a lot of Turkish interest in investing in the U.K. and the British side is positive about the future in this area.

“But we are not complacent and recognize that the U.K. cannot sit still but needs to continue doing everything it can to make sure it remains a magnet for investors.

“Technology is one such key sector. This is very much the view of Prime Minister Boris Johnson,” she added.