Regarding the foreign trade between Turkiye and Saudi Arabia, Minister of Trade Omer Bolat said, “Our goal is to increase mutual trade to $10 billion in the short term and $30 billion in the long run.”
Speaking at the Turkiye-Saudi Arabia Business Forum held at the Headquarters of the Foreign Economic Relations Board (DEIK), Minister of Trade Omer Bolat said that the economic and commercial relations between the two countries are getting stronger day by day in the direction of the heads of state.
Bolat said, “As a matter of fact, our trade volume, which was $6.5 billion in 2022, continues to reflect the real potential and to turn into a more integrated economic and commercial relationship in 2023 with an increasing momentum. As of the first 6 months, we have reached a foreign trade volume of $3.4 billion. Our goal is to increase mutual trade to $10 billion in the short term and $30 billion in the long term.”
Stating that the two countries are in a very strategic position at the crossroads of Europe, Asia and Africa, Bolat said that Turkiye and Saudi Arabia have strong potential in trade and investment thanks to their strong infrastructures, world-integrated economies, competitive markets and an entrepreneurial business world.
Noting that exporters have become the reliable business partners of Saudi Arabia in many products and sectors, Bolat said that contractors have put forward projects worth more than $25 billion in this country.
“We hope to start negotiations on a free trade agreement as soon as possible”
Pointing to the opportunities between the two countries, Minister Bolat said, “Now, one of our priorities is to increase the scope of our trade and product diversity. As the decision makers of strategic partners, Turkiye and Saudi Arabia, our duty is to remove and solve the existing and potential problems between the two countries. As the governments of both parties, we will continue to work with all our strength on this issue.”
Stating that the establishment of the free trade agreement, which they see as one of the most important tools that will accelerate bilateral relations, came to the fore, Bolat continued his words as follows:
“In May, we started exploratory talks between our country and the Gulf Cooperation Organization, of which Saudi Arabia is a member, to sign a free trade agreement. We hope to start negotiations as soon as possible, to conclude this process successfully and to present the free trade agreement to the business people of both countries. Another issue is mutual investments. As a legal framework, we have a strong infrastructure for mutual investments, with both the mutual protection and promotion of investments agreement and the double taxation avoidance agreement.
“Today, more than 1,400 Saudi companies do business in Turkiye”
Stating that Saudi Arabia’s investments in Turkiye have exceeded $2 billion since 2002, Minister of Trade Bolat said that today more than 1,400 Saudi Arabian companies are evaluating investment opportunities and doing business in the country.
Bolat said, “We believe that our mutual investments will reach much higher levels in a short time with our comprehensive investment incentive programs that offer conveniences for each investment.”
Referring to President Recep Tayyip Erdogan’s visit to Saudi Arabia in the coming days, Bolat stated that this visit has a historical importance in terms of the course of investment and commercial relations.
“Our contractors are ready to undertake projects in Saudi Arabia”
Stating that one of the leading sectors between the two countries is contracting, Minister Bolat mentioned that they had numerous meetings with Majid Al-Hogail, Minister of Municipality, Rural Affairs and Housing of Saudi Arabia, in Ankara yesterday.
Bolat, who shared information on the power of the Turkish contracting sector, said the following, “Our contracting companies, which have proven their quality with speed, service, quality performance and international projects, want to take part in many projects of Saudi Arabia, especially Noam, Diriyah Gate, Qiddiya, Amalla and Red Sea, which are among the 2030 Vision Projects of Saudi Arabia, and are ready for cooperation and partnership in this regard.”
Bolat talked about the latest technological developments, innovative approaches and their competencies in smart cities, and said that they follow the opportunities in this field in Saudi Arabia and that they will be very happy to share their knowledge and experience on smart cities.
Stating that the guest minister specifically invited Turkish companies to the “Cityscape Riyadh-Real Estate and Construction Fair” to be held in Riyadh on September 10-13 this year, Bolat said, “We want to see them strongly. They made an invitation saying, ‘We are giving Turkiye the opportunity to exhibit their best projects by allocating a special fair area’. I also invite Turkish companies to take their place here.”
“It was stated that there is a positive approach to Turkish companies”
Minister of Commerce Bolat stated that Saudi Arabian Minister of Municipality, Rural Affairs and Housing Al-Hogail stated that they show a positive approach to Turkish companies in the registration processes in Saudi Arabia and the classification procedures for the jobs they can take.
Bolat thanked Guest Minister Al-Hogail for his positive approach and said:
“They stated that they trust Turkish companies and support our companies. As you can see, there are many areas where we can improve the economic cooperation between Turkiye and Saudi Arabia. We have evaluated all these areas with all their dimensions. The most important issue here is to strengthen the communication of the Turkish and Saudi Arabian business world that will do the job, to come together and to turn new cooperation opportunities into concrete connections. At this point, there is a very strong political will between both sides and maximum effort and work to develop and facilitate bilateral relations between government officials.”
Source: Trthaber / Prepared by Irem Yildiz