TODAY’S – Turkish cargo firms hope for quota increase in trade with Russia

Turkish cargo firms hope for quota increase in trade with RussiaRussian President Vladimir Putinand#39s visit to Turkey on Dec. 3 gave hope to Turkish cargo firms seeking an increase in the quota on the number of Turkish cargo trucks that can enter Russia, which is currently limited to 9,000 per yearArriving in Turkey on Monday for a one-day working visit, Putin focused on boosting the economic relationship between the two countries.

Since Turkey imports most of its gas from Russia, the main focus of talks between Turkish and Russian officials was the price of natural gas.While Turkeyand#39s expectations were surpassed with a 6 percent reduction in the price of natural gas, the cap on Turkish cargo trucks entering Russia is expected to be addressed in a meeting of economy ministry officials of both countries slated for Dec.

9Turkey and Russia earlier announced a mutual target of increasing trade volume between the two countries to $100 billion in 2023. This figure is around $30 billion at present.

Speaking to the Dunya daily, Chief Executive Officer of the International Road Transport Union (UND) Fatih Iener underlined the importance of the meeting and stated that an increase in the quota imposed on Turkish trucks is a must for reaching such a high volume of trade. Iener said the quota should be increased to 40,000 trucks yearly in order to reach a trade volume of $100 billion.

Iener also stressed that Turkish companies contract third-country trucks to ship their goods in order to sidestep the Russian quota Turkish cargo firms currently pay around $150 million to third countries such as Moldova, Ukraine and Romania in order to send $2.5 billion worth of goods to Russia, he said.

The president of the Association of International Forwarding and Logistics Service Providers (UTIKAD), Turgut Erkeskin, said his association is pleased with the improvement in the business environment between the two countries and hopes to see all quotas increased.Highlighting the importance of all kinds of transportation, Erkeskin said that the joint meeting on Dec.

9 is expected not only to deal with issues related to land transportation, but also to focus on maritime transportation and investment opportunities in Russian harbors on the eastern coast of the Black Sea.

SOURCE: Today’s Zaman