Turkey Asking Ukraine To Speed Up Abolition Of Export Duty For Scrap Metals.
The Government of Turkey is asking the Cabinet of Ministers to speed up adoption of a decision on repealing the export duty for scrap from ferrous metals. Turkey's State Minister Kursad Tuzmen stated this in the course of the fourth meeting of the intergovernmental Ukrainian-Turkish commission for trade and economic cooperation, which is taking place in Kyiv on February 25-26. "As quickly as changes will be made to the law, then will our mutually supplementing economies be able to effectively function," Tuzmen said. In his words, the introduction by Ukraine of export duty for scrap metals is creating serious problems in the operation of the metallurgical industry of Turkey. Tuzmen noted that Ukraine and Turkey had examined the mutually acceptable ways for resolving this issue during 2003, but they were unable to reach an agreement. Tuzmen also noted that the Premiers of Ukraine and Turkey, Viktor Yanukovych and Recep Erdogan had instructed their governments based upon the results of their meeting in early December 2003 to ensure two-fold increase by the end of 2004 in mutual trade turnover compared with 2002 - to USD 2.6-2.8 billion. Tuzmen noted the need for expanding the nomenclature of goods in the mutual trade of the two countries. He also expressed the interest of the Turkish side to participate in construction of car roads in Ukraine, as well as reconstruction of airports and telecommunication projects. He also spoke in favor of boosting mutual investments, noting that the investments of Turkey in Ukraine totaled more than USD 40 million, whereas Ukrainian investments in Turkey consisted of USD 300,000. Deputy Premier Dmytro Tabachnyk, who chairs the Ukrainian part of the commission, noted the need to discuss in the course of the commission's meeting, besides the issue of export of Ukrainian scrap metals to Turkey, also the improving of the treaty legal base and differences in the work of Ukrainian and Turkish custom services. Tabachnyk spoke in favor of mutual opening of affiliate branches of the national banks of Ukraine and Turkey, respectively, in Turkey and Ukraine in order to facilitate mutual transactions between entrepreneurs of both countries.
Turkey, which is the largest importer of Ukrainian scrap metals, is linking the reaching of an agreement with Ukraine on the terms for its accession to the World Trade Organization with repeal or considerable reduction by Ukraine of the export duty for scrap metals, which presently consists of EUR 30 per ton. In November 2002, the Verkhovna Rada passed a law prescribing a fixed duty for export of ferrous metals scrap of EUR 30 per ton, having thereby overcome the veto of President Leonid Kuchma. The European Union made known its objection to the introduction of this duty. The Ministry of Industrial Policy predicts the cancellation by Ukraine of the export duty for scraps of ferrous metals not earlier than the country's accession to the WTO, which Ukraine plans to join in 2004. In 2003, export of scrap metals from Ukraine contracted by 52.6%, or by 2,004,670 tons in comparison with 2002 and consisted of 1,806,730 tons valued at USD 226.57 million, and in 2003 in particular Ukraine exported 681,750 tons of scrap to Turkey.
Turkey Asking Kyiv To Provide Plot For Construction Of Exhibition Center.
Turkey is asking the Kyiv City Council to provide a land plot for construction of an exhibition center. Kursad Tuzmen, Turkey's Foreign Trade Minister stated this while meeting with Kyiv Mayor and Chairman of the Kyiv City Administration Oleksandr Omelchenko. "We are asking to appropriate the requisite plot or building for this center," Tuzmen said. He disclosed that Turkish companies are interested in the establishing an all-round year exhibition of their goods and services in Kyiv. In the words of Tuzmen, the Union of Chambers of Commerce, Industry, Maritime Trade and Commodity Exchanges of Turkey are prepared to finance the project. He also made a request to Omelchenko to name one of the streets or squares in Kyiv in honor of Turkey. "We want a square or street of Ankara or Turkey would be in Kyiv. If this project will be carried out in the central part of the city - it would be very good for us," Tuzmen said. In December 2003 the Kyiv City Administration proposed to the Turkish embassy in Ukraine a land parcel with area of 0.43 hectares at the intersection of Druzhby Narodiv Boulevard and the Kurhanska and Strutynskoho Streets for construction of an embassy. In June 2003, Ukraine and Turkey allocated land parcels in Kyiv and Ankara to each other for buildings of their diplomatic missions.
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