The year 2015 became a turning point in foreign economicrelations between Russia and Turkey. The impetus to the development of the conflict was the violation of Turkish airspace by the Russian Su-24, which participated in the anti-terrorist company in Syria and was subsequently shot down by the military. The result of such actions of the official Ankara was the introduction of Moscow sanctions against certain types of goods and services exported from Turkey.
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What restrictions did Russia impose on exporting goods from Turkey
Restrictions on exports from the Republic of Turkey inThe Russian Federation mainly touched the products of plant growing. This includes tomatoes, grapes, mandarins, oranges, cucumbers, cabbage, onions, apricots, peaches, plums, strawberries, strawberries. In addition, the import of salt, carnations (flowers), carcases of turkeys, chickens and offal products from them, chewing gum is not allowed.
In 2015, a huge number of productsfood, which are banned from import into Russia, was disposed of. Such a step, according to many, is wrong. While some categories of citizens are below the poverty line, chicken meat, citrus fruits, sweets, brought from Turkey, are simply destroyed.
Restrictions in the fish industry
Expected measures that could beused to pressure the Turkish economy, at the end of 2015 there were possible restrictions on the export of fish from the Republic of Turkey. According to experts, sanctions could affect only the premium segment of fish products, which does not affect the general consumer basket.
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At present, Turkey does not suspend fishing exports to Russia, but develops trade relations in this area.
Response steps of the Republic of Turkey
Given that the restrictions imposed on Russia on exportsproducts had a significant impact on the volume of Turkey's exports to Russia, it is fair to expect Ankara's retaliatory steps towards domestic goods. After all, foreign economic relations of these countries were built on mutually beneficial export-import relations.
To date, Turkey has not introduced retaliatory sanctions against the Russian Federation. Such position of Ankara speaks about possible normalization of mutual relations of two states.
Export of goods from Turkey to Russia
In what proportion did exports of Turkish goods to the Russian market take place in 2015? Export from Turkey to Russia (list of goods) will be given below:
- The lion's share of exports of Turkish goods isfood products and agricultural raw materials - more than 30% of the total volume of Turkish exports to Russia (citrus fruits, nuts, tomatoes, sunflower seeds).
- The fourth part of the export of Turkish products is made up of motor vehicles (vehicles and components).
- About 20% of exports are textiles (clothing, footwear).
- The share of chemical products in the export structure is 12% (plastic products, soap and detergents).
- Metal products are exported in a volume equal to six percent.
- Minerals and products from them occupy 2% of the total volume.
Export to Turkey from Russia
The most important sphere of export to Turkey fromRussia is energy. For many years the Russian Federation has been supplying significant volumes of gas for the Turkish territories. In fact, Russia "closes" 60% of all energy needs. Ankara is not interested in changing the situation, because at the moment there are no other reliable sources of this type of fuel available. Gas cooperation for the two countries was very promising. The Russian Federation planned the construction of a separate gas pipeline. However, the work did not begin.
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Large volumes (exports to Turkey from Russia)fall on the grain market. Since 2010, the indicators fluctuate within 15-17% of the total amount of grain exported. Despite the complicated relationship between the two countries, grain exports from Russia to Turkey are currently being exported. All concluded contracts for the export of Russian grain are carried out, moreover, new ones are concluded.
It should be noted that in addition tothe above-mentioned groups of goods, exports to Turkey from Russia also presupposes military products that are not officially advertised, but which occupy a significant share of the total volumes. The total share of Russia in Turkey's exports is about 10%.
Investment component of the Russian-Turkish conflict
Long-term partnership betweenThe Russian Federation and the Republic of Turkey created a favorable climate for mutually beneficial investment projects on both sides. The volume of such investments in the economy of today's opposing countries can be estimated at $ 500 million from the Turkish side and $ 1.75 million from the Russian side. The energy sphere is especially problematic for Russian investments. Companies Lukoil, Inter RAO and Rosatom significantly invested in the energy sector of Turkey.
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The military conflict significantly affected the economic situation of both countries. Areas affected by anti-Turkish sanctions will be described below.
Tourism
Decree of the President of the Russian Federation inthe actual ban on tourism to Turkey was unilaterally introduced. Considering the climatic conditions of the Republic of Turkey, the flow of tourists from Russia to this country did not decrease throughout the calendar year. Such losses for tourism in Turkey are difficult to repair. In financial terms, the country lost about $ 10 billion annually.
Building sphere
A special place in the structure of exports of goods fromTurkey to Russia is occupied with building materials, which thoroughly won the Russian consumer. But the most painful was the ban on the use of services provided by companies controlled by Turkish citizens. He became morbid due to the fact that foreign construction companies have proven themselves for decades with the best side.
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Consequences of imposing sanctions
Trade relations between Russia and Turkey formany decades had a development perspective. This fact is confirmed by the indicators of the overall trade turnover between the two countries based on the results of 2014. The general plans for the expansion of trade relations provided for increasing trade up to 2023 to a volume of 100 billion dollars. And it was real. The realities of today are such that the increase in trade turnover did not happen, but on the face of it a significant decline.
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What are the results
The structure of Russia's exports to Turkey has changed,which affected the price increase. For ordinary Russians, such sanctions initially "poured out" in the rise in price of fruits and vegetables. In addition, such violent actions to eliminate Turkish producers from the food market will contribute to the intensification of smuggling.
A positive aspect when imposing sanctions isthe fact that the artificial lowering of the threshold of competitiveness will allow domestic producers to occupy the empty niches of food products. But still there is a sediment. After all, market conditions should presuppose a lively competition, which generates a healthy and high-quality product.
Russia - Turkey (import - export)
When analyzing the data of the first months of 2016,to state that the introduction of product sanctions against Turkey led to a drop in the volume of Turkey's exports to Russia by more than 64%. There have also been significant changes in the distribution of imports of Russian goods to Turkey. If in 2015 the Russian Federation confidently took places in the top ten of the importing countries of Ankara's products, today the figures have significantly decreased.
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It remains to be hoped that the political conflict will soon be resolved. In turn, the economic situation will improve, and exports and imports from Russia and Turkey will remain at the same level.