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written by
Habibe Ozdal, USAK Russia & Black Sea Studies |
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Friday, 15 January 2010
Turkish Prime Minister Erdogan concluded two days visit to Moscow. Prime Minister met with his Russian counterpart Putin and also with President Medvedev. It can be said that meetings were dominated by energy issues however many other issues from economic relations to canceling visas have been negotiated. Turkey-Russia relations that improved significantly during last several years, continues to accelerate.
To bear in mind, Prime Minister Erdogan last year said that his government wants to establish a mechanism with Russia similar to the high-level strategic councils created between Turkey and Syria and Turkey and Iraq last year. An agreement to initiate a similar mechanism with Russia was signed when Russian Prime Minister Vladimir Putin visited Ankara in August 2009. While Erdogan’s visit to Moscow was the first step in this direction, another meeting of the two countries’ cabinets is planned to take place in Turkey.
Apparently, energy trade constitutes the key portion of economic relations between the two countries. Current meeting gave an opportunity to evaluate the process on various issues on energy. Since one of the most important issues on the agenda was the future of the planned Samsun-Ceyhan oil pipeline, Putin stated that Samsun-Ceyhan oil pipeline will be accelerated. [1]
Russia and Turkey also signed a joint statement regarding plans to build a nuclear power plant on Turkish soil. According to the Turkish Prime Minister Erdogan, nuclear cooperation with Russia would proceed through "direct interstate agreements." Prime Minister Erdogan said Turkey was completing preparations for the signing of a formal agreement on the construction of a nuclear power plant on its territory.[2] On the other hand Putin has underlined that Russia gives credit resources, provides equipment deliveries, and gives the chance to the local building companies to carry out works in volume to 30 % from all contract. Moreover according to Putin it gives the chance to offer more favorable price.[3] It is also worth to mention that since the nuclear plant bidding was cancelled by State Council; “Joint Declaration on Nuclear Plant Cooperation” paved the way for new and state level process.
As for economic relations, both Russia and Turkey have advantages and willingness for improvement economic relations. Indeed Russia is the biggest trade partner of Turkey, while Turkey is the seventh biggest for Russia. Trade between the two countries reached its top level in 2008 with 35 billion USD. However recent global economic crisis led to a decline in trade. Indeed foreign trade volume decreased 40 % due to global economic crisis in 2009[4]. Nonetheless the most important articles between two countries are oil and gas. While Russia was buying mainly food during the first years of increasing relations, latter on Russia increased its import. According to Russian statistics, import from Turkey basically is presented by cars, the equipment and vehicles (30 %), textiles and products from it (20 %), articles of food (15 %) and production of the chemical industry (10 %).[5] Beside oil and gas, Turkey also buys chemicals and compost.Prime Minister Erdogan declared that Turkey and Russia agreed on a joint target to increase trade volume to 100 billion USD in the next five years. Moreover, Turkey and Russia are preparing to switch to national currencies in mutual payments to avoid reserve currency fluctuations. [6]
Tourism is also one of the most important factors in Turkey-Russia relations. Turkey is visited annually by growing number of the Russian tourists (2, 5 million persons in 2008).[7] It would not be wrong to say that it substantially promotes trust and mutual understanding strengthening between two countries. Since Turkey is one of the most popular destinations for Russian tourists, Turkey and Russia also agreed to work to cancel visas, a plan that they expect to materialize in May or July when President Dmitry Medvedev is scheduled to visit Turkey.
Regional and international political issues also addressed during the meeting. Prime Minister Erdogan expressed the hope that Russia played a more active role in resolving the problem of Nagorno-Karabakh. While the co-chairs of the OSCE Minsk Group - Russia, France, and the U.S. - are currently holding the peace negotiations, Putin stated in the press conference that Russia is more willingness than any other third part for the stability in the region. On the other hand according to Putin, trying to solve different problems (Turkey-Armenia relations, Nagorno Karabakh issue) with one packet is not right.[8] Putin emphasized that different problems need different solutions.
Consequently, talking about Turkey-Russia relations, the most important factor to be mentioned is the degree to which these relations have changed. Russia today is Turkey’s largest trading partner. So the economic dimension is very significant. On the one hand energy has been the main motivation source of the relationship between Turkey and Russia. On the other hand political relations also improved sharply. President Putin’s visit to Turkey in December of 2004 was the first visit by a Russian head of state in 32 years. Since then there have been numerous and increasing high-level visits between the heads of state of Turkey and of Russia. In 2008, Russia has become Turkey’s first trading partner. The volume of bilateral trade was about 35 billion USD. The number of Russian tourists visiting Turkey increasing almost every year and it goes beyond 2 million. Numbers of mixed marriages are also significantly important.
Turkey-Russia relations have changed from different aspects in qualitative and quantitative manners. Even though the main driver is energy, the perceptions of both sides have transformed positively. Old rivals are called as strategic partners anymore. High-level visits and cooperation on many different areas are been so usual. It does not only highlights that Turkey and Russia made a long step towards mutual trust building, but also that Turkey and Russia both keep up with the times.
[1] Александр Латышев, “Россия и Турция готовы к нефтегазовым проектам”, Известия, 14.01.2010.
[2] “Турция завершает подготовку к заключению договора о строительстве АЭС”, РИА Новости, 13.01.2010.
[3]“ Москва и Анкара договорятся по АЭС без тендера”, Коммерсантъ,14.01.2010.
[4] Александр Латышев, “Россия и Турция готовы к нефтегазовым проектам”, Известия, “РФ и Турция: товарооборот сократился на 40%”, The Moscow Post, 14.01.2010.
[5] “История российско-турецких отношений”, РИА Новости, 13.01.2010.
[6] “РФ и Турция готовятся к переходу на расчеты в рублях и турецких лирах”, РИА Новости, 13.01.2010.
[7] “История российско-турецких отношений”, РИА Новости, 13.01.2010.
[8] “Россия готова помочь нормализации турецко-армянских отношений – Путин”, РИА Новости, 13.01.2010.
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