Turkey, Jordan getting ready to establish free trade zone

Turkey and Jordan are getting ready to establish a free trade zone to promote and strengthen bilateral relations in the areas of economy, technology and industry.

Turkey, Jordan getting ready to establish free trade zone

Turkey and Jordan are getting ready to establish a free trade zone to promote and strengthen bilateral relations in the areas of economy, technology and industry.

The Free Trade Zone Agreement, which was signed between the two countries on December 2009, is set to enter into force on March 1.

The agreement aims to remove tariff and non-tariff barriers to trade of goods between the two countries, promoting bilateral investments, creating suitable atmosphere for competition.

The agreement foresees new regulations on veterinary and phytosanitary measures, industrial and commercial property rights, rules of origin, taxation and anti-damping.

Under the agreement, Jordan will gradually reduce the tax over industrial goods imported from Turkey to zero until January 1 2018.
Statistics suggest, beginning in March 1, when the agreement takes effect, 80% of the goods exported to Jordan will be free of customs taxes or any other form of tax.

Considering the production quantities and export potentials, parties will also provide tax reductions or exemption for certain agricultural goods in line with tariff quotas under the
agreement.

The agreement is part of the free trade agreements signed with Euromed countries within the scope of the the Barcelona process which was launched in 1995. With this agreement Turkey will have established Free Trade Zones with all Euromed countries except Algeria.

The Euro-Mediterranean Partnership (or Barcelona Process) started in 1995 with the Barcelona Euro-Mediterranean Conference. It comprises 44 members: 27 European Union member states, and 16 partner countries (Albania, Algeria, Bosnia and Herzegovina, Croatia, Egypt, Israel, Jordan, Lebanon, Mauritania, Monaco, Montenegro, Morocco, Palestine, Syria, Tunisia and Turkey).

The Barcelona Process is an initiative, which lays the foundations of a proposed new regional relationship. In the Barcelona Declaration, the Euro-Mediterranean partners established the three main objectives of the Partnership: "Definition of a common area of peace and stability through the reinforcement of political and security dialogue (Political and Security Basket)", "Construction of a zone of shared prosperity through an economic and financial partnership and the gradual establishment of a free-trade area (Economic and Financial Basket)", "Rapprochement between peoples through a social, cultural and human partnership aimed at encouraging understanding between cultures and exchanges between civil societies (Social, Cultural and Human Basket)".


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Last Mod: 11 Ocak 2011, 14:54
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