WORLD TRADE ORGANIZATION  
ORGANISATION MONDIALE DU COMMERCE  
ORGANIZACIÓN MUNDIAL DEL COMERCIO 
WT/TPR/M/259/Add.1 
5 June 2012 
 (12-2929) 
Trade Policy Review Body 
21 and 23 February 2012 Original: English/Spanish
 anglais/espagnol
 inglés/español 
 
TRADE POLICY REVIEW 
TURKEY 
Record of the Meeting 
Addendum 
Chairperson:  H.E. Mr. Mario Matus (Chile) 
 This document contains the advance written questions, and replies provided by Turkey.1 
__________________________________________________________________________________  
 
Organe d'examen des politiques commerciales 
21 et 23 février 2012  
EXAMEN DES POLITIQUES COMMERCIALES 
TURQUIE 
Compte rendu de la réunion 
Addendum 
Président:  S.E. M. Mario Matus (Chili) 
 
 Le présent document contient les questions écrites communiquées à l'avance et les réponses 
fournies par la Turquie.1 
__________________________________________________________________________________  
Órgano de Examen de la s Políticas Comerciales 
21° y 23 de februero de 2012 
 
EXAMEN DE LAS POLÍTICAS COMERCIALES 
TURQUÍA 
Acta de la reunión 
Addendum 
Presidente:  Excmo. Sr. Mario Matus (Chile) 
 
 En el presente documento figuran las pre guntas presentadas anticipadamente por escrito, 
junto con las respuestas facilitadas por la Turquía.1 
                                                      
1 In English and Spanish only./En anglais et espagnol seulement./En inglés y español solamente   
  WT/TPR/M/259/Add.1 
 Page 3 
 
 
 REPLIES PROVIDED BY TURKEY 
UNITED STATES 
 
WT/TPR/G/259 
 
Page 27, paragraph 143:  The government notes that Turkey is participating in a Working Group on Intellectual Property Rights with EU Commission representatives. Please provide 
further details about these discussions.  For exampl e, are the parties considering any particular 
IPR initiatives or results that would require ch anges to Turkey's laws or regulations? 
 
Turkey's answer:  The Turkey-EU Intellectual Property Rights Working Group was established in 
order to comply with the first closing benchmark of the Chapter 7 on Intellectual Property in the EU 
accession negotiations towards harmonization with the EU acquis . For this reason, the discussions 
held within the context of the Intellectual Property Rights Working Group Meeting are accession 
oriented and mainly focus on the issues that fall under Chapter 7. Since the legi slative alignment is at 
an advanced level, most of the discussions in the Working Group aim at enhancing implementation 
through exchange of best practic es. As regards the legislative issues, the Parties exchange the 
experiences on on-going legislative developmen ts on IPR, in particular regarding the acquis 
communautaire of Chapter 7. 
 
During the discussions, well-justified specific cases of  common interest may be used to demonstrate 
systemic problems while fully respecting the inde pendence of the judiciary and shall by no means 
substitute the latter or create a parallel system. Be sides, the Working Group also aims to raise public 
awareness on the protection of intellectual property ri ghts of both consumers and right holders.   
 Due to the working methods set by the draft Terms of Reference, regular meetings of the Working 
Group will be held at least once a year. The preci se agenda of each session will be decided by joint 
agreement between the Parties. In addition, a part of the IPR Working Group meetings, to be decided 
upon by common agreement, would be open to the par ticipation of IPR stakeholders from the private 
sector. The parties may also invite representatives of IPR stakeholders from the private sector by joint 
agreement.  
To date, two Working Group meeti ngs have been held.  Within th e framework of the meetings, the 
Parties exchanged information on legislative devel opments regarding IPR laws , EU Unitary patent and 
ACTA developments, state of implementation on IPR legislation in Turkey. Representatives of certain 
IPR stakeholders joined a session at the second meeting and stated thei r views and suggestions 
regarding the IPR legislation and its implementation in Turkey.  
 
WT/TPR/S/259 
 
II. TRADE AND INVESTMENT REGIMES (3) T
RADE AGREEMENTS AND ARRANGEMENTS  
(ii) Regional agreements 
 
Page 17, paragraph 22:  The Secretariat mentions  that Turkey has a framework agreement with 
ECO Members (the ECOTA) including Afghanistan, Iran, Pakistan, and Tajikistan which has binding provisions on, among other things, intell ectual property rights.  Please describe the 
intellectual property rights obligations that Turkey has undertaken in the ECOTA. 
Turkey's answer:  ECO Trade Agreement (ECOTA) was signed in 2003 and entered into force 
on 24th April, 2008 among five contracting countries,  namely, Turkey, Iran, Pakistan, Afghanistan 
and Tajikistan. However since, exchange of lists has not been finalized yet, the Agreement did not WT/TPR/M/259/Add.1 
Page 4  
 
 effectuate. Thus, along with other obligations of the Agreement, th e obligations intellectual property 
rights will be effective after the de-facto implementation of the Agreement.   There are specific provisions on intellectual propert y rights in the ECOTA. According to Article 4 on 
Tariffs on Import of Goods, each C ontracting Party will extend to any other Contracting Party, not a 
member state of the WTO, a treatment no less fa vourable than that extended to the WTO member 
states in relation to tariffs, para-tariffs, non-tariff barriers and the protection of Intellectual Property 
Rights falling within the scope of the Agreement. So , for the Intellectual Property Rights Turkey will 
extend MFN and National Treatment to Contracti ng Members of the ECOTA. Indeed, Turkey's 
obligations in this regard, are further detailed in the specific Article on Protection of Intellectual 
Property Rights, namely, Article 19. Here the Contr acting Parties agree to grant and ensure protection 
of intellectual property rights on a non-discriminat ory basis, including measures for the grant and 
enforcement of such rights. The Article also defi nes protection of "intellectual property rights" as 
including protection of copyright, comprising computer programs and databases, and neighbouring rights, archaeological heritage, trademarks, geographi cal indications, industrial designs, patents, plant 
varieties as well as traditional knowledge, undisclo sed information and know-how. According to the 
Article, the protection will be gradually improve d, of a level corresponding to the substantive 
standards of the multilateral agreements before the en d at the eighth year after the entry into force of 
the Agreement. So, as with other obligations of  the Agreement there is a gradual assumption of 
obligations with regard to protec tion of intellectual property rights in eight years. The Agreement also 
anticipates cooperation in matters of intellectual property rights. In this regard Article 19.4 states that 
Parties shall hold, upon request of any Contractin g Party, expert consultations on these matters, in 
particular on activities relating to the existing or to future international conve ntions on harmonization, 
administration and enforcement of intellectua l property and on activities in international 
organizations, such as WTO and WIPO, as well as re lations of the Contracting Parties with third 
countries on matters concerni ng intellectual property. 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE 
(1) M
EASURES DIRECTLY AFFECTING IMPORTS  
(i) Import procedures and requirements 
 
Page 26, paragraph 6:   Why does Turkey limit the customs ports through which certain 
products may be imported? For example, why does Turkey restrict the importation of motor 
vehicles, tractors, motorcycles, and their spare parts and accessories to Yesilkoy, Gebze, Izmit 
or Mersin customs directorates?  
 
Turkey's answer:   In Turkey, importation of certain produc ts is completed from specialized customs 
offices. With their highly qualified and trained pers onnel for specific sectors, some customs offices 
are competent for special products. With this implementation, customs clearance of goods is 
completed in a more efficient and effective manner. Specialized customs offices are not designed as an obstacle or a restriction to trade, equipped with relevant techniques and expertise, rather, their aim 
is to ease and speed up the customs procedures.  Page 27, Paragraph 8:  Please clarify whether there is a fee associated with having the exporter registry form certified.  What is the purpose of having the form certified?  Please explain any 
steps Turkey is taking to eliminate the requireme nt for the exporter registry form to be certified 
by competent authorities. 
Turkey's answer:  There is no specific fee associated with having the exporter registry form certified, 
other than regular consular fees. However, Turkis h Consulate General's approval is not necessary in 
case an Apostille agreement is in force with th e exporter country in accordance with the Hague 
Convention dated October 5, 1961. The purpose of having the form certified is the affirmation of 
exporter's existence and elimination of false transact ions. Exporter registry form is required to be  WT/TPR/M/259/Add.1 
 Page 5 
 
 
 certified only at the initial export operation. Renewals  of the form can be accomplished via internet. 
Hence, it is not necessitated to eliminate the require ment of certification by competent authorities. 
 
(ii) Ordinary customs duties 
 
Page 32, paragraph 15:   The report states that "…MFN duty was increased by 20% or 30% on 
some textile and apparel products on 15 September 2011." Please explain under which WTO 
provision Turkey has implemented these tariff increa ses or has otherwise taken actions that are 
consistent with its obligations under the WTO.  
 Turkey's answer:   Textile and apparel industries are fragm ented industries having various groups of 
interests. In order to thoroughly examine the applica tion and to decide whether an increase in tariff 
rates is necessary, Turkey has launched an exam ination, with the request received from domestic 
producers.  
The purpose of announcing the examination was to info rm all the stakeholders that an examination 
was launched in order to examine the relevance of an increase in  applied MFN tariff rates upon the 
application of domestic producers.   Based on the findings of this examination, Turkey has increased its applied tariff rates for certain 
textile and apparel products with a Decree of Council of Ministers published on the Official Gazette 
dated 15 September 2011. Turkey has increased its a pplied tariff rates to the level of the bound rates 
set out in their Schedules pursuant to Articles II:1(a) and II:1(b) of the GATT 1994.  It should be noted that the examination on textile and apparel products are conducted out of the scope 
of the WTO Agreement on Safeguards. 
 
For most of the products subject to the additiona l duties Turkey has not consolidated bound tariff 
rates. However for the goods which have bound tariff rates, tariff rate increase is limited to the bound 
level. Thus, there is no incompliance with Turkey 's WTO commitments out of this implementation. 
 
(v) Fees and charges for services rendered 
 
Page 35-36, Paragraph 24:   Could the representative from Turkey please explain what the 
purpose of the stamp duty is ("a stamp duty, set  at TL 40.10 for 2011")?  How does this differ 
from the "ordino" fee?  And what service is being rendered? 
 The Article 1 of the Stamp Tax Law No.488 stipulates that the documents stated in Table (1) which is 
annexed to Law No.488 are subject to the Stamp Ta x. In addition, the Article 3 of Stamp Tax Law 
No.488 stipulates that the taxpayers are the indivi duals who sign the documents and individuals are 
liable to pay the stamp tax which is levied on th e documents related to the transactions performed 
between the public agencies and individuals.  
The documents which are stated be low are subject to lump sum or proportional stamp tax pursuant to 
annexed Table (1) of Stamp Tax Law No.488: 
 - The contracts which includes constant amount of money, (stated in chapter of 
Table (1) highlighted as " I-The Documents Related to Contract ")  
 - Every decision of tender of government ag encies and institutions, which are subject to 
tender law or not, (stated in chapter of Table (1) highlighted as " II-The Decisions and 
Mandates ")   
 - The documents related to commercial Tran sactions; commodity bills, bills of lading, 
bottomry bonds, mortgage bonds, certificates of origin, balance sheets, custom WT/TPR/M/259/Add.1 
Page 6  
 
 declaration form, delivery order (ordino), and income statements etc., (stated in 
chapter of Table (1) highlighted as " III-Papers Related to Commercial Transactions" 
 - The documents grant the payments pertaining to purchase of goods and services of 
government agencies (stated in 1/a paragraph of chapter of Table (1) highlighted as 
"IV-The Receipts and Other Documents "). 
 
According to the Stamp Tax Law No. 488 the documents of delivery of order (ordino) are the papers 
related to commercial transaction between importer and carrier and these are subject to stamp tax. 
Therefore the stamp tax is levied on these documents.  
The term "Ordino" does not fall within the scope of  Turkish Customs Legislation. In this context, 
Republic of Turkey Ministry of Customs and Trade does not require any ordino fee for customs declarations. This concept should be analyzed with in the principles of private law managing relations 
between the importer and the carrier. Turkish Customs Administration does not play any role in such a 
relation. 
 
(vii) Import prohibitions, restrictions, and licensing 
 
Pages 42-43, Table III.9:  The Secretariat Report lists various import prohibitions in 
Table III.9; however, Table III.9 does not note th at many agricultural products were prohibited 
after implementation of the Biosafety Law.  As a result of this law, all products containing 
biotech ingredients, except soybeans for the use of  feed, are prohibited.  This prevents all corn 
and corn products, canola, cotton seed oil, and soy-based food, as well as many processed 
products containing these ingredients, from ente ring Turkey.  Why are these products not listed 
in this section, and would Turkey provide sci ence-based justification for the ban of such 
products? 
 
Turkey's answer:  According to the Biosafety Law No. 5977 imports of GMO products are not 
decisively prohibited. Within the framework of the Biosafety Law, import prohibition of a product may only be applied if the product is officially disapproved by the Biosafety Board. However, up until 
now, there is no application refused by the Biosaf ety Board for the above-mentioned products, hence, 
they were neither prohibited nor included into the Table III.9. 
 
While carrying out the evaluations, The Scientific  Committees consider several documents submitted 
by the importers, the works and the documents of  the various institutions that carry out risk 
assessment (EFSA, WHO, FAO, FDA), the results of  the scientific researches (analyses of allergic 
and toxic effects, stability of genetic modificati on, morphological and agronomical characteristics, 
impacts on the off-target organisms), gene transfer  methods, the molecular characterization of the 
transferred gene, the expression of the protein that  it produced and its possible risks to human and 
environmental health, etc.  If the product is approved by the Board they are a llowed to be imported. Until the end of 2011, The 
Board has already approved 3 soybean and 13 corn ge ne applications for the use of feed purposes and 
the further assessment has b een ongoing for a number of other new applications.  
Page 44, paragraph 37 :  The Secretariat Report indicates that in 2008, Turkey abolished the 
certificate of conformity for importation for alcoholic beverages and replaced it with a 
Notification System for Alcoho lic Beverages, supervised by the Tobacco and Alcohol Market 
Regulatory Authority.  Can Turkey please provi de more details regarding the steps importers 
must take to complete this type of notificati on, including what documents must be provided, 
how often importers must apply, etc.?  Aside fr om the Tobacco and Alcohol Market Regulatory 
Authority's notification system, are there any other applications/certificates that an importer must obtain prior to impo rting alcoholic beverages?  WT/TPR/M/259/Add.1 
 Page 7 
 
 
 Turkey's answer:   In accordance with the legi slation currently in force: 
Under the Article 5/2 of "Implementing Regulatio n on Methods and Essentials Regarding Domestic 
and Foreign Trade of Alcohol and Alcoholic Be verages (Implementing Regulation)", making a 
"Notification of Alcoholic Beverages" to T obacco and Alcohol Market Regulatory Authority 
(TAPDK) is required by the importer in or der to import of alcoholic beverages.  
Based on the Article 6/1 of the current Implementing Regulation, the real and legal persons desiring to 
import alcoholic beverages shall submit their notif ication to TAPDK in person or through their 
authorized representatives before completion of  departure procedures in the exporting country, 
together with necessary documentation stating the information regarding the firm and the relevant 
product, enclosed to a petition. 
Required product information prepared on brand basis for alcoholic beverage to  be supplied in market 
pack is:  
- The registered petition submitted by the importer to the Ministry of Food, Agriculture 
and Livestock to approve the certificate of cont rol, copy of this certificate of control, 
together with information and documenta tion supporting the certificate of control  
- Standard or technical regulation applied in the country of origin during production 
and explanation on production process 
- Copies of registration certificates, if any, of geographical indication, brand, label, 
bottle, stopper of the product, together w ith the names and addresses of the firms 
which produce, blend and pack the product 
- The information that should be availabl e on Turkish label pursuant to the Turkish 
Food Codex and other legislative provisions, in addition to that, sample of Turkish 
label that contains product's category in Tu rkish, information indicating the product's 
main inputs together with characteristic features and ensuring accurate definition of production process of the alcoholic beverage , and the country where the alcoholic 
beverage has been produced, and if the pr oduct has been packed in another country, 
the name of that country too. 
Based on the Article 13/3 of the Implementing Regul ation; while submitting to the TAPDK importers 
shall attach one of the technical specification forms (Annex 4a, Annex 4b and Annex 4c) to the 
product file whichever is suita ble to the imported product.  
Alcoholic beverage notification made on the basis of  brand and packaging volume, is valid during the 
validity of certificate of control (12 months) issued by the Ministry of Food, Agriculture and 
Livestock. 
Along with the 'Notification of Alcoholic Beverages' the first time real and legal importers shall also 
prepare a "Firm Information File" in accordance w ith the Article 6 and an "Application File for 
Authorization of Distribution of Product in Market Supply Pack"  in accordance with the Article 10 of 
the Implementing regulation.  
These documents should be submitted to TAPDK during the application process. Certificate  of 
Distribution Authorisation is valid for two years. It is prepared for a firm, wishing to import.  
On the other hand; "The Regulation on the Offici al Controls of Phytonutrient and Feed Imports" 
entered into force in 17/12/2011, by its publication in the Official Gazette (No: 28145). Within the 
scope of this Regulation, for the food products that  will be released for free circulation in domestic 
market after importation, the previously required "Control Document" was abolished by the Ministry WT/TPR/M/259/Add.1 
Page 8  
 
 of Food, Agriculture and Livestock, and instead, a "P re-Notification" application that will be carried 
on the internet, has been put into force.   
(3) M
EASURES AFFECTING PRODUCTION AND TRADE  
(ii) Technical barriers to trade, standards and certification 
 
Page 63, paragraphs 83 & 84: Would the represen tative from Turkey please provide a progress 
update on the ongoing regulatory coordination effo rts to support notification of draft technical 
regulations and conformity assessment procedures? 
 Turkey's answer:   The National Enquiry Point of Turkey (M inistry of Economy) is in the process of 
promoting and urging legislation making author ities to notify draft technical regulation and 
conformity assessment procedures. This process is to  be strengthened through information exchange. 
Furthermore, these authorities are reminded of thei r liability of notifying every new legislation and 
any amendment and update thereof.  
 
Page 64, paragraph 88:   The Secretariat Report appears to state that Turkey discriminates 
against products bearing a CE mark that are not from the EU.  Is the Secretariat Report 
correct? If so, how does Turkey justify this and ho w does it plan to address the issue in light of 
TBT Agreement MFN requirements? 
 Turkey's answer:   As is well known, Turkey has a Customs Union with the EU in conformity with 
Article XXIV of GATT 94. The main principle of  the Customs Union is free movement of goods 
between the Parties. In this context, technical le gislation of the EU has been transposed into the 
Turkish legislation which enables that both Turkis h and EU originated products are manufactured and 
marketed according to the same regulation.  C onsequently, the products move freely without any 
control within the Customs Union area while for th ird countries, the product safety controls are 
applied. The Customs Union is an exception to the MFN principle; the matter is not a discrimination 
but rather a right provided by Article XXIV of the GATT 94.  Turkey would like to state its readiness to sign an MRA with the USA in parallel with the MRA 
between the EU and the USA. 
 
Page 65, paragraph 90:   As a member of the International Accreditation Forum (IAF) and the 
International Laboratory Accreditation Cooperati on (ILAC), does Turkey accept the test results 
of accredited ILAC and IAF laboratori es located in third countries?   
 
We understand that ILAC members are required to  encourage the use of ILAC in their home 
countries. As a member of IAF and ILAC, how is the Turkish Accreditation Agency 
encouraging the use of international acceptance in Turkey?  
Turkey's answer:  As a result of IAF-MLA and ILAC-MRA agreements, Turkey accepts all the 
reports and certificates obtained from accredited conformity assessment bodies in the scope of 
MLA/MRA agreements.  
Turkey uses ILAC-MRA and IAF-MLA agreements, c onsequently accreditation as a tool to determine 
the compliance of commodities, services and syst ems with international standards. TURKAK 
conducts activities to raise awareness among all th e relevant parties about the importance of 
accreditation and ILAC-MRA / IAF-MLA agreements.  WT/TPR/M/259/Add.1 
 Page 9 
 
 
 (iii) Sanitary and phytosanitary measures 
 
Page 66, Paragraph 94:   In the process of seeking to integrate its market with the EU, could 
Turkey please explain the steps it is taking to ensure that it complies with its WTO obligations 
including, but not limited to, that Turkey has a sc ientific risk assessment for each measure that 
is not based on an international standard, i.e. Codex, OIE, and IPPC, and that it notifies those 
measures not based on an international standard  to the WTO at an early enough stage that 
comments can be taken into account? 
 
Turkey's answer:  Turkey is a WTO member and is a candida te country to the European Union (EU). 
Being aware of its rights and obligations rising form the WTO-SPS Agreement, Turkey has been 
harmonizing its national re gulations with the EU  Acquis which is also in line with the SPS Agreement. 
Within this framework, the recommendations and sta ndards of the international sister organizations 
(IPPC, OIE and Codex Alimentarius ) and the SPS Agreement are always used as guides.  
 
Also, if a measure is taken that is not based on international standards and recommendations so as to 
comply with EU legislation, risk assessment is carried out which is in compliance with the SPS 
Agreement.   As indicated in the Secretariat Report, Ministry of  Agriculture and Rural Affairs was restructured as 
Ministry of Food, Agriculture and Livestock. The new General Directorate of Food Control is 
responsible for SPS issues. Under th is General Directorate a Risk As sessment Department has been 
established to conduct scientific risk assessment in ac cordance with Veterinary Services, Plant Health, 
Food and Feed Law No: 5996 which has entered into force in 2011.  In case of establishing of a new SPS measure which is  a new area or not defined by any international 
standards Turkey takes experience of any WTO me mber into account which has established a similar 
regulation on the same issue. In such circum stances, recommendations of the WTO members, 
particularly the EU, is a priority due to the ongoing harmonization process of the Turkish legislation 
with that of the EU Acquis . Forming and implementing such an SPS measure is also in compliance 
with the provisions of WTO-SPS Agreement.   
Based on the current WTO-SPS Agreement, Turkey no tifies the draft legislation to the members, 
allow them to comment and put utmost effort to take into consideration of these comments, 
particularly; those countries whose trade may signifi cantly be affected by the implementation of the 
new legislation. Any written comments sent by any WTO member is also answered and sent to the 
commenting country in timely manner. 
 
The legislative studies of Turkey in the field of plan t health, including trade in plant products are also 
in line with the IPPC Standards and SPS Agreement. In order to reduce the risks which might occur in 
the area of phytosanitary, the risk assessments such  as the Pest Risk Analysis (PRA) studies conducted 
on plants are also given importance.    
The legislative studies in the field of importation of  live animals and animal products in Turkey are 
carried out in parallel with the OIE standards and recommendations and SPS Agreement. During the 
process of importation of live animals, the results of risk-based official control are taken into 
consideration.   
With regard to the food legislation; the preparati on of the national legislati on on food and food contact 
material, the Codex Alimentarius Standards and th e reports of Scientific Expert Committees (JECFA, 
JEMRA, JMPR etc) are considered. Also the Turkis h national food legislation is being harmonized by 
the EU legislation.  WT/TPR/M/259/Add.1 
Page 10  
 
 Turkey has National Food Codex Commission (NFCC)  which is responsible for the preparation of 
Turkish Food Codex including horizontal and vertic al legislations covering minimum technical and 
hygienic properties of foodstuffs.   
Draft legislations are pre-announced on the Minist ry web-page to encourage the involvement of 
Turkish citizens and other concerned parties. The pr ior comment procedure is open to all interested 
parties, including non-nationals. The comment period after pre-announcement is approximately 
1 month.  
 
Page 66, paragraph 95-96:   Could the representative of Turkey  please explain the purpose of the 
control certificate and how it diffe rs from the other documents, such as the health certificate?  
Also, please explain what factors are considered in determining the list of products subject to 
control certificates? 
 
Turkey's answer:   Control certificate is a document issued by the Ministry of Food, Agriculture and 
Livestock (MFAL) through which the importer submits certain information to the Ministry in relation 
to the particular product that it wishes to import into Turkey. By this reference document MFAL 
control the importer's knowledge on the legislation it has to fulfil so that the import products whether 
complies with human, animal, plant and environmental health measures to protect human, animal life or health.   Control certificate is required under the scope of "Communiqué No. 2012/5 on Import Supervision of 
Products which is subjected to control of Ministry  of Food, Agriculture and Livestock" which is 
annually published by mutual coordinati on of MFAL and Ministry of Economy.  
 
The Control Certificate is not a document used to  verify the product safety or product's compliance 
with relevant standards and technical re gulations such as health certificate.  
 
Pages 66-67, paragraph 96:   Does Turkey require import certification for animal diseases from 
countries where risk of certain diseases is non-existent  or is negligible?  If so, please explain this 
practice in light of the WTO Sanitary and Phyto sanitary (SPS) Agreement provisions requiring 
countries to apply SPS measures only to the extent  necessary to protect human, animal, or plant 
life or health.  Also, please explain this pr actice in light of the WTO SPS Agreement provisions 
requiring that measures be based on scientific principles and not maintained without sufficient 
scientific evidence. 
 
Turkey's answer:   Whether the disease exists or not, a Vete rinary Health Certificate is requested 
from all countries to import animals and animal products. Considering the requirements of the EU 
harmonization process, OIE recommendations, as well as Article 6 of the SPS Agreement on the "Adaptation to Regional Conditions, Including Pest – or Disease – Free Areas and Areas of Low Pest 
or Disease Prevalence."  
Page 67, paragraph 100 :  The Secretariat Report states that, since its last TPR in 2007, Turkey 
has provided 23 SPS-related notifications to th e WTO, either as regular notifications or 
addenda or corrigenda to previous notifications.  One specific trade concern has been raised in 
the SPS Committee in relation to Turkey's  new legislation on biosafety.   
 Can Turkey explain the scientific justification for banning the planting of biotech seeds in 
Turkey with no chance for a case-by-ca se review of each new biotech seed?   
 
Turkey's answer:  Planting of biotech seeds are prohibited so  as to avoid gene escapes thus to protect 
Turkey's rich biological diversity and environment. It  is a measure taken to protect plant health and it  WT/TPR/M/259/Add.1 
 Page 11 
 
 
 does not arbitrarily or unjustifiably discriminate among the WTO Members. Turkey is at the 
intersection of the three major world gene pools.  More than 12 000 species can be found on Turkish 
territory. Furthermore, about 3 900 of these speci es are endemic to Turk ey, whereas more than 
700 agricultural products can naturally be grown in Turkey.  Can Turkey also give scientific justification for the ban of biotech ingredients in baby food?   
 
Turkey's answer:  Since there are not sufficient scientific studi es and results available in this field, the 
biotech ingredient in infant food is prohibited as a precaution and in full compliance with the relevant 
provisions of the WTO on the protection of human h ealth. It is a measure taken to protect human 
health. 
 
Turkey also introduced a system of fees for the application for approval of a biotech event; 
however, Turkey charges 15,000 TL for pro ducts approved in the EU but 150,000 TL for 
products not approved by the EU. Can Turkey ex plain the reason that applications from non-
EU countries require fees that are ten times hi gher than the fees charged to those approved in 
the EU? 
 
Turkey's answer: In line with the relevant provision of the Article 4 of the "Regulation on the Rules 
of Procedures and Methods of the Biosafety Board and the Committees"; the fees of applications and 
fees of transactions during the assessment are determ ined by the Ministry of Food, Agriculture and 
Livestock upon the proposal of the Board and d eclared in the beginning of each year. Hence, 
application fees are proposed by the Biosafety Board and the Ministry determines the amount of the application fee, after an evaluation.   There is no discrimination among the EU and non-EU countries in terms of application fee. The fee 
difference is between EU approved and non-EU approve d genes due to the availability of scientific 
evidence recognized by Turkish authorities and the cost of assessment process as the EU approved 
genes are subjected to the simplified procedure. In  this context, a gene application of a non-EU 
countries but approved by the EU will naturally be s ubjected to the simplified procedure and thus the 
firm will be paying less. 
 
(vii) Government procurement  
Page 72, paragraph 116:  The Secretariat notes that Turkey has been participating as an 
observer to the WTO Agreement on Government Procurement (GPA) since June 1996 and has 
been following the efforts to revis e the Agreement. In light of th e GPA Parties' agreement on the 
revision of the GPA at the WTO Ministerial in December 2011, we urge Turkey to begin 
accession to the GPA as soon as possible.  The a ddition of Turkey to the GPA would constitute 
an important expansion of the GPA.  Will Turk ey commence accession to the GPA this year? 
Turkey's answer:   Turkey acknowledges that GPA is a very important instrument in enhancing 
transparency and market access in government proc urement.  Nevertheless, the evaluation on whether 
to and when to start accession to the GPA is a multi-di mensional and long process. In this context, the 
internal evaluation process for GPA accession in Tu rkey keeps going on and it is not certain whether 
this process will be finalised in 2012.   
(xi) Trade-related intellectual property regime 
 
Page 77, paragraph 130:  The Secretariat identifies  several laws that constitute "Turkey's legal 
framework for the protection of intellectual prop erty rights."  In 2007, the United States asked 
the government of Turkey whether it had plans to  amend the copyright law further to prohibit 
the act of circumvention of technological protection measures and the trafficking in WT/TPR/M/259/Add.1 
Page 12  
 
 circumvention devices.  Has the government of Turkey taken any action towards introducing 
such legislation?  If not, does the government of Turkey intend to amend the copyright law in 
the near future to prohibit such acts?   
 
Turkey's answer:   The Draft Law amending the Law No. 5 846 on Intellectual and Artistic Works to 
accomplish full harmonization with the EU Acquis  and WIPO agreements was prepared and sent to 
the related institutions, organizations and civil soci ety for their opinion and comments. Currently the 
Ministry of Culture and Tourism is continuing its work for the finalization of the Draft Law. 
 
Furthermore, although the Turkish copyright law provides for the presumption of ownership in 
copyright cases, judges and prosecutors have aske d rights holders to prove copyright ownership 
in infringement cases.  In 2007, the United St ates asked Turkey whether it is addressing the 
inconsistency between its law as written and it s application in the Turkish courts.  How has 
Turkey addressed this matter, and if not,  does it plan to do so in the near  future?    
 
Turkey's answer:  Articles 11, 12 and 80 of Turkish copyright law provide for presumptions of 
Authorship  for the authors and the related right owners . These presumptions are applied in copyright 
cases by Turkish courts.   
In a case based on the claim of unauthorized reprod uction of a work, the courts accept that person 
whose name was written on the work is the author of that work. And the courts do not ask right 
holders to prove authorship by other evidence provi ded that counter-claim has been put and proved.  
 
It is thought that the scope of the provisions on the presumptions of authorship of Turkish Copyright Law cannot be broadened to  the following situations: 
 
 1. For instance, there is name of X on a copy righted book as the author of the book. But 
Y claims that X has transferred the economic rights on this book to him and brings an 
infringement case in civil court against X. In this case, Turkish courts suppose that 
X whose name appears on the book is the author of the book by applying the 
Article 11/1 of Turkish Copyright Law on the presumptions of authorship and do not ask X to prove copyright ownership. 
 
However, courts should investigate whether Y has re ally been transferred the economic rights of this 
book by X and whether there is a document on the transfer of rights.   This investigation done by courts does not mean that  there is an inconsistency between law as written 
and its application in the Turkish courts.  
 2. If plaintiff is a Turkish collecting society representing a foreign collecting society, 
Turkish courts request from the plaintiff a contract indicating that Turkish collecting 
society is entitled to bring an action for wo rk which is subject of the case by the 
foreign collecting society. However, Courts do not ask the contract on entitlement between the author of the concerned work and foreign collecting society.  
 
It is thought that there is no inconsistency between  the law and its application in the Turkish courts 
regarding the presumption of authorship. There ar e many judgments in which the presumption of 
authorship was applied.  
 
For example:   
 - Judgment of Izmir Civil Court of IPR Decision date: 02.11.2011. No: 2011/168,   WT/TPR/M/259/Add.1 
 Page 13 
 
 
  - Judgment of Court of Cassation, 11th Civil Chamber: date 20.01.2006, 2005/166 E, 
2006/330,  
 - Judgment of Court of Cassation, 11th Civil Chamber: date: 09.06.2008, E. 2007/5043, 
K. 2008/7613, 
 - Judgment of Court of Cassation, 11th Civil Chamber: date: 03.07.2006, E. 2005/836, 
K. 2006/916 
 - Judgment of Court of Cassation, 11th Civil Chamber: date: 10.10.2007,  E. 2006/4347, 
K. 2007/12656 
 - Judgment of Court of Cassation, 11th Civil Chamber: T. 26.05.2008, E. 2007/4996, K. 
2008/6915 
 
Court of Cassation is last level appeal court in Turk ey and all first instance courts follow its decisions. 
 
(Related Legislation: Law on Intelle ctual and Artistic Works No: 5846: 
 
B. Presumption of Authorship  
 I. Works on Which the Name of the Author is Given  
 
Art. 11.  The person whose name or known pseudonym is given as the author of a work on the 
published copies of a work or on the original of a work  of fine arts, shall be deemed the author of the 
work until it is proven otherwise.  
 (Amendment: 7.6.1995 - 4110/5) The person who is introduced in the customary manner as the author 
of a work at conferences or performances made in public premises or broadcast by radio and 
television, shall be deemed the author of the work , unless another person is deemed the author by way 
of the presumption given in the first paragraph.  
 
II. Anonymous Works  
 
Art. 12.  So long as the author of a published work ca nnot be established under article 11, the rights 
and authorities belonging to the author may be exerci sed by the publisher, and, if the publisher cannot 
be determined, by the person making the reproduction, in his own name.  
 Such authorities shall belong to the person giving the conference or the person having the performance 
made, in cases where the author cannot be determ ined by the presumption under the second paragraph 
of article 11.  
The provisions on mandate shall apply to the rela tions between the persons authorized under this 
article and the real right holders, unless agreed otherwise. ) 
 
Page 78, paragraph 130:  The Secretariat states  that "Turkey is a signatory to various IPR 
conventions and treaties," including the WIPO Copyright Treaty and the WIPO Performances 
and Phonograms Treaty.  What is the status of Turkey's implementation of these treaties? 
 
Turkey's answer:   With an aim to harmonize Turkish Copyright Law with relevant WIPO 
Agreements, Law no. 5846 was amended in 2004, before having become a signatory to WIPO 
Agreements. Therefore, these agreements are now be ing substantially implemented in Turkey. With 
the new amendment which is planned to be put into  force by the end of this year, the provision 
regarding prohibition of the act of circumvention of technological protection measures for all works 
and other subject matters will be envisaged by Copyright Law no. 5846.  WT/TPR/M/259/Add.1 
Page 14  
 
 Page 78, paragraph 131:  The Secretariat indica tes that Turkey's Intellectual and Industrial 
Property Coordination Board convenes "twice a year to develop strategies for the 
implementation of the IPR regime and improve coordination between relevant institutions."  
Please describe any strategies that have been developed and indicate whether and how Turkey 
has implemented of these strategies.    
 
Turkey's answer:   Intellectual and Industrial Property C oordination Board was established with the 
aim of  improving the coordination between the rele vant institutions and creating short, medium and 
long term strategies for the implementation of intell ectual and industrial property rights in Turkey. To 
this end, one of the important decisions of the IPR Coordination Board so far has been the approval 
for the establishment of an IPR Working Group between Turkey and the EU. Additionally, the Board 
decided to establish a working group for drafting the National Intellectual and Industrial Property Rights Strategy Paper in order to build short, medi um and long term IPR strategies.  The Board also 
decided that a Roadmap on genetic resources,  traditional knowledge and traditional cultural 
expressions be prepared upon c onsulting relevant sectors and a working group responsible for 
identifying national policies on geographical indi cations be established. The working groups 
established by the Board continue their analysis.   
Page 79, paragraph 132:  The Secretariat states th at Turkey has "launched studies to amend the 
law further to eliminate remaining discrepancies wi th the EU acquis."  What are the specific 
topics of these studies and what have these studies shown?   
 
Turkey's answer:   The legislative studies for harmonising Turkish Copyright Law to EU Acquis  have 
been undertaken by taking into consideration of  the current Directives. In consequence of these 
studies, it was stated that the Turkish Legi slation is mainly harmonised with the EU Acquis ; however 
there is still need for some additional amendments for full harmonisation. In this context, the main 
amendments planned to be made are as follows:   - Revision of the definition of some of the rights of the authors and related right holders 
in line with the EU Directives, 
 - Extension of the scope of the prohibition of the act of circumvention of technological 
measures, 
 - Revision of database protection taking in to consideration of the electronic and non-
electronic databases and etc. 
 Page 79, paragraph 132: The Secretariat indicat es that "[a] circular on the use of licensed 
software in public institutions has… been issued ."  What policies are set forth in the circular 
and what is the status of implementation of these policies?  Also, please describe how these 
policies are enforced and any other Turkish ac tions taken to combat software piracy.   
 
Turkey's answer:  The Circular on Use of Licensed Software was issued and sent to the government 
institutions in order to set forth the guidelines regard ing the usage of original and licensed software in 
government agencies.  The measures set forth in the Circular are:  
 - Permanent deletion of all unlicensed computer programs, software and media, 
 - Tracking of the software licenses of th e institutions by creating license record, 
 - Control of the licences and originality of the software and of the conformity of the 
documents to the tender specifications in consequence of the tenders following the 
delivery of the software and the computers,  
 - Regular inspection of the originality of  the software used in the institutions,   WT/TPR/M/259/Add.1 
 Page 15 
 
 
 - Ensure the operation of the all officers in the IT units in line with the requirements of 
the circular.  
 Consequently, publication of the circular is a po licy itself to prevent pirated software usage.  
 
Besides: 
 
- A Cooperation Protocol was signed on 25 Fe bruary 2010 with the aim of fixing the 
producers and principles of the inspections  of Provincial Inspection Commissions 
which are authorized to inspect the pirated goods including software. Following the 
Protocol, the number of the Provincial Inspection Commissions has increased from 65 
to 81 and the presidency of the Commissions  was delegated to the National Police by 
taking into consideration of their important role regarding fighting against piracy.  
  - Four Seminars were organi zed in 2010-2011 in Ankara and İstanbul with the 
participation of chiefs of Security Depa rtment of General Directorate of Turkish 
National Police, chiefs of Provincial In spection Commissions, municipal polices, 
judges, prosecutors and representatives of related collecting societies in order to 
exchange the views regarding the problems encountered in practic e and to develop the 
measures for prevention of violations in the field of IPR.   
 Page 79, paragraph 134:  The Secretariat indi cates that a copyright automation system 
(TEHAKSIS) has been established to provide on line access to the Non-periodical Banderole 
Automation System, the Certificate System, the Producers Certificate System, and the Optional 
Registration System to facilitate the exchange of  information between related institutions.  In 
addition, the Secretariat states that the Ministry  of Justice and the Ministry of Culture and 
Tourism signed a protocol to integrate the UYAP and TEHAKSIS information systems 
in December 2010.  Please confirm whether the integration of these systems occurred in December 2010 and describe any relevant strategies that have been developed to facilitate the 
exchange of information between related institutions.   
 
Turkey's answer:   A Protocol on Principles of Reciprocal Access, Sharing And Use of Data In The 
Field of Intellectual Property Rights was signed between Ministry of Justice and Ministry of Culture 
and Tourism on 3 December 2010 with a view to pr ovide the electronic access to the information and 
documents in the judicial process and to strengthen the fight against violatio n of the rights. Related 
studies on this matter are still continuing. Repr esentatives of the Ministries shall be convened 
in March in order to review the activities on inte gration. The studies and the full integration are 
planning to be accomplished towards the end of July.   
 
Page 80, paragraph 136: The Secretariat st ates that "[m]echanisms for the collective 
management of rights have been further develope d."  In 2007, the four collecting societies in the 
music sector signed a cooperation agreement and then in 2008, "concluded collective agreements 
with professional associations representing th e users for the licensing of musical works in 
hotels… and in broadcasts."  Also in 2009, Th e United Actors Collecting Society was formed 
and in 2011, the "[s]even collecting societies operating in the cinema  business founded the 
Headquarter of Collecting Societies of Cinema."   
 
 - Please explain whether any of these collective management organizations collect 
the private copy levies or if such levies are still collected by the Ministry of 
Culture and Tourism.  If the Ministry of Culture and Tourism still collects these 
levies, does it distribute these levies to any of these collective management organizations, and if not, how does it distribute these levies?  How much in WT/TPR/M/259/Add.1 
Page 16  
 
 private copy levies has been collected to  date?  How much has been distributed 
to date, and to whom? 
 
In addition, the Secretariat states that the European Commission noted that further work is 
required regarding counterfeiting and piracy, and suggested the adoption of legislative 
amendments to provide deterrent criminal sanc tions, a law on IPR enforcement procedures in 
line with the EU Enforcement Directive, and th at the civil, criminal and administrative IPR 
procedures, including ex-officio measures to combat  piracy and counterfeiting be strengthened.  
Please describe any developments that have  been made regarding these recommendations. 
 
Turkey's answer:   With reference to the EU recommendati on on providing a law on IPR enforcement 
procedures in line with the EU Enforcement Directiv e, it can be stated that Turkish legislation is 
mainly in harmony with the EU Enforcement Di rective. The obligatory provisions in the EU 
Enforcement Directive are included in Turkish legislation on IPR. 
 
Regarding the ex-officio measures, enforcement authorities (like police, gendarmerie) have the 
authority to take action ex-officio in case of offen ces related with banderol (Article 81 of the Law on 
Intellectual and Artistic Works No: 5846. Moreover, if  offences regulated in legislation on intellectual 
and industrial property rights committed by estab lishing a criminal organisation, enforcement 
authorities shall take action ex-officio (Turkish Crim inal Code Art. 220). In order to be regarded a 
crime as organized crime, at least three peopl e should come together to commit a crime. 
 
According to the Law no. 5846, natural and legal persons who manufacture or import for commercial 
purposes any kind of materials carrying works such as blank video cassettes, audio cassettes, computer discs, CDs, DVDs and all kinds of t echnical equipment which serve the reproduction of 
intellectual and artistic works are obliged to collect  every month and deposit, in a special account to 
be opened with a national bank in the name of the Mi nistry of Culture and Tourism, an amount to be 
determined by the Council of Ministers not exceedin g 3% of the manufacturing or importation costs.  
The amounts remaining in this account shall be u sed the purpose of strengthening the intellectual 
property system and the execution of cultural and artistic activities.  
 In this framework, Regulation on Procedures and Pr inciples Regarding the Use of Deductions Made 
from the Costs of Carrying Materials That Include Intellectual and Artistic Works and Technical 
Devices Used to Copy These Works was promulgate d. With the mentioned regulation, rules and 
procedures on the use of the income obtained in consequence of the amount of deduction to be determined by the Council of Ministers are also de signated. Pursuant to the mentioned article, the 
amount at the private account is used for activities mentioned below: 
 
 - Expenses of all kinds of activities held in the scope of strengthening intellectual 
property system and fighting against piracy, 
 - Expenses for supporting cultural and artistic activities,  - Expenses related to the support of films to strengthen the cinema sector.  
The mentioned activities are also d esigned by the collecting societies and substantial amount of the 
mentioned income accumulated at the account is allocated to the projects and activities of the 
collecting societies.   
IV. TRADE POLICIES BY SECTOR 
(1) A
GRICULTURE  
(iv) Domestic programmes 
 
Page 83, paragraph 11:   The Secretariat Report discusses th e role that the National Farmer 
Registration System played in: 1) the now phased -out direct income support scheme; 2) the  WT/TPR/M/259/Add.1 
 Page 17 
 
 
 ability of Turkey to meet the EU Land Parcel Iden tification System standards; and 3) enhancing 
Turkey's capacity for implem enting decoupled supports. 
  - Can Turkey please clarify if the National Farmer Registration System is 
mandatory for all farmers and if, indeed, all farmers are registered?  If all 
farmers are not registered with the National Farmer Registration System, could 
Turkey please identify what percentage is not?  
 
Turkey's answer:   Registration to the National Farmer Regi stration System (NFRS) is not mandatory 
for all farmers but the farmers who wish to benefit from domestic support. Without being registered to 
the NFRS, a farmer cannot be nefit from domestic supports. 
 According to the General Agriculture Census, Agri cultural Enterprises Survey in 2001, the number of 
Turkish Agricultural Enterprises are 3.075.216 in to tal and, about %73,82 of these enterprises are 
registered to the NFRS. Turkey does not have any extra domestic support budget for those farmers 
who are not registered to the NFRS. 
 Studies are ongoing for the establishment of Land Par cel Identification System (LPIS) and planned to 
be completed with all elem ents until the end of 2014. 
  - Can Turkey also please explain whether a farmer must be registered with the 
National Farmer Registration System in order to receive any agricultural support program highlighted in the Secretariat 's report or if registration is only 
required for decoupled support programs such as the now phased-out direct income support scheme?   
 Turkey's answer:   Registration is required not only for decoupled support programs. Farmers should 
be registered in the system in order to benefit from any kind of agricultural support program.  
 
 - The United States also understands that Turkey intends to bring its domestic 
support policies in-line with those of th e European Union.  Can Turkey please 
clarify for the United States the time frame and framework in which Turkey 
plans to do so?  Also, can Turkey plea se explain why the trend in its domestic 
support policies seems to run counter to  the trend in the European Union's 
policies and those of other OECD countries, if its plan is to align with European Union policies? 
 Turkey's answer:   Turkey is a developing country and bound with " de minimis " level in providing 
domestic supports that are subject to reduction co mmitments in the WTO Agreement on Agriculture. 
Turkey has no right to use agricultural safeguard  mechanism (SSG) either. Moreover, deep-rooted 
infrastructural problems of agriculture in Turkey , such as fragmented farm holdings, make alignment 
process with the EU's Common Agricultur al Policy (CAP) a challenging issue. 
 
In the scope of Accession Negotiations to the EU, "Agriculture and Rural Development" Chapter is 
one of the areas that Turkey has to make the necessary harmonization including the EU's domestic 
support scheme.  A strategy document to align Turkish domestic support policy to CAP is prepared and will be 
discussed with the EU in near future. In this dr aft strategy, implementation of the newly introduced 
basin based support program is foreseen at the transition period while transforming deficiency 
payment supports to area-based support policies. Th e strategy document also foresees improvement of WT/TPR/M/259/Add.1 
Page 18  
 
 infrastructure to implement CAP until 2014 as mid-te rm objective, while starting fully to implement 
CAP with accession to the EU.   
Page 84, paragraph 13:   According to the Secretariat Report, the payment rates for deficiency 
payments, sometimes referred to as premium payments, are determined on the basis of 
production costs, market conditions, and budgetary considerations. 
  - Can Turkey please identify who mak es this determination regarding payment 
rates?  Can Turkey please identify, with relation to planting season for the crops 
identified in the Secretariat's Report, wh en the payments rates are publicized to 
farmers? 
 
Turkey's answers:   Payment rates are determined by the Steering Committee of Agricultural 
Supports which is established under the presidency of the Minister of Food, Agriculture and Livestock 
and composed of members from other relevant Minist ries. The payment rates are publicized to farmers 
in February of each year.  
  - Can Turkey please clarify if deficiency payments are made to all farmers of the 
specified crops?  If not, what percentage  of farmers, by crop, receives payments? 
 
Turkey's answers:   Deficiency payments are only made to farmers who are registered to the NFRS 
and those who apply to receive payment for the sp ecified crops. Information regarding payments by 
crop will be given together with the dom estic support notifications to the WTO. 
 
Page 84, paragraph 14:  According to the Secretariat Report, input subsidies include 
concessional loans, which carry a subsidy elemen t ranging from 25% to 100%.  Input subsidies 
also include direct payments for fertilizer and diesel fuel. 
 
 - Can Turkey please provide more deta il on how concessional loans operate 
including the terms of repayment and the subsidy element of the loan? 
 
Turkey's answers:   Concessional loans are provided for only agricultural investments. 
These types of loans mainly cover investments on animal production and agricultural irrigation. The 
aim of the concessional loans is to increase quality of  the meat and milk products and effective usage 
of water by modernizing agricultura l irrigation and irrigation systems. 
 Concessional loans may also be provided for greenhouse agriculture, organic agriculture, good 
agriculture practices, production and usage of certif ied seed, seedling and planting. Loans are operated 
by Ziraat Bank and Agricultural Credit Cooperatives.  
 - Can Turkey please confirm this and identify any other area-based input 
subsidies (i.e., payment rates on a per hectare basis)? 
 
Turkey's answer:   There is no other area-base d input subsidy in addition to  fertilizer and diesel fuel 
subsidies.  
According to the Secretariat's Report, diesel a nd fertilizer subsidies are available for either 
fruits and vegetables or industrial crops. 
 
 - Are there similar restrictions and diff erent payment rates for other area-based 
input subsidies?  WT/TPR/M/259/Add.1 
 Page 19 
 
 
 Turkey's answer:   Input subsidies are provided on area basis to the registered farmers. There are no 
different payment rates for soil analysis.    - Can Turkey also identify specifically what commodities are covered by "fruits 
and vegetables" and "industrial crops?" 
 
Turkey's answer:  Input subsidies are provided on area basis to the registered farmers.  
 
In addition:  
 
 - Are there any other restrictions on farm ers receiving fertilizer, diesel, or other 
area-based input subsidies, such as fa rmers being registered to the National 
Farmer Registration System? 
 
Turkey's answer:   The farmers have to be registered to the NFRS to receive fertilizer, fuel oil and 
soil analysis support payments. In addition, the soil need s to be tested in order to receive soil analysis 
support payment.   - Can Turkey also explain how the payment rates for diesel, fertilizer, and any 
other area-based payments are determined? 
 Turkey's answer:   Payment rates are determined by the Steering Committee of Agricultural Supports 
to compensate vastly increasing oil and natural gas prices, which are the inputs of diesel and fertilizer. 
Steering Committee also determines area-based payments  taking into consideration all aspects of the 
current situation in the agricultural sector.   
 - Can Turkey please identify how widely u sed by farmers these various area-based 
input subsidies are?  For example, 1) Ho w much are total government outlays by 
each type of input (e.g., diesel, fertilizer, etc.)? and 2)What percentage of wheat, corn, barley, rice, and cotto n hectares receive payments? 
Turkey's answer:   This information will be presented together with the domestic support 
notifications to the WTO.  
 
(v) Agricultural state-owned enterprises 
 
Page 85, paragraph 18:   The Secretariat Report states that some agricultural state-owned 
enterprises continue to play a role in producti on, processing, and marketing of agricultural 
products, and in supporting and regulating designated agricultural commodities markets.   
 Without domestic support notifications to refer to, the United States cannot determine how the 
actions of state-owned enterprises, such as the Turkish Grain Board (TMO), impact Turkey's ability to meet its WTO obligations.  For the sake of transparency, please provide the United States with an update on the current status of the TMO and whether the government envisions 
any changes regarding the TMO's role in cont rolling domestic prices.  Does Turkey currently 
have any plans or proposals to expand the role of state-owned enterprises in any sectors?  If so, in which sectors, and why? 
 
Turkey's answer:   By the decision of Cabinet of Ministers, the administered prices (with the 
exception of opium), for cereals and paddy rice have been abolished since 2002.  WT/TPR/M/259/Add.1 
Page 20  
 
 Turkish Grain Board (TMO)'s main duties are to prev ent extreme price volatility and to regulate the 
grain market. TMO, which operates on the grounds of profitability, can declare purchase prices for 
grains and can purchase grain from the market when  domestic prices tend to decrease. Similarly, TMO 
can sell grain to domestic market if domestic prices  tend to increase. In other words, purchase prices 
are set by TMO according to market conditions. 
 
With the exception of opium, TMO neither operates as the sole buyer or seller in the domestic market 
nor hold an export monopoly.   In the III. Economic Criteria Chapter of 2008 Nationa l Programme of Turkey for the Adoption of the 
EU Acquis  published at the Official Gazette No: 27097 dated 31.12.2008, it is indicated that "price 
liberalization in the agriculture sector continu es with the executions towards the SEEs. In fact, 
before 2002, TMO used to regulate the grain mark et with the support purchase prices announced by 
the Decree of Council Of Ministers. After 2002, the market is regulated by the prices announced by the enterprise. Besides, in the grain sector, in order to be in harmony with the EU and to ensure a more 
effective operating market, Grain and Rice Implem entation Regulations were accepted in 2008. In 
Turkey, at least two payment institutions is planne d to be established. The main approach is to 
reorganize some existing institutions as "payment institutions." Determining the authorization and 
responsibility of these institutions and, in this co ntext, legal works related to reorganization are 
expected to be finalized by the year 2013.  
There is no intention to expand the role of  state-owned enterprises in any sectors.  
 
Page 86, paragraphs 19-20:   The Secretariat Report states that most administered prices, 
including for cereals and paddy rice, have been  abolished since 2002.  However, some state-
owned enterprises, such as the TMO, continue to set purchase/intervention prices.  In addition, 
the Treasury bridges the gap between purcha se/intervention prices and export prices. 
  - Can Turkey please identify for what commodities the administered prices (that 
is, the purchase/intervention prices) were not abolished?   
 
Turkey's answer:   There is not any administered price implementation in the field of TMO's 
activities. Purchasing prices are set by TMO's Board of Directors.  
 - Can Turkey please detail how the abo lished administered prices differ from the 
purchase/intervention prices in their operation?   
 
Turkey's answer:   TMO is an institution that carries out its  activities and operations within the scope 
of The Board of Directors' decisions. It works on the ground of profitability. Since 2002, TMO has set 
purchasing and selling price of the products in the field of its activities autonomously. The product 
prices that TMO announces are not administered pri ces of the government but prices announced by 
TMO's Board of Directors.  
Thus, TMO is not an institution that intervenes dire ctly in functioning of grain markets. When grain 
prices that are formed in grain markets fall below the prices that are set by TMO, it gets into market 
and purchases grains with its prices and it sells those products with the profit.  
 - Does Turkey plan to notify domestic  support under the purchase/intervention 
price scheme in a manner different from the abolished administered prices? 
 
Turkey's answer:   Domestic support notifications will be made in near future to the WTO.    WT/TPR/M/259/Add.1 
 Page 21 
 
 
 Also, 
 
 - Can Turkey provide further explanation as to how domestic purchases are made 
using the purchase/intervention pri ces and how those products are then 
exported? 
 
Turkey's answer:   TMO buys products at purchasing prices determined according to their quality and 
sells them in domestic market at prices above the purchasing price or exports at world prices. 
 - If the Treasury is covering the budget ary difference between the two prices (that 
is, the export price is below the purcha se price), how is that not an export 
subsidy? 
 
Turkey's answer:   The main purpose of TMO is not to promote exports, but to ensure food security. 
Moreover, the products purchased by the TMO for f ood security purposes are not subject to exports.  
On the other hand, the TMO export prices, which are not below the world market prices for the 
products other than the products purchased for the food security purposes, do not create unfair 
competition in the international market.  
Page 86, paragraph 21:   The Secretariat Report states, "The TMO sells domestic wheat at world 
market prices to domestic manufacturers of flou r and pasta in volumes that are related to their 
exports of flour and pasta…" Can Turkey please ex plain what is meant by the term "are related 
to"?    
Turkey's answer:   By "Related to", wheat conversion rates for flour and pasta exports are meant. The 
said rates are determined by exporters' associations.   It also appears that Turkey has provided budget ary support to make up the difference between 
domestic and export prices for emergency stocks .  Can Turkey please explain these operations? 
Turkey's answer:   Emergency stocks are kept as security stocks and are definitely not an issue of 
trade at domestic and foreign markets.  
Furthermore, can Turkey provide a complete explan ation of the support it provides to the flour 
industry, including support for domestic wheat pr oduction, inward processing regulations such 
as milling percentage, and export subsidies? 
 
Turkey's answer:   Premium support that is below " de minimis " level is provided for wheat producers. 
Wheat producers can benefit from non product specifi c input subsidies such as fertilizer, fuel and 
certified seed payments. 
 Although the flour is present in the list of Turkey 's agricultural export subsidy commitments which 
includes 44 agricultural product groups, it is not included in the Export Subsidy Programme for Agricultural Products, Decree 2010/10 of The Money-Credit and Coordination Council.  
On the other hand, according to the inward processi ng regulations, imported wheat has to be exported 
as wheat flour with the exception of processing loss. In addition, the wheat bran has to be either 
exported or nationalized by paying all taxes includi ng customs duties and VAT. The rate of processing 
loss can vary according to production technology of companies.  
TMO is assigned with keeping emergency stocks to be  used in extra ordinary situations. The storage 
costs of those stocks are provided from the budget. WT/TPR/M/259/Add.1 
Page 22  
 
 Page 86, paragraph 22:  The Secretariat Report states that manufacturers that use sugar as a 
raw material are eligible to purchase domestic  sugar production at world market prices. 
 In its most recent WTO Domestic Support notificati on (2001), Turkey notified that it had no 
sugar market price support because there w ere no buyers.  It is the United States' 
understanding that the sugar industry consists of a combination of state-owned industries, 
private sector entities, and the cooperative.    
 - Can Turkey please identify how sugar is marketed from the farmer to the 
manufacturers described in the Secretariat's report? 
 
Turkey's answer:   In Turkey sugar is subject to quotas.  "A" quota sugar is the quantity of sugar 
which is produced in order to meet domestic de mand and which can be delivered to the domestic 
market within the marketing year (1 September- 31 August). "B" quota sugar is  the quantity of sugar 
which corresponds to a certain percentage of the A sugar quota and which is produced in order to be 
kept for security purposes. A and B quotas are assigned by the Turkish Sugar Board annually on the 
basis of sugar producer companies. It is possible to produce in excess of the quotas which is called "C 
sugar". Subsequently, sugar producer companies di stribute beet quotas, corresponding of their sugar 
quotas, among their farmers. A and B beets are produced according to contracts between producers and the companies. Producing C beet is up to farmers while buying it is a decision to be made by companies. 
 
C sugar cannot be marketed domestically and must be exported. In this framework, sugar producer 
companies may export their C sugar directly or sell it to manufacturers in order to be exported in their 
sugar containing processed foods. 
In case of export of C sugar in the form of suga r containing foodstuffs, manufacturers thereof buy 
C sugar from sugar producer companies with the pr ice obtained by adding freight (currently 61 USD 
per tonne) to the world market price. It means th at, price of C sugar applied in this system is 
60 USD/ton higher than world market price at least.   In case of direct export of C sugar, producer compan ies sell their C sugar directly to the world market 
with the price they agreed mutually with the buyers. 
 
 - Can Turkey also explain how sugar pri ces are set prior to planting and if these 
prices are above or below the world market prices described in the Secretariat's Report? 
 Turkey's answer:   Sugar beet prices are determined by the Sugar Governing Body every year through 
mutual agreements between the real and legal persons operating sugar factories and the producers 
and/or their representatives. Other raw materials used in sugar production are procured by the 
companies from the producers and/or from the mark et. Sugar selling prices are determined freely by 
the sugar factories. Those arrangements are applied to all sugar factories whether they are state owned or private sector entities.  
 
The quantity of sugar to be marketed by each factor y is determined by the Sugar Governing Body with 
quotas in an annual basis, according to the types of sugar.   Excess sugar beet production is used to produce "C s ugar" which is produced outside the quotas A and 
B and which may not be marketed in the domestic market and which is procured in order to be 
processed for exportation. Purchase price of sugarbee t for C sugar is lower than the regular purchase 
price of sugarbeet.  WT/TPR/M/259/Add.1 
 Page 23 
 
 
 Price of A sugar, which is above world market prices, set by the producer companies under free 
market conditions, that means there is no intervention.  As a result, there is not any price support either 
on sugar or on beet in Turkey.   
(vi) Export measures 
 
Page 86, paragraph 23:   The Secretariat Report states that, under Turkey's export subsidy 
program for agriculture products, export subsidies are granted in the form of reductions of the 
exporters' debts vis-à-vis public corporations (for example, deduction of taxes, telecommunications or energy bills).  Can Turkey provide a detailed list of all subsidies (in any 
form) provided to exporters under this program?    
Turkey's answer:   The detailed list of subsidies that are granted in the form of reductions of the 
exporters' debts vis-à-vis public corporations are listed below: 
 
- Taxes and  tax penalties, 
- Social security contributions, - Communication expenditures (telephone, telefax etc. costs), - Energy expenditures (electricity, natural gas etc.), - Liabilities and default interests of the men tioned liabilities to the banks in liquidation 
and to the Savings Deposit Insurance Fund.  
 
On the other hand, the export subsidies granted to sixteen product groups are available in table AIV.2, 
Secretariat Report, page 149.  
REPUBLIC OF KOREA 
 
Questions Regarding the Secretariat Report 
 II. TRADE AND INVESTMENT REGIMES  Page 9 (para. 3) 
 
Following a reorganization of the institutiona l structures of ministries and certain public 
institutions initiated in June 2011, the Minist ry of Economy now formulates, administers, and 
coordinates Turkey's foreign trade policies inst ead of the former Undersecretariat of the Prime 
Ministry for Foreign Trade.  
Question 
 Could the Turkish government provide the rationale for this change? Is the change intended to 
strengthen the role of the Ministry of Economy as a coordinator for Turkey's foreign trade 
policies?  
Turkey's answer:  Reorganization of the institutional structure of the Ministry of Economy 
by June 2011 is the outcome of a need to appro ach foreign trade policies and implementations  from a 
broader perspective in line with the new globalization strategy of Turkey.  
 Turkey believes that the key to sustainable economic growth will be export growth both in 
commodities and services to be boosted by increased  foreign direct investment. With the new 
structuring, The Ministry of Economy has undertaken more responsibility for conducting the trade and 
investment policies in coordination with the releva nt Ministeries and institutions as well as the other 
stakeholders.  WT/TPR/M/259/Add.1 
Page 24  
 
 Pages 16-20 (paras 15-30) 
 Currently, Turkey is participating in many re gional and bilateral trade agreements including 
16 bilateral FTAs which are in force. Such regio nal and bilateral trade agreements are thought 
to have contributed to improving competition in Turkey's economy. But it is also pointed out 
that they have increased the complexity of Turk ey's trade regime and potentially detract from 
multilateral efforts to op en its economy further. 
 Question 
 
Does Turkey agree with this opinion?  If not, what is the reasoning? 
 
Turkey's answer:  The Customs Union between Turkey and European Union (EU), which was 
established in 1996, is one of the building stones for Turkey's trade regime.  
 Following the establishment of the Customs Union,  Turkey has managed to align its commercial 
policy with that of the EU. Together with the Co mmon Customs Tariff, the preferential trade regime 
constitutes the most important part of the trade po licy of Turkey applied towards third countries.  
 
Indeed, with the Customs Union, the Turkish econom y has been integrated with one of the most 
competitive economic blocs of the world and obviousl y that has given the biggest impetus to Turkish 
economy since the adoption of liberalization measures of the early 1980's. 
Turkey's free trade agreements are compatible with the WTO rules. Besides the Customs Union 
Decision, the legal basis of Turkey's agreements  are constituted by the Article XXIV of the GATT 
1994 and Enabling Clause of 1979 GATT Tokyo Round which enables flexibility in the conclusion of 
FTAs among developing countries.   Turkey recognizes the importance of multilateral e fforts to open its economy further. However, it 
should be noted that bilateral preferential trade agr eements contribute to the expansion of world trade 
that may be made by closer integration between the economies of the parties to such agreements. 
Also, the purpose of such trade agreements is to fac ilitate trade between the Parties. It is worthy to 
note that FTAs of Turkey are notified to and pr esented in Regional Trade Agreements Committee of 
the WTO, a platform where the FTA s are "recognized" by WTO members. 
 
So far, Turkey has concluded FTAs with 28 count ries since 1992, 10 of which were repealed due to 
the accession of the related countries to the EU. Ther efore, Turkey is an experienced country in 
bilateral preferential trade agreements and in this way it smoothly conducts its trade regime. 
 Lastly, our FTA policy does not imply any detraction from multilateral efforts to open our economy. 
Turkey is an active member of WTO and conduc ts its policies in accordance with principles and 
tendencies in the WTO.  III. TRADE POLICIES AND PRACTICES BY MEASURE 
 
Pages 46-51 (paras 47-51) 
 
Turkey increased the use of anti-dumping measures against many countries including Korea, 
with 118 duty measures in force as of August 2011, co mpared to 93 at the end of 2007, and 27 at 
the end of 2002. Furthermore, it also imposed its first countervailing duty measures in 2009 and 
has initiated investigations and extended safe guard measures pursuant to the Agreement on 
Safeguards on a number of products since 2007.  WT/TPR/M/259/Add.1 
 Page 25 
 
 
 Question 
 Why has Turkey's dependency on such measu res increased? Does Turkey agree with the 
opinion that it can be considered as evidence of strengthening protectionism?  
Turkey's answer:  In Turkish national legislation on tr ade remedies the conditions necessary to 
initiate investigations for anti-dumping, countervailin g and safeguard measures are clearly stated and 
if domestic producers make proper applications, the investigating authority has to take them into 
consideration. All the trade remedy actions taken by  Turkey are in full conformity with the related 
WTO Agreements.  
 
Therefore, the number of initiations is in acco rdance with the increase in properly prepared 
applications supported by sufficient evidence accord ing to the relevant WTO Agreements. Moreover, 
concerning anti-dumping measures, it is important to stress that anti-dumping measure are used to deal with the unfair competition conditions caused by dumped imports. In this regard, the increasing 
number of anti-dumping cases is the result of the increasing unfair competition practices. 
 
Therefore, this cannot be considered as evidence of strengthening protectionism. 
IV. TRADE POLICIES BY SECTOR 
 Page 81 (para. 2) 
 
Recently, Turkey suffered from an outbreak of foot-and-mouth disease.  Question 
 
What was the Turkish government's response to this outbreak? What has been the impact of the outbreak on Turkey's livestock trade? 
 Turkey's answer:  Thrace region of Turkey is free of foot and mouth disease (FMD) since 2007 and 
General Assembly of World Organization of Anim al Health (OIE) recognized Thrace region as "FMD 
free where vaccination is practiced" on 25 May 2010.  In Anatolia region control and eradication 
programs for FMD are sustained and the disease is endemic as new virus types entered into the 
country and antigenic modifications in foot and mouth disease virus.  
 
In accordance with the contingency plan, in the ou tbreak areas of FMD; protection and surveillance 
zones surrounding the outbreak are established and an imal movements, products thereof within or out 
of these areas are prohibited, sanitary measures are taken within protection and surveillance zones. 
Vaccination programs are also implemented. Measures taken are laid down in the Regulation on FMD 
Control published at the Official Gazette No.: 27836 dated 04.02.2011. 
(http://www.gkgm.gov.tr/mevzuat/yonetmelik/ sap_hast aliginin_kontrolu_yonetmeligi.html). Disease 
affects the livestock trade directly. Exportation of animal and animal products from Turkey is being 
carried out in accordance with cond itions of the importing country.  
 INDIA 
 
Part I :  Questions regarding the Secretariat report 
 
Pages 85, 86-87 (paras 17, 26, 28) 
 
Turkey has no domestic support reduction co mmitments under the Agreement on Agriculture 
(AoA).  However, there is substantial increa se in support and protection for agriculture. WT/TPR/M/259/Add.1 
Page 26  
 
 Turkey's agriculture has become less market oriented. While the long-term OECD trend has 
been declining level of support, Turkey has been  moving in the opposite direction. Moreover, 
contrary to the OECD trend, Tu rkey continues to deliver most of its support and protection in 
the potentially most trade distorting manner.  On the other hand, Turkish agriculture is 
suffering from many environmental problems lik e soil erosion and excessive use of water etc. 
However, green box measures have low priori ty in Turkey agriculture policy; although 
experience from other countries shows that gree n box measures are best suited for sustainable 
agriculture sector.  Question 1  
 
Given these facts, Turkey is requested to explain how in its future agriculture policy it intends to deal with trade distorting subsidies and the pr iority it accords to Green box measures for a 
sustainable and market oriented agriculture sector.  
Turkey's answer:  Within the scope of Accession Negotia tions to the EU, one of the opening 
benchmarks under the Chapter on "A griculture and Rural Developmen t" is related to the support 
scheme of Turkey, which is requesting Turkey to pr esent a strategy to the Commission that reverses 
the tendency in increasing the coupled direct support payments and price support measures in favor of 
the decoupled direct supports which are co mpatible with the recent trend of CAP. 
In this context, a strategy document to align Tu rkish domestic support policy to CAP is prepared and 
will be discussed with the EU in near future. In this draft strategy, implementation of the newly 
introduced basin based support program is foreseen  at the transition period while transforming 
deficiency payment supports to area-based support policies. The strategy document also foresees 
improvement of infrastructure to implement CAP un til 2014 as mid-term objective and fully start to 
implement CAP with accession to the EU.  
A comprehensive impact analysis is also planned in order to put forth the financial and social impacts 
of transition. 
Besides, in order to have a sustainable and mark et based agriculture sector, green box measures is a 
priority for Turkey as a member of WTO.   
Page 61-62 (para. 77) 
 
The Ministry of Economy is responsible for the implementation of the Agreement on Technical 
Barriers to Trade in Turkey.  Turkey has es tablished two National TBT Enquiry Points; the 
Directorate General of Product Safety and Insp ection (under the Ministry of Economy) for 
technical regulations and conformity assessm ent procedures, and the Turkish Standards 
Institution (TSE) for standards.  The Directorat e General maintains a website to facilitate access 
to TBT notifications, and to obtain opinions fr om the different stakeholders on implementation 
of measures and market access challenges.  Question 2  Turkey is requested to provide an answer for the reasons for having two bodies as "National 
TBT Enquiry Points"(as per the notification WTO number: G/TBT/2/Add.33/Rev.1, 
9 November 2011).  Turkey is also requested to provide the comple te list of product cov erage (industry-wise) under 
these two standardisation bodies. Turkey may kindly elucidate if the list are common or 
different.  WT/TPR/M/259/Add.1 
 Page 27 
 
 
 India would like to know for industries like, te xtiles and clothing, chemicals and Industrial 
machinery which of the two is the correct body  to find the existing standards in Turkey. 
 
Turkey's answer: In Turkey, there are two National TBT Enqui ry Points differentiated in the context 
of subject. Ministry of Economy conducts Enquiry point task for Article 10.1 of the TBT Agreement 
in terms of technical regulations a nd conformity assessment procedures.  
 The Enquiry Point task for standards under Article 10.1.2 is performed by the sole standardization 
body; the Turkish Standards Institute (TSE). As  a member of International Organization for 
Standardization (ISO), International Electrotec hnical Commission (IEC), European Committee for 
Electrotechnical Standardization (CENELEC) and Eu ropean Committee for Standardization (CEN), 
the duty of TSE comprises the whole standardization process applied to all products. In other words as 
the sole standardization body, TSE is the only respons ible body for all standa rds irrespective of the 
industry. More information on TSE may be found at www.tse.org.tr. 
Page 65 (para. 90) 
 
The Turkish Accreditation Agency (TURKAK), established in 2000, is responsible for accrediting domestic and foreign conformity assess ment bodies and ensuring that they carry out 
laboratory, certification, and in spection services in accordance with  international standards.  
TURKAK is a full member of the European cooperation for Accreditation (EcA), the International Accreditation Forum (IAF), and the International Laboratory Accreditation 
Cooperation (ILAC).  The Conformity Assess ment Association (UDDer), established in 2006, 
brings together 65 Turkish stakeholders to support the development of conformity assessment activities in Turkey, including their recognition at  national and international levels.  Under Law 
No. 1705, the General Directorate of Measures a nd Standards of the Ministry of Science, 
Industry and Technology (MSIT) is responsible for quality control systems concerning legal 
metrology, establishment of calibration systems of test laboratories, and operating private 
laboratories in accordance with the Measurem ent and Calibration Law No. 3516 of 1989. 
 Question 3  Turkey is requested to clarify the actual role  of Turkish Accreditation Agency (TURKAK) in 
the standard setting processes. 
 Does it limit itself strictly to responsibiliti es like accreditation of domestic and foreign 
conformity assessment bodies and ensuring that they carry out laboratory, certification, and 
inspection services in accordance with international standards? 
 Turkey's answer: TURKAK is the sole accreditation body in  Turkey, established under public law 
but subject to private law in delivering accreditation activities. It has administrative and financial autonomy. As a full member of EA, IAF and ILAC, TURKAK only carries out accreditation activities in conformity with the international rules and pro cedures. Hence, TURKAK does not play any role in 
the standard setting-processes. 
 
The responsibilities and authorities of TURKAK is clearly defined in Article 1, Law No 4457. TURKAK accredits the Conformity Assessment Bodies in accordance with the related standards.   WT/TPR/M/259/Add.1 
Page 28  
 
 Page 27 (para. 6) 
 Issue stated: Certain goods may only be import ed through specialized customs offices. 
 Question 4 
 
Could Turkey explain the rationale for permitti ng imports of certain goods through specialized 
customs offices? Are exports of similar products  also restricted through specialized customs 
offices?   
 Turkey's answer: In Turkey, importation of certain products is completed from specialized customs 
offices. With their highly qualified and trained pers onnel for specific sectors, some customs offices 
are competent for special products. With this implementation, customs clearance of goods is 
completed in a more efficient and effective manner. Specialized customs offices are not designed as an obstacle or a restriction to trade, equipped with relevant techniques and expertise, their aim is to 
ease and speed up the customs procedures.  
 There is no restriction for the exportation. Such an  implementation is not applicable for exportation. 
Page 27 (para. 8) 
 Issue stated: Effective 1 January 2010, textiles and clothing products became subject to 
registration, to monitor import of these goods. 
 Question 5  Could Turkey indicate the average time taken for completing all formaliti es related to exporter 
registration? Could Turkey further indicate  the number of applications for exporter 
registration which we re rejected annually? 
 
Turkey's answer: The Exporter Registration Form is required for the first application of each 
exporter. Exporter Registration Form should be ap proved by the Turkish Consulate General in the 
exporter country after the approval of the related co untry's authorities. In case of the absence of the 
Turkish Consulate General in that country, the form  will be approved by the Chamber of Commerce, 
where the producer company is registered.   Turkish Consulate General's approval is not necessary in case an Apostille agreement is in force with 
the exporter country in accordance with the Hague Convention dated October 5, 1961. Completion of 
this process depends on the exporter country and it sh ould be emphasized that this process is required 
for only the first time. Exporter Registration Form is  valid for one year and then renewals and updates 
can be made on the Internet.  However, exporters can fill out the said form on inte rnet and complete the authorization process by the 
aforementioned authorities within 60 days. This me chanism is aimed to prevent any delays. Hence, 
literally this process takes no time. 
 Regarding the importers in Turkey if all the conditi ons are met the Registry Document is granted no 
more than 1 hour.  
In some cases due to deficiencies some applicati ons could be rejected. None of the applications 
meeting the requirements of the Exporter Registry Form is rejected so far.  
  WT/TPR/M/259/Add.1 
 Page 29 
 
 
 However, if any inadequacy exists  in the application, it is accepted after the correction of this 
inadequacy.   
Page 51 (para. 51) 
 
Issue stated: Turkey has extended the safeguard measures initially imposed in 2006 on imports 
from all countries of steam irons, vacuum clea ners, footwear, and motorcycles (2007).  In new 
cases, Turkey imposed definitive safeguard me asures on all imports of certain electrical 
appliances and cotton yarn in 2008, and on matches in 2009  
Question 6 
 Could Turkey confirm that 5in each instance of it extending the duration of a safeguard 
measure under Article 7.2 of the Agreement on Safeguards, it has undertaken a review and 
complied with obligations set out in Articles 2,3, 4, and 5 of the Agreement on Safeguards ? 
 Turkey's answer:  According to the Turkish legislation on  safeguards, an investigation can be 
initiated upon the receipt of a pr operly documented petition for the a pplication or extension of a 
safeguard measure. It is well known that a safe guard measure may be extended as long as it is 
demonstrated that the measure continued to be neces sary to prevent or remedy serious injury and the 
industry is adjusting.  
 
During the investigation, all injury indicators have  been evaluated as it was done during the original 
investigation. Investigating authority examines whethe r the conditions stated in Article 7.2 have been 
met relying both on the data submitted by all intere sted parties and collected during the on the spot 
visits and on determina tions made during the investigation. A ll the relevant factors regarding the 
developments in domestic industry in terms of th e adjustment to the market conditions since the 
imposition of the initial safeguard measure have been ev aluated. In this context, especially efforts of 
the domestic producers to increase its competitiveness in the market have been analyzed in detail. 
 
Page 56 (para. 62)  
Issue stated: The Turk Eximbank, operates a numb er of export credit, guarantee, and insurance 
schemes.  The main objectives of the Bank a re to increase the volume of Turkish exports, 
develop new export markets, increase the share of Turkish exporters in international trade, 
diversify exports of goods and services, and s upport Turkish exporters, investors, and overseas 
contractors.  Turk Eximbank presents its a nnual programmes to the Supreme Advisory and 
Credit Guidance Committee, chaired by the State Minister in charge of the Bank's activities.  
The Committee sets upper limits for credits, gu arantees, and insurance transactions to be 
effected by the Turk Eximbank, either as a gr oss amount or by country, sector, and programme. 
 Question 7  
Could Turkey indicate the reasons why  the support provided by the Turk Eximbank to its 
exporters should not be treated as a prohibited export subsidy? In particular, the role of the 
Supreme Advisory and Credit Guidance Commi ttee in setting upper limits for credits and 
guarantees implies that a subsidy exists, which is also contingent on exports performance. 
 
Turkey's answer:  Turk Eximbank, which was established in 19 87, is the sole official export credit 
agency in Turkey. The Bank regularly presents its  annual programs to the Supreme Advisory and 
Credit Guidance Committee chaired by the Minister in  charge of the Bank's activities. The Committee 
approves  Turk Eximbank's annual programs, including  country limits for the country credits, WT/TPR/M/259/Add.1 
Page 30  
 
 insurance and guarantee programs as well as Turk Eximbank's general strategy, targeted annual 
volumes and key objectives of Turk Eximbank's shor t and medium term credit programs for the year. 
 Like its counterparts around the world, as a wholly state-owned bank, Turk Eximbank's main objective is to encourage exports from Turkey.  The Country Limits that are determined in its Annual 
Program just set a ceiling for the new credits that  can be extended during the year under the Buyers' 
Credits and Medium/Long Term Insurance program.  We have similar limits set on the credit 
disbursement amounts.  Both the ceiling for count ry limits and the disbursement amounts are set 
solely for budgetary purposes.  The limits are dete rmined according to the transactions in the pipeline 
of the Turkish firms and current commitments of Turk Eximbank to buyer countries.  On the other 
hand, we do not have any sector specific li mits established under the Annual Program.  
 Therefore, the approval of the Supreme Advisory and Credit Committee which we are obliged to seek 
by Law of Articles of Association is definitely not  be perceived as "subsidy" as all the loans extended 
under the Buyers' Credits are on commercial terms (in terms of the interest rate, premium and total 
maturity) which is most of the time less advantage ous compared to the other credits extended by the 
peer Export Credit Agencies (ECAs) around the world.  As of end-2011, 21 per cent of the Bank's sources used  for the funding of its assets are paid-in capital.  
This ratio indicates that Turk Eximbank, like all ot her ECAs in the world, funds its activities mainly 
from domestic and international sources rather than capital injections.  Hence the Bank always reflects 
the cost of funding to the rates it charged in orde r to secure a sound financial structure.  In this 
context, Turk Eximbank gives importance to be financially sustainable.  Regarding short-term credit and insurance programs; Turk Eximbank complies with the Agreement on 
Subsidies and Countervailing Measures of the WTO.  In addition, according to the Turk Eximbank 
lending rules, the cost of Turk Eximbank loans to exporters is the combination of Turk Eximbank's 
lending rate to the relevant firm and intermediary/guarantee bank's surcharge in respect of their on-
lending or providing guarantee letter to exporters. Through that mechanism, the cost of Turk Eximbank loans to exporters is commensurate with the market rates.  In conclusion, the Bank neither 
provides export credits below cost of borrowing and nor bears all or part of costs incurred by 
exporters.  For that reason the subsidy element is not prevailing. Additionally, past export 
performance is not an eligibility condition for ex port credit programs. The Bank only aims that 
exporters make use of these funds in export related working capital needs.  
 Regarding medium and long-term export credit, guarantee and insura nce facilities, Turk Eximbank 
fully complies with OECD Consensus which dete rmines the guidelines for the officially supported 
export credits for two years or more.  According to the item (k) of the Annex I of the SCM 
Agreement, an export credit practi ce, which is in conformity with the provisions of the OECD 
Consensus shall not be considered as an export s ubsidy prohibited by this Agreement.  Medium and 
long term export credits of Turk Eximbank are in conformity with the OECD Consensus.   Furthermore, regarding export credit insurance progr ams, Turk Eximbank follows all the disciplines 
and requirements furnished in the OECD Arrangeme nt, Berne Union and the WTO.  The insurance 
activities of Turk Eximbank are similar with tho se of the traditional ECAs'. Its basic insurance 
programs are relatively well run and they fully me et the underwriting requirements of international 
reinsurers.  For export insurance covering political  and commercial risk, the exporter is charged a 
premium according to the risk classification of the buyer's country, credit length, payment term and 
the type of buyer (public or private) which includ es overhead costs as well. Like all other officially 
supported ECAs, only political risk is under the guarantee of the state; the losses incurred due to commercial risks are indemnified by Turk Eximbank from its own resources.  However, re-insurance treaties have been established with domestic and ov erseas re-insurance companies to cede part of the 
commercial and political risks borne by Turk Exim bank under the short-term export credit insurance  WT/TPR/M/259/Add.1 
 Page 31 
 
 
 program (70 per cent of commercial and political risks under short-term insurance activities are 
covered by a reinsurers panel on the basis of a quota-share treaty).  Premium rates and premiums 
collected have been fairly adequate to cover th e long-term operating costs and losses of the programs 
since commencement.  Page 68 (para. 102)   Issue stated: Financial incentives available to free-zone companies include exemption from 
payment of customs duties and fees; exemption fr om corporate, income, and value-added taxes. 
Question 8 
 
Could Turkey clarify whether the financial in centives, in the nature of exemption from 
corporate and income tax, available to free- zone companies are available for companies not 
located in free zones? Could Turkey further confirm that a free-zone company is under a 
mandatory obligation to export? Finally, could Tu rkey clarify why financial incentives, in the 
nature of exemption from corporate and income tax, available to free-zone companies should 
not be treated as prohibited export subsidy?   
Turkey's answer: In order to operate in the Turkish free zones, the domestic or foreign companies 
should have an operating license that is granted by  the Ministry of Economy (Directorate General of 
Free Zones, Overseas Investment and Services) upon the evaluation of their application. Only the 
companies with a valid operating license can  benefit from the free zone advantages.  
 Free zones companies do not have mandatory obligation to export and as can be seen from the statistics posted regularly on the Ministry's web site, almost half of the sales from the free zones is to 
Turkey and subject to the import regime. 
 
The financial incentives are very limited compared to most of the free zones in the world. In order to 
align the Turkish Free Zones Legislation to the EU acquis , Law Nr. 5084, which came into effect 
on February 6, 2004, amended the incentive syst em set forth in the Free Zones Law Nr. 3218 and 
ended the tax exemptions by the beginning of 2009 for the users that engage activities other than 
manufacturing. The corporate or income tax exem ption is only for the manufacturer companies and 
effective until Turkey becomes a fu ll member to the European Union, with a view to provide a 
transitional period and to protect current investment s established according to the conditions stated in 
the Free Zones Law Nr. 3218 before the abovementi oned amendments were introduced. The corporate 
or income tax exemption is not contingent upon export performance.  
 
Page 68 (para. 102) 
 Issue stated:  However, according to La w No. 5810 of 12 November 2008 (amending Law 
No. 3218) only free-zone users operating under a production licence may be exempted from 
income and corporate taxes.  
Question 9 
 Could Turkey clarify whether a free zone user operating under a production licence would be eligible for exemption from income and corporat e taxes, even if the user does not export and 
instead sells his output in the Turkish domestic market? 
 
Turkey's answer:   Exemption from corporate or income tax is available only for the free zone users 
who have a valid operating license on production, wh ether they sell their products to domestic or 
export markets.  WT/TPR/M/259/Add.1 
Page 32  
 
 Page 68 (para. 102) 
 It is mentioned Financial incentives available to  free-zone companies include exemption from 
corporate and income taxes. 
Question 10 
 
India requests Turkey to explain how this exemption is in tune with their obligations under the Agreement on Subsidies and Countervailing Measures.  
Turkey's answer:  Since the incentives are not upon expo rt performance or based on favoring 
Turkey's domestic products over th e imported like products and all of the incentives are available to 
domestic or foreign operating license holders, Turkis h free zone legislation is in tune with  the 
Agreement on Subsidies and Countervailing Measures. 
 
Page  viii and 39 (paras 7 and 28) 
 
Although, Turkey's Special Consumption Tax (S CT) makes no distinction between imported 
and domestically produces goods, the SCT on al coholic beverages varies considerably depending 
on the type of the product.   Question 11 
 
Could Turkey provide details of the Special Co nsumption Tax applied on different types of 
alcoholic beverages and also specify the main source (i.e. whether imported or domestically 
produced) for each type of alcoholic beverage? 
 
Turkey's answer:   The Special Consumption Tax is levied on the basis of rates and amounts which 
are stated in the lists annexed to the Special Consumption Tax Law. In addition, these goods are 
classified according to their Harmonized Commodity Description and Coding System (HS Code) numbers.  The five groups of product are identified in th e directives published related to the Special 
Consumption Tax levied on alcoholic beverages with in the Statutory of the European Union, within 
the context of Turkey's accession negotiations to th e EU. These groups of product are classified as 
beer, wine, other ferment alcohols, in termediate product, and ethyl alcohol. 
 
Even though the products are classified according to  their HS Code numbers within the Turkish Tax 
Law the structure of taxation applied in Turkey re flects the similarity to this classification. The 
taxation of the alcoholic beverages mentioned above is immanent in global implementations and the 
Statute of the European Union.  Additionally, the taxes which are levied on the high er alcoholic beverages respect the difference in 
themselves. However, this difference will be termin ated gradually by 2018 pursuant to Action Plan 
dated 18.05.2009, which had been endorsed befo re the Taxation Chapter was opened to the 
negotiations on 30.06.2009.  
Page 59 (Table III.17)  
 
The State aid programmes of Turkey indicate existence of actionable subsidies. 
  WT/TPR/M/259/Add.1 
 Page 33 
 
 
 Question 12 
 Could Turkey provide details of the amount of subsidy provided by it under its various state aid 
programmes of 2011, specifically in relatio n to research and development projects and 
environmental protection activities? 
Turkey's answer: Under Ministerial Council Resolution on Stat e Aids Related to Exports (No. 6401 
of 27 December 1994), Turkey has established 11 st ate-aid programmes, some of which target SMEs 
(Table III.17). Additional support programmes are th e Organized Industrial Zones (OIZs), Industrial 
Zones, the Small-scale Industrial Estates Scheme , KOSGEB, and Technology Development Zones.   
 
The state aid programs of Turkey are not consider ed as actionable subsidies. The data on the total 
amount of state aids, including those for researc h and development projects and environmental 
protection activities, for 2011 is not available at this stage. 
 
Page 34 (para. 19) 
 
It is mentioned that Turkey maintains tariff rate quotas on non-agricultural products like 
acrylonitryl and compressors.  Question 13  
India requests Turkey to explain the rational e for maintaining Tariff Rate Quotas for non-
agricultural products. India is also  interested in knowing as to on what basis the in quota rates 
are fixed and whether they remain constant or change from year to year?  
Turkey's answer: The tariff quota decisions, after being discussed in EC Economic Tariff Questions 
Working Group (ETQG) meetings, are taken by the Commission. Turkey is treated by the 
Commission as a Member State since Turkey's rights and obligations in this case are similar to the 
Member States' ones.  Tariff quotas could be opened for the products whic h are not produced or produced in insufficient 
quantities within the EU and Turkey. However,  the decision making process for tariff quotas is 
different as Turkey will not be part of the Counc il regulation. So these tariff quotas based on Turkish 
requests (national quota) would only be applicable for Turkey.   Regarding the rationale for maintaining tariff quotas ; as long as this shorta ge of domestic and EU 
production lasts, the tariff quota implementation w ill be able to be continued by the Commission 
Decision upon the requests of applicant countries w ithin the framework of certain time periods. 
 
Page 4 (para. 11) 
 Question 14  
Turkey's Current Account Deficit (CAD) which has widened to 6.5% of GDP in 2010, appears 
to pose the main challenge to rapid economic expansion. How do es the Turkish government plan 
to address this rapidly growing CAD?  
Turkey's answer:  Low interest rates across the globe, strong credit growth amid increased short-term 
capital inflows to Turkey, soaring imports due to strong domestic demand, weak external demand and 
deteriorating terms of trade caused the current acc ount deficit to widen rapidly in 2010 and 2011.  WT/TPR/M/259/Add.1 
Page 34  
 
 Pre-Accession Economic Programme (2012-2014) has b een prepared in line with Medium Term 
Programme (2012-2014), which has the main objectives of increasing welfare, increasing employment, sustaining fiscal discipline, incr easing domestic savings, reducing current account 
deficit, and thereby strengthening macroeconomic stab ility in a stable growth path. Thus, in order to 
contain and reduce the current account deficit, Turkish government is using a combination of 
expenditure reducing policy (slowing down the economy, tight fiscal policy, etc.) in the short term and 
strategy targeted at decreasing the import co mponent of production process and increasing the 
domestic energy supply in the medium term.   The most significant component of CAD stems from th e foreign trade deficit realized in intermediate 
goods. Turkey depends on imports of certain in termediate goods used in production process of 
manufacturing industry and this creates a relationship between CAD and economic growth.   In that sense, Turkey may face relatively slow growth period in 2012-2014 period to ameliorate the 
current account deficits by reducing imports  and narrowing trade deficits gradually.  
 
Measures to encourage domestic production, en courage domestic supply of energy, reduce 
dependency on imported inputs in production process w ill be at the core of the agenda of the 
government. All in all, over the medium term, increased productivity, enhanced competitiveness, 
higher domestic savings, and less dependency of impor ted inputs and energy are the key elements to 
narrow current account deficit in Turkey.  
In this context, Ministry of Economy has been work ing on "Input Supply Strategy" with the objectives 
of improving competitiveness in exports by securi ng sustainability and increasing efficiency in 
accessing inputs that manufacturing industry needs fo r production. With the "Input Supply Strategy", 
it is planned to minimize the risks emerging due to the uncertainty of global input supply, unbalances 
in input resources such as country/region dependenc ies and price volatilities in commodity markets.  
 One of the main targets of the Strategy is to  develop the necessary policies that will lower the 
dependency of production on imports of intermediate goods while increasing input efficiency and 
domestic value added. When accomplished, it is expect ed that there will be a parallel outcome in the 
form of a reduction in the CAD.  
 
Page 7 (para. 17) 
 Question 15   
What are the main reasons for th e decline in worker remittances? 
 
Turkey's answer:  Even if there is no specific time span pointed out in the question, we assume it 
refers to the overall trend related to the workers' remittances data in Turkey's Balance of Payments 
Statistics before and after 2002.  
In general, the decline in work ers' remittances is mainly due to a methodological change as publicly 
announced:  "In the balance of payments statistics, "Touris m Revenues", "Tourism Expenditures" and "Shuttle 
Trade" are obtained through surveys. Beginning from  January 2003, surveys are carried out with the 
cooperation of the Central Bank, Ministry of Culture and Tourism and the State Institute of Statistics.  
Although "Tourism Revenues" data that are based on the "Foreign Visitors Questionnaire" consist of 
the expenditures of foreign visitors and citizen visitors residing abroad, the "Tourism Revenues" 
figure under the balance of payments statistics c overs only the expenditures of foreign visitors. 
  WT/TPR/M/259/Add.1 
 Page 35 
 
 
 With the implementation of the new method startin g from January 2004, the expenditures of citizen 
visitors residing abroad obtained from the aforem entioned survey, which are deemed to be "Tourism 
Revenues" within the framework of  the balance of payments methodology, are also included in the 
"Tourism Revenues" along with the expenditures of foreign visitors.   
Formerly, "Workers' Remittances" comprised of the fo llowing three transactions of citizen visitors 
residing abroad obtained from the banks' monthly foreign exchange reports: foreign exchange 
remittances converted into Turkish Lira, Turkish Lira conversions from their foreign exchange 
accounts and money spent during their visit to Turkey. Following the adoption of the new method, said last two items were deducted from "Worke rs' Remittances". In other words, "Workers' 
Remittances" and Tourism Revenues" were reclassified  and the changes were applied to the 2003 data 
accordingly. " 
Please be informed that you can find the details of mentioned announcement with the title of "THE 
PRESS RELEASE EXPLAINING THE LATEST ADJU STMENTS IN THE COVERAGE OF THE 
BALANCE OF PAYMENTS STATISTICS" on April, 26 2004 at the Central Bank's official Internet 
address under the following link: http://www. tcmb.gov.tr/yeni/announce/2004/ANO2004-20.htm.  
 
Page 56 (para. 62)  Question 16  
Does the Turkish EXIM bank offer any interest ra te subsidy to exporters to promote exports 
from Turkey?  
Turkey's answer:  Regarding short-term export credits; most  of these domestic loans provide funding 
for Turkish banks to on-lend to their exporting clients,  although some lending is direct to exporters but 
secured, in large part by a bank guarantee.  Inte rest rates are determined by Turk Eximbank in 
accordance with the developments in money market and the Bank closely and constantly follows the 
movements in the related market and revises its le nding rates accordingly.  Since Turk Eximbank is a 
financial institution, which borrows in the intern ational capital and loan markets without sovereign 
guarantee, it must have a sound financial structure pr eventing its capital from inflationary erosion.  As 
this mainly requires a positive net interest margin in  real terms, Turk Eximbank always considers its 
cost of borrowing.  It is very important to impl ement effective strategies and procedures to control 
credit risk, market risk and operational risk.  Theref ore, all credit applications are evaluated from the 
perspective of commercial basis and then approved by Turk Eximbank.  
 Interest rates also vary according to the repa yment period and outstanding risks of firm.   
 
Additionally commercial banks, which issue letter of guarantee, require collaterals to secure 
themselves. These collaterals may also raise the fina l cost of credit for the customer. (Mortgage cost, 
commissions taken from money transfer, blocking pa rt of the credit to give intermediary bank 
services, using high rates for converting FX to TL, etc.).  
There is no predominant and generall y accepted short-term interest rate  in domestic currency and it is 
almost the same as the rate of government bonds.  In the foreign exchange lending side, although there 
is also no predominant national average rate, Turk Eximbank provides short-term credits with the rate 
above its cost of funding.  
No interest rate subsidy is provided under Buyers' Credit Programs. 
 The support provided by Turk Eximbank complies with  the international obligations and rules. The 
related programs of Turk Eximbank are regul arly notified to the WTO SCM Committee. WT/TPR/M/259/Add.1 
Page 36  
 
 PART II:  Questions regarding the government report 
 
Page 7 (para. 12) 
 The fiscal stimulus package, adopted to mitigate th e effects of the crisis on the economy, raised 
the central government budget deficit to GDP ra tio to 5.5% in 2009. Nevertheless, fiscal 
measures and the rapid economic recovery resulted in this ratio to decline 3.6% in 2010 and it is 
expected to be 1.7% in 2011.  Question 17 
 
Please provide the details of the fiscal stimulus  package adopted by Turkey to mitigate the 
effects of the global economic crisis. Also provide details of the sectors if any, in which explicit 
capital infusion was done.  
Turkey's answer:   Macroeconomic stability throughout 2002-2008 provided ample room for the 
Turkish authorities to maneuver against global fina ncial crisis. Accordingly, Turkey adopted a 
package of temporary stimulus measures in early 2009. The main focus was on supporting economic growth, as the strong capital structure of Turkish banking sector did not necessitate any liquidity injections. The stimulus package had three ma in pillars: introducing temporary tax cuts on 
consumption, supporting employment and strengt hening guarantee and insurance schemes for 
financial institutions.  
 In early 2009 temporary tax reductions were impl emented for purchases of motor vehicles, housing, 
and durable goods. As the economy started to pick  up, these measures were reversed starting from 
mid-2009 to sustain fiscal discipline. 
 
In order to support employment, unemployment bene fits were extended, labor costs on employers 
were decreased and social security contributions  for young and female workers were reduced.  
 Another important policy action was to strengthe n guarantee and insurance schemes for financial 
institutions, in order to provide access to fi nance for small and medium enterprises.  
 
It is important to note that, as Turkey did not inject  capital to the financial sector and the bulk of the 
stimulus package was temporary; fiscal stimulus did not lead to lasting deterioration in public finances.    
Turkey gave more importance to economic stabili zation in 2009 due to global financial crises. 
In 2009, Turkey had implemented an expansiona ry fiscal policy by decreasing taxes and increasing 
government spending in order to eliminate adve rse effects of economic crises on the domestic 
economy.  
 
Page 12, Section (iii) (paras 40 and 41) 
 
Issue:  Active labor market program and struggle with informal employment  Question 18   
Please provide the key highlight of Turkey's Soci al Security program / infrastructure. In this 
regard also explain the requirements to be ma ndated for foreign professionals operating in 
Turkey.  WT/TPR/M/259/Add.1 
 Page 37 
 
 
 According to Article 60 of the Constitution of the Rep ublic of Turkey, everyone has the right to social 
security and the State shall take the necessary measures and establish the organization for the 
provision of social security. The social security syst em in Turkey went through a major transformation 
in 2007, resulting in a more efficient and fast f unctioning system, based on centralizing the control of 
different social security fund s in a single institution.  
http://www.invest.gov.tr/en-us/investmentguide/inv estorsguide/employeesandsocialsecurity/pages/ 
turkishsocialsecuritysystem.aspx).  Within the scope of the program:  
The social security services of those who were wo rking under employment contracts provided by the 
Social Insurances Institution (SSK); of those who were civil servants by the Republic of Turkey 
Pension Fund (Emekli Sand ığı); of those who were self-employed  by Fund for the self-employed 
(Bag-Kur) were merged under a sole body called th e Social Security Institution (SSI) in 2007. 
Therefore, a single pension regime was created in  which rights and obligati ons were to be equal 
actuarially. This system covers around 81% of the population as of 2008. The system started to be 
fully operational at the beginning of 2008.   As mentioned in the Government Reporting order to  combat informal economy, the Action Plan of 
Strategy for Fight against the Informal Economy (2008-2009) was published in the Official Gazette 
numbered 27132 on 05.02.2009 as Circular of Prime Ministry. This Plan has been set up for the 
purpose of forming a comprehensive struggle strategy with the participation of all partners, making 
society conscious of damages of informality, encour aging formal activities, simplifying legislation and 
procedures, improving efficient audit and punishme nt system, strengthening data sharing between 
institutions and enabling strong coordination. With this action plan, necessary legal, administrative 
and other concrete actions are dete rmined in order to achieve policy priorities and goals and objectives 
within the context of complying with EU acquis communitaire , government program and ninth 
development plan. (http://www.gib.gov.tr/fileadmin/beyannamerehberi/Kayit_disi_2009.pdf)   For the second part of your question; foreigners making social security contributions in their home 
countries do not have to pay the Turkish social secur ity premiums if there is a reciprocal agreement 
between the home country and Turkey. The proof of fo reign coverage is to be filed with the local 
social security office. If the employee is not subject to a foreign social security, full contributions will 
generally be imposed. Unemployment insurance pr emiums are declared and paid to the Social 
Security Institution together with social security premium contributions.  (http://www.invest.gov.tr/en-us/investmentguide/inv estorsguide/employeesandsocialsecurity/pages/tur
kishsocial securitysystem.aspx)  
 
Page 13 (paras 46 and 47) 
 Question 19   
Kindly indicate the details of the tax levied on  foreign service providers and foreign investors, 
also indicate whether any discriminatory tax is levied on foreigners vis-à-vis nationals. 
 
Turkey's answer:  One of the key elements of Foreign Direct Investment Law No. 4875 is "equal 
treatment principle". All companies established in  Turkey in accordance w ith the Commercial Code 
are considered Turkish companies; thus rights a nd responsibilities are the same regardless of the 
capital structure of the company".   In that rega rd, there is not any discr iminatory tax levied on 
foreigners and nationals. WT/TPR/M/259/Add.1 
Page 38  
 
 In concern with the Investment Encouragemen t Program (IEP) as explained in WTO document 
(G/SCM/N/186/TUR, 2 March 2010), the amendment to the Income Tax Law No. 5838 allows for 
investors to benefit from reduced tax rates in a ccordance with the IEP. It does not discriminate 
between foreign or national investors. The program is explained in detail in the aforementioned SCM 
document.  Page 13 (para. 48)  "Law No. 5746 on Enhancing Research And Deve lopment Activities", which involves important 
incentives towards accelerating  research and development activities and innovation, was 
published on the Official Gazette on 12 Ma rch 2008 and came into force in April 2008. 
 Question 20   Under the law indicated in this paragraph what ki nd of incentives, fiscal or otherwise have been 
granted to promote innovation?  
Turkey's answer:  This law provides a range of fiscal  incentives for R&D and innovative activities 
that are being conducted by the private sector.Within  the scope of the law, there is one supportive 
program such as Techno-Initiative Capital Support and incentives that are implemented for Pre-
Competition Cooperation Projects and R&D Centers.  
 
Under the Law of 5746, supporting R&D activities,  the ministry has implemented the Techno-
Initiative Capital Support Program, since 2009.  This program can be identified as an instrument for boosting R&D for small sized enterprises. By this  program, people who have an R&D project and 
having certain qualifications as well (students able  to graduate from an undergraduate discipline 
within a year, students with a doctor's degree or ma ster's degree and graduates that obtained their 
degree not more than 5 years ago at the time of the application) are provi ded with donations of as 
much as 100.000 TL (55.000 $) by the Ministry of Information, Industry and Technology for their projects. Entrepreneurs are expected to establish th eir own company and encour aged to locate in the 
technology development zones.  
Supports and incentives are provided to R&D centers, the units of capital companies that are located 
in Turkey and organized as a separate unit within th e organizational structure, exclusively in R&D and 
innovative activities at least fifty full-time equi valent R&D personnel employed with sufficient 
experience and capabilities. The supports and incentiv es that are implemented for R&D centers and 
pre competition cooperation projects can be summarized as below:  
 
- All R&D and innovation expenditures are exempt from income tax. 
- For R&D and support staff working in R&D and innovation projects, income tax is 
reduced by 90% for those with PhD and by 80% for the others. 
- Half of the employers share for insura nce premium of R&D and support staff is 
provided by the Ministry of Finance for five years. 
 - Papers related to R&D and innovatio n activities are exempt from stamp tax. 
 
Page 14 (para. 52) 
 Law No. 5891 which enables firms operating in trade and services sectors, alongside with the 
manufacturing firms, benefit from the support s provided by the Sma ll and Medium Industry 
Development Organization (KOSGEB) was enacted on 5 May 2009.  WT/TPR/M/259/Add.1 
 Page 39 
 
 
 Question 21 
 What kind of support is being provided under this  law? Do these involve financial benefits, tax 
relief etc.? 
 Turkey's answer:  Supports and services of KOSGEB which has always been by the side of SMEs 
from past to today are classified under 4 main headings:  Supports provided within the scope of Support Programs Regulation  KOSGEB Finance (Credit Interest) Supports  
KOSGEB Laboratory Services  
Information and Guidance Supports  SUPPORT PROGRAMMES:   
 1. SME Project Support Programme  
 2. Thematic Project Support Programme   3. Cooperation- Collaboration Support Programme   4. R&D, Innovation and Industri al Practice Support Programme  
 5. Entrepreneurship Support Programme   6. General Support Programme  
 7. Emerging Companies Market SME Support Programme 
 I. SME PROJECT SUPPORT PROGRAMME  SUPPORT FACTS 
 
Duration of the programme: 3 years Duration of the projects: 6 - 24 months (+12 months) Upper limit of the support: 93.500 USD Rate of support:  % 50 for 1st and 2n d areas   % 60 for 3rd and 4th areas 
Project costs: Costs approved by the board 
 
(Exclude Building Construction, Modifications, Fu rbishing, Vehicles, Tax, Employer Share Of 
Insurance Premiums, Communication, Finance, Of  Staff Not Related With The Project, Energy, 
Water, Rent, Consultancy And Service Pr ocurement Taken From  Project Partners) 
 
II. THEMATIC PROJECT SUPPORT PROGRAMME 
 SUPPORT FACTS  
 Thematic project based on call Professional association project support 
programme 
Duration of the programme - 3 years 
Duration of the project Announced in the call of proposal of the project 24 months (+12 months) 
Rate of the support 50 % 1st and 2nd areas 60 % 3rd and 4th areas 50 % 1st and 2nd areas 60 % 3rd and 
4th areas 
Upper limit of the support Announced in the call of proposal of the project 93.500 USD 
 WT/TPR/M/259/Add.1 
Page 40  
 
 III. COLLOBORATIVE ACTIONS SUPPORT PROGRAMME 
 SUPPORT FACTS  Duration of the programme: 3 years 
Duration of the projects: 6 - 24 months (+12 months) 
Upper limit of the support: 156.000 USD ( non-reimbursable) 312.000 USD (reimbursable) 
Rate of support: % 50 for 1st and 2nd areas % 60 for 3rd and 4th areas 
 IV. R&D, INNOVATION AND INDUSTRIAL IMPLEMENTATION SUPPORT 
 PROGRAMME 
 
R&D,INNOVATION AND INDUSTRIAL IMPLEMENTATION SUPPORT 
PROGRAMME UPPER LIMIT (USD) SUPPORT RATE 
(%) 
R&D and innovation programme   
Business uncubator support NO CHARGE  
Rent support 7.500 75 
Machinery, equipment, raw material, software and service costs support (non-
reimbursable) 62.500 75 
Machinery, equipment, raw material, software and service costs support 
(reimbursable) 125.000 75 
Staff costs support 62.500 75 
Seed capital support 12.500 100 
Project Development Support Project consultancy support 15.500 75 
Training support 5.000 
Industrial property support 25.000 
Project publicity support 3.000 
Fair, congress, conference, technological 
cooperation support 9.500 
Test, analysis, calibration support 155.500 
 
R&D, INNOVATION AND INDUSTRIAL IMPLEMENTATION SUPPORT 
PROGRAMME UPPER LIMIT (USD) SUPPORT RATE 
(%) 
Industrial implementation support   
Rent support 11.500 75 
Staff costs support 62.500 75 
Machinery, equipment, raw material, software and service costs support (non-
reimbursable) 93.500 75 
Machinery, equipment, raw material, software and service costs support 
(reimbursable) 125.000 75 
 
V. ENTREPRENEURSHIP SUPPORT PROGRAMME  THREE SUB PROGRAMMES    a) Applied entrepreneurship training  
 b) New entrepreneur support  
 c) Business incubator (bi) support  WT/TPR/M/259/Add.1 
 Page 41 
 
 
 A) APPLIED ENTREPRENEURSHIP TRAINING 
 SUPPORT FACTS  Duration of programme: Minimum 60 hours  
Scope of the programme: Composed of training and workshop Programme given by KOSGEB, or 
other institutions (unive rsities, business organizations, municipalities, …) 
Target group: Young people, women, disadvantaged groups  Cost of the programme: No charge for participants  
B) NEW ENTREPRENEUR SUPPORT 
Support components  Upper 
Limit 
(USD) Support rate (%) (1st and 
2nd areas) Support rate (%) (3rd and 
4th areas) 
Enterprise start up support No reimbur sable 3.000 60 (Women or handicapped 
entrepreneur: 70) 70 (Women or handicapped 
entrepreneur: 80) Start up period machinery, equipment 
and office equipment support No reimbursable 6.250 
Enterprise expenses suppor t No reimbursable 7.500 
 
C) BUSINESS INCUBATOR SUPPORT 
Support components  Upper Limit 
(USD) Support rate (%) (1st and 2nd areas) Support rate (%) (3rd and 4th 
areas) 
Business incubator setting up support Building 
modifications  
• Furniture equipment 
• Bdc administration (18 months) 
No 
reimbursable 470.000 
375.000 
78.000  16.000 60 70 
• Business incubator 
operating support 
• Staff  
• Training, consultancy  • Small modifications (36 months) 
No 
reimbursable 
 62.500  
18.700 31.000  15.500 60 70 
 
VI. GENERAL SUPPORT PROGRAMME  
No General support programme supports Upper Limit 
(USD) Support Rate 
(1st and 2nd areas) (3rd and 4th areas) 
1 Support for participating in the industrial fairs 18.750 50% 60% 
2 Support for participation in export purposed trips abroad 6.250 
3 Promotion support 9.350 
4 Matching support 9.350 
5 Qualified personnel support 12.500 
6 Consultancy support 9.350 
7 Training support 9.350 
8 Energy efficiency support 18.750 
9 Design support 9.350 
10 Industrial property rights support 12.500 
11 Certification support 9.350 
12 Support for general test-ana lysis, calibration and test-
analysis related to CE marking 12.500 WT/TPR/M/259/Add.1 
Page 42  
 
 VII. DEVELOPING ENTERPRISES MARKET SME SUPPORT PROGRAMME 
 
SUPPORT UPPER LIMIT (TL) SUPPORT RATE (%) 
Market consultancy service (maximum 2 years) 60.000 75 
Independent audit 20.000 75 
Capital market board registration fee 10.000 100 
Acceptance fee to imkb developing enterprises market list 
Central registration establishment expenditure 
Commission to the intermediary body 10.000 75 
Page 14 (para. 56) 
 
In the context of "Work Permits Automation Proj ect", work permit applications can be only 
made via electronic environment since 2 August 2010.  Question 22  
Kindly provide the full details including web address of the "Work permits Automation 
Project".  
 
Turkey's answer:  Work Permit Automation Project" has been started on 2 August 2010.  
 
This project aims to: 
- shorten bureaucratic procedures in the a ssessment of work permits and conclude 
applications in shorter times 
- eliminate paperwork and increase savi ngs by preventing unnecessary expenses  
 
By the realization of the project: 
  - it will be possible to make work permit applications electronically,  - electronic signatures will be used,  - information exchange will be carried out electronically through integration with other 
establishments, 
 - the applicants will be informed about ev ery step of the process electronically, the 
records for processing of work permits will be  transferred to electronic environment, a 
database, that is compatible with EU de finitions, norms and standards, regarding 
foreigners with work permits will be establis hed and with this database the continuity 
and safety of information will be ensured,  
 - through shared database and information ex change, establishments will be able to see 
the role of foreigners in Turkish la bor market and make comparisons. These 
establishments will be able to make polici es and arrangements about this subject in 
the long run. 
Page 14-15 (paras 59-63) 
 
Question 23  
 What is the prospective plan for privatization in  Turkey in the next five years? Which sectors / 
state enterprises are likely to be privatized?   WT/TPR/M/259/Add.1 
 Page 43 
 
 
 Turkey's answer: The following state owned enterprises are c onsidered to be privatized in the 
coming years, both by Turkish Privatisation Admini stration (PA) and other governmental institutions: 
 
 - The remaining electricity distribution companies 
 - Power generation (27 hydro electric, 16 coal fired and 2 gas fired) 
 - 24 sugar manufacturing companies (sugar beat processing) 
 - Depending on the decision of Privatisation High Council 
  - Some remaining state banks,   - Postal services,   - BOTAS (Petroleum and gas pipeline)  
  - TPAO (Turkish Petroleum Corporation) 
  - Cable services of Telecom   - TIGEM (Agricultural Products Works)   - Çaykur (Tea Plantation) 
 CHINA 
 
Questions regarding the secretariat report 
 
II TRADE and investment regimes 
 
Page 12 (para. 9)  Turkey does not have an export strategy plan at present. However, a long-term export strategy 
document (Export Strategy for 2023) is being prepared. 
 
Question: 
 1. Could the Turkish delegation share with members the progress of the Export Strategy 
for 2023 preparation and what main strategies the Turkish government will take for promoting 
export in the long run? 
 The Exports Strategy of Turkey for 2023 has been worked on since 2009 and intended to be 
publicized in the first quarter of 2012. Overall, the main purpose of this strate gy is to reach 500 billion 
dollars of exports volume in 2023, the centenary anni versary of the Turkish Republic, with an average 
of 12% increase in exports annually . Having 1.5% share of global trade in 2023 is also being targeted. 
The main pillars of this Strategy are to endorse e xports capacity and R&D, improve in infrastructure, 
encourage the exporters to participate in trade miss ions, raise the awareness of Turkish products in our 
targeted markets, promote Istanbul as an international fashion, fair and trade center during the period 
of 2012- 2023. 
 Page 20 (para. 28)  Turkey is currently engaged in negotiations wi th the Faroe Islands, the Gulf Cooperation 
Council, MERCOSUR, Ukraine, Moldova, Colomb ia, Ecuador, Libya, Seychelles, Korea, 
Cameroon, Democratic Republic of Congo, and Ma laysia.  Turkey has initiated the launch of 
negotiations with:  Mexico; the South Afri can Customs Union (SACU); Algeria; ASEAN 
countries;  Indonesia;  India;  the Africa, Ca ribbean and Pacific (ACP) countries;  Canada;  
Peru;  and Central America.    
Question: 
 2. What are Turkey's main consideration s in selecting potential FTA partners?  WT/TPR/M/259/Add.1 
Page 44  
 
 Turkey's answer:  The Turkey-EU Customs Union constitutes the legal basis of Turkey's free trade 
agreements (FTA). Under the Customs Union, Turkey  shall align its commercial policy with the EU's 
Common Commercial Policy. Together with the Common Customs Tariff, the preferential trade regime constitutes the most important part of th e trade policy of Turkey applied towards third 
countries. It is also worthy to note that Turkey's free trade agreements are compatible with the WTO 
rules and regulations. Besides the Customs Union Deci sion, the legal basis of Turkey's agreements are 
constituted by the Article XXIV of the GATT 1994 and Enabling Clause of 1979 GATT Tokyo Round which enables flexibility in the conclusion of FTAs among developing countries. 
 
As known, Customs Union is a type of economic in tegration model in which all the existing customs 
duties, duties having equivalent effect and quantity restrictions, measures having equivalent effect are 
eliminated and also in which a common customs tari ff is implemented to the third countries. In this 
respect, it is required by the parties that a co mmon commercial policy and common competition rules 
are developed and implemented. 
 
Article 16 of the Decision No. 1/95 of the Turkey – EC Association Council on implementing the final 
phase of the Customs Union provides that Turkey would take the necessary measures and negotiate 
agreements on a mutually advantageous  basis with the countries concerned. 
 In order to ensure smooth functioning of the Cu stoms Union, Turkey negotiates and concludes free 
trade agreements with the third countries in paralle l with the EU. In this respect, once the European 
Commission receives the necessary mandate of the Eu ropean Council to conduc t negotiations with a 
third country, Turkey conveys its proposal to start FTA negotiations with that country as well. 
 
Therefore, Turkey's obligations stemming from its Cu stoms Union with the EU is the prominent factor 
that determines its prospective FTA partners.   Pages 23-24 (para. 36)  The OECD FDI regulatory restrictiveness index (designed to capture equity restrictions, 
screening and prior approval, measures regarding foreign key personnel, and other operational 
restrictions) gives Turkey an overall score below the OECD average (Table II.6). According to 
the 2010 data, aside from real estate (which is considered "closed"), FDI restrictions apply in 
media, transport, and business services.  All ot her sectors covered by the index are "open".  
However, the index does not consider actual en forcement of statutory restrictions, which is 
difficult to assess.  
 Question: 
 
3. What kind of measures will Turkey take to improve its investment environment? 
Turkey's answer: As overall assessment of the Turkish Foreign Investment Regime indicates, Turkey 
has a fairly open FDI regime based on equal treat ment of domestic and fore ign investors. However 
there are certain national legislations and regulati ons relevant to licensing processes and regulations in 
some sector, as summarized in  Table II.5, page 22, WT/TPR/S/259.  
 
To improve its investment environment, Turkey developed its own struct ure for reform in 2001, 
launching a comprehensive reform program by Council of Ministers Leading Decision. The 
Coordination Council for the Improvement of the Investment Environmen t (YOIKK) is the key 
structure of the Program, with the help of 12 Technical Committees working on specific issues with 
participation of both public and private institutions . Also, international implementations are closely 
monitored by the YOIKK to assist the improvement of the investment environment studies in close 
cooperation with public and private sector institutions .  WT/TPR/M/259/Add.1 
 Page 45 
 
 
 YOIKK aims to rationalize the regulations on invest ments in Turkey, develop policies by determining 
the necessary arrangements that will enhance the co mpetitiveness of the investment environment, 
generate solutions to the administrative barrier s encountered by the domestic and international 
investors in all phases of the investment process including the operating period. 
 
(Further information can be found at  our website www.economy.gov.tr and 
http://www.yoikk.gov.tr/eng/ )  
 
IV. TRADE POLICIES AND PRACTICES BY MEASURE  
 
Page 68 (para. 102)  New arrangements for tax incentives in the free zones were introduced under Law No. 5084 of 
29 January 2004 on the Encouragement of Investments and Employment.  Pursuant to Law No. 
5084, all exemptions except those already accorded to establish firms were to be terminated by 
31 December 2008.  However, according to La w No. 5810 of 12 November 2008 (amending Law 
No. 3218) only free-zone users operating under a production licence may be exempted from 
income and corporate taxes.    
Question: 
 4. Could the Turkish delegation indicate th e reasons for phasing out the above-mentioned 
incentives for foreign investors? 
 
Turkey's answers:  In order to operate in the Turkish free zones, the domestic or foreign companies 
should have an operating license that is granted by  the Ministry of Economy (Directorate General of 
Free Zones, Overseas Investment and Services) upon the evaluation of their application. Only the 
companies with an operating license on manufacturing can benefit from the income or corporate tax exemption regardless of their origin. There is no differentiation between foreign or domestic 
companies with regards to free zone procedures.  Page 71 (para. 115)  
Although open and restricted tenders are the ma in procedures used, some concerns have been 
expressed that Turkey's public procurement policies are being undermined by resort to 
exceptions to the regulatory framework. In 2010, 27% of public procurement contracts, 
representing 13% of the overall contract value, were not subject to the tender procedures 
stipulated in the PPL.   Question: 
 
5. What kind of measures will Turkey take to  enhance the predictability and transparency 
in its public procurement? 
 Turkey's answer:  It must be recognized, that the informa tion that in 2010 27% of public procurement 
contracts, representing 13% of the overall contract va lue, were not subject to the tender procedures 
stipulated in the PPL does not clearly provide a full and objective view for the following reasons.  
 
The procurements which are exempted from the PPL are described in the 3rd Article of the PPL.  
 A close examination of the sub-paragraphs of Artic le 3 yield that most of the procurements made 
within the scope of this article of the PPL are also  similarly excluded in the international practice from 
the scope of the laws as it is the case for instance by: 
 WT/TPR/M/259/Add.1 
Page 46  
 
 - the procurements related to defence and security, 
- procurements of goods, services or works, wh ich are to be realized with foreign 
financing pursuant to international agreem ents, and in the financing agreement of 
which it is stated that different tender procedures and principles will be applied, 
- all kinds of consultancy and loan graduati ng services with regard to borrowings from 
international capital markets, 
- procurement of goods and services to be ma de by Republic of Turkish Central Bank 
relating to production and printing of  banknotes and valuable documents, 
- purchases of goods and services necessary fo r research and development projects 
executed and supported by national resear ch and development institutions and 
purchases of all kinds of research and development services excluding those where 
the authorities covered by this law meet th e whole financing and exploit the outputs 
only in executing their own activities. 
 In addition, the 4th interim article of the PPL describes the related institutions which have the 
responsibility to prepare and issue the regulations to  be applied by the procurements made under this 
article. 
 
Therefore the procurements that are subject to the exception provisions are carried out according to the regulations issued and published in the Official  Gazette by the related authorities. And a further 
examination of these regulations and practices demonstrate that open and restricted procedures are 
again main procedures preferred for the award of contracts in their regulations.  
Basic principles such as transparency, public oversi ght and efficiency are also embraced in tenders 
conducted according to exception provi sions. Tenders conducted according to exemptions have to be 
registered in the Electronic Public Procurement Plat form and given a tender registry number. Even if 
publication of tender notices in the Electronic Public  Procurement Bulletin (EPPB) is not compulsory 
for exceptions, many contracting entities publish tender  notices within the scope of exceptions in the 
EPPB. In fact, in year 2011, 1.583 tender notices wi thin the scope of exceptions have been published 
in the EPPB. 
 Moreover, contract award notices for tenders both w ithin the scope of the PPL and exceptions have to 
be notified to the PPA and published in the EPPB.  
In year 2011, 168.382 contract award notices within  the scope of the PPL and 41.424 contract award 
notices within the scope of exceptions have been published in the EPPB. 
 Tenders conducted according to exemptions are subject  to both administrative and judicial review in 
case of any infringements. 
 At the same time, some indicators to measure transp arency in public procurement are used. These are: 
 
 1) Percentage of public spending allocated in open bidding procedures. The indicator is 
calculated as follows:   
(the volume of public contracts awarded in open bidding procedures/the total volume 
of public procurement market) 
 2) Percentage of the public procurement market contracted as over limit contracts, which 
must be opened participation of foreign bidder for tenders within the scope of PPL.  
 (The volume of over limit public contracts / the total volume of public procurement 
market) 
 3) Percentage of procuremen t published tender notices in EPPB. 
  (the volume of public procurement published tender notices in EPPB/ the total 
volume of public procurement market)  WT/TPR/M/259/Add.1 
 Page 47 
 
 
 Furthermore even the procurements below the thre sholds are subject to the provisions of the PPL 
except the cases of direct procurement and the exceptions  described in Article 3. So it must be realized 
that transparency is ensured through PPL by contracts below and above thresholds. 
 
Consequently it is seen that even though tenders that are subject to exception provisions of the PPL 
are conducted according to their specific regulations; open and restricted procedures are again main 
procedures preferred in these tenders  and is parallel to the internati onal practices. So it is clear that 
there is no any risk of undermining public proc urement policies due to the exceptions in public 
procurement system in Turkey. 
  SWITZERLAND 
 
Report by the Secretariat 
 
I. Economic environement  
(3) Trade performance  
 According to para. 8 Turkey has a Long-Term Development Strategy (2001-2023) envisaging the development of an export-oriented production st ructure. A long-term export strategy document 
(Export Strategy for 2023) is currently being prepared.  During the last years the share of European countries in Turkey's trade declined co nstantly reflecting the shift in Turkish trade 
toward its neighboring countries as well as to growth markets. 
 What are the scenarios/assumpti ons for the Export Strategy for 2023 with respect to the general 
economic environment, the tendencies of world tr ade and the shares of Turkey's main trading 
partners? 
 Turkey's answer:  The Export Strategy of Turkey for 2023, has been created in line with the global 
economic forecasts. By 2023, Turkey plans to take a share of 1.5% percent of world exports with 
500 billion dollars exports volume. The size of worl d trade is expected to quadruple within the 
following 12 years. 2023 expectations offers slow er growth rates, increasing weight of developing 
countries in world trade, the commodity prices pr ogressing within a narrower corridor, more limited 
and relatively more costly financial facilities.  The world economy forecasts overall suggests that 
developing countries' share in total trade would rise while the contribution of high income countries to trade from export side would fall. In line with th at, the significance of market diversification in 
exports strategy has been taken into account and me dium and long term global consumption trends has 
been worked out sector by sector and country by country.   III. Trade policies and practices by measure (1) Measures directly affecting imports (ii) Ordinary customs duties 
 
According to para. 10 Turkey has only bound 33 .5% of its tariff lines for industrial products, 
which leaves a great margin of maneuver for the government to apply the level of duty it judges necessary, but also creates uncerta inty for the trade community. 
 Could Turkey indicate which measures it wo uld be ready to undertake to increase the 
predictability of its industrial tariffs ? 
 
Turkey's answer:  Turkey has bound a part of its tariffs in Uruguay Round and has been negotiating a 
further trade liberalization in Doha  Development Agenda. In this cont ext, Turkey has been a supporter 
of more ambitious trade liberalization in Doha negotiations and it participates actively in such WT/TPR/M/259/Add.1 
Page 48  
 
 initiatives. Furthermore, as well known, Turkey a nd the EU has established a Customs Union in 1996 
and since then, Turkey has been implementing Community's Common Customs Tariff (CCT) on the 
imports of industrial goods from third countries, which is far below its Uruguay Round bound rates. 
With the Customs Union, Turkey's  simple average protection rate for industrial goods for the third 
countries declined to 4.2% as of 2011. Despite its de veloping country status in the WTO, Turkey is 
one of the countries applying the lowest tariffs in non-agricultural goods among member countries. In 
this respect, bound or unbound in Uruguay Schedules, Turkey is committed to implement CCT and 
has been doing so since 1996 for the products covere d by the Customs Union. This fact is well known 
among trade community and it provides a high level of predictability for Turkey's trade policy. On the other hand, Turkey implements preferential treatme nt to the EU in the framework of the Customs 
Union and to the countries that Turkey has signed Free Trade Agreements. 
 
According to para. 13, Law No 474 on Custom s Tariff Schedule allows the Government to 
increase the applied MFN rates when these a re deemed insufficient to provide "adequate 
protection to domestic industries".  
 
Could Turkey specify what is an "adequate prot ection to domestic industries" ? Which are the 
criteria used to determine the adequate level of protection ? Could Turkey also indicate whether this possibility to increase the MFN applied rates has been used ? If, yes, how many times, for 
which products (HS code and product description)  and which were the base level of tariff and 
the increased level of tariff for the said product ? 
 Turkey's answer:  The area of the application of Law No:474 is restricted by Turkey's international 
commitments. Regarding the goods that are under the coverage of Turkey's concession lists, no 
escalation in bound rates can be made as Law:474 rema ins inapplicable to such goods. Within this 
context, the practices under Law:474 does not create a possibility for tariff rate increases where the 
goods fall within the scope of Turk ey's international commitments. 
For the products not in Turkey's concession list, "a dequate protection" refers  to the protection level 
that is sufficient to make the market operate ef ficiently taking into account the economic conditions 
such as supply and demand, domestic and world prices.  Under the Title "III. Trade Policies and Practices by Measure", Section 1(ii) para. 15, Turkey has 
indicated the recent changes of its MFN tariff rates.  
 
(vii) Government procurement 
 
According to para. 109, the Public Procuremen t Law (PPL) of Turkey has been amended in 
2008 to align Turkey's public procurement legislation with the EU acquis . This suggests that the 
Turkish legislation on procurement is compliant with appropriate international standards. At 
the same time, para. 116 informs that Turkey ha s been participating as an observer in the WTO 
Committee on Government Procurement since Ju ne 1996 and that Turkey has been following 
the negotiations to revise the Agreeme nt on Government Procurement. 
 
Could Turkey indicate under which conditions it could become a Member of the GPA? 
 
Turkey's answer:  Turkey acknowledges that GPA is a very  important instrument in enhancing 
transparency and market access in government procur ement. Turkey, as a developing country, is also 
aware of the special provisions about the "Sp ecial and Differential Treatment for Developing 
Countries", specific exclusions and the other provisi ons in the GPA which may help to facilitate the 
accession process. Nevertheless, the evaluation on whet her and when to start accession to the GPA is 
a multi-dimensional and long process. In this context, the internal evaluation process for GPA  WT/TPR/M/259/Add.1 
 Page 49 
 
 
 accession in Turkey keeps going on and thus, it is not possible to indicate at the moment under which 
conditions would Turkey become a Member.    
(3) Measures Affecting Production and Trade 
(v) Fees and charges for services rendered 
 
Para. 25 indicates that an additional 30 days to complete the clearance procedure may be 
granted against a supplementary fee of 1% of the value of the shipment.  However, according to the panel report in " Argentina — Textiles and Apparel", an ad valorem  duty with no fixed 
maximum fee, by its very nature, is not 'limited in amount to the approximate cost of services 
rendered'.  For example, high-priced items will ne cessarily bear a much greater tax burden than 
low-price goods, yet the service accorded to bo th is essentially the same.  An unlimited ad 
valorem  charge on imported goods violates the provis ions of Article VIII be cause such a charge 
cannot be related to the cost of the service rendered.  
As it seems that the supplementary fee does no t comply with Article VIII GATT, could Turkey 
indicate how it intends to bring the supplementary fee in line with that GATT provision ?  
Turkey's answer: According to the Customs Law: 4458 Article 46, goods shall be assigned to a 
customs approved treatment or use after presentation to customs. Where goods are covered by a summary declaration and carried by sea, their proced ure should be completed in 45 days from the date 
on which the summary declaration is lodged. If the goods are carried by any other means than by sea 
this period is 20 days.  
 In scope of national customs regulations (Customs  Notice No:2), the economic operator can request 
extension of the period. Extra time up to 30 days may be granted by the customs administration 
without imposing any extra fees and fines. 
 When the goods have not been assigned to a cust oms approved treatment or  use within the time 
periods which are mentioned in Customs Law (article s 46 and 179), they will subject to the liquidation 
procedure. In this situation, the Turkish Custom s Administration grant the  right to place the goods 
under a customs procedure or to re-export, provide d that fines related with the goods (if any), 
warehousing and handling costs and ot her expenses and the amount at the rate of 1% of the CIF value 
of the goods on foreign currency are paid. 
 
(ix) Competition policy 
 
In para. 124, the Secretariat's report indicates that agreements distorting, restricting or preventing competition are in principle proh ibited unless the Competition Board grants an 
exemption (or block exemption).  Could the Turkey provide examples of what kind of agreements could be exempted from competition law and on the basis of which cri teria such exemptions would be granted ? 
 Turkey's answer:  According to Article 5 of the Act No 4054 on the Protection of Competition 
(Competition Act), exemption is possible for anti-co mpetitive conduct provided that all the conditions 
below are present: 
 
a) New developments and improvements, or economic or technical development in the 
production or distribution of goods and in the provision of services is ensured, 
b) Consumer benefits from the above-mentioned, 
c) Competition is not eliminated in a significant part of the relevant market, WT/TPR/M/259/Add.1 
Page 50  
 
 d) Competition is not limited more than what is compulsory for achieving the goals set 
out in (a) and (b). 
 
Exemption may be in the form of individual exemption granted via decisions taken by the 
Competition Board, the decision making body of the Turkish Competition Authority, or block 
exemption via communiqués issued by the Competition Board concerning particular type of 
agreements. Actually, the Competition Board has so far adopted block exemption communiqués on 
vertical agreements, vertical agreements in th e motor vehicle sector, research and development 
agreements, technology transfer agreements, and agreements in the insurance sector. 
 
The sentence in paragraph 124 of the Secretariat's re port should not be understood as it is required to 
notify the relevant agreements to the Competition Board to benefit from exemption. The parties are 
expected to make their own assessment and need not  notify their agreements if they think that the 
agreement in question benefits from exemption.   IV. Trade Policies by Sector (1) Agriculture 
 
Para. 18: Could Turkey please provide more info rmation on the restructuration of the Turkish 
Grain Board and the Meat and Fish Board? Does Tu rkey have any plans to privatize those state 
owned enterprises in the future? 
 
Turkish Treasury has no official plan for rest ructuring of Meat and Fish Board (EBK). 
 TMO and EBK are not in the privatization portfolio. 
In the III. Economic Criteria Chapter of 2008 Nationa l Programme of Turkey for the Adoption of the 
EU Acquis  published at the Official Gazette No: 27097 dated 31.12.2008, it is indicated that "price 
liberalization in the agriculture sector continues w ith the executions towards the SEEs. In fact, before 
2002, TMO used to regulate the grain market with the support purchase prices announced by the 
Decree of Council of Ministers. After 2002, the mark et is regulated by the prices announced by the 
enterprise. Besides, in the grain sector, in order to  be in harmony with the EU and to ensure a more 
effective operating market, Grain and Rice Implem entation Regulations were accepted in 2008. In 
Turkey, at least two payment institutions is planne d to be established. The main approach is to 
reorganize some existing institutions as "payment institutions." Determining the authorization and 
responsibility of these institutions and, in this co ntext, legal works related to reorganization are 
expected to be finalized by the year 2013.  
According to the results of the negotiations with  EU Commission, Turkish Grain Board (TMO) may 
be restructured in order to regulate the agricultu ral markets and provide agricultural support payments, 
in line with EU Common Agricultural Policy. Th e studies continue for restructuring the TMO as a 
paying agency and assigning additional duties to TMO, such as promotion activities and food aid, as carried out by paying agencies in the EU. As mentioned above determining the authorization and responsibility of these institutions and, in this co ntext, legal works related to reorganization are 
expected to be finalized by the year of 2013.   
 
(2) Energy 
 
Para. 47 of the Secretariat's report indicates that the Law on the Utilization of Renewable  
Energy Sources for the Purpose of Generating El ectrical Energy (2005) wa s amended in 2011 by 
a requirement for locally manufactured components  so that licence holders benefit from bonus 
tariffs.  WT/TPR/M/259/Add.1 
 Page 51 
 
 
 Could Turkey elaborate on this bonus tariff sy stem ? How is it functioning, what are its 
requirements and what share of mechanical and electro-mechanical components must be locally 
manufactured ? How does Turkey view this prog ram in the context of its obligations under 
Article 3.1(b) of the SCM Agreement ? 
 Turkey's answer: Foreign direct investments are crucial for Turkey's economic development. In this 
context, Turkey has taken the necessary measures to improve the conditions for the investors. There is 
no discrimination against international investors in favor of domestic counterparts. There are no 
barriers against the free market entry, no limits on capital or transfer of capital and on procurement or 
transfer of foreign exchange.    
 
With the "Amendment to Law on Utilization of Re newable Energy Resources for the Purpose of 
Generating Electrical Energy" published in the Official Gazette dated 8 January 2011, new 
differentiated feed in tariff levels for different renewable energy sources and technologies have been 
introduced in a cost-reflective manner.  A certain su pport of zero point four (0.4) to three point five 
(3.5) US cents per kwh will also be provided to th e plants for those utilised domestically manufactured 
technical equipments.    Additional price guarantee for local content is not an obligation. It ensures additional incentive. If it is 
not used domestically manufactured technical equipmen ts, it could benefit feed-in tariff system.       
MEXICO 
 
1. En la parte relativa al resumen que presenta la Secretaria de la OMC se menciona que "El régimen de importaciones de los productos industriales es de facto  incluso más abierto de lo 
que indica el arancel exterior común, ya que la Unión Aduanera y los acuerdos de libre 
comercio otorgan un acceso libre de derechos a muchos de los principales interlocutores 
comerciales de Turquía".¿Cuál es el trato arancel ario otorgado por Turquía a las importaciones 
de bienes industriales originarias de los países con los que la UE tiene un Acuerdo de Libre 
Comercio? 
 
Turkey's answer:  Since 1996, within the framework of th e Customs Union between Turkey and the 
EU, Turkey has been implementing the EU's common  external tariff on industrial products with third 
countries except iron and steel products (ECSC products).  
 
According to Article 16 of the Association Counc il Decision No:1/95 establishing the Customs Union 
between Turkey and the EU, Turkey has to undertak e the EU's preferential tr ade regimes, including 
the FTAs. For this purpose, Tu rkey has proposed to start FTA negotiations with the EU's FTA 
partners. Within this context, Turkey si gned 18 FTAs with the related countries.  
 Some of the EU's FTA partners still hesitate to  start FTA negotiations with Turkey. These countries 
cannot benefit from the EU's FTA when the goods are shipped directly to Turkey. Nevertheless, the 
goods covered by the Customs Union and accompanied by ATR certificate can enter to Turkey with 
the same preferential treatment if the goods are in free circulation in the EU. 
 However, Article 58 of the Customs Union Deci sion foresees that "If discrepancies between 
Community and Turkish legislation or differences in their implementation in an area of direct 
relevance to the functioning of the Customs Union,  cause of threaten to cause impairment of the free 
movement of goods or deflections of trade and the affected Party considers that immediate action is 
required, it may itself take the necessary protect ion measures and notify the Customs Union Joint 
Committee …". WT/TPR/M/259/Add.1 
Page 52  
 
 Therefore, in the case of the existence of the above mentioned conditions (i.e. tariff discrepancy 
stemming from the implementation of the EU's FTA's,  which Turkey is not party to) Turkey has the 
right to take necessary measures including a compensa tory levy against that FTA partner of the EU.  
 
2. ¿Existen casos en que Turquía aplique  aranceles a la importación (en productos 
cubiertos por la Unión Aduanera) más elevados  que los aplicados por la UE a sus socios 
comerciales con los que tiene Acuerdos de Libr e Comercio?  En caso afirmativo ¿qué criterios 
utiliza Turquía para la aplicación de dichos aranceles diferenciados? 
 
Turkey's answer:  Since 1996, within the framework of th e Customs Union between Turkey and the 
EU, Turkey has been implementing the EU's common  external tariff on industrial products with third 
countries except iron and steel products (ECSC products). 
 
Article 58 of the Association Council Decision No:1/95 establishing the Customs Union between 
Turkey and the EU foresees that "If discrepancies  between Community and Turkish legislation or 
differences in their implementation in an area of di rect relevance to the functioning of the Customs 
Union, cause of threaten to cause impairment of th e free movement of goods or deflections of trade 
and the affected Party considers that immediate action is required, it may itself take the necessary 
protection measures and notify the Customs Union Joint Committee …".  Therefore, in the case of the existence of the above mentioned conditions (i.e. tariff discrepancy 
stemming from the implementation of the EU's FTA's,  which Turkey is not party to) Turkey has the 
right to take necessary measures including a compensa tory levy against that FTA partner of the EU.  
 In accordance with the provisions stated in the D ecree, which is published in the Official Journal 
on April 28, 2011, an additional fiscal duty was im posed on a limited number of vehicles classified 
under 4 separate Customs Tariff Statistical Positions  that originate from Mexico and are traded 
through Customs Union Region to Turkey.   
RÉGIMEN COMERCIAL Y DE INVERSIONES 
Acuerdos e instrumentos comerciales Otros arreglos comerciales preferenciales 
 
3. En el párrafo 29 se menciona que "De confor midad con el artículo 16 de la Decisión Nº 
1/95 del Consejo de Asociación CE-Turquía, Tur quía ha adoptado medidas para armonizar su 
esquema del Sistema Generalizado de Preferencias  (SGP) con el de la UE", ¿La reforma actual 
que se está discutiéndose en la UE para modifi car el esquema SGP, tendrá algún impacto en el 
SGP aplicado por Turquía actualmente?  
Turkey's answer:  Article 16 of the EC-Turkey Association Council Decision No. 1/95 requires 
Turkey to align itself with the preferential cu stoms regime of the Community. This alignment 
concerns both the autonomous regimes and pref erential agreements with third countries. 
 
In this perspective, Turkey has been implementi ng the EU's GSP legislation for the products covered 
by the Customs Union taking into consideration the EU's GSP policy via Import Regime Decree of 
Turkey for the year 2012 as well as Communiqué No.2012/19. Moreover, Turkey follows the ongoing discussions for modification of the GSP scheme in the EU.   4. ¿Turquía otorga las preferencias arancelarias del SGP si las mercancías cumplen con el 
requisito de origen establecido, aun cuando est án facturadas por un operador económico de un 
tercer país(tal y como lo aplica la UE)?  WT/TPR/M/259/Add.1 
 Page 53 
 
 
 Turkey's answer:  Goods accompanied by the invoices made out by operators in a third country can 
benefit from preferential duty rates if those goods m eet all requirements stipulated in Ministerial 
Decree No. 2001/3485 on the rules of origin in the context of Turkish GSP Scheme. 
 
Régimen de inversiones 
 
5. En el párrafo 31 se señala que el 11 de diciembre de 2011, Turquía promulgó un Decreto 
sobre la mejora del clima inverso r en Turquía, en el marco de  la estrategia nacional para 
incrementar la inversión nacional y extranjera. ¿P odrían proporcionarnos el sitio en el que se 
pueda consultar el Decreto mencionado?   
 
Turkey's answer: Information about the Council of Ministers Leading Decision dated 
December 11, 2001 can be found at:  http://www.yoikk.gov.tr/dosya/up//YOIKK% 20prensip%20karari_P-2001-10-ing-.doc 
 
Detailed information for the Reform Progr am can be found at YOIKK's website: 
http://www.yoikk.gov.tr/eng/   
6. En el párrafo 33 se menciona que algunos de  los elementos esenciales de la Ley sobre 
inversiones extranjeras directas de 2003 son la lib ertad para invertir, la confirmación de las 
garantías existentes de derechos de los inversores ex tranjeros en un solo documento, la adopción 
de normas internacionales para definir qué es un "inversor extranjero" y qué es la "inversión 
extranjera directa", y un cambio normativo, pa sando de un control previo a un enfoque de 
fomento y facilitación, con una vigilancia a post eriori mínima.  La Ley garantiza la aplicación 
del trato nacional y los derechos de los inversores. México desearía saber cuáles son las condiciones para otorgar el trato nacion al a los inversionistas extranjeros. 
 
Turkey's answer: 
 
The national treatment is the major principle of foreign investment policy of Turkey, which is 
indicated in the Article 3 of the Foreign Dir ect Investment Law No. 4875 as stated below: 
  Article 3.    a) Freedom to Invest and National Treatment    Unless stipulated by international agreements and other special laws:    1. Foreign investors are free to make foreign direct investments in Turkey,  
  2. Foreign investors shall be subject to  equal treatment with domestic investors  
 
7. En el párrafo 34 se indica que todas las empresas creadas de conformidad con el Código 
de Comercio de Turquía tienen la consideración de empresas turcas, con los mismos derechos y 
obligaciones establecidos en la Constitución y en  otros textos legislativos.  Entre los derechos 
cabe mencionar el trato nacional, la garantía contra la expropiación sin compensación, la 
transferencia de ingresos, el derecho a expatriar personal, y el acceso al arbitraje internacional 
o a cualquier otro medio de solución de difere ncias. Desearíamos saber si las disposiciones 
mencionadas han tenido un impacto significativo en  la celebración de acuerdos bilaterales para 
promover y proteger la inversión extranjera directa.   
Turkey's answer: The bilateral investment agreements of Tu rkey aims to strengthen and protect the 
legal rights of foreign investors in Turkey and provide them with a level playground vis-a-vis 
domestic investors. Furthermore, Bilateral Investment Agreements (BITs) guarantee access to international arbitration for foreign investors. The provisions mentioned by Mexico; the national 
treatment, the guarantee against expropriation without compensation, the income transfer, the right to WT/TPR/M/259/Add.1 
Page 54  
 
 expatriate staff and access to international arbitra tion are indispensable provisions of Turkey's BITs 
signed since 1985. So far, Turkey has signed 82 BITs, of which 74 have entered into force, including 
provisions of national and MFN treatment, the guara ntee against expropriation without compensation, 
free transfer of returns, the right to expatriate st aff, and access to international arbitration. In this 
context, Turkish Commercial Code as well as FDI La w are in full compliance with Turkey's BITs.  
 
POLÍTICAS Y PRÁCTICAS COMERCIALES, POR MEDIDAS 
Derechos de aduana ordinarios Derechos NMF consolidados y aplicados, aranceles legales  
8. En el párrafo 11 se menciona que "L os derechos compuestos y variables están 
relacionados con la aplicación de los compromisos de unión aduanera  de Turquía con la UE;  los 
equivalentes en liras turcas de los componente s expresados en euros se destinan al Fondo 
Público para la Vivienda, que se aplica a los Anexos III y IV del régimen turco de importaciones."¿Podría Turquía explicar un poco más el funcionamiento sobre los criterios de 
imposición de este tipo de aranceles (derechos compuestos y variables)? 
Turkey's answer: The criteria for those tariffs are to make the market operate efficiently taking into 
account the economic conditions such as suppl y and demand, domestic and world prices. 
 The Council of Ministers is authorized to make ch anges in the tariff rates when deemed necessary. 
The reason behind the application of compound duties and variables is due to the fact that Turkey has 
to follow exactly the same trade policy of the European Union stemming from the Customs Union 
Decision since 1996 for the products covered by the Customs Union.  Mass Housing Fund (MHF) is applied to two lists  in Turkish Import Regime, namely List No:III 
and IV. The practice in List No:III is adopted as an EU practice and the rates regarding the goods 
listed in List No:III are applied lower to the EU and EFTA countries as well as the Republic of Egypt 
with regard to bilateral trade agreements  signed between Turkey and aforementioned 
countries/country groups which constitute the reason beyond the differentiated rate s to be applied to a 
certain group of countries.  On the other hand, the practice considering MHF appli cations in List IV is different by nature. Goods 
listed in List IV are not bound within the WTO commitments and do not fall within the scope of 
Customs Union. Therefore, MHF is levied to th e aforementioned goods in order to reach sufficient 
protection levels which remains insufficient when La w No:474 is applied to the same group of goods.   
 
9. ¿La aplicación de estos aranceles (derechos compuestos y variables) se acuerdan en 
conjunto  con la UE? 
 
Turkey's answer:  The concept of processed agricultural produc ts, as defined by the EU, is applied by 
Turkey as well. Therefore, for ad valorem  customs duties (industrial component) Turkey implements 
the Common Customs Tariff of the EU and for the specific customs duties (agricultural component) 
Turkey applies its own tariffs.  
 
Compound duties of certain products (processed agri cultural products) are applied because of the 
Customs Union Decision between Turkey and the EU; specifically Section V of this Decision 
regulates the application of these compound duties.  
10. ¿Existen ejemplos recientes de productos que están sujetos a este tipo de aranceles 
(derechos compuestos y variables)? 
 
Turkey's answer:  There has been no recent change in  the application of these tariffs.  WT/TPR/M/259/Add.1 
 Page 55 
 
 
 Los demás derechos y cargas 
 11. En el párrafo 18 se menciona que "Turquí a aplica en la actualidad un impuesto del 
Fondo Público para la Vivienda al pescado  y los productos del pescado importados 
comprendidos en los capítulos 2, 3, 15, 16 y 23 del SA.  El gravamen es diferente según se trate 
de importaciones de la UE, países miembros de  la AELC u otros países, y varía entre cero y 
35 por ciento ad valorem."Se menciona que este Fondo aplica o está destinado al pescado y sus productos, ¿podría extenderse a otros productos? 
 
Turkey's answer:  Mass Housing Fund is a form of additiona l financial liability and technically could 
be extended to any other product in conformity w ith the obligations of Turkey stemming from its 
WTO commitments. 
12. ¿En lo que toca a "otros países" (no miembr os de la UE o de la AELC), los impuestos 
relacionados con este fondo son de aplicación general, o bien, pueden aplicarse únicamente a 
determinados países?  
Turkey's answer:  Mass Housing Fund is principally app lied without any country specific condition 
and/or discrimination. However, Turkey may appl y a lower MHF rate for the countries that Turkey 
has preferential arrangements such as FTAs on the b asis of mutual advantage (the EU, EFTA and the 
Republic of Egypt benefit from lower MHF rates in the context of Turkey's preferential arrangement 
with those countries).  
 
13. ¿Turquía aplica este impuesto a todos los países con los que la UE tiene Acuerdos de Libre Comercio? 
 
Turkey's answer:  Mass Housing Fund is principally app lied without any country specific condition 
and/or discrimination by Turkey. However, Turkey may apply a lower MHF rate for the countries that 
Turkey has preferential arrangements such as FTAs on the basis of mutual advantage (the EU, EFTA and the Republic of Egypt benef it from lower MHF rates in the context of Turkey's preferential 
arrangement with those countries). There is no obliga tion to apply this tax to all countries with which 
the EU has a Free Trade Agreement. 
 
Normas de origen  14. En el párrafo 43 se menciona que "Tur quía forma parte del sistema paneuropeo de 
acumulación de origen desde el 1º de enero de  1999.  Este acuerdo permite utilizar material 
originario de cualquier país de la zona (UE,  AELC y Turquía) para fabricar un producto 
conservando el origen preferencial.  Este sist ema de acumulación diagonal se ha extendido a las 
Islas Feroe y a los países de la cuenca del Me diterráneo que participan en la asociación 
euromediterránea en virtud de la Declaració n de Barcelona de 2004".¿Cuál ha sido la 
experiencia de Turquía en materia de acumulación diagonal? 
 
Turkey's answer:  Turkey has been a part of: 
  - the System of Pan-European Cumulation of Origin (EU countries, EFTA countries 
(Switzerland, Norway, Iceland and Liechtenstein) and Turkey) as from 
October 1
st 1999, 
  - the System of Pan-Euro-Mediterranean  Cumulation of Origin (Pan-European 
countries + Faroe Islands, Syria, Lebanon, Palestine, Israel, Jordan, Egypt, Tunisia, Algeria and Morocco)  as from July 1st 2005 and WT/TPR/M/259/Add.1 
Page 56  
 
  - the System of Western Balkan Cumulation of Origin (EU countries, Albania, Bosnia-
Herzegovina, Croatia, Macedonia, Montenegro  and Serbia) as from July 1st  2009. 
 This system enables Turkey to in crease trade with its partners and provides an opportunity to share 
their experience especially in the manufacturing sectors.   
 
15. ¿Cuáles son los sectores o productos en  donde Turquía aplica principalmente la 
acumulación diagonal? 
 
Turkey's answer:  In general, Turkey benefits more from the application of diagonal cumulation in 
the sectors of textiles and automotive.   
III. POLÍTICAS Y PRÁCTICAS COMERCIALES POR MEDIDAS.  3) Medidas que 
afectan a la Producción y al Comercio ii) Obstáculos técnicos al comercio, normas y 
certificación 
 
16. En el párrafo 80 se señala que los reg lamentos técnicos imponen requisitos y 
especificaciones para los productos importados o na cionales, inclusive requisitos vinculados a la 
salud y la seguridad, el medio ambiente y el etiquetado ¿hay algún sitio de internet donde pueda verse un listado de reglamentos técnicos vigentes en Turquía? 
 
Turkey's answer:   The authorities which are responsible fo r the preparation and implementation of 
the technical regulation have their own websites,  where they are giving the information on their 
respective regulation and implementations (generally  in Turkish). The website of the Ministry of 
Economy (www.economy.gov.tr) will be helpful to ha ve the general information in that regard. 
 
17. Al consultar el sitio de la Gaceta Oficia l nos percatamos que sólo se puede consultar en 
idioma turco, ¿Se cuenta contraducciones al  idioma inglés? ¿Existe alguna lista de 
traducciones?  
When visiting the website of the Official Gazette we realized that is only language available is 
Turkish. Are there any English translations? Is ther e a list of translations available nowadays or in a 
near future? 
 
Turkey's answer:  No translation is available for the time being. Studies on this issue are ongoing.  
 
18. En el párrafo 83 se menciona dada la  creciente importancia que se atribuye a la 
transparencia en el plano internacional, Turquía está reconsiderando su política, y el servicio de 
información nacional sobre OTC está exhortando a ministerios y otras instituciones públicas a 
notificar sus reglamentos técnicos.  En caso de que se le solicite, Turquía facilitará el texto completo de los proyectos de medidas (si fuera po sible en inglés, y de lo contrario en turco).  
¿Existe algún listado de reglamentos técnicos a re visar o modificar anualmen te en Turquía, a fin 
de que los países que tengan interés puedan  solicitar la información correspondiente? 
 Turkey's answer:  Technical regulations are revised or modified when needed instead of being 
prepared on a periodical basis. Therefore, there is not a list of technical regulations updated annually. 
 
Políticas de competencia  
 
19. ¿La Junta de la Competencia  tiene previs to algún mecanismo para controlar las ayudas 
gubernamentales que tienen efectos anticompetit ivos? ¿Se aplica igual manera la legislación 
turca en materia de competencia a las em presas del estado con prácticas monopólicas?  WT/TPR/M/259/Add.1 
 Page 57 
 
 
 Turkey's answer:  The authority responsible for anti-trust in  Turkey is the Competition Authority and 
the Competition Board is the decision-making body of this Authority. Law on Competition is 
applicable to all undertakings. Besides, the respons ible institution controlling the government grants 
and/or any kind of assistance is newly established State Aid Authority. Law on Monitoring and Supervision of State Aids was entered into for ce on 23 October 2010. The Law also establishes a 
competent authority for this task which is suppo rted by the institutional structure within the 
Undersecretariat of Treasury. The staff of the Directorate General and the Board members of the Authority were appointed. State Aids Authority has already started to draft implementing regulations 
that are in line with the EU legislation. Howe ver, they have not entered into force yet. 
The Turkish Competition Authority (TCA) does not  have any mechanism to control government 
grants and/or any kind of assistance that might ha ve anticompetitive effects.  Indeed, any entity that 
carries out economic activity as an undertaking is under the scope of the Act no 4054 on the 
Protection of Competition (Competition Act). In other words, the Competition Act, in principle, applies to any economic activity conducted by unde rtakings irrespective of their ownership. In 
practice, however, the Competition Act may not a pply to state owned enterprises that act in 
accordance with a particular legal or administrative authority.  
 
20. ¿Turquía tiene pensado adoptar lineamientos es tablecidos por la UE para el análisis de 
las concentraciones?  
Turkey's answer:  Enactment of the Act no 4054 on the Pr otection of Competition (Competition Act) 
as well as the establishment of the TCA is directly related to Turkey's relations with the EU. The 
Association Council Decision establishing the Custom s Union between Turkey and the EU involves a 
Section on Competition. According to Article 39 of the said Decision, Turkey shall ensure that its 
legislation in the field of competition rules to be made compatible with that of the EU.  
 
Additionally, the TCA is regularly examining the entire secondary legislation applicable in the EU 
with a view to realizing the formulation of its policy and adopting the primary and secondary 
legislation for addressing the specific issues rela ted to competition in line with the relevant acquis  
regarding competition. So far, the TCA has adopted  various secondary legislation concerning mergers 
and acquisitions, agreements in motor vehicles and insu rance sectors, vertical restraints, research and 
development agreements, technology transfer agreemen ts, access to file, protection of trade secrets, 
hearing, leniency, and fines.  
 
Propiedad Intelectual   21. ¿La Ley sobre Obras Intelectuales y Artístic as prevé la protección de títulos, nombres, 
denominaciones, características físicas y psicológi cas distintivas, o características de operación 
originales aplicados, de acuerdo con su naturaleza a alguno de los siguientes géneros:?  
I. Publicaciones periódicas: Editadas en partes sucesivas con variedad de contenido 
y que pretendan continuarse indefinidamente; 
II. Difusiones periódicas: emitidas en partes sucesivas con variedad de contenido y 
susceptibles de transmitirse; 
III. Personajes humanos de caracteri zación o ficticio o simbólicos; 
IV. Personas o grupos dedicados a actividades artísticas; y V. Promociones publicitarias: contemplan  un mecanismo novedoso y sin protección 
tendiente a promover Y ofertar un bien o un servicio, con el incentivo adicional 
de brindar la posibilidad al público en general de obtener otro bien o servicio en 
condiciones más favorables que en las que normalmente se encuentra en el comercio. 
 WT/TPR/M/259/Add.1 
Page 58  
 
 De ser este el caso, ¿bajo qué figura jurídica los protege? 
 
Turkey's answer: Yes, the Law on Intellectual and Artistic Works provides protection all of the 
categories that have been mentioned.   22. ¿Qué ramas o categorías de obras protege la  Ley sobre Obras Intelectuales y Artísticas? 
 
Turkey's answer:  According to Act on Intellectural and Art Works No. 5846, architectural projects 
and plans are accepted as works of fine art.  
Types of intellectual and artistic works have been specified to 4 categories by The Law. These are; 
I. Literary and Scientific Works II.  Musical Works III. Works of Fine Arts IV. Cinematographic Works 
 
"Adaptations and Collections" and "Works Made Public and Published Works" also specified by The 
Law.   
23. ¿Cuál es la duración de la protección  de las obras literarias y artísticas?  
 Turkey's answer:  The term of protection shall last for the lif etime of the author and for 70 years after 
his death. If there is more than one author, this pe riod shall end upon the expiry of  70 years after the 
death of the last remaining author.   
24. ¿Cuál es la duración de la protecci ón de los derechos conexos en Turquía? 
 
Turkey's answer:  The length for protection of related/neighb ouring rights is 70 years from the date of 
first fixation.  
25. ¿La Ley sobre Obras Intelectuales y Artíst icas prevé limitaciones y excepciones a favor 
de las personas con discapacidades? 
 
Turkey's answer:  Yes. Additional Article 11 of The Law of on Intellectual and Artistic Works 
ensures exceptions for disabled people. The Article says;   It is permitted to reproduce or le nd scientific and literary works in  writing including school books that 
have been made public or published, without obtai ning the permissions prescribed by this Law and 
without any commercial purpose in the form of casse ttes, CDs, Braille alphabet, and similar formats 
by a person with disability for his/her own use or by another person acting on behalf of him in a single 
copy, or by educational instituti ons, foundations, associations, and th e like providing services for the 
benefit of the people with disability in the quantity re quired, provided that no such copies have already 
been produced for the use of people with disability.  Such copies may in no way be sold, put into 
commercial use and used and allowed to be used for other than their intended purpose. Furthermore, it 
is compulsory to show information relating to ri ght holders and indicate the purpose of reproduction 
on the copies.  
26. ¿Cuantos organismos o sociedades de gestió n colectiva existen en Turquía y sobre que 
ramas del derecho de autor o titulares de derechos conexos?  
Turkey's answer:   There are 25 (twenty five) collecting so cieties and 1 (one) federation in Turkey. 
Collecting societies and the federation are legal pers ons subject to private law. There exists 1 (one)  WT/TPR/M/259/Add.1 
 Page 59 
 
 
 bylaw on these collecting societies. Collecting societies are under the supervision of the Ministry of 
Culture and Tourism with regard to administrative and financial issues.  
 
27. ¿Contempla la Ley sobre Obras Intelectua les y Artísticas o alguna otra legislación 
disposiciones sobre protección jurídica y recursos jurídicos contra la acción de eludir medidas 
tecnológicas, así como contra la supresión o al teración de información electrónica sobre la 
gestión de derechos? 
Turkey's answer:  Yes. The Law on Intellectual and Artistic  Works provides legal protection against 
the action to evade technological measures. Any person, who produces, puts up for sale, sells or 
possesses for non-private use programs and tec hnical equipment which aim to circumvent 
additional programs developed to prevent illegal reproduction of a computer program shall be 
sentenced to imprisonment from six months to two years.  
The Law on Intellectual and Artistic Works prov ides also legal protection against removal or 
alteration of electronic information rights manage ment. Information which identifies the work, the 
author of the work, the holder of any right in the work or information about the terms and conditions 
of use of the work, and any numbers or codes that represent such information a ttached to a copy of a 
work or appear in connection with the communication of a work to the public may not be removed or 
altered. The originals or copies of the works on which the information and numbers or codes 
representing this information have been altered or removed may not be distributed, imported for 
distribution, broadcast or communicated to the public. 
 
28. El Gobierno de Turquía ha previsto adh erirse en un futuro al Convenio para la 
Protección de los Productores de Fonogramas co ntra la Reproducción no Autoriza de sus 
Fonogramas y al Convenio sobre la Distri bución de Señales Portadoras de Programas 
Transmitidas por Satélite? 
 
Turkey's answer:  The Turkish Government is not one of the contracting parties of those 
Conventions; nevertheless, becoming part y to them is under consideration. 
 
29. En qué consiste y cual es el objetivo de lo s "reglamentos relativos al establecimiento de 
una base de datos conjunta de derechos de propie dad intelectual, que modifica la aplicación del 
sistema de banderola (etiquetas); y que modifica el sistema de certificación para la difusión 
empresarial y la distribución de obras intelectua les y artísticas", contemplados dentro de la 
legislación turca?. 
 
Turkey's answer:  According to the Additional Art. 9- (Addition: 3.3.2004-5101/26) of the Law 
on Intellectual and Artistic Works:  
"For the purpose of ensuring the pursuit and pr otection of intellectual property rights and in 
order to use in investigations and prosecutions, the Ministry shall form a joint database including 
the collecting societies, public premises, the radi o-television organizations mentioned in this 
Law, and the places which manufacture materi als enabling the fixation and reproduction of 
intellectual and artistic works and/or carry out the recording, reproduction and sale of such 
materials or distribute them in any way."  
30. No es menos cierto que una gran parte de  los titulares de los derechos de propiedad 
intelectual afectados, desean obtener un resarc imiento pronto por los daños o perjuicios 
generados por dicha afectación; en ese sentido, la  legislación Turca ¿cómo protege los intereses 
afectados y cuál es el tiempo promed io en resolver dichas pretensiones? WT/TPR/M/259/Add.1 
Page 60  
 
 Turkey's answer:  IPR right holders are protected both w ith civil and criminal measures. Right 
holders can ask the followings as civil measu res in civil courts of first instance: 
  - precautionary measures,   - prevention or cessation of infringement, 
 - damages, 
 - confiscation of the products and e quipment/machinery used in production of 
counterfeit goods,  
 - transferring the ownership on the products and the means seized,   - destruction of the products and vehicles seized. 
 
Average conclusion period of the cases in specializ ed civil courts of IPR was 618 days in 2008, 
603 days in 2009, 544 days in 2010.  In criminal cases, it was 500 days in 2008, 312 days in 2009, 321 days in 2010.  
 
31. En lo relativo a los derechos de autor, si bien el Convenio de Berna establece la 
protección automática de las obras y deja a las legislaciones de los países miembros la 
posibilidad de regular al respecto, ¿Dentro de la legislación turca se exige algún registro o 
trámite para reconocer la titularidad de dichos derechos de autor? ¿Por qué? 
Turkey's answer:  
According to the Additional Art. 13- (Addition: 21.2.2001 - 4630/7; 
Amendment: 3.3.2004 - 5101/7) of the Law on Intellectual and Artistic Works: 
 "Film producers that make the first fixation of films and phonogram producers that make the first 
fixation of sounds shall have their productions containing cinematographic and musical works 
recorded and registered for the purpose of preventin g violation of their rights, facilitating proof of 
right holdership and tracking the authority to ex ercise economic rights, and without the aim of 
creating any rights. The recording and registration of all the works protected under this Law may be made for the same purpose upon demand of the authors; the authority to exercise economic rights may also be recorded. The Ministry cannot be held responsible for these procedures which are made based on declaration. However, persons who make a wrong declaration in the procedures on which the recording and registration shall be based, with regard to moral or 
economic rights which they do not own or whos e non-existence was known or should have been 
known to them, shall be subject to the legal a nd criminal sanctions set out in this Law."  
 
32. ¿A qué problemática se enfrentaron las sociedades de gestión colectiva turcas en el 
sector de la música que las orillaron a firmar el  acuerdo de cooperación en febrero de 2007, en 
qué consiste dicho convenio y cuáles han sido los resultados obtenidos? 
 
Turkey's answer:  As the users demanded to have only one interlocutor; and as the collecting 
societies also wished to benefit from common acti on, an agreement was signed in February 2007, 
however the implementation of the agreemen t could only be partially sustained. 
 33. Los nombres de dominio, la competencia económica y competencia desleal son aspecto 
que día a día tienen mayor injerencia dentro del ámbito de la propiedad intelectual; por lo 
tanto, la legislación turca ¿de qué man era aborda la protección respectiva a ello? 
 
Turkey's answer:  The Act for Amendment of Decree Law of the Protection on the Trademark 
published in the Official Gazette on 21st January  2009, stipulates that the rights which had been 
provided by a registered trademark exclusively, belongs to the proprietor of the trademark. The 
proprietor of a trademark may request the prevention of  the use of any sign identical or similar to the 
registered trademark, or the coverage similar goods  and services covered by the registered trademark. 
Similarly, even the goods and services that are co vered are not identical, using any signs which is  WT/TPR/M/259/Add.1 
 Page 61 
 
 
 identical or has similarities with the registered trademark is prohib ited in cases where; because of its 
recognition level in Turkey, it will have create unf air advantage from reputation of the registered 
trademark or will damage the distinctive character of the registered trademark. 
In this context the following situations may be  prohibited in accordance with the above-mentioned 
rights of the trademark holder. 
 
 a) affixing the design to the goods or to the packaging thereof,   b) offering the goods, putting them on the market or stocking them for these purposes 
under that sign, or offering or supplying services there under,  
 c) entering the goods, under that sign at the customs area, is subjected to a process or a 
usage, which had been approved by the customs,  
 d) using the sign on business, papers and in advertising.   e) using identical or similar of the sign, on  internet media through domain name, router 
code, keywords or in similar manner, to  create commercial impact, on the condition 
that the person who uses the sign does not have the right of using the sign or a 
legitimate connection to the use of the sign. 
 There are also criminal provisions in the law th at is applied to people who infringe the above-
mentioned intellectual property rights. For instance,  the person, who is producing, carrying or selling 
goods or services that infringe, by means of confusi on or quotation, someone else's trademark right, is 
punished with imprisonment between one and thr ee years and pay criminal fines up to twenty 
thousand days. The person, who without authority,  removes the sign which indicates the trademark 
protection that had been placed on the goods or pack ages, shall be imprisoned between one and three 
years and shall be criminal fined up to five t housand days. The person who make money by selling, 
transferring, leasing or pledging someone else's tr ademark right without auth ority is punished with 
imprisonment between two and four years and pa y criminal fines up to five thousand days. 
 34. ¿La legislación turca prevé la concilia ción, mediación y arbitraje como medios 
alternativos de solución de conflictos, y en su caso, qué tan solicitados son dichos medios alternativos y cuál es el porcentaje de eficacia? 
 
Turkey's answer:  Conciliation is regulated in  article 253, 254 and 255 in Criminal Procedure Law. 
According to the statistics collected by General Dire ctorate for Criminal Records and Statistics of the 
Ministry of Justice, conciliation was not used in 2010 and 2008 in IPR cases dealt with by specialized 
civil courts of IPR and it was used in two cases in 2009, and in nine cases in 2007. 
 
35. ¿Cómo se desarrolla el Procedimiento de Medi das en Frontera, es decir, es a petición de 
parte o bien la autoridad puede actuar de oficio? 
 
Turkey's answer:  In case of an application or by its ow n initiative, Customs authorities suspend the 
Customs transactions for the goods considered as infringing the intellectual property rights and holder of the rights is informed by the Customs authorities.  
36. ¿De qué tipo de acciones conocen los tr ibunales civiles y de cuáles los penales? 
 
Turkey's answer:  In Turkey intellectual property rights are mainly regulated by the following 
legislation:   Law No 5846 on Intellectual and Artistic Works (1951) 
 Decree-Law No 551 on the Protection of Patent Rights (1995) 
 Decree-Law No 554 on the Protection of Industrial Designs (1995)  Decree-Law No 555 on the Protection of Geographical Indications (1995) WT/TPR/M/259/Add.1 
Page 62  
 
  Decree-Law No 556 on the Protection of Trademarks (1995) 
 Law No 5833 regarding Criminal Sanctions on Trademark   Law No 5147 on the Protection of Integrated Circuits Topography (2004)  Law No 5042 on the Protection of the Plant Breeder's Rights (2004)  Code of Civil Procedure 
 Code of Criminal Procedure 
 Civil and penal sanctions available in relation to  infringements of copyright and related rights are 
provided in Law No 5846 on Intellectual and Ar tistic Works dated 1951 (Amended in 1983, 1995, 
2001, 2004). 
 
Civil and penal sanctions available in relation to infringements of industrial property rights are 
provided in the following legislation:   1-Decree-Law No.551 on the Protection of Patent Rights 
 2-Decree-Law No.554 on the Protection of Industrial Designs 
 3-Decree-Law No.555 on the Protection of Geographical Indications  4-Decree-Law No.556 on the Protection of Trademarks  5-The Law on the Protection of Integrated Circuits Topographies   6-The Law on the Protection of the Plant Breeder's Rights   
Civil Actions and Remedies for IPR 
 1-Actions for infringement  Holder of copyrights or industrial property rights, whose rights have been infringed, may take 
legal action for the cessation of occurred infringement and prevention of probable 
infringement. 
 2-Action for damages  
 Any person whose rights are infringed may take  legal action for compensation of moral and 
material damages. 
 3-Precautionary measures   Persons whose rights have been infringed or  threatened to be infringed may apply for 
precautionary measures.  
 The request for PM shall be examined  separately from the main action.  
 Conditions of precautionary measures:   a) Precautionary measures should be ta ken to prevent substantial damages or 
sudden danger  
 b) the court should be convinced of a hi gh probability of realization of the above.  
 5-Seizure, Confiscation and Destruction  
 A proprietor of an industrial property whose rights are infringed may request for the confiscation of 
the products, and the equipment and machinery  u sed in their production, which have infringed the 
industrial property rights and whose pr oduction and use constitute a felony:  
  
 - request for the ownership of the products and the means confiscated. 
 - request for necessary measures for the prevention of the continuance of the 
infringement, in particular: 
   a) modification of the shapes of the products and means (removal of the 
 trademark from the products and vehicles confiscated) or  
  b) if it is imperative for the preclusion of the acts of infringement, destruction of 
 the products and vehicles confiscated.  
 B. Criminal Actions in Copyright Law No 5846 on Intellectual and Artistic Works  WT/TPR/M/259/Add.1 
 Page 63 
 
 
 (1) Infringement of Moral Rights 
 Art. 71- ( Amendment: 1.11.1983- 2939/11)  In violation of the provisions of law, any person who wilfully 
 
 1. communicates to the public or publishes, without the written consent of the author or 
his successor in title, a work whether or  not it has already been made public; 
 2. places a title on a work or on the reprodu ced copies of the work without the written 
consent of the author or his successor in title; 
 3. alleges that the works of others are his own or that his own works are those of others 
or who acts contrary to the second paragraph of Article 15; 
 4. fails to cite the source in the case provide d in Articles 32, 33, 34, 35, 36, 37, 39 and 
40, or cites the source in a false, Incomplete or misleading way, 
 5. (Addition: 21.2.2001- 4630/ 26) Mak es changes on a work without the written 
consent of the author. 
 (Amendment: 3.3.2004- 5101/ 17) will be sentenced to  imprisonment from two years to four years, or 
heavy fine between TL 50 billion and TL 150 billion, or both depending on the severity of the damages.  
(2) Infringement of Economic Rights 
 Art. 72. (Amendment: 3.3.2004-5101/18) Those who act in  contravention of this law by deliberately: 
  selling or distributing the copies of a work or an adaptation by reproducing them despite an 
existing agreement with the right-owner, in contra ry to the provisions of the said agreement, 
shall be sentenced to imprisonm ent from three months to two years and a heavy fine between 
TL 10 billion and TL 50 billion or both considering the severity of the damages; 
  selling a work or its reproduced copies in the places indicated in the seventh paragraph of 
Article 81 of this Law without the permission of the rights owner shall be sentenced to 
imprisonment from three months to two years and a heavy fine between TL 5 billion and 
TL 50 billion or both considering the severity of the damages; 
 and without the permission of the rights owner, adapting a work in any manner, reproducing a work in any manner, distributing a work in any manner, importing copies of a work into the country through 
legal or illegal ways and make them an object of tr ade in any manner, displaying or presenting a work 
publicly, organizing for such a display or dissemina ting it or assisting in its dissemination by such 
means as used for the transmission of  all kinds of  signals, sounds, and/or images including digital 
transmission, shall be sentenced to imprisonment fro m two years to four years and heavy fine between 
TL 50 billion and TL 150 billion or both considering the severity of the damages.  
(3) Other Offenses 
 Art. 73.(Amendment: 3.3.2004-5101/ 19) The following provisions shall be applied to crimes other 
than those indicated in Articles 71, 72, 80, 81 of this Law. 
Those who deliberately, 
 
 Keep in their possession for commercial purposes copies of a work they know, or ought to 
know, to have been reproduced in contrary to the provisions of this Law; 
 WT/TPR/M/259/Add.1 
Page 64  
 
  Transfer or give or put up for security or ma ke the object of any transaction an economic right 
or a license they know to be non-existent or inaccessible to them;  K eep in their possession for 
commercial purposes or distribute a technical in strument used solely for the purpose of 
disabling or removing without authorization a technical device applied solely in order to protect a computer program; 
 
shall be sentenced to imprisonment from two y ears to four years and a heavy fine between 
TL fifty billion and TL one hundred and fifty billion or both considering the gravity of the damages. 
 2-  Those who deliberately reproduce or disseminate reproduced copies, phonograms, and 
productions of works that have been reproduced and distributed in accordance with the provisions of 
this Law by way of making and distributing facsi miles along with the differentiating title, trademark 
and identifying information of the reproduction and distribution right-owners, by means of signs, 
writing, sound, moving or still images or employing  devices or methods used for data reproduction 
shall be sentenced to imprisonment from three years to six years or heavy fine between TL twenty 
billion and TL two hundred billion or both considering the gravity of the damages. 
 Criminal Provision in the Law No: 5833 on Trademark:  "Criminal Provisions"  
"Article 61/A- Those producing goods or rendering services, exposing for sale  or selling goods  by 
way of  infringing through using the same or confus ingly similar of trademark  rights of a third party 
shall be sentenced  to an imprisonment term of between one and three years and to pay a fine up to 
twenty thousand days.   
Those removing without authority th e sign indicating a trademark right rightfully placed on a  product 
or on its packaging shall be sentenced  to an impr isonment term of between one and three years and to 
pay a fine up to five thousand days.   Having committed the acts without authority, those di sposing of trademark rights of a third party by 
way of selling, transferring, rentin g or placing as a security  shall be  sentenced  to an imprisonment 
term of between two and four years and to  pay a fine up to five thousand days. 
 Where the above described crimes are committed as part of the acts of a legal person, proper precautionary measures are provisioned.   
In order to inflict a penalty due to the above descr ibed crimes the trademark should be registered in 
Turkey.   Prosecution with respect to the felonies stat ed above shall be subject to complaint. 
 Where  those selling or exposing for sale of goods produced by infringing the trademark of a third 
party,  declare from where they supplied the goods and by this way  reveal the producers of the goods 
and elicit  confiscation of the produced goods ,  penalty is not inflicted on them."  
 
37. En relación con la vinculación de los tribuna les especializados en derechos de propiedad 
intelectual a la red de Sistema de Informació n Judicial de Turquía, ¿Qué beneficios han 
encontrado con esta vinculación en la observanci a de los derechos de propiedad intelectual? 
 
Turkey's answer: The Ministry of Justice has prepared a "National Judiciary Informatics System 
(UYAP)", which is to implement a very ambitious information system between the Courts and all 
other institutions of the Ministry, including  prisons. UYAP equipped these institutions with  WT/TPR/M/259/Add.1 
 Page 65 
 
 
 computers, network and internet connection and to  give them access to a ll the legislation, the 
decisions of the Court of Cassation, judicial records, judicial data of the police and army records. Thus 
UYAP establishes an electronic network covering all Courts, Offices of Public Prosecutors and Law 
Enforcement Offices together with the Central Organization of the Ministry of Justice.  
UYAP is an e-justice system as a part of the e-government, which has been developed in order to 
ensure fast, reliable, soundly operated and accurate judicial system. As a central network project it includes all of the courts, public prosecutors servic es, prisons, other judicial institutions and other 
government departments in Turkey. UYAP, the most outstanding information system in Turkey, was 
prepared and established by MoJ to improve the f unctioning and efficiency of the judiciary and to 
create an effective and less bureaucratic judicial sy stem for each concerned institutions and citizens.  
 The Ministry of Justice has signed protocol with th e Ministry of Culture and Tourism and the Ministry 
of Customs and Trade on Exchange of database via UYAP.  As the part of "National Judiciary Informatics System", specialized IPR Courts can access easily necessary document and information 
regarding the cases which they deal with without  needing to correspondence. This means that  
  - Speed and efficiency of operations  - All documents, processes and files are standardised  - Transparency in terms of accountability and data accuracy  - Economical judicial services 
 - Obtain central financial control 
 - Data mining in judicial field  - Performance management through in tegrated management information. 
 
38. ¿De quién depende la Dirección General de Sociedades de Gestión Colectiva de la 
Industria Cinematográfica? es decir, es un órgano gubernamental o privado y si es autónoma o 
depende de alguna otra Autoridad. 
 
Turkey's answer:  Headquarter of Collecting Societies of Cinema is a protocol rather than a new 
structure comprised of 7 collecting societies operating in  the field of cinema. It is not a legal entity; it 
is private and independent. And it has been estab lished by the voluntary merger of the mentioned 
collecting societies.  
 
39. ¿Cómo regulan la competencia desleal? ¿Cuentan con una ley especializada? 
 
Turkey's answer:  
Unfair competition is regulated under article 83 and article 84 of the Law on 
Intellectual and Artistic Works:   
I. Titles and Distinctive Signs -Art. 83. The title and distinctive signs of a work and the 
form of the reproduced copies of such work may not  be used in another work or in its reproduced 
copies in such way as to give rise to confusion.  
The provision of the first paragraph shall not apply to titles, distinctive signs and exterior forms 
that lack a distinguishing char acter and are in general use. 
 
The application of this article shall not depend on the fulfilment of the requirements laid down in 
Parts One, Two and Three of this Law. 
 
The provision of Article 14 of the Press Law pertaining to the titles of periodicals shall be 
reserved. 
 
The provisions governing unfair competition shall a pply to persons who infringe provisions of WT/TPR/M/259/Add.1 
Page 66  
 
 the first paragraph of this Article, even if they are not merchants. 
 
II. Sign, Image and Sound-Art. 84. Any person who fixes signs, images or sounds on a 
device permitting the transmission of such elemen ts or who lawfully reproduces or distributes the 
same for commercial purposes, may prohibit the re production or distribution of the same signs, 
images or sounds by another person using the same means. 
 III.
 The provisions governing unfair competition shall apply to persons who infringe the 
provisions of the first paragraph of this Article even if they are not merchants. 
 
The provisions of this Article shall also apply to all kinds of photographs, images fixed by similar 
means and cinematographic productions  that do not qualify as works.  
 
In addition to the abovementioned articles, unfair competition is also regulated under the 
article 48 of the Turkish Code of Obligations and article 56 and the following provisions of this 
article of the Turkish Commercial Code.  
Moreover, the issues related to the Compe tition Law are regulated under the Law on the 
Protection of Competition of 1994.   
 
40. ¿Cuáles son las conductas que  se consideran infractoras en  materia de patentes, marcas 
de fábrica y de comercio y de dibujos y mode los industriales? Y qué conductas se consideran 
delitos? 
 
Turkey's answer:  The provisions in the industrial propert y rights legislations (i.e.  patents, 
trademarks and industrial designs) are listed below in  detail. Currently criminal enforcement is only 
available for trademark rights.  For the time being a single draft law comprising of, inter alia, civil and 
criminal provisions for patents, industrial designs, and geographical indications has been prepared by 
the Turkish Patent Institute.  This new draft law ha s recently been made public in order to collect the 
opinions of all the stakeholders.  
Infringement of Patent Rights 
 Article 136 of the Decree-Law No.551 Pertaining to the Protection of Patent Rights states  
The following acts shall be considered in fringement of rights conferred by a Patent: 
a) Imitating; by producing in whole or in pa rt of a product, subject of the invention, 
without the consent of the patent holder; 
b) Selling, distributing or commercializing in any other way, or importing for such 
purposes of products or keeping them in possession for commercial purposes or using by applying such products, manufactured as a result of an infringement, where the 
person concerned knows or should know that su ch products are imitations in whole or, 
in part; 
c) Using the patented process or selling, di stributing or commercializing in any other 
way or importing for such purposes or usi ng by applying the products directly 
obtained through such patented process; without the consent of the patent holder; 
d) Enlarging the scope of the rights granted by the patent holder on the basis of a 
contractual license or granted by compulso ry license or transferring such rights to 
third persons, without permission; 
e) Participating in acts foreseen in subpar agraphs 1 to 4 of this present Article, or 
assisting or inducing/encouraging them or  facilitating, in any way and under any 
circumstances, their occurrence/perpetration;  WT/TPR/M/259/Add.1 
 Page 67 
 
 
 f) Refraining from declaring the source from  where and the manner how the products, 
found in possession and manufactured or commercialized, unlawfully, were obtained. 
 
Where the patent is obtained for a process for th e production/preparation of a product, all products, 
possessing the same properties, shall be deemed to ha ve been produced/manufactured by the patented 
process. The defendant claiming that the manufactur ed/produced the product without infringing the 
patented process shall have the burden of proving such claim. 
 Where the application for patent is published in ac cordance to Article 55 of this present Decree-Law, 
the applicant is entitled to institute before the c ourts, civil and criminal, proceedings, on grounds of 
infringement of the invention. Where the infringer is notified of the existence of the application or of 
its scope, the applications need not to have been published. Where the court rules that the infringer is 
in bad faith, the infringement shall be deemed to  have existed even prior to the publication. 
 Infringement of Industrial Design Rights 
 
Article 48 of the Decree-Law No.554 Pertaining to th e Protection of Industrial Designs stipulates that 
the following acts shall be considered infringement of a design right:  
a) without the consent of the design right holder, to make, produce, put on the market, 
offer, sell, put to use, import or keep in stock for these purpo ses the identical or 
significantly similar design; 
b) to transfer to third parties or to expand rights acquired by a licensing contract; 
c) to participate or to assist or to encourage or to facilitate in whatever form the acts 
referred in sub-paragr aphs (a) and (b); 
d) to abstain from explaining where and how an  illegally produced and marketed product 
has been obtained when found in possession; 
e) seizure of entitlement.  
 Where the application for a design has been publishe d in accordance with Article 34 of this Decree-
Law, the application right holder has the right to institute civil and penal proceedings against the 
infringing party. Where the infringing party has b een informed of the application and its scope, 
infringement shall be considered to exist before the publication when the court rules that the infringing 
party was acting in bad faith. 
Lack of any indication on the product, its packaging or  in the invoice that the design is registered shall 
not constitute a negation of the infringement.Indi cations of registration shall be taken into 
consideration in the valuation of the infringement. 
 
Infringement of Trademark Rights  Article 9 of the Trademark Decree Law No:556 (amended by the Law No:5833) provisions that:  
 
Rights conferring from the registration of a trad emark belong exclusively to the proprietor of 
trademark. The proprietor of a trademark may request to prevent the acts described herewith: 
 
a) use of any sign which is identical with the registered trademark in relation to goods 
and services which are identical with those for which the trademark is registered, 
b) use of any sign where, because of its iden tity with or similarity to the registered 
trademark and identity or similarity of the goods and services covered by the 
registered trademark and sign, there exists a likelihood of confusion on the part of the 
public including likelihood of associati on between the sign and the trademark, WT/TPR/M/259/Add.1 
Page 68  
 
 c) use of any sign which is identical with or similar to the registered trademark in 
relation to goods or services which are not similar to those for which the trademark is registered, where the reputation of that sign without due cause takes unfair advantage of or is detrimental to the distinctive character or the repute of the registered trademark. 
 
The following may be prohibited under the first paragraph:  a) affixing the sign to the goods or to the packaging thereof, 
b) offering the goods, putting them on the market or stocking them for these purposes 
under that sign, or offering or supplying services thereunder, 
c) entrance of the goods bearing the sign into the customs area, being subject to a 
procedure or use  approved by the customs 
d) using the sign on business, papers and in advertising. e) using an identical or similar sign in the course of trade in a manner creating a 
commercial impact  as a domain name, metatag, keyword or in a similar form on 
internet provided that the person using the sign do not hold any right of use or a legitimate connection therewith. 
 
The rights conferred by a registered trademark shall prevail against third parties from the date of publication of registration of the trademark. The propri etor of a trademark is entitled for instituting an 
action for compensation in respect of acts, arising after the date of publication of a trademark 
application and comprising the acts to be prohibited after the publication of the trademark registration. 
The Court seized of the case may not decide upon the merits of the case until the registration has been 
published.  
Article 61 of the Decree Law No 556 Pertaining to the Protection of Trademarks (amended by the 
Law No:5833)  stipulates that:  Following shall be considered infringement of a trademark:  
a) use of the trademark in the forms defined in Article 9 without consent of the 
proprietor of the trademark, 
b) use of the same or confusingly similar trademark without the consent of the proprietor 
of the trademark, 
c) where being aware or should being aware that a mark is plagiarized, sell, distribute or 
put the commercial use or  put in the customs area,  subject to a use or procedure 
approved by the customs  or keep in possession for these purposes the goods carrying 
the infringed trademark, 
d) to transfer to third parties or to expand rights acquired by a licensing contract without 
consent of the proprietor of the trademark 
 "Criminal Provisions" 
 
Article 61/A of the Decree Law (amended by the Law No: 5833) stipulates that:  Those producing goods or rendering services, offering for sale  or selling goods  by way of  infringing 
through using the same or confusingly similar of  tr ademark  rights of a third party shall be sentenced  
to an imprisonment term of between one and three ye ars and to pay a fine up to twenty thousand days.  
 Those removing without authority the sign indicati ng a trademark right rightfully placed on a product 
or on its packaging shall be sentenced  to an impr isonment term of between one and three years and to 
pay a fine up to five thousand days.   WT/TPR/M/259/Add.1 
 Page 69 
 
 
  
Having committed the acts without authority, those di sposing of trademark rights of a third party by 
way of selling, transferring, renting or placing as a security  shall be sentenced  to an imprisonment 
term of between two and four years and to  pay a fine up to five thousand days. 
 
Where the above described crimes are committed as part of the acts of a legal person, proper 
precautionary measures are provisioned.   In order to inflict a penalty due to the above descr ibed crimes the trademark should be registered in 
Turkey.  
 
Prosecution with respect to the crimes stated  above shall be subject to complaint. 
 Where those selling or exposing for sale of goods produced by infringing the trademark of a third party,  declare from where they supplied the goods a nd by this way  reveal the producers of the goods 
and elicit  confiscation of the produced goods, penalty is not inflicted on them.  
 
41. ¿Cómo regulan el uso de marcas en las página s de internet? ¿Cuál ha sido su experiencia 
en este tema? 
 
Turkey's answer:  The trademark holder has the right to prohibit "the use of an identical or similar 
sign in the course of trade in a manner creating a commercial impact as a domain name, metatag, 
keyword or in a similar form on internet provided that the person using the sign do not hold any right 
of use or a legitimate connection therewith" in acco rdance with the Article 9 of the Act No 5833 on 
Changes to the Decree Law on Protection of Trademarks.  The use of the trademarks on websites may be subject of infringement cases and handled by the courts according to the facts and merits of each 
case.  
 
42. ¿Cuáles son los parámetros para determin ar la clausura de un establecimiento por un 
período mínimo de un año en Turquía?  ¿Contemplan la clausura definitiva? 
Turkey's answer:  Provisions in Decree-Laws on trademar ks, design, patent and geographical 
indication including "the closure of a facility for a minimum period of one year" was abolished by 
Constitutional Court in 2008.  
 Provision on "security measures specific to legal entities" of Turkish Criminal Code (TCC) (article 60) is applied for instead of the abolished provision of decree – laws. 
 
According to the article 60 of TCC "where there h as been a conviction in relation to an intentional 
offence committed for the benefit of a legal entity, which is subject to civil law and operating under 
the license granted by a public institution, by misusing the permission conferred by such license and 
through the participation of the organs or representa tives of the legal entity it shall cancel this license." 
 
43. ¿Qué tipo de medidas en frontera pueden aplicarse en términos de su legislación? ¿Se 
necesita de una orden judicial para implementarl as o la autoridad aduanera puede actuar de 
oficio?  
Turkey's answer:  Procedures on border/frontier measures are regulated by Article 57 of Law on 
Customs No: 4458 and By-law on Customs. According to the Article 57 of Law No 4458, customs 
officer can take action on demand of the right holders and their representatives and ex-officio. There is 
no need a court order to implement these measures.  WT/TPR/M/259/Add.1 
Page 70  
 
 Customs procedures are suspended for the goods breach ing intellectual property rights and holder of 
the right is informed. After informing the right of  holder, Customs authorities act according to actions 
taken by the right of holder. In case the relevant pa rties agree for destruction, the goods are destructed 
according to simplified destruction procedure and in this case a court decision is not required. Other 
than this option, Customs authorities require a c ourt decision for taking any measures and in case the 
right of holder does not provide any court decision Customs authorities complete the Customs 
transaction for the goods.   
44. ¿Qué tipo de acciones preventivas se han toma do en su país para combatir la piratería? 
 Turkey's answer:  To fight against to piracy there some preventive actions in Turkey. These actions 
are listed below; 
Banderol Implementation: It is compulsory to affi x banderols on the reproduced copies of musical and 
cinematographic works and on non-periodical publications. It is also compulsory, upon the request of 
the author or right holder, to affix banderols on th e reproduced copies of other works that can be easily 
copied. Banderols shall be printed and sold by th e Ministry of Culture and Tourism. Any person who 
reproduces a work in contravention of the banderol requirements or without a banderol and puts it up 
for sale, sells, distributes or buys or accepts due to commercial purposes shall be sentenced to 
imprisonment. 
Certification System:  For the purpose of protection and effective pursuit of intellectual property 
rights, places which manufacture materials serving the fixation or reproduction of intellectual and 
artistic works and/or carry out the recording, repro duction and sale of such materials or distribute and 
supply to the public in any way, excluding places th at only print periodicals, shall be given a 
certificate by the Ministry of Culture and Tourism against a fee. 
Inspection Commissions: According to Law on Intellectual and Artistic Works the local 
administrative authorities may form an "inspection commission" in provinces by the provincial 
administrative authorities to mandate the control of  the banderol implementation.  Representatives of 
the Ministry and the collective societies can also take part in these commissions. 
Rewarding System: A rewarding system was established for the public officers of inspection 
commissions responsible for combating piracy by ta king into consideration the quantity of the seized 
material entered into force. 
Awareness Raising Actions: In order to increase consciousness on fight against piracy, first of all in-
house trainings for staff is being organized in scope of the Academy to be established between 
Turkish Patent Institute and Director ate General of Copyright. Ministry of Culture and Tourism is also 
supporting seminars on fight against piracy held by  NGO's and universities and lastly, posters and 
spot-films on this issue are continually being prepared.  
 
45. ¿Con qué parámetros valoran la reincidencia? 
 
Turkey's answer:  Conditions of recidivism are regulated by  Article 58. Article 58 provides for that 
provisions on the repetition of a crime shall be applied where there has been a commission of an offence subsequent to a previous finalised convi ction without necessary that any penalty has been 
enforced.  
 
The provisions on the repetition of a crime shall not apply to offences committed: 
 
a) five years after the completion date of th e sentence for the previous conviction, where 
such sentence was for a period greater that five years,  WT/TPR/M/259/Add.1 
 Page 71 
 
 
 b) three years after the completion date of the sentence for the previous conviction, 
where such sentence was for a period of imprisonment of 5 years or less or was a judicial fine. 
 
In cases of repeat offending, if a penalty of impr isonment or a judicial fine are prescribed as 
alternatives in the law in respect of the most recent offence committed, a penalty of imprisonment 
shall be given.  The provisions on the repetition of a crime shall be  not applied where an offence of recklessness 
follows an offence of intent or vice versa and wher e a strict military offence follows any other offence 
or vice versa. The judgments of foreign courts shall be not be subject to recidivism, excluding the 
offences of Intentional Killing, Intentional Inju ry, Robbery, Deception, Production and Trade of 
Narcotics or Psychotropic Substances, C ounterfeiting Money or Valuable Stamps. 
 The provisions on the repetition of a crime shall not  be applicable to offences committed by any 
person who was under eighteen years old at the time of the commission of the act. 
 The sentence, in cases of repeat offending, shall be  enforced in accordance w ith the provisions special 
for recidivist of the Enforcement Code. Further, for the repeat offender a probationary measure shall 
be applied following the completi on of the term of imprisonment. 
 
The judgment of the Court should clearly state what  the applicable enforcem ent regime for repeat 
offenders is and should state that the repeat offe nder probationary measure is applicable following the 
completion of the term of imprisonment.  The Enforcement Code pertaining to repeat offenders  and the application of the probationary measure 
shall be imposed pursuant to the law. 
The Enforcement Code pertaining to repeat of fenders and the probationary measure following 
completion of the sentence of imprisonment shall al so apply to: a habitual offender, a career offender 
or a member of a criminal organization.  
46. ¿Qué medidas  piensa Turquía implementar para reforzar las medidas de oficio en 
contra de la falsificación y la piratería?  
Turkey's answer:  In terms of better customs protection of IPR, Turkey will continue to organize in-
service training activities for the field customs officers . Besides, Turkey also will continue to welcome 
seminars supported by right holders for customs officers in order to differentiate counterfeit and 
genuine goods.  
 
47. ¿Han planeado tomar medidas para  regular el comercio electrónico? 
 
Turkey's answer:  The Ministry of Economy worked with the Ministries as a coordinator in order to 
conduct the studies of the garnering legislation by comparing the legislation under the "2000/31/EU E-
Commerce Directive" and  the related Turkish legi slation. Between the years of 2007 and 2008, the 
MATRA Pre-accession programme was applied. Ha ving been admitted by the EU, the programme 
was conducted with the leadership of the Ministry of Economy in order to harmonize the EU Directive 
and collect the support for its implementation and to  organize seminars for preparing the e-commerce 
draft law. Along with the studies of the programme, the Ministry of Economy participated in the 
working group of the Ministry of Justice to prepare the e-commerce draft law regarding its regulation.  
 After introducing the draft law to other governmental  and private institutions and making the related 
amendments in 2009, the draft law was finalized and was presented to the National Assembly on WT/TPR/M/259/Add.1 
Page 72  
 
 December 27th, 2010. It has been evaluated by  the Commission in a detailed way in terms of 
technological changes, the New Turkish Code of  Obligations, the New Turkish Commercial Code, 
The Consumer Protection Code.  
48. ¿Qué objetivos y medidas tiene Turquía para informar a los consumidores que la 
piratería es antisocial? 
 
Turkey's answer:  In order to increase consciousness on fight against piracy, first of all in-house 
trainings for staff shall be organized in scope of the Academy to be established between Turkish 
Patent Institute and Directorate General of Copy right. Ministry of Culture and Tourism is also 
planning to support seminars on fight against piracy held by NGO's and universities and lastly, posters 
and spot-films on this issue are prepared for in creasing the public awareness on the combat against 
piracy.  
 
Compras del Sector Público  
 
49. De acuerdo con el párrafo 109 del Informe de la Secretaría, ¿podría mencionar cuáles 
son los plazos que se dan para la publicación electrónica de los avisos de contratación 
electrónica después de la reforma de diciembre de 2008 a la Ley de compras del sector público? 
 
Turkey's answer:  According to article 13 of the PPL: "Where notices are drawn up and transmitted 
by electronic means, the time limit set in paragraph (1) of subparagraph (a) of first paragraph (40 days 
for open procedure where the estimated cost is above  the threshold value) may be shortened by seven 
days. Where direct access to notice and tender an d prequalification docum ent is enabled through 
Electronic Public Procurement Platform, the time limit specified in the paragraph (1) of subparagraph (a) of first paragr aph and the forty-day time limit for invitation to pre-qualified 
candidates in restricted procedure may be shortened by five days." 
 
50. ¿Podría enumerar cuáles son las principales funciones de la Plataforma Electrónica de 
Contratación Pública (EPPP), establecida a partir de la reforma de diciembre de 2008 a la Ley 
de compras del sector público? 
 Turkey's answer:  Contracting authorities that are registered on the system started to prepare the 
tender documents (pre-qualificati on documents, administrative and technical specifications, the draft 
contract, framework agreement, individual contr act, standard forms) through Electronic Public 
Procurement Platform (EPPP). Errors are reduced  to a minimum level in the tender documents 
through checks by EPPP for compliance with legisla tions. Also, tender notices began to be created 
automatically by the system. 
 According to the Public Procurement Law no. 4734, for the tenders which have estimated costs higher 
than the threshold value, the tender notice time li mit is decreased from 40 days to 28 days with the 
ability to access tender notice and documentation in electronic environment.   
The tender document can be downloaded free of charge via EPPP, which eliminates the need for 
economic operators to go to the contracting authorities. 
 Real and legal persons who wish to participat e in tenders may search for tender notices by setting 
certain criteria (sector, province, remaining period of  tender date and tender t ype). Also they can be 
notified instantly via e-mail, about tender opportunities they may be interested in.  
 Citizens can search for tenders by three different ways  according to their needs: Fast Search, Detailed 
Search and Sectoral Search. Also they can see te nder notices and contract award information of the 
tender and they can download tender docume nts through EPPP without using e-signature.   WT/TPR/M/259/Add.1 
 Page 73 
 
 
  
Citizens can access the black list and decisions taken by the Public Procurement Board upon complaint applications.   The call center was built by the Public Procurement Au thority and began to serve in order to solve the 
problems in the usage of EPPP. The call center can be  reached from anywhere in Turkey with a single 
number (444 0 545). A total of 34 outsourced staff work  at the call center. Al so, demos regarding the 
use of EPPP are prepared and offered to users.   Contracting authorities can query tax liability, bala nce sheet and income statement information of 
economic operators over the Revenue  Administration's system and social security premium debt 
information over Social Security Institution's system.  Economic operators can download the tender document by using the e-signature, by this way without 
having to purchase the tender document; they can ge t the title of "Potential tenderer". Taking into 
calculation just the tender document acquisition f ee, economic operators already saved around 27 
million TL (approximately 14.5 million USD) in 2011.   For "Procurement of medical devices", which has b een identified as a pilot sector, all procurement 
procedures including the electronic submission a nd electronic evaluation stages, can be done in 
paperless electronic environment. The first tende r where offers were taken electronically was 
conducted on March 7 in  2011 by Hacettepe University Medical Faculty Hospital.  
 Transmission of electronically created tender secu rities and bank reference letters to contracting 
authorities and inquiring of them by tender commissions are provided through EPPP.   
All notifications can be sent to economic operators through EPPP.  
 Ability to inform contracting authorities about their tenders' situations through  SMS is provided with 
SMS integration.   Contracting authorities can enter correction requ ests directly through EPPP, by this way some 
corrections related to the tender process are accelerat ed without the need to make written notifications 
to the Public Procurement Authority.   
51. De conformidad con el párrafo 111 del Inform e de la Secretaría ¿cuál es el medio en el 
que el funcionario responsable de la contratación notifica los resultados de la evaluación de las 
ofertas a todos los licitantes y en qué plazo se lleva a cabo esa notificación?  
Turkey's answer:  According to Article 65 of the PPL, "No tifications shall be conducted with one or 
more of the following ways by the contracting entities or the Authority:  
1-By hand in return of signature  
2-By registered mail  
3-In electronic environment 4-By fax 
 In notifications by registered mail, the seventh da y, and in case of foreign tenderers the nineteenth 
day, following the mailing of the registered letter sh all be deemed as notification date of the decision 
to the tenderer. When notification is arrived to wh om concerned before that time, actual notification 
date shall be taken.  WT/TPR/M/259/Add.1 
Page 74  
 
 Notifications made by the contracting entities or by the Authority in electronic environment or by fax 
as well as the price offers submitted in electronic e nvironment by tenderers involved in a framework 
agreement must be confirmed on the same day. In no tifications in electronic environment or by fax, 
the actual notification date shall be de emed as the legal notification date.  
 
However, in transactions realised between cont racting entities or the Authority and candidates, 
tenderers and potential tenderers by using electr onic signature or transactions regarding the 
procurement process executed via Public Procurement Platform, including those related to complaint applications, confirmation shall not be required.  
The tools to be used in electronic communication and their technical features shall be compatible with 
the commonly used and easily available communica tion and information technology products and 
shall ensure equality principle.   It is essential to preserve integrity of data and the confidentiality of tenders a nd participation requests, 
in all kinds of exchange and storage of information." 
 According to article 47 of the PPL, "Except those sent according to Article 42, the results of the 
procurement of goods, services and works made by contracting entities covered by this Law, are 
notified to the Authority in fifteen days at most . Among these results, those relating to procurements 
covered by the Law are published in the Public  Procurement Bulletin by the Authority. The 
information to be included in the notification of results and which of the results regarding the goods, 
services and works contracts awarded according to th e Law by the contracting entities operating in the 
areas of defence, security and intelligence to be pu blished shall be decided by the Authority after 
considering the opinion of the concerned contracting entity." 
 
52. De acuerdo con la información del pá rrafo 115, ¿podría explicar cuáles son las 
excepciones en los procedimientos de contrata ción pública a los que Turquía está recurriendo 
recientemente y que podrían estar socavando las políticas de contratación pública? 
 
Turkey's answer:  It must be recognized, that the informa tion that in 2010 27% of public procurement 
contracts, representing 13% of the overall contract va lue, were not subject to the tender procedures 
stipulated in the PPL does not clearly provide a full and objective view for the following reasons. 
 
The procurements which are exempted from the PPL are described in Article 3 of the PPL.  
 A close examination of the sub-paragraphs of Article  3 yields that most of the procurements made 
within the scope of this article of the PPL are also  similarly excluded in the international practice from 
the scope of the laws as it is the case for instance by: 
 
- the procurements related to defence and security, 
- procurements of goods, services or works, wh ich are to be realized with foreign 
financing pursuant to international agreem ents, and in the financing agreement of 
which it is stated that different tender procedures and principles will be applied, 
- all kinds of consultancy and loan graduati ng services with regard to borrowings from 
international capital markets, 
- procurement of goods and services to be ma de by Republic of Turkish Central Bank 
relating to production and printing of  banknotes and valuable documents, 
- purchases of goods and services necessary fo r research and development projects 
executed and supported by national resear ch and development institutions and 
purchases of all kinds of research and development services excluding those where the authorities covered by this law meet th e whole financing and exploit the outputs 
only in executing their own activities,  WT/TPR/M/259/Add.1 
 Page 75 
 
 
  
In addition the 4th interim article of the PPL d escribes the related institutions which have the 
responsibility to prepare and issue the regulations to  be applied by the procurements made under this 
article. 
 Therefore the procurements that are subject to the exception provisions are carried out according to 
the regulations issued and published in the Official  Gazette by the related authorities. And a further 
examination of these regulations and practices demonstrate that open and restricted procedures are 
again main procedures preferred for the award of contracts in their regulations. 
 Basic principles such as transparency, public oversi ght and efficiency are also embraced in tenders 
conducted according to exception provi sions. Tenders conducted according to exemptions have to be 
registered in the Electronic Public Procurement Plat form and given a tender registry number. Even if 
publication of tender notices in the Electronic Public  Procurement Bulletin (EPPB) is not compulsory 
for exceptions, many contracting entities publish tender  notices within the scope of exceptions in the 
EPPB. In fact, in year 2011, 1.583 tender notices wi thin the scope of exceptions have been published 
in the EPPB. 
 
Moreover, contract award notices for tenders both w ithin the scope of the PPL and exceptions have to 
be notified to the PPA and published in the EPPB.  
 
In year 2011, 168.382 contract award notices within  the scope of the PPL and 41.424 contract award 
notices within the scope of exceptions have been published in the EPPB. 
 
Tenders conducted according to exemptions are subject  to both administrative and judicial review in 
case of any infringements. 
 At the same time, some indicators to measure transp arency in public procurement are used. These are: 
 
 1) Percentage of public spending allocated in open bidding procedures. The indicator is 
calculated as follows: 
  (the volume of public contracts awarded in open bidding procedures/the total volume 
of public procurement market) 
 2) Percentage of the public procurement mark et contracted as over limit contracts, which 
must be opened participation of foreign bidder for tenders within the scope of PPL.  
  (The volume of over limit public contract s / the total volume of public procurement 
market) 
 3) Percentage of procuremen t published tender notices in EPPB. 
  (the volume of public procurement publis hed tender notices in EPPB/ the total volume 
of public procurement market) 
 
Furthermore even the procurements below the thre sholds are subject to the provisions of the PPL 
except the cases of direct procurement and the exceptions  described in article 3. So it must be realized 
that transparency is ensured through PPL by contracts below and above thresholds. 
 
Consequently it is seen that even though tenders that are subject to exception provisions of the PPL 
are conducted according to their specific regulations; open and restricted procedures are again main procedures preferred in these tenders  and is parallel to the internati onal practices. So it is clear that 
there is no any risk of undermining public proc urement policies due to the exceptions in public 
procurement system in Turkey.  WT/TPR/M/259/Add.1 
Page 76  
 
 IV. POLÍTICAS COMERCIALES, POR SECTORES  /   Servicios  /   i) Banca  
 
53. En este sector se hace mención a que los banc os extranjeros y los bancos nacionales están 
sujetos a las mismas normas en cuanto a su es tablecimiento, funcionamiento y supervisión.  
¿Podrían confirmar los requisitos para que un banco extranjero se establezca en Turquía? 
 Turkey's answer:  According to the Turkish banking legislation, for the establishment of a bank or 
opening up of the first branch in Turkey by a bank established abroad, the permission of Banking 
Regulation and Supervision Board is required.  
The rules regarding the establishment of a bank or  the opening branches and representative offices in 
Turkey by a bank established in abroad are legislat ed by "Banking Law No. 5411" and "Regulation on 
Operations of Banks Subject to Permission and I ndirect Shareholding". For detailed information 
regarding the conditions required please see Annex. 
 
IV. POLÍTICAS COMERCIALES, POR SECTORES  /  Servicios /   Telecomunicaciones  54. Se señala que los proveedores de servicios de  comunicaciones electrónicos necesitan una 
autorización de la Autoridad de Tecnologías de  la Información y las Comunicaciones (ICTA).  
¿Podrían indicarnos cuáles son los requisito s para que una empresa extranjera pueda 
proporcionar servicios de comunica ciones electrónicas, y si el trato que se le otorga es igual al 
otorgado a los proveedores nacionales?   
Turkey's answer: Article 7 of the "By-Law on Authorization for Electronic Communications Sector" 
defines the authorization conditions for a supplier wh ether it is domestic or foreigner. According to 
this article: 
 
1. The company to be authorized must be founded in legal status of incorporation or 
limited company according to the laws of Republic of Turkey for the purpose of performing activities within the scope of authorization or together with such activities, required and/or relevant device sales, installation, maintenance-repair and 
consultancy.   
2. Its scope of activity in the articles of incorporation as published on the Trade Registry 
Gazette, whereby the company is registered  and announced, must include the wording 
"providing electronic communication/telecommunication service and/or building and 
operating electronic communication/teleco mmunication network or infrastructure " or 
the electronic communication activity for which it seeks authorization. 
3. Natural person partners having minimum 10 % of the company's shares and the 
persons authorized for managing and represen ting the legal entity should not have 
been sentenced  for in the information and communication technologies sector crimes  
provided in chapter Ten of the third Sec tion of Turkish Penal Code numbered 5237 
and dated 26/9/2004 and, excluding unwilli ng crimes, these persons should not have 
been sentenced for penal servitude  or imprison ment for more than five years,  or legal 
fraud, corruption, bribery, theft, confiden ce tricks, misfeasance, forgery, fidelity, 
fraudulent bankruptcy, crimes of smugglin g, bid rigging, money laundering, tax 
smuggling or participating in tax smuggling crimes.  
 The same conditions mentioned above apply also for foreigner suppliers to be authorized to provide 
electronic communication services. 
  WT/TPR/M/259/Add.1 
 Page 77 
 
 
 IV. POLÍTICAS COMERCIALES, POR SECTORES   / Servicios /   Transporte  / 
a) Transporte marítimo / d) Transporte aéreo 
 
55. Con respecto a las actividades marítimas, se indica que el Registro Internacional de 
Buques de Turquía, establecido en 1999, también está abierto a los buques y yates propiedad de 
extranjeros residentes en Turquía y de las empresa s de propiedad extranjera constituidas de 
conformidad con la legislación turca.  Dese aríamos saber si los buques y las empresas de 
propiedad extranjera al operar en Turquía reciben el mismo trato que los buques y las  empresas turcas en las distin tas actividades de servicios. 
 
Turkey's answer:  The vessels and yachts owned by Turkis h and foreign real persons residing in 
Turkey and the companies established in Turkey in accordance with Turkish legislation may be 
registered with the Turkish International Ship Regi stry. The ships owned by the foreign residents in 
Turkey or by their companies established according to  Turkish legislation do not have the right to 
cabotage even if they have registered with  the Turkish International Ship Registry. 
 
56. Respecto al transporte aéreo, se señala  que la Dirección General de la Autoridad 
Aeroportuaria Estatal (DHMI) se encarga de la gestión de los aeropuertos y la prestación de 
servicios de navegación aérea en todo el espacio  aéreo turco.  Sin embargo, se han otorgado 
concesiones a empresas privadas para explotar la s operaciones de las terminales en algunos de 
los aeropuertos de mayor tráfico de Turquía ( es decir, el aeropuerto Atatürk (Estambul), de 
Antalya, Esenboga (Ankara), Adnan Menderes (E smirna) y de Dalaman) . Desearíamos conocer 
los requisitos para que una empresa extranjera  obtenga una concesión para explotar las 
operaciones de las terminales aéreas. 
 
Turkey' answer:  General Directorate of State Airports Authority (DHMI) issues a tender for 
assigning private companies to manage the termin al operations.  The concession agreements are 
signed after these tenders. The tenders are open to in ternational bidders also. A foreign company can 
enter to these international tenders togeth er with an eligible Turkish company. 
 
IV. POLÍTICAS COMERCIALES, POR SECTORES  / Servicios / Turismo 
 
57. En este sector se hace referencia a que el Gobierno otorga diversos incentivos a la inversión en instalaciones turísticas, como la asignación de tierras públicas mediante contratos 
de arrendamiento por 49 años, el suministro  de agua y electricidad a tarifas reducidas, 
exenciones fiscales para los pr oductos importados, así como exenciones del IVA y otros 
impuestos para las compras de productos nacion ales.  Se está estudiando la posibilidad de 
ejecutar un gran número de proyectos turístic os mediante la asociación entre los sectores 
público y privado, en régimen de construcción, explotación y retrocesión o regímenes similares. 
Desearíamos saber si los incentivos a la inversi ón en instalaciones turística mencionados se 
otorgan a empresas con capital extranjero. 
 
Turkey's answer:  Incentives granted for tourism invest ments on the basis of the Law for the 
Encouragement of Tourism (No. 2634): 
 
- Allocation of public lands for tourism investments 
- Employment of foreign personnel and artisans 
- Reduction in the rate of utilities such as electricity, gas and water 
- Priority for allotment of telephone and telex facilities 
- Exemption from restrictive regulations  on the sale of alcoholic beverages 
- Operation permit during official ho lidays, weekends and lunchtimes WT/TPR/M/259/Add.1 
Page 78  
 
 All of these incentives regulated by the Law are a pplied to foreign investors as well. There is no 
discrimination between foreign and domestic investors in terms of application of the incentives. 
According to the aforementioned Law, foreign invest ors can freely invest in tourism sector without 
any restriction. In addition, foreign investors ar e subject to the same requirements and conditions 
applied to the domestic investors in line with the related regulation.  
 
IV. POLÍTICAS COMERCIALES, POR SECTORES  / Servicios /  Construcción 
 
58. Con respecto al sector turco de la constru cción se señala que no se requiere licencia para 
explotar una empresa de construcción, con la ex cepción de las licencias de construcción que 
otorga el Ministerio de Medio Ambiente y Urbani smo para los proyectos en curso de ejecución 
sujetos a la Ley Nº 2886. Desearíamos conocer el régimen de la inversión extranjera para 
empresas que participen en este sector. 
 
Turkey's answer:  No license is required to operate a c onstruction company in Turkey with the 
following exceptions: 
 
- The construction licenses given by the Ministry of Environment and Urbanism for 
ongoing construction works subject to the Act No. 2886 
- The construction works of institutions, wh ich are not subject to the Act No. 4734 
(Public Procurement Law) 
- The construction procurements of municipalities in the form of building through flat 
compensation 
- The construction works of private cooperatives.  
 
Ministry of Environment and Urbanism is the so le competent authority in Turkey regarding the 
licensing of contractors. Besides the above mentioned types of licenses, the Ministry implements the 
contractors' competence number system: Pursuant to the Regulation No. 27787 "On the Registry of Building Contractors, Field Supervisors and Licen sed Craftsmen", all contractors should obtain a 
competence number from 01 January 2012 onwards. All contractors in the country are registered by a 
central automation system. This regulation also stipulates that all structures subject to a construction permit must be built under the responsibility of a building contractor. Domestic building standards 
were tightened in the aftermath of the 1999 earthqua ke as Turkey is considered as a seismic prone 
country in order to secure public safety and to su stain safer, sustainable and livable buildings and 
cities.   Foreign construction companies established according to the Turkish trade legislation and providing 
construction services should obtain a contractor competence number from the Environment and 
Urbanism Provincial Directorates where the company is established and/or registered.  These foreign companies are registered like the Turkish compan ies and no discriminatory measures are applied. 
Foreign company owners or share holders should obtain a temporary Turkish citizenship ID from the 
Ministry of Interior Works. They are registered  to the system of contractor competence number 
through this ID or tax number.   COLOMBIA 
 
De conformidad con las característic as de la política comercial de Turquía, de su relación con el tipo 
de comercio existente con Colombia y del hecho de existir actualmente un proceso de negociación 
comercial entre los dos países, se sugieren lo s siguientes temas y preguntas para este Examen.  WT/TPR/M/259/Add.1 
 Page 79 
 
 
 Tema Política Comercial y Multilateralismo :  
 
Desde el último Examen de Política Comercial, Tu rquía ha concluido 7 Acuerdos Bilaterales de 
Comercio, sumando en total 16 y se caracteriza por una dinámica política comercial proyectada 
tanto a las relaciones bilaterales como a los ámbitos regionales. 
 
1. ¿Le generan los nuevos acuerdos bilateral es y regionales mayores complejidades en su 
régimen comercial que puedan afectar su estrategia de apertura y competitividad dentro del Sistema Multilateral de Comercio?  
Turkey's answer: Currently, Turkey has 18 FTAs and the Cu stoms Union with the EU. Therefore, 
Turkey is an experienced country in bilateral pref erential trade agreements and in this way it smoothly 
conducts its trade regime. 
 
Tema Régimen arancelario y sector agropecuario :  
 
Pese a los enormes esfuerzos de Turquía por simp lificar y racionalizar sus régimen arancelario, 
dada la propia estructura de dicho régimen y el nivel de consolidación y aplicación realizado de 
conformidad con los compromiso s adquiridos en la OMC, para  los socios comerciales de 
Turquía sigue siendo un aspiración contar con un  socio comercial más eficiente en el manejo y 
administración de su régimen arancelario, pa rticularmente en materia de importaciones. 
 
2. ¿Cómo se prevén en el inmediato futuro lo s cambios y reformas previstas en materia 
arancelaria?  
Turkey's answer:   Although, there is no significant change pr ojected and there is no specific need for 
reform in near future in Turkey's tariff regime ex cept minor corrections. However, there is a room for 
further liberalization of Turkey's binding commitments  and tariff levels in the framework of Doha 
Development Agenda.   
3. ¿Ampliará Turquía sus compromisos de co nsolidación arancelaria para productos 
industriales y agrícolas? 
 Turkey's answer:  Turkey bound its agricultural tariffs 100% in the Uruguay Round and is ready to 
take further commitments in acco rdance with the outcome of the Doha Development Agenda (DDA) 
negotiations.   
On the other hand, Turkey bound a part of its non- agricultural tariffs in Uruguay Round and has been 
negotiating a further trade liberalization in DDA. As it is well known, DDA negotiations on non-
agricultural tariffs aim to increase binding commitmen ts for all products. Turkey believes that further 
tariff binding commitments should be evaluated in multilateral level and with a constructive approach 
from all Members. In this context,  Turkey has been a supporter of mo re ambitious trade liberalization 
in Doha negotiations and it partic ipates actively in such initiatives.  
 
4. ¿Cabe esperar una mayor adaptación del sector agrícola a las condiciones del libre 
comercio?  
Turkey's answer:  Binding all of its tariffs for the agricultu ral products in the Uruguay Round, Turkey 
undertook 10% minimum cut per product and 24% av erage cut for all agricultural products between 
the period 1995 and 2004. Turkey is ready to take fu rther commitments in this  area in accordance with 
the outcome of the Doha Development Agenda (DDA). WT/TPR/M/259/Add.1 
Page 80  
 
 However it is equally important to note that agricultu ral sector in Turkey has a number of sensitivities. 
As one of the dominant sectors in the Turkish econo my with its 25.2% share in the total employment 
as of 2010, agricultural sector still keeps its domina nce in the overall economic structure despite its 
declining share in the last three decades. Income level for those employed in the agricultural sector 
remains low compared to the other sectors. Persis tent structural problems such as those stemming 
from fragmented landscapes still pose a challenge. 
In order to address existing challenges as well as to reform Turkish agricultural system to harmonize 
with that of the EU, Turkey has been living through a transformati on process in recent years. It is 
expected that both the results of ongoing reform  process and the WTO Agricultural Negotiations 
would carry Turkish agricultural system to wards more market oriented structure. 
Tema  Energía :  
 
Dada la dinámica que ha alcanzado desde 2001 la economía turca, se evidencia un rápido 
aumento del consumo de energía. Se registran indiscutibles avances en el proceso de privatizaciones en el sector de distribución eléct rica, pero aún se percibe el fuerte peso del sector 
estatal en la producción y comercialización de co mbustibles fósiles (incluidos hullas y lignito). 
 
5. ¿Cuáles son las principales características de la política energética de Turquía, en 
relación con el sector de combustibles fósiles? 
 
Turkey's answer:
 Turkey aims at fully utilizing its indigenous  hard coal and lignite reserves. It is 
aimed that our whole domestic lignite, hard coal, oil and natural gas rese rves will be determined. 
According to the Electricity Market and Security of Supply Strategy Paper, prov en lignite deposits and 
hard coal resources will be put to use by 2023 in el ectricity energy generation activities. To that end, 
efforts will continue for making good use of explo itable domestic lignite and hard coal reserves for 
electricity generation projects. Through measures  for utilization of our domestic and renewable 
resources, share of natural gas in electricity generation will be reduced down to below 30%.  
 At present, around 27.6% of total energy demand is  being met by domestic resources. The limits of 
Turkey's domestic energy sources in light of its  growing energy demand have resulted in increasing 
dependency on energy imports, primarily of oil a nd gas. Reducing high level of import dependency in 
oil and gas, oil and gas exploration activities are being intensified.   6. ¿Cuáles son los lineamientos de la política sobre el uso de biomasa y biocombustibles? 
 
Turkey's answer:  Ethanol produced from domestically grow n crops percentage in gasoline types 
supplied to the market as fuel must include: 
 starting from 1/1/2013 at least 2%, 
 starting from 1/1/2014 at least 3%.  Fatty acid methyl esther (FAME) produced from domestically grown crops percentage  in diesel types supplied to the market as fuel must include:  starting from 1/1/2014, at least 1%, 
 starting from 1/1/2015 at least 2%, 
 starting from 1/1/2016 at least 3%.  With the "Amendment to Law on Utilization of Re newable Energy Resources for the Purpose of 
Generating Electrical Energy" published in the Official Gazette dated 8 January 2011, new 
differentiated feed in tariff levels for different renewable energy sources and technologies have been 
introduced in a cost-reflective manner.   WT/TPR/M/259/Add.1 
 Page 81 
 
 
 Thirteen point three (13.3) US Cents per kwh for biomass (including waste gas) will be provided to 
the investors in the context of the above mentioned Law.   
IV. POLÍTICAS Y PRÁCTICAS COMERCIALES, POR MEDIDAS 
(1) M
EDIDAS QUE AFECTAN DIRECTAMENTE A LAS IMPORTACIONES  
iii) Los demás derechos y cargas 
 1. En los parágrafos 17 y 18 del informe de la Secretaría indica que… "Turquía ha 
consolidado "los demás derechos y cargas" (apart ado 1 b) del artículo II del GATT) para todas 
las líneas arancelarias de su Lista de Mercancías en tipos distintos a cero, salvo en los productos 
marcados como sin derechos.  Los eventuales demás derechos y cargas pueden ascender al 
15 por ciento del derecho de aduana en concep to de "participación de la municipalidad", 
además de impuestos del 4 por ciento sobre los productos que lleguen por transporte marítimo 
(derecho de infraestructura de transporte) o del 3 por ciento en el caso del transporte por 
carretera, ferroviario o aéreo.  Turquía aplica en la actualidad  un impuesto del Fondo Público para  la Vivienda al pescado y los 
productos del pescado importados comprendidos en  los capítulos 2, 3, 15, 16 y 23 del SA.  El 
gravamen es diferente según se trate de importacio nes de la UE, países miembros de la AELC u 
otros países, y varía entre cero y 35 por ciento ad valorem…" 
 7. ¿Puede Turquía explicar que conceptos cub re cada uno de estos derechos y en qué 
momento de la operación aduanera se aplican?  
Turkey's answer:  Turkey implements the Mass Housing Fund (MHF) for the fish and fishery 
products other than ad valorem customs duty. Turk ey also applies MHF for the processed agricultural 
products as a part of agricultural component of the customs duty.    MHF is applied to two lists in Turkish Import Re gime, namely List No:III and IV. The practice in 
List No:III is adopted as an EU practice and lowe r rates regarding the goods listed in List III and 
List IV are applied to the EU and EFTA countries as  well as the Republic of Egypt with regard to 
bilateral trade agreements signed between Turkey and aforementioned countries/country groups which 
constitutes the reason beyond the differentiated rates to be applied to a certain group of countries. 
 The practice considering MHF applications in List IV  is different by nature. Goods listed in List IV 
are not bound within the WTO commitments and do not fall within the scope of Customs Union. 
Therefore, MHF is levied to the aforementioned go ods in order to reach sufficient protection levels 
which remains insufficient when Law No:474 (Law  No: 474, which is named as "Law Regarding 
Customs Clearance Tariff Table", regulates the cust oms duties that do not fall under the coverage of 
Turkey's international commitments. According to  the related articles of the Law, Council of 
Ministers is authorized to increase the duties that are stated in the annexed lists by 50% and decrease 
them to 0%) is applied to the same group of goods.   
 On the other hand, charges and fees are imposed on the imported products on the basis of services 
rendered and they are in compliance with the relevant GATT provisions. 
 
vii) Prohibiciones, restricciones y licencias de importación 
 2. En el parágrafo 37 del informe de la Secretaría indica que… "En 2003, Turquía 
estableció la obligación de obtener un Certific ado de Conformidad para la Importación de 
bebidas alcohólicas, esto es, bebidas espirituosa s, vino y cerveza.  En febrero de 2008, esta 
prescripción se suprimió y fue reemplazada por el Sistema de notificación para bebidas WT/TPR/M/259/Add.1 
Page 82  
 
 alcohólicas, que es supervisado por la Autoridad de Reglamentación del Mercado del Tabaco y 
las Bebidas Alcohólicas". 
8. ¿Cómo funciona este sistema?  
 
Turkey's answer:  Real and legal persons wishing to impor t alcoholic beverages had been receiving 
"Certificate of Control" from Ministry of Food, Agriculture and Livestock and "Certificate of 
Conformity to Import" from Tobacco and Alcohol Regulatory Authority (TAPDK) as from 2003.  In 2008, with the amendment of "Implementi ng Regulation on Methods and Essentials Regarding 
Domestic and Foreign Trade of Alcohol and Alcoholic Beverages" the obligation of receiving certificate of conformity from TAPDK had been terminated, instead "Notification System for 
Alcoholic Beverages" implementation came into force. 
 According to the system, the importer should submit a notification directly or via its authorized representative to TAPDK on the basis of brand and p ackaging volume before the dispatch of shipment 
from exporting country, with necessary documentation st ating information regard ing the firm and the 
relevant product, enclosed to a petition. 
 Required product information prepared on brand basis for alcoholic beverage to be supplied to the 
market in market pack is:  
1- The registered petition submitted by the importer to the Ministry of Food, Agriculture 
and Livestock to approve the certificate of cont rol, copy of this certificate of control, 
together with information and documentation supportive to the certificate of control  
2- Standard or technical regulation applied in  the country of origin during production and 
explanation on production process 
3- Copies of registration certificates, if any, of geographical indication, brand, label, 
bottle, stopper of the product, together with  the names and addresses of the firms that 
have produced, blended and packed the product 
4- Sample of label (labelling must be in Turkish) 5- Technical specification report. 
 On the other hand; "The Regulation on the Offici al Controls of Phytonutrient and Feed Imports" 
entered into force in 17/12/2011, by its publication in the Official Gazette (No: 28145). Within the 
scope of this Regulation, for the food products that  will be released for free circulation in domestic 
market after importation, the previously required "Control Document" was abolished by the Ministry 
of Food, Agriculture and Livestock, and instead, a "P re-Notification" application that will be carried 
on the internet, has been put into force.  
 
9. ¿Cuáles han sido los beneficios desde su implementación? 
 
Turkey's answer:  The importing of alcoholic beverages like other food products are also subject to 
food safety regulations and conformity checks by Ministry of Food, Agriculture and Livestock. 
Accordingly, the new system is designed to simplif y the trading paperwork and hence it has made the 
procedures easier for traders. Besides, TAPDK is now able to gather necessary data in a timely 
manner in order to surveil the market effectively, which is important not only for product safety but 
also for the protection of consumer rights as well as protection of the producers from the unfair competition.  WT/TPR/M/259/Add.1 
 Page 83 
 
 
 (1) MEDIDAS  QUE  AFECTAN  A LA PRODUCCIÓN  Y AL COMERCIO 
vii) Contratación pública 
 3. En el párrafo 108 del informe de la Secret aría señala que… "La legislación básica de 
Turquía en materia de contratación pública - la Ley de compras del sector público (PPL) 
Nº 4734, de 2002, y la Ley de contratos de comp ras del sector público Nº 4735, de 2002 - entró en 
vigor el 1º de enero de 2003.  Las leyes han sido completadas mediante i) el Reglamento relativo a la aplicación de la contratación de servicios;  ii) el Reglamento relativo a la aplicación de la 
contratación de mercancías;  iii)  el Reglamento relativo a la aplicación de la contratación de 
obras;  iv) el Reglamento relativo a la aplicación de la contratación de servicios de consultoría;  
v) el Reglamento de aplicación de la contratación  electrónica;  y vi) el Reglamento relativo a las 
solicitudes administrativas contra la contratación" 
 (The correct paragraph for this question is 108 of the report made by Turkey not by the 
Secretariat … "CUD establishing the Customs Union between Turkey and the EC foresees 
Turkey align its Generalized System  of Preferences with that of the EC's. Accordingly, duties on 
products under the CUD are entirely eliminated for the LDCs in line with the Everything But 
Arms (EBA) Initiative of the EC GSP Scheme. In compliance with the agreement with the EC, Turkey also grants further preferences to se lected 15 countries under the Special Incentive 
Arrangements for Sustainable Development and Good Governance. Beneficiary countries are announced annually in the Annexes of Turkey's Import Regime" .) 
 
10. ¿Cómo funcionan (criterios de elección y administración) las mayores preferencias que 
otorga Turquía anualmente a 15 países seleccionados? 
 
Turkey's answer: Turkey implements the EU's GSP regime for the products covered by the Customs 
Union between Turkey and the EU. In this context,  Turkey also takes into consideration the EU's 
implementation regarding the  Everything But Arms (EBA) incenti ves and Special incentives under the 
sustainable development and good governance a dopted in 2004 and 2005 respectively.  
 In concern with the designation criteria of benefici ary countries within the categories of 'Everything 
But Arms', 'Special incentiv es under the sustainable development and good governance' and 
'Developing Countries'; Turkey applies the same list of EC and reflects the amendments related with 
beneficiary countries to its lists as soon as possible.  Turkey's current beneficiary country list for 
'Special incentives under the sustainable devel opment and good governance' is as follows: 
 
SPECIAL INCENTIVE ARRANGEMENT COUNTRIES  
AZERBAIJAN COSTA-RICA  
BOLIVIA MONGOLIA 
ECUADOR MOLDOVA  
EL SALVADOR  NICARAGUA  
GUATEMALA  PARAGUAY  
GEORGIA PANAMA 
HONDURAS PERU 
COLOMBIA  
 
viii) Comercio del Estado, empresas de propiedad estatal y privatización 
 
4. En el párrafo 118 del informe de la Secretaría señala que… "El programa de 
privatización se lleva a cabo de conformidad con la Ley sobre Privatización Nº 4046 de 
noviembre de 1994, en su versión modificada.  La de Privatizaciones (un organismo temporal, con un personal de aproximadamente 250 funcionarios públicos) es el órgano ejecutivo, WT/TPR/M/259/Add.1 
Page 84  
 
 mientras que el Consejo Superior de Privatizac ión (cuatro ministros seleccionados que actúan 
bajo la presidencia del Primer Ministro) es el órgano encargado de tomar decisiones.  La 
Administración de Privatizaciones puede co laborar con otros ministerios y autoridades 
competentes en la privatización de determinadas empresas públic as.  La Autoridad de Defensa 
de la Competencia supervisa las privatizacion es, y ciertos tipos de transacciones requieren su 
autorización antes de tener efectos jurídicos." 
 (The correct paragraph for this question is 118 of the report made by Turkey.. "Turkey has 
attributed considerable importance to the forei gn investment and pursued liberal foreign 
policies since 1980's in parallel to the advances in the global economy. The new foreign direct 
investment regime became effective on 17 June 2003 by the publication of "Foreign Direct 
Investment Law No. 4875" in the Official Gazette.  The law not only provides foreign capital the 
best international standards, such as equal trea tment, guarantee to transfer proceeds, right to 
resort to international arbitration and right to employ key expatriate personnel, but also repeals 
prior approval procedures for foreign investors and minimum capital requirements to invest in 
Turkey. This favourable investment climate is  also strengthened by Bilateral Investment 
Agreements which Turkey signed with 73 countries".) 
 
11. ¿Qué se puede entender por "esencial"  en el marco del Régimen de Inversión 
Extranjera de Turquía cuando se afirma que gar antiza al inversionista el derecho a emplear 
personal extranjero esencial?  
 
Turkey's answer:  As to our understanding of the question, regarding the Foreign Investment Regime 
and employment of key  personnel ("essential" understood as "Key")  we could elaborate on the matter 
as follows:  
In accordance with the "Foreign Investment Law" No: 4875" and also in line with Law No: 4817 on 
"Work Permits for Foreigners",  a regulation was published in the official Gazette dated 29.08.2003 
with the No.25214,  regarding the "Regulations on the Employment of Foreign Personnel in Foreign 
Direct Investments"  by the Ministry of Labor and Social Security,  In summary, and in accordance with this regulation,  the employment issues are implemented by the 
Ministry of Labor and Social Security   
 The understanding of "Key Personnel"  can be noted as the employees of a company established in 
Turkey as a legal entity having at least one of the following features:   
Person who holds a position as; company shar eholder, Board chairman, Board member, 
general manager, assistant general manager, co mpany manager, assistant company manager or 
a similar position, who is carrying out at least one of the following duties: 
- Employed at top management or executive position of the company, 
- Direct the whole or a part of the company, - Audit or control the works of company aud itors, administrative or technical staff of 
the company, 
- Recruit personnel to the company or to dismiss the existing personnel or to make 
proposals on these issues. 
Person who has expertise of fundamental na ture on the services, research equipment, 
techniques or administration of the company, 
Regarding liaison offices, maximum one person to  be equipped with a power of attorney 
issued by the main company abroad.  WT/TPR/M/259/Add.1 
 Page 85 
 
 
 For further information, link to the Ministry of Labor and Social Security:  
http://www.csgb.gov.tr/csgbPorta l/yabancilar/eng/index.html 
 
xi) Régimen de propiedad intelectua l relacionado con el comercio 
5. En el párrafo 136 del informe de la  Secretaría señala que… "Se han seguido 
desarrollando mecanismos de gestión colectiva de  los derechos.  Cuatro sociedades de gestión 
colectiva en el sector de la música firmaron un acuerdo de cooperación en febrero de 2007, y posteriormente celebraron convenios colect ivos con asociaciones profesionales que 
representaban a los usuarios para la concesión de  licencias de obras musicales en los hoteles 
(marzo de 2008) y en las emisiones (noviembre de 2008).  En 2009 se creó la Sociedad de Gestión 
Colectiva de Actores (BIROY).  Siete soci edades de gestión colectiva de los negocios 
cinematográficos fundaron la Dirección General de Sociedades de Gestión Colectiva de la 
Industria Cinematográfica en enero de 2011"  12. En materia del derecho de autor, ¿Cuál es la naturaleza de las Sociedades de Gestión 
Colectiva (pública, privada o mixta) y cómo se administran los recaudos en Turquía? 
 
Turkey's answer:  There are 25 (twenty five) collecting societies and 1 (one) federation in Turkey. 
Collecting societies and the federation are legal pe rsons subject to private law. Their members may 
not be obliged to participate in capital, profit and loss  or legal liability. There exists 1 (one) by law on 
these collecting societies. Collecting societies are unde r the supervision of the Ministry of Culture and 
Tourism with regard to administrative and financ ial issues. Collecting societies are private and 
independent.    According to Law no. 5846, after the necessary deductions are made, necessary for the executive 
expenses, collective societies are obliged to provide, in an equita ble way, the management of the 
rights resulting from the activities of their members; a nd to distribute, four times a year, the income 
obtained from their activities concerning the management of their members' rights to the rights holders 
in accordance with a distribution plan. 
 
IV. POLÍTICAS COMERCIALES, POR SECTORES 4) SERVICIOS 
 
6. En el párrafo64 del informe de la Secret aría indica que…"Los servicios no están 
abarcados por el acuerdo de unión aduanera conc luido entre Turquía y la UE.  Sin embargo, en 
el contexto de las negociaciones de adhesión de  Turquía se ha comenzado a trabajar para poner 
en conformidad esta esfera con el acervo de la UE sobre el derecho de establecimiento y la 
libertad de prestar servicios transfronterizos.   
7. El proceso requerirá que Turquía cumpla lo di spuesto en la Directiva de la UE sobre los 
servicios en el mercado interior, incluido el est ablecimiento de una ventanilla única y de las 
autoridades competentes. Tendrá que modificar algunas de sus prescripciones en materia de 
nacionalidad e idioma y ampliar el alcance del reconocimiento mutuo de los títulos de aptitud 
profesional.  Además, las prescripciones vigentes en Turquía para la concesión de permisos de 
trabajo y residencia a proveedores de servicios establecidos en los Estados miembros de la UE 
no son compatibles con el acervo de la UE"  Teniendo en cuenta lo mencionado  en este párrafo sobre el proceso de adhesión de Turquía a la 
UE y la necesidad de realizar varios cambio s se sugiere ampliar la información sobre; 
 13. ¿Cómo es la actual reglamentación en que se prestan servicios transfronterizos en Turquía? WT/TPR/M/259/Add.1 
Page 86  
 
 Turkey's answer:  There is no single legal framework for the regulation of cross-border services in 
Turkey. However, various ministries and institu tions responsible for services trade have their 
respective legislations dealing with different mode s of supply, including the cross-border supply of 
services. Turkey is currently on the eve of implementing a detailed strategy preparation project through which legal and administrative gap analyses with respect to the EU acquis  will be carried out. 
A detailed list of existing cross-border regulations w ill be determined at the very beginning of this 
study which is expected to start in the last quarter of 2012. 
 
14. ¿Cuál es el cronograma sobre el que está trabajando Turquía para ajustar su reglamentación para estar conforme con el acervo de la UE? 
 Turkey's answer:  The timetable for adopting the EU  acquis  will be determined by the political 
decision-makers on the basis of results of the above -mentioned strategy preparation project. However, 
it can be assumed that certain stipulations of  the Chapter improving business environment and 
upgrading quality of services in Turkey, like Points of Single Contact, will be adopted much sooner 
than provisions requiring reciprocity, like fu ll liberalization of access to service markets. 
 
(a) Telecomunicaciones 
 8. En el párrafo 75 del informe de la Secretaría indica que…"Los proveedores de servicios 
de comunicaciones electrónicos necesitan una autori zación de la ICTA.  Cuando el servicio no 
requiere la asignación de recu rsos escasos (como intervalos de frecuencias o segmentos de 
satélite), se considera que ha sido autorizado tras su notificación a la ICTA.  Cuando es 
necesario asignar los recursos, la ICTA puede otorgar un derecho de utilización de una validez máxima de 25 años.  A menos que se haya limit ado el número de derechos, por ejemplo por 
razones de eficiencia, los derechos de utilización se conceden en un plazo de 30 días contados a 
partir de la fecha de presentación de la solicit ud.  Además de una tasa administrativa anual, el 
Consejo de Ministros establece tasa s mínimas por el derecho de utilización, sobre la base de las 
propuestas del Ministerio de Transporte, Asunt os Marítimos y Comunicaciones y tomando en 
consideración las sugerencias formuladas por la ICTA"  En relación con los "servicios de  comunicaciones electrónicos,  
 
15. ¿Cuál es la definición utilizada por Turquía para este tipo de servicios? 
 
Turkey's answer:  According to the Electronic Communications Law dated 05/11/2008 and numbered 
5809, "Electronic Communications"  is defined as "the transmission, exchange and receiving of all 
kinds of signals, symbols, sounds, images and data wh ich could be converted into electrical signals, 
by means of cable, radio, optic, electri c, magnetic, electromagnetic, electrochemical, 
electromechanical and other types of transmission systems"  and "Electronic communications 
services"  is defined as the "Provision  of wholly or partly the activities which fall under the scope of 
electronic communications definition"  . 
 SECTOR AGRICULTURA - WT/TPR/S/259 
 
En la página 94, numeral 5, el informe de la Se cretaría indica que Turquía ha abandonado el 
sostenimiento directo de los ingresos para  recurrir a pagos de complemento y otros 
instrumentos de ayuda, principalmente pagos basados en la superficie.  
 
Podría Turquía explicar en qué consisten los pr ogramas sobre los pagos de  complemento y los 
pagos basados en la superficie?; la metodología utilizada para determinar los productos y cuáles 
han recibido estos apoyos?  WT/TPR/M/259/Add.1 
 Page 87 
 
 
 Turkey's answer:  We will be answering this late coming question in the aftermath of the review 
session. 
 
En la página 95, numeral 8, se señala que en 2010-2011, Turquía autorizó la imposición de contingentes de importación a la carne de bovino y el ganado de carnicería.  
 
Podría Turquía explicar el método utilizado para la asignación de los contingentes y la entidad 
responsable de la administración?  
Turkey's answer: The entity responsible for the management  of these tariff quotas is the Ministry of 
Economy. The tariff quotas opened for beef and cattle we re allocated to Meat and Fish Board, which 
is a State Owned Enterprise responsible  for regulating the meat market.  
 En la página 95, numeral 9, se indica que los aranceles NMF aplicados a los productos agrícolas 
elaborados comprenden un componente agrícola y un componente industrial, este último sujeto al 
arancel exterior común de la UE.  El componente industrial de los productos importados de la UE está 
libre de derechos, mientras que el componente  agrícola se grava con aranceles preferenciales. 
 
Podría Turquía explicar el método empleado para determinar el  componente agrícola e 
industrial de un bien elaborado? Cómo se  aplican  estos derechos para determinar el nivel 
del arancel NMF? 
 
Turkey's answer:  The industrial components of processed ag ricultural products are determined by 
the European Commission while the agricultural compone nt is calculated according to the Article 19 
of the Decision No: 1/95 of The EC-Turkey Association Council on implementing the final phase of the Customs Union. In accordance with this Article  the agricultural component is obtained by adding 
together the quantities of basic agricultural product s considered to have been used  for  the  
manufacture  of  the  goods  in  question  multiplied  by  the  basic  amount corresponding to each of these basic agricultural products.  
En la página 95, numeral 10, se señala que Tu rquía no ha contraído compromisos sobre 
contingentes arancelarios ante la OMC, pero  que mantiene contingentes en el marco de 
acuerdos preferenciales y también el Gobiern o utiliza contingentes arancelarios unilaterales 
como instrumento de política comercial para facilitar las importaciones.   
 
Al respecto, podría Turquía enumerar los países y productos para los cuales  tiene establecidos 
contingentes en el marco de acuerdos preferenci ales?. Información similar para los contingentes 
unilaterales que fija el Gobierno.  
 
Turkey's answer: The countries and products which Turkey has established quotas under preferential 
agreements are listed in the table below. Moreover,  for the time being there are two unilateral tariff 
quotas in force which were opened for the importation of 100,000 tons of cattle, and for some basic 
agricultural products. WT/TPR/M/259/Add.1 
Page 88  
 
  
Free-trade 
agreement partner Number of items Products affected 
EC 108 items at the HS six-digit level Live bovine anim als and their meat, milk powder, butter, cheese, egg 
yolks, flower bulbs, live plants, fresh cut flowers, foliage, mushrooms, frozen beans, pears, st rawberries, potato seed, apple, peach, tamarinds, 
passion fruit, tea, wheat, rye, barley, rice, maize, oats, malt, sunflower 
seeds, sugar beet seed, cotton seed, crude and refined soya bean oil, sugar, crude sunflower oil, crude ra pe, colza and mustard oil, tomato 
paste, prepared vegetables, jams and jellies, fruit juices, sparkling wine, 
vinegar, flours, meals and pellets of meat or meat offal of fish or of 
crustaceans, oilcake and other solid residues, dog or cat food and other 
animal feeds 
Israel 25 items at the HS four-digit level Avocado, mango, carrot, sweet corn, citrus fruit, orange juice, coffee, 
kosher-brandy, and vodka 
Macedonia (FYR) 21 items at the HS four-digit level Some fresh vegetables (tomato, onion, shallots, cucumber, etc.), bean, 
watermelon, apple, rice, canned vegeta bles, and sauces and preparations 
(mixed condiments and seasoning), s oups and broths and preparations 
(wine of fresh grapes, undernatural et hyl alcohol of an alcoholic strength 
by volume of less than 80% volume) 
Croatia 17 items at the HS four-digit level Cheese and cu rd, apples, maize, sugar c onfectionery, chocolate and 
other food preparation containing coco a, malt extract, pasta, prepared 
foods obtained by swelling or roas ting of cereals or cereal products, 
bread, pastry, cakes, biscuits and othe r bakers' wares, fruit and vegetable 
juices, sauces and preparations th erefore, mixed condiments and mixed 
seasoning, soups and broths and preparations therefore,  waters, 
including mineral waters and aerated waters, containing added sugar or 
other sweetening matter or flavoured, beer made from malt,  wine of 
fresh grapes, undernatured ethyl alcohol of an alcoholic strength by 
volume of 80% vol or higher, preparations of a kind used in animal feed 
Bosnia-Herzegovina 193 items All agricultural produc ts classified under HS Code 1-24 with the 
exemption of:  live bovine animals;  live sheep and goats;  live poultry 
(exclusively fowl of the species Gallus domesticus );  meat of bovine 
animals;  meat of sheep or goats;  edible offal of bovine animals, swine, 
sheep, goats, horses asses, mules or hi nnies;  meat and edible offal of 
poultry (exclusively fowl of the species Gallus domesticus ) 
Morocco 39 items Live plants, orchids, cabbages, turnips, asparagus, mushrooms, sweet 
peppers, sweet corn, capers, cucumb ers, preserved cucumber, broad 
beans, avocados, coriander seeds, gi nger, saffron, turmeric, thyme, bay 
leaves, curry, locust b eans, preserved apricots, coffee extracts, wine, and 
bran 
Syria 36 items Cut flowers, onions and sha llots, garlic, capers, grapes, cherries, 
peaches, seeds of anise, seeds of cumi n, ginseng roots, parts of plants 
spices, crude soya bean oil, cr ude sunflower seed oil, sugar 
confectionary, chocolates , preserved fruit, preserved pepper, jams and 
marmalades, apple juices, wine, and olive pulp 
Tunisia 16 items Dates, sardines, mackerel, shrimps and prawns, molluscs, harissa, and 
wine 
Egypt  197 items Fish and crustaceans, molluscs,  aquatic invertebrates, live plants, cut 
flowers, potatoes, garlic, lettuce, ca rrots, turnips, frozen vegetables, 
provisionally preserved vegetables, dried vegetables, dates, guavas, 
mangoes, strawberries, spices, rice , groundnuts, sugar confectionery, 
chocolate pasta, bakers' waves, pres erved cucumbers, preserved fruit, 
fruit juices, and active yeasts 
(Cont'd)  WT/TPR/M/259/Add.1 
 Page 89 
 
 
 Free-trade 
agreement partner Number of items Products affected 
Albania 106 items Cheese and curd, eggs, honey,  live plants, tomatoes, onions, cabbages, 
carrots, cucumber, beans,  frozen vegetables, dried vegetables, peas, 
spices, melons, frozen fruits, plants and parts of plants, preserved fish, 
chocolates, bakers' waves, preserve d cucumbers, preserved tomatoes, 
jams and jellies, preserved fruit, fr uit juices, tomato paste, ice cream, 
mineral water, wine, verm outh, and ethyl alcohol 
Georgia 26 items Some fish, butter, eggs, honey, cu t flowers, vegetables, tomato, citrus 
fruit, melons, apples, pears and qui nces, apricot, products of milling 
industry, groundnuts, sugar confectiona ry, chocolate, preparations of 
cereal, prepared vegetables, jams, fruit juices, yeasts, wine, flours and 
meals of oilseeds other than soy beans 
Montenegro 3 items Pasta, jams and wine  
Serbia 51 items Cut flowers, potato, tomato, some  vegetables, peas, beans, sweet corn, 
strawberries, sour cherries, prunes, seeds of fennel, wheat, corn, canary 
seed, soy bean flour, some seeds, ma rgarine, animal fats, prepared and 
preserved fish, sugar confectionery, c hocolate, preparations for infant 
use, pasta, bakers' wares, some prepared vegetables, prepared peas, prepared fruit, fruit juice, soups and broths, ice cream, some food 
preparations and wine 
Chile 81 items Some fish, cheese, plants and roots, some vegetables, peas, kidney 
beans, almonds, walnuts, chestnuts, grapes, melons, apples, pears and 
quinces, apricot, strawberries, prunes,  corn, cereal flours, cereal grouts, 
cereal grains, potato flour, malt, inu lin, soy beans, s unflower seeds, 
olive oil, rape or colza oil, some prepared fish, prepared mushrooms, 
some prepared vegetables, jams, prepar ed fruit, fruit juice, beet pulp, 
preparations for animal feeding 
Jordan 31 items Cheese, eggs, cut flowers, potato, tomato, some vegetables, dates, citrus 
fruit, grapes, melons, apples, pear  and quinces, peaches, strawberries, 
some plants, sugar confectionery, c hocolate, pasta, bakers' wares, 
tomato ketchup 
 
En la página 96, numeral 11, se hace referencia al sostenimiento directo de los ingresos, para 
compensar en parte las pérdidas de ingresos debid as a la eliminación de los precios administrados 
(precios mínimos garantizados). Los pagos se dete rminan en función de una tasa uniforme, hasta un 
máximo de 50 hectáreas.  
Podría Turquía señalar cómo estas medidas so n compatibles con las  disciplinas de ayuda 
interna definidas en el Acuerdo sobre la Ag ricultura y cómo se asegura que no causan 
distorsiones en el volumen de la producción? 
 Turkey's answer:  We will be answering this late coming question in the aftermath of the review 
session. 
 
En la página 96, numeral 13, se indica quelos pagos de complemento en la producción se realizan en 
forma de pagos de primas por unidad de producción y su cuantía se determina en función de los costos 
de producción, la situación del mer cado y consideraciones presupuestarias. 
 
Podría Turquía explicar con mayor detalle la me todología empleada para determinar el pago de 
la prima por unidad de producción?. A cuánto asciende actualmente la prima?. Cómo opera 
este programa y qué productos han recibido este apoyo?  
 Turkey's answer:  We will be answering this late coming question in the aftermath of the review 
session. 
 WT/TPR/M/259/Add.1 
Page 90  
 
 En la página 97, numeral 13, se indica que en 2010,  Turquía introdujo un nuevo régimen de pagos de 
complemento, mediante el cual se establecen di stintos pagos por kilogramo o cabeza de ganado 
para 30 regiones agrarias de Turquía (programa de ayuda por cuencas).  
Podría Turquía explicar en qué consiste este programa?  Cómo se determinan los pagos por 
kilogramo y por cabeza de ganado? 
 
Turkey's answer:   We will be answering this late coming question in the aftermath of the review 
session.  
En la página 98, numeral 16, se señala que existen controles a la producción de remolacha azucarera, 
la cual está restringida mediante la aplicación de un contingente nacional de azúcar (2,2 millones de 
toneladas en 2011).  El contingente lo determina cada año la Junta del Azúcar y lo asigna a las 
fábricas de azúcar.  Podría Turquía explicar en detalle cómo funcio na este programa y qué tipo de controles aplica 
para que no se presente una mayor de producción de la fijada?  
 
Turkey's answer:  We will be answering this late coming question in the aftermath of the review 
session. 
 
Página 100, numeral 23, Turquía mantiene un pr ograma de subvención de las exportaciones de 
productos agrícolas, con objeto de fomentar su potencial de exportación de productos agrícolas 
elaborados con valor añadido.  
Podría Turquía explicar su programa de s ubvenciones a las exportaciones de productos 
agrícolas?. Qué requisitos se exigen para su  otorgamiento y a qué productos se pueden 
beneficiar de este subsidio?  
Turkey's answer: Turkey maintains this export subsidy progr amme for agricultural products with the 
aim of developing its export potential in value- added processed agricultural products. The subsidies 
are provided to producer/exporters or exporters . The applicants should submit the necessary 
documents (customs declaration, receipt, certificate of origin etc.) in order to benefit from this subsidy 
program.  
 
Export subsidies are granted in the form of redu ctions of the exporters' debts vis-à-vis public 
corporations (for example, deduction of taxes, tele communications or energy bills). The detailed list 
of subsidies that are granted in the form of reductions of the exporters' debts vis-à-vis public 
corporations are listed below: 
Taxes and  tax penalties, 
Social security contributions, Communication expenditures (telephone, telefax etc. costs), Energy expenditures (electricity, natural gas etc.), 
Liabilities and default interests of the mentioned liabilities to the banks in liquidation and to the 
Savings Deposit Insurance Fund.  
Turkey provides export subsidies to 16 product groups with the Export Subsidy Programme for 
Agricultural Products. These 16 product groups are av ailable in table AIV.2, Secretariat Report, 
Page 149.   WT/TPR/M/259/Add.1 
 Page 91 
 
 
 En la página 100, numeral 24, sehace referencia a las medidas aplicadas a las exportaciones agrícolas: 
crédito para la exportación; impuestos para la expor tación de avellanas y pieles en bruto; prohibición 
para la exportación de diversos productos agrícolas y régimen de licencias de exportación al azúcar y 
piensos.  Sobre estas medidas, podría Turquía dar una ex plicación detallada sob re las tasas de interés, 
garantías, determinación del impuesto; justificac ión de la prohibición y régimen de licencias 
aplicado alas exportaciones de azúcar?. 
 
Turkey's answer:  Turk Eximbank provides financial support through its credit, insurance and 
guarantee programs to Turkish exporters. The Bank neither provides any sector specific program nor 
implements different conditions, i.e. interest rate , maturity, etc. to any specific sector, including the 
agricultural sector.  In this framework, interest rates for short term cr edit programs vary according to the repayment period 
and are determined in accordance with the deve lopments in both domestic and foreign money and 
capital markets.  Interest rates for foreign curre ncy credits are linked to LIBOR, EURIBOR, GBP 
LIBOR and TIBOR. 
 
En la página 98, numeral 19, se señala que algunas empresas estatales, siguen estableciendo precios de 
compra/intervención, pero que éstas no funcionan como vendedores o compradores exclusivos en el 
mercado interno, ni tienen un monopolio de exportación.  
 
Podría Turquía suministrar información sobre el  objetivo y función de los precios de compra 
y/o intervención establecidos por las empresas esta tales y la cuantía de los montos destinados a 
los productos agrícolas a través de este programa? 
 
Turkey's answer: The WTO justifications for the products s ubject to export prohibition are available 
in Secretariat Report, table III.14, on page 54. 
 
 CANADA 
 Report by the Secretariat (WT/TPR/S/259) 
 
Part III. Trade Policies and Practices by Measure;  (I) Measures directly affecting imports; 
(x)(a) Anti-Dumping and Countervailing Measures: paragraph 46, page 45 
 
It is reported that if the Directorate General of the Ministry of Economy concludes that the initiation of an anti-dumping and/or countervailing duty investigation is justified, it will formally recommend to the Board of Evaluation of  Unfair Competition in Importation that an 
investigation be initiated. If the Board of E valuation of Unfair Competition in Importation 
concurs, it will authorize the Directorate Gene ral of the Ministry of Economy to conduct an 
investigation.  
 1. Can the Government of Turkey please iden tify the factors considered by the Board in 
determining whether to authorize the Directorat e General to initiate an investigation and 
whether there is a formal procedure for making that determination? 
 
Turkey's answer:  Turkish anti-dumping legislation (i.e. law, decree and regulation) is in conformity 
with WTO Anti-Dumping Agreement and it was notif ied to the WTO Secretariat. The Evaluation 
Board makes the determination on the basis of the criteria set out in the WTO Anti-damping Agreement.  WT/TPR/M/259/Add.1 
Page 92  
 
  
Further, it also noted that the Board also may make proposals in the course of investigations, 
evaluate the results of the investigations, and subm it decisions on the imposition on measures for 
the approval of the State Minister.   
2. Can Turkish authorities inform as to exam ples of and the basis for proposals made by 
the Board in the course of investigation; the st andards, process and procedure for evaluating the 
results of the investigations; and the discretio n of the State Minister in responding to the 
Board's submissions for approval? 
 Turkey's answer:  Taking an anti-dumping measure is a separable administrative act that is composed 
of decision of the board and the approval of th e Minister according to the Turkish Administrative 
Law. The Minister has full discretion whether to approve or not approve the decision of the Board.  
Part III. Trade Policies and Practices by Measure;  (I) Measures directly affecting imports; 
(x)(a) Anti-Dumping and Countervailing Measures: paragraph 47, page 45 
 
The Secretariat Report indicates that Turkey's use of anti-dumping measures has quadrupled 
over the last ten years, from 27 anti-dumping meas ures in force at the end of 2002, to 93 at the 
end of 2007, to 118 as of August 2011. The Secret ariat notes that definitive anti-dumping 
measures remain in force for five years from the date  of imposition or from the conclusion of the 
most recent review covering both dumping and injury.  
 3. Of the measures in force as of August 2011 , what proportion stem from a review? Can 
Turkey comment on the average length of time that has elapsed since renewed measures were first introduced? 
 Turkey's answer:  Turkey regularly notifies the WTO Secretariat regarding the measures taken. 
Please refer to Turkey's notifications on this issue.    
Part III. Trade Policies and Practices by Measu re; (I) Measures directly affecting imports; 
(x)(a) Anti-Dumping and Countervailing Measures : Table III.12 Definitive Anti-Circumvention 
Measures in Force: pages 50-51  
It is noted that Turkey currently has 14 anti-c ircumvention measures in place involving nine 
different countries.   
4. Can Turkish authorities describe the procedures employed in anti-circumvention 
investigations and the standards applied in making determinations of circumvention?  
 
Turkey's answer:  Please refer to the Decree on the Prev ention of Unfair Competition in Imports 
No. 99-13482 dated 30.10.1999.  
5. Further, have Turkish authorities formulated a view as to any recent pattern of the 
incidence of circumvention?  
 
Turkey's answer:  There has not been any recent formulati on regarding a pattern of incidence of 
circumvention.  6. Have Turkish authorities taken any recent action to modify its anti-circumvention procedures?   
Turkey's answer:  Currently, there has been no need to modify anti-circumvention procedures.  WT/TPR/M/259/Add.1 
 Page 93 
 
 
  
Part IV. Trade Policies by Sector; (1) Agricu lture; (iii) Border measures: paragraph 10, 
page 83:  Turkey allocates a portion of its tariff quota  based on "past-performance criteria" where the 
production and consumption rates of the impo rters/producers are taken into consideration.  
 7. Could Turkey indicate what portion of the quo ta allocation is designated to this group of 
recipients and elaborate on the criteria related to consumption and production rates? Is there a 
mechanism whereby unused quota is re-allocated?   
 
Turkey's answer:  In this method, some portion of the tota l tariff quota quantity is allocated equally 
among all the applicants and the remaining portio n is allocated in proportion to the production, 
consumption and import performance of the applicants . The ratio of the portions to the total quantity 
of the tariff quota might change taking into consider ation the number of the applicants and the total 
tariff quota quantity.  
 Should the tariff quota is not fully used, the unused part may be allocated among the applicants.  
Part IV. Trade Policies by Sector; (1) Agricult ure; (iv) Domestic programmes: paragraph 15, 
page 84: 
 
Under Turkey's Investment Encouragement Program, certain investments in primary 
agriculture qualify for incentives such as tariff and tax exemptions, and interest rate subsidies.  
 8. Could Turkey elaborate on the criteria fo r receiving these exemptions and the estimated 
value or revenue forgone of these incentives?  
 
Turkey's answer: As it has been explained in the docum ent (notified under the SCM documents 
(WTO document G/SCM/N/186/TUR, 2 March 2010)), under the " Investment Encouragement 
Programme" IEP,  only investing firms may benefit from this program.  
 
In summary, within the IEP, investments to be made  are granted an investment incentive certificate in 
order to benefit from the available incentives in accordance with the related Laws and Regulations. 
The Turkish Investment Encouragement System cove rs all investments within an established program, 
it takes into account the changes in the gl obal economic and social circumstances.  
 
This system, which has been in force since July  2009 has three main targets; reducing the inter-
regional development discrepancies, supporting  large scale, technology and R&D intensive 
investments for increasing competitiveness and supporting sectoral clustering.  
The investment incentive system is based on thr ee main pillars; large scale investments, regional 
incentives and a general incentive system. Large scal e investments require advanced technology and 
high capital, which will contribute to the technologi cal and R&D capacity of the country and develop 
Turkey's production base. Regional incentives aim to eliminate inter regional discrepancies and 
support an investment environment to encourage se ctoral clustering. The provinces of Turkey have 
been categorized in four groups according to their level of development.    As far as the mechanism is concerned, domestic and foreign investors are equally treated; the 
companies having foreign capital can benefit from all encouragement measures granted to domestic 
companies with the same conditions. Within the objectives and the scope  of the Program, all eligible 
investment projects can benefit from tax based encouragement measures (namely, customs duty 
exemption, VAT Exemption, reduced corporate/inco me tax rate), support for employer's contribution WT/TPR/M/259/Add.1 
Page 94  
 
 for social security and land allocation where possible. Additionally, "interest rate support" provides 
for the compensation of certain percentage points of the interest rate for credits obtained in 
commercial terms by investors for the investments in the less developed regions.  
 
Please see G/SCM/N/186/TUR for further details.  
Interest rate subsidies on the other hand, cover mainly investments to increase quality of animal 
production and agricultural irrigation. The aim of th e concessional loans is to increase quality of the 
meat and milk products and effective usage of water by modernizing agricultural irrigation and 
irrigation systems.    
Concessional loans may also be provided for gree nhouse agriculture, organic agriculture and good 
agriculture practices, production and usage of certif ied seed, seedling and planting. Loans are operated 
by Ziraat Bank and Agricultural Credit Cooperatives. 
 
Part IV. Trade Policies by Sector; (1) Agricult ure; (v) Agriculture state-owned enterprises: 
paragraph 21, page 86:  
The Turkey Grain Board (TMO), a State-Owned Enterprise, sells domestic wheat at world 
prices to domestic manufacturers of flour and past a in quantities related to their exports of flour 
and pasta. The report notes that domestic wh eat prices are substantially higher than world 
prices.  
 
9. Could Turkey explain why this "duty loss" is not an export subsidy?   
Turkey's answer: According to Article 35 of Decree Law No. 233, duty loss is given to SEE's by the 
Undersecretariat of Treasury to the governme nt purchases made for ensuring food security. 
 
Part IV. Trade Policies by Sector; (1) Agricultu re; (vii) Evolution of support and protection: 
paragraph 25, page 87:  The Secretariat report indicates that Turk ey has not provided any domestic support 
notifications to the WTO since 2002.  
 
10. Could Turkey elaborate as to when it will submit these notifications?    
 
Turkey's answer:  Domestic support notifications will be made in near future. 
Part IV. Trade Policies by Sector; (4) Services; page 97: 
Noting the Secretariat's mention in its report of the important role 
played by services in Turkey's economic development. 
11. Could Turkey provide information regardi ng the key regulatory measures and relevant 
authorities which oversee the 'Professional Serv ices' sector, especially with regards to the 
architectural, engineering, legal and accounting professions? 
 
Turkey's answer  
 
Architectural and Engineering Services:   According to the Decision by the Law Degree No. 644 the 
Ministry of Environment and Urbanism is responsible from the preparation of development, environment, building and construction legisl ation; has the duty to monitor legislative  WT/TPR/M/259/Add.1 
 Page 95 
 
 
 implementations, and the definition and preparatio n of norms and standards of professional services, 
development of the legislation, achieve its impl ementation, and registration of those related to. 
 As one of the main central bodies of the Ministry, the General Directorate of Professional Services is responsible from regulating, controlling and monito ring architectural, engineering, construction and 
consultancy services related to settlements and structures.  
 According to Act No 6235 Articles 34 and 35 amended by the Act No. 4817, the General Directorate is also responsible from professional qualification evaluations of foreign architects and engineers. 
 
Accounting, Auditing and Bookkeeping Services: The members of a profession who offer services 
in the fields of financial advisory in Turkey ha ve to fulfil the conditions which are required pursuant 
to the "Law of Accountancy, Financial Advisory  and Certified Public Accountancy"(Law No.3568). 
Article 8 of the Law No. 3568 is related to the foreign financial advisors.  
According to this Article, "in order to perform th e services under the title of Financial Advisor, the 
citizens of the countries which have officially codi fied the principals for the profession of financial 
advisory may, under reciprocal conditions, be author ized by the approval of the Prime Minister upon 
the proposal of the Ministry of Finance, provide d that these persons should have the qualifications 
required for the Turkish financial a dvisors and should have rights to pe rform similar services in their 
own countries". 
Under the same law, the general c onditions for being able to be a performer of the profession are as 
follows: 
- To be a Turkish citizen (Article 8 regarding to  the foreign financial advisors is reserved) 
- To be capable of using civil rights,  
- Not to be deprived of public rights, 
- Not to be sentenced to imprisonment, because of the deliberately commit a crime of one 
or more years or crime against government securi ty even if to be pa rdoned, crimes against 
constitutional order and running of the constitutional order, cr ime against national defence 
and secrets of state, embezzling, peculating and smuggling, conspiracy in official adjudications, disclosing the state secrets, tax avoidance and attempt to the avoidance of tax, etc, 
- Not to be dismissed from the government offici al charge as a result of investigation, 
- Not to have a condition which is not suitable for the honour and personal dignity of their 
profession. 
Additionally, following special conditions are require d to be able to become a Financial Advisor: 
- To have a degree in one of the subjects of law, economics, finance, business management, 
accounting, banking, public administration or political sciences at graduate level from the 
Turkish universities or foreign universities of  which equality to Turkish ones are accepted 
by the Supreme Educational Committee or to have a post-graduate level from one of the above branches when the graduate degree is different from the abovementioned branches,  
- To work as a trainee for a period of minimum three years, 
- To pass the examination for financial advisory, 
- To have a performance license for financial advisory.  
 
Legal Services:  According to Attorneyship Law No 1136,  a candidate must fulfil the following 
criteria in order to enter the profession: WT/TPR/M/259/Add.1 
Page 96  
 
 1. Be a citizen of the Turkish Republic;  
2. Be a graduate of a Faculty of Law in Turk ey, or a graduate of a foreign law faculty 
who has successfully passed exams in any missing subjects;  
3. Hold a certificate confirming the completion of a year's internship  
4. Be resident in the region of the Bar Association he or she wishes to register with;  
5. Have no criminal record, which would disbar him or her.  
An attorney who has entered the profession is empow ered to promote or defend the rights of real and 
legal persons before all courts, ar bitrators or other bodies that have judicial power. They may give 
advice on law and legal issues and negotiate a settlement. 
In Turkey, the profession is reserved to Turkish nati onals. The only exception to  this rule are those 
foreign lawyers involved in partnerships. Foreign attorney partnerships wishing to operate in Turkey 
may only offer services of consultancy in foreign la ws and international law provided that they have 
been formed in compliance with the present Law and the arrangements stipulated for attorney 
partnerships. This restriction also applies to attorn eys who are citizens of the Republic of Turkey or of 
foreign countries working for the foreign attorney partnership. The condition that the partners be 
enrolled with a bar association is not required  for this type of a ttorney partnerships. 
Individuals who are not registered with a Bar Association may not use the title "Attorney"  or work in 
the profession. 
On the other hand, there are no constraints on th e attorneys, which are accepted to the profession by 
the Attorneyship Law, to provide advice and ser vices to foreigners on domestic law, and represent 
foreigners before a Turkish court.   AUSTRALIA 
 Report by the Secretariat (WT/TPR/S/259) 
 Summary Paragraph 12, Page ix  Australia notes that Turkey has not provided agriculture support notifications to the WTO 
since 2002 and "based on the available information, the value of support to agricultural 
producers in Turkey appears to have been increasing recently". 
 
- Can Turkey please indicate when it will submit notifications, particularly those 
concerning domestic support and export  subsidies, for the years 2002-2011?  
 
Turkey's answer:  Domestic support and export subsidy notifica tions will be made in near future.   
 
- In relation to domestic support, can Tu rkey give an indication of the current 
total Amber Box Support in these years? 
 
Turkey's answer: This information will be presented together with the domestic support 
notifications.   WT/TPR/M/259/Add.1 
 Page 97 
 
 
 II. Trade and Investment Regimes – (4) Investment Regime 
 Paragraph 35, page 21  Australia notes Turkey has a relatively open FD I regime. As the WTO Secretariat report states, 
a 100% foreign owned company may operate in nearly all sectors of the Turkish economy.  
However there are remaining restrictions on fo reign ownership laid down in legislation 
regulating specific activities and special permissi on under specific laws is required to provide 
accounting, auditing, and bookkeeping services;  for the establishment of private employment 
offices; and for investments in the financial sector , petroleum, mining, electricity, and education 
services.   
 
-  Could Turkey please describe the pro cess for obtaining the special permissions 
required for these sectors? 
 
Turkey's answer:  
Banking:   According to the Turkish banking legislation,  for the establishment of a bank or opening up 
of the first branch in Turkey by a bank establis hed abroad, the permission of Banking Regulation and 
Supervision Board is required.  
The rules regarding the establishment of a bank in Turkey or the opening branches and representative 
offices in Turkey by a bank established in abroad  are legislated by "Banking Law Nr. 5411" and 
"Regulation on Operations of Banks Subject to Pe rmission and Indirect Shareholding". For detailed 
information regarding the cond itions required by Turkish le gislation, please see Annex. 
 
Insurance:  According to the Insurance Law No. 5 684, insurance companies and reinsurance 
companies have to be established as a joint stock co mpany or as a cooperative in order to operate in 
Turkey. Foreign insurance and reinsurance comp anies may also operate in Turkey by opening 
branches, provided that they have not been prohibited in their country of operation. Following their establishment, insurance and reinsurance co mpanies must obtain operation license from the 
Undersecretariat of Treasury for each insurance branch in which they would like to operate. 
 
On the other hand, "The Regulation on the Princi ples Concerning the Establishment and Operation of 
Insurance Companies and Reinsurance Companies", which has been prepared on the basis of the 
aforementioned Law, covers the insurance companie s and reinsurance companies established or to be 
established in Turkey, as well as Turkish branches of  foreign insurance companies and reinsurance 
companies. 
 Ultimately, the Insurance Law No. 5684 provides a be tter framework for international financial groups 
to operate in the insurance sector. It is importa nt to note that there is no discrimination between 
Turkish insurance companies and Turkish branches of foreign insu rance companies and reinsurance 
companies that would like to operate  in the Turkish insurance market. 
 
Securities Market: According to Article 31 of Cap ital Market Law No. 2499,  institutions must obtain 
permission from the Capital Market Board to be e ngaged in capital market activities. Underwriting 
and the trading of previously issued capital market  instruments for the purpose of intermediation can 
be executed exclusively by securities in termediary institutions and banks.  
 
The full text of Article 30 and 31 of the Law can be reached from the following link:  
http://www.cmb.gov.tr/indexcont.aspx ?action=showpage&m enuid=1&pid=1 WT/TPR/M/259/Add.1 
Page 98  
 
 On the other hand, the Communiqué Serial: V, No :46 on Principles Regarding Intermediary Activities 
and Intermediary Institutions regulates the principl es regarding the intermediary activities listed in 
subparagraphs (a), (b) and (c) of Article  30 of the Capital Market Law, namely 
  (a) Underwriting; 
 (b) The trading of previously issued cap ital market instruments for the purpose of 
intermediation; 
 (c) Intermediation to the trading of all kinds of derivative instruments.  This Communique also regulates the establishment, operation and authorization of the institutions to 
undertake these activities. 
 According to Article 5 of this Communiqué, banks may undertake: 
  a) Intermediation in the purchase and sale  of capital market instruments that are 
previously issued either off excha nge, or on exchange, except for shares, 
 b) Repurchase and reverse repurchase agreements  c) Intermediation for the purchase and sale of derivative instruments. 
 However, banks are not allowed to make equity trading. On the other hand, non-deposit banks may 
also undertake activities such as intermediation in th e issuance or public offering of capital market 
instruments, portfolio management and investment  consultancy in addition to the above mentioned 
activities.  For the full text of Article 5 of the Co mmuniqué, please refer to the following link:  
http://www.cmb.gov.tr/regulati ons/regulations_index.html 
 
Moreover, capital markets activities can be performed on capital market instruments, which is defined 
in paragraph b) of Article 3 of CML;   Furthermore, in Article 32 of the Law, capital ma rket institutions which may operate are determined 
as:  
 
 a) Intermediary Institutions,  b) Investment Companies,  c) Mutual funds,  d) Other Institutions given permission to operate in capital markets 
 
The full text of Article 32 of the Law can be reached from the following link: http://www.cmb.gov.tr/indexcont.aspx ?action=showpage&m enuid=1&pid=1 
 Education services:  Foreign real or legal persons may not  set up education institutions unless all 
students are foreigners. International Private Educati on Institutions can be established by real or legal 
persons upon the authorization of Council of Ministers.   
 Accounting, auditing and bookkeeping services:  The members of a profession who offer services in 
the fields of financial advisory in Turkey have to  fulfill the conditions which are required pursuant to 
the "Law of Accountancy, Financial Advisory and Certified Public Accountancy"(Law No.3568). 
Article 8 of the Law No. 3568 is related to the foreign financial advisors.  
 According to this Article, "in order to perform th e services under the title of Financial Advisor, the 
citizens of the countries which have officially codi fied the principals for the profession of financial 
advisory may, under reciprocal conditions, be author ized by the approval of the Prime Minister upon  WT/TPR/M/259/Add.1 
 Page 99 
 
 
 the proposal of the Ministry of Finance, provide d that these persons should have the qualifications 
required for the Turkish financial a dvisors and should have rights to pe rform similar services in their 
own countries".  Under the same law, the general c onditions for being able to be a performer of the profession are as 
follows: 
 
- To be a Turkish citizen (Article 8 regard ing to the foreign financial advisors is 
reserved), 
- To be capable of using civil rights,  
- Not to be deprived of public rights, 
- Not to be sentenced to imprisonment, b ecause of the deliberately commit a crime of 
one or more years or crime against government security even if to be pardoned, crimes 
against constitutional order and running of  the constitutional order, crime against 
national defence and secrets of state,  embezzling, peculating and smuggling, 
conspiracy in official adjudications, disclosing the state secrets, tax avoidance and 
attempt to the avoidance of tax, etc., 
- Not to be dismissed from the government offici al charge as a result of investigation, 
- Not to have a condition which is not suita ble for the honour and personal dignity of 
their profession. 
 
Additionally, following special conditions are require d to be able to become a Financial Advisor: 
 
- To have a degree in one of the subject s of law, economics, finance, business 
management, accounting, banki ng, public administration or political sciences at 
graduate level from the Turkish universities or foreign universities of which equality 
to Turkish ones are accepted by the Supr eme Educational Committee or to have a 
post-graduate level from one of the above  branches when the graduate degree is 
different from the abovementioned branches,  
- To work as a trainee for a period of minimum three years,  
- To pass the examination for financial advisory, 
- To have a performance license for financial advisory.  
III. Trade Policies and Practices by Measure – (1) Measures Directly Affecting Imports – 
ii) Ordinary Customs Duties 
 
Paragraph 10, page 28 
 
Australia notes that Turkey's simple average bou nd tariff rate for agricultural products is close 
to 72%, as compared with 17.4% on its non-agricultural tariff bound lines. Additionally, Australia notes that the simple average applie d MFN tariff rate for agricultural products is 
47.9% compared with 5 per cent for non-agricultural products. 
- Can Turkey advise whether there is a mech anism in place in which to review its 
applied tariffs? Does Turkey intend to reduce its applied tariffs on agricultural 
products? 
Turkey's answer:  For Turkey, primary concern is to ensure that the market operates efficiently. Thus, 
tariff levels are set according to market conditio ns, including supply and demand changes, domestic 
and world prices and the like. In this regard, Turkey  continuously monitors the market conditions and 
may reduce or raise the tariff rates in accordance with those conditions. WT/TPR/M/259/Add.1 
Page 100  
 
 Paragraph 15, page 31 
 
Australia welcomes Turkey's decision to lo wer its applied MFN tariffs on the following 
products: live bovine animals for breeding, live bovine animals for slaughter, wheat, oats and 
buckwheat. 
 
-  Can Turkey confirm whether these applied MFN tariff reductions are 
permanent? 
 
Turkey's answer:  Turkey continuously monitors the meat ma rket and could reduce or raise the tariff 
rates in accordance with market conditions. 
 
- Given the short term reduction in applied tariffs for wheat, oats and buckwheat 
(Feb-May 2011), can Turkey explain the reasons for such actions and whether domestic reforms are being implemented to reduce these tariffs permanently in 
the longer term? 
 
Turkey's answer:  The rationale behind the application of a short term customs duty reduction for 
wheat, oats and buckwheat was to meet demand of th e market for those products with imports since 
the domestic production was not sufficient to meet all of the consumption. In order to make its 
agricultural market more stable, Turkey continuously  endeavors to make its agricultural market more 
competitive. 
- Australia notes that bovine meat ta riffs remain at 225 per cent. Australia 
considers this to be an unreasonable level of protection. 
 
 - Does Turkey intend to reduce its applied tariff on bovine meat? 
 Turkey's answer:  Turkey applies tariff rates to make th e market operate efficiently taking into 
account the economic conditions such as supply and demand, domestic and world prices and so on. As 
a result, Turkey does not share the view that the appl ication of a high tariff rate can be considered as 
unreasonable. The applied tariff rates are cons istent with Turkey's WTO commitments. 
 
 (3) Measures affecting Production and Trade - (ii) State trading, state-owned 
enterprises, and privatization 
 Paragraph 117, Page 72  
Australia notes the State remains an importan t owner of banks, transportation companies, 
public utilities, energy and mining enterprises, and processors of certain agricultural commodities. As the Secretaria t report notes, many of these operate under monopolistic 
conditions or hold exclusive rights, an d their losses trigger budgetary transfers. 
 
- In sectors where competition is permitted, what special treatment is given to 
State Owned Enterprises? 
- Could Turkey please provide further in formation on its privatisation program 
for these sectors? 
  Can Turkey confirm that the Turkish Red Crescent is the only entity with 
exclusive import rights (as notified to the WTO)?    
 
Turkey's answer:  Indeed, any entity that carries out economic activity as an undertaking is under the 
scope of the Act no 4054 on the Protection of Competition (Competition Act). In other words, the  WT/TPR/M/259/Add.1 
 Page 101 
 
 
 Competition Act, in principle, applies to an y economic activity conducted by undertakings 
irrespective of their ownership. In practice, how ever, the Competition Act may not apply to state 
owned enterprises that act in accordance with a pa rticular legal or administrative authority.  
 
Majority of the banks are operated by private sector. Banking Regulatory and Supervision Agency 
(BDDK) is the authorized governing body for the oper ation of the banks. In energy sector, electricity 
distribution and power generation companies ar e under privatisation process. Of the total 
18 distribution companies, 10 of them are totally transf erred to private sector. It is anticipated that the 
privatisation of the remaining distribution compan ies will be completed in near future. For power 
generation companies; in accordance with the privati sation strategy plan 16 coal fired, 2 gas fired 
and 27 hydroelectric power generation companies will be  privatised subsequent to completion of 
technical studies undertaken by the consultants. The li gnite coal mines are considered in line with the 
privatisation of coal fired power generation plan ts. Privatisation of the Public utilities (services 
provided by the municipalities) are executed by th e related Municipalities in accordance with the 
prevailing  Privatisation Law. The privatisation decision of the remaining agricultural state owned 
enterprises is subject to the approval of the  Privatisation High Council.  
 
(3) Measures affecting Production and Trade - iii) Sanitary and phytosanitary measures  
 
Paragraph 96, Pages 66-67 
 
Australia notes the lack of transparency in relation to developing and agreeing on 
certification for agricultural products, in particular for red meat. 
 - Can Turkey please explain whether it intends to introduce more transparent 
processes with regards to its agricultural certification requirements? 
 Turkey's answer: Import procedures concerning importation of animal products in Turkey are carried 
out under the conditions set by the Ministry of Fo od, Agriculture and Livestock and importation is 
authorized from the countries "Negligible" and "controlled" risk classification of BSE by the OIE.  
Within this scope; Ministry of Food, Agriculture  and Livestock adopted a new Law No. 5996 which is 
in compliance with the related EU legislation a nd notified it to the WTO members. A model health 
certificate determining the health conditions for impor t is published in the official web site of the 
General Directorate of Food and Control (http://www.gkgm.gov.tr/).  
 
IV. Trade Policies by Sector – (1) Agriculture – ii) Policy Framework  
Paragraph 5, page 82 
 Australia notes that one of Turkey's main agr icultural policy objectives includes "improving 
productivity and competitiveness".  
 Can Turkey advise how high applied agricultural tariffs have affected the 
competitiveness of Turkey's exports of agricultural products? 
Turkey's answer:  Turkey aims to sustain diversity an d quality of its agricultural production. 
Turkey neither stated nor believes that there is a di rect connection between the level of tariff rates and 
the productivity or competitiveness. As stated in th e answer to one of the Australia's previous 
questions; the rationale behind the application tariffs is to ensure sustainability of local production 
particularly against unfair trade and to make it compete with low priced imports that especially benefit WT/TPR/M/259/Add.1 
Page 102  
 
 from low cost inputs, advanced production methods as well as domestic s upport and export subsidies 
granted particularly by the developed countries.   
(1) Agriculture – iv) Domestic Programmes 
 
Paragraph 11-17, pages 83-85 
 While Australia notes according to the Secretaria t's report (based on OECD data) the move to 
direct income support, it also notes that the ma jority of Turkey's support to agricultural 
producers is in the form of market price support and support tied to production or input use. 
 
- Given that according to the OECD's PSE figures (as there are no recent WTO 
notifications) Turkey's levels of suppo rt have increased from the period 1995-97 
to 2008-10, has Turkey considered adopti ng less trade distorting measures of 
support and reducing the level of protectio n accorded to its agricultural sector? 
 Turkey's answer: Turkey is a developing country and bound with " de minimis " level in providing 
domestic supports that are subject to reduction co mmitments in the WTO Agreement on Agriculture. 
Turkey has no right to use agricultural safeguard  mechanism (SSG) either. Moreover, deep-rooted 
infrastructural problems of agriculture in Turkey , such as fragmented farm holdings, make alignment 
process with the EU's Common Agricultur al Policy (CAP) a challenging issue. 
 
In the scope of Accession Negotiations to the EU, "Agriculture and Rural Development" Chapter is 
one of the opening benchmarks. This Chapter is related to the support scheme of Turkey. 
 A strategy document to align Turkish domestic support policy to CAP is prepared and will be 
discussed with the EU in near future. In this dr aft strategy, implementation of the newly introduced 
basin based support program is foreseen at the transition period while transforming deficiency 
payment supports to area-based support policies. Th e strategy document also foresees improvement of 
infrastructure to implement CAP until 2014 as mid-te rm objective, while starting fully to implement 
CAP with accession to the EU.  
 
(1) Agriculture – vi) Export measures 
 
Paragraph 23-24, Pages 86-87  Australia notes that Turkey ma intains an export subsidy prog ramme for agricultural products, 
and that 16 product groups are elig ible to receive export subsidies. 
 
- Can Turkey indicate what steps it intends  to take to phase out the use of export 
subsidies, given the focus to eliminate them within the DDA? 
 
Turkey's answer: Certainly, developments in the WTO Agricultural negotiations will be guiding 
Turkey in future steps needed to be taken. 
 
- Given Turkey's use of export subsidies, can Turkey indicate when it will submit 
outstanding export subsidy notifications? 
Turkey's answer: Turkey plans to submit its export subsidy notifications in the near future. 
 
- Can Turkey explain how its export restrict ions and prohibitions of agricultural 
products have been notified in accord ance with Article 12 of the Agreement on 
Agriculture?  WT/TPR/M/259/Add.1 
 Page 103 
 
 
 Turkey's answer: Turkey notifies its quantitative restricti ons to the WTO Market Access Committee 
in accordance with the Decision number G/L/59 and these notifications include the export prohibitions 
on agricultural products as well.  The list of products subject to export prohibition are also available in 
Secretariat Report, table III.14, on page 54.  
 (4) Services (ii) Telecommunications  Paragraph77, Page 101  Australia notes the incumbent Türk Telekom cont inues to dominate the market for fixed-line 
telephony, holding a 90-93% market share (measured by revenue) in mid-2011.   
 
- Is this market share decreasing over time?  - If not, does Turkey see the need for a policy response to ensure greater 
competition in the fixed-line market? 
 
Turkey's answer:  In accordance with the policy of achie ving competitive environment in fixed-line 
market, Wholesale Line Rental (WLR) regulation has been completed in 2011, which is expected to 
increase the market share of alternative operato rs, eventually contributing to ensure greater 
competition.   Moreover, we are planning to carry out the third round of market analysis in 2012. Within this 
context, the obligations of Turk Telekom regard ing the fixed-line telephony services will be revised 
according to the competition level in the market.   
AUSTRALIA (ANNEX FOR AUSTRALIA'S QUESTION: Paragraph 35, page 21) 
 RELATED ARTICLES OF BANKING LAW NR. 5411 
 TRANSACTIONS SUBJECT TO PERMISSION  PERMISSIONS FOR ESTABLISHMENT AND OPERATION 
 
Permission for establishment or opening br anches and representative offices in Turkey 
 
Article 6 - The establishment of a bank in Turkey or the ope ning up of the first branch in Turkey by a 
bank established abroad shall be permitted upon affirmative votes of at least five members of the 
Board provided that the establishment conditions laid down in this Law are fulfilled.   
 The principles and procedures for permission app lications and granting permissions shall be 
determined by a regulation to be issued by the Bo ard. The decision regardi ng the permission shall be 
notified to the applicant within three months follo wing the application date or after the applicant 
provides the missing application documents, if any. If any missing document is not provided within 
six months, then the application shall become invalid.   
 The details regarding the establishment of a bank to be engaged exclusively in offshore banking or the 
opening of a branch in Turkey by such banks established abroad for su ch purposes, and their fields of 
activity and financial reporting and audit procedur es as well as the details regarding the temporary 
suspension or revocation of their activities sh all be determined by Board decision.   
 The banks established abroad may open up representativ e offices in Turkey with the permission of the 
Board provided that they do not accept deposits or pa rticipation funds and those they operate within 
the framework of the principles to be set by the Board.  WT/TPR/M/259/Add.1 
Page 104  
 
 Establishment conditions 
 
Article 7- Anybank to be established in Turkey shall fulfill the following requirements:    
 
a) It should be established as a joint stock company,   
b) Its shares should be issued against cash and to name,   
c) The founders should meet the requirements indicated herein,  
d) Its members of board of directors shall bear  the qualifications set out in the corporate 
governance provisions in this Law and sha ll have the professional experience required 
for carrying out the planned activities,  
e) Its envisaged fields of activity shall be in harmony with planned financial, managerial 
and organizational structure,   
f) Its paid-up capital, consisting of cash and fre e of all kinds of fictitious transactions, 
should not be less than 30 million New Turkish Liras, 
g) Its articles of association shall not be in conflict with the provisions of this law,   
h) There should be a transparent and open part nership structure and organizational chart 
that will not constitute an obstacle for the efficient supervision of the institution, 
i) There should not be any element that hampers its consolidated supervision, 
j) The work plans for the envisioned fields of activity, the projections regarding the 
financial structure of the institution incl uding capital adequacy, the budgetary plan for 
the first three years and an activity program including internal control, risk 
management and internal audit system show ing the structural organization must be 
submitted, - For development and investment banks, their paid-up capital shall not be less 
than two- thirds of the amount provi ded in sub-paragraph (f) of the first 
paragraph.     
- The principles and procedures applicable to the enforcement of this article 
shall be set by the Board.     
 
Qualifications of founders 
 
Article 8 - The founders of banks shall:  
 
 a) Not have been declared bankrupt with in the framework of the provisions of the 
Execution and Bankruptcy Law No. 2004, not be in possession of a certificate of bankruptcy, not have an approved applicati on for restructuring through reconciliation 
or not have been issued a decision for postponement of bankruptcy. 
 
 b) Not have qualified shares or not hold c ontrol in banks that have been subjected to 
Article 71 of this Law or that have b een transferred to the Fund before the 
effectiveness of this Law. 
  c) Not have qualified shares or not hold contro l in banker subjected to liquidation, and in 
other financial institutions subject to liqui dation, excluding voluntary liquidation, in 
development and investment banks whose operating permissions have been revoked, 
or in credit institutions whose shareholde r rights except dividends and management 
and control have been transferred to the Fund or whose permission to conduct 
banking transactions and accept deposits and participation funds have been revoked, 
before the transfer of aforementioned credit institutions to the Fund or before their 
permission and authorization for accepting de posit and participation fund have been 
revoked.   WT/TPR/M/259/Add.1 
 Page 105 
 
 
  d) Have not been sentenced to heavy im prisonment or imprisonment of more than 
five years pursuant to the repealed Turk ish Penal Code No. 765 or other laws, even 
though pardoned, with the exception of neglig ent offenses, have not been sentenced to 
imprisonment of more than three years purs uant to the Turkish Penal Code No. 5237 
or other laws or have not been convicted of the violation of the provisions, that 
require imprisonment, of the repealed  Banking Law No. 3182, of the Banking Law 
No. 4389 which is repealed by this Law,  of this Law, the Capital Market Law 
No. 2499 and of the legislation on lending tran sactions, or have not been convicted of 
infamous crimes such as embezzlement, extortio n, bribery, theft, swindling, forgery, 
breach of trust, fictitious bankruptcy, smuggling offenses other than those arisen by 
the acts of using and consuming, fraudulent act s in official tenders and trades, money 
laundering or crimes committed against the prestige of the State and unveiling State secrets, offenses committed against the sovere ignty of the state or the prestige of its 
organs, offenses committed against the security  of state, offenses committed against 
the constitutional order or the functioning of the constitutional order, offenses 
committed against national defense, offe nses committed against the secrets of the 
state and espionage, offenses committed agains t relations with other states as well as 
tax evasion or have not been engaged in such offenses under the repealed Turkish 
Penal Code No. 765, Turkish Pena l Code No. 5237 or other laws. 
  e) Have necessary financial strength and respect. 
 
 f) Have the honesty and competence required for the business.    g) In case of a legal person, have a transp arent and open partnership structure together 
with the risk group.  
 
The natural person shareholders of  the legal person founders of bank s with qualified shares shall meet 
the conditions laid down in sub-paragr aphs (a), (b), (c), (d), (e) and (f) of the first paragraph of this 
article.   
The provisions of items (b) and (c) of the first paragr aph of this Article shall not be applicable for the 
multi-lateral credit institutions and financial ins titutions that are established by international 
agreements to which Turkey is a party.  
 
Requirements for the opening of a branches in Turkey by banks headquartered abroad 
 
Article 9 - Any bank established abroad that will operate in Turkey by opening branch within the 
framework of the principles and procedures set by the Board should to meet the following conditions:   
  a) Its primary activities must not have been  prohibited in the country where they are 
headquartered. 
  b) The supervisory authority in the country, wherein the headquarters of the bank is 
located should not have negative view s regarding its operation in Turkey. 
 c) The paid-in capital reserved for Turkey should not be less than the amount indicated 
in Article 7. 
  d) The members of the board of managers  should have adequate  professional experience 
to be able to satisfy the requirement s laid down in the corporate governance 
provisions and to perform the planned activities. 
 WT/TPR/M/259/Add.1 
Page 106  
 
  e) It must submit an activity program indi cating work plans for the fields of activity 
covered by the permission, the budgetary pl an for the first three years as well as its 
structural organization. 
  f) The group including the bank must have a transparent partnership structure.  
An application for operating permission cannot be granted for the activities prohibited due to the 
violation of the local legislation in the country where such institutions are headquartered.  
Operating permission 
 
Article 10 - The banks that are permitted to be establishe d in Turkey or permitted to open up branches 
in Turkey within the framework of the provisions of Article 6 of this Law shall be obligated to receive 
permission for operation from the Board. The permi ssion to be given upon an application to be 
accompanied by a declaration shall cover all activities set out in Article 4 of this Law, within the 
framework of the limitations set out in the last pa ragraph of the said article, unless otherwise decided 
by the Board. The permissions granted shall be issu ed in the Official Gazette. The decision regarding 
the permission shall be made within three months , the latest, following the date of application for 
permission.  The Agency shall give a certain period of time, wh ich shall not be more than six months, for those 
who do not bear the conditions laid down in this Law and the regulations  issued under this Law so that 
they can make the necessary arrangements and elimin ate the deficiencies. Those applications not 
approved as a result of the review conducted upon such  re-applications filed within due course shall 
be notified, in writing, of the result and the estab lishment permission that has been issued shall be 
revoked. The banks that have received establishm ent permission shall be required to meet the 
following criteria in order to commence their operations:   
 
a) Their capital should have been paid in cash  and must be at a level that enables the 
execution of planned activities. 
  b) Minimum one fourth of the system entrance fee, equivalent to ten percent of the 
minimum capital requirements indicated in Ar ticle 7 of this Law, should have been 
paid to the account of the Fund and the rela ted document submitted to the Agency by 
the founders. 
  c) Their activities should be in compliance with corporate governance provisions and 
should have the required personnel and technical infrastructure. 
 
 d) Their managers should bear the qualifi cations set out in the corporate governance 
provisions. 
  e) The Board should comment that they b ear the qualifications required for executing 
the activities.  
The commitment in writing indicating that the remain ing portion of the system entrance fee will be 
paid to the account of the Fund, within the framewo rk of the payment plan prepared by the Board 
following the start of operation shall be submitte d to the Agency. System entrance fee shall be 
collected for only one time. Bank shareholders sha ll be jointly responsible for the payment of the 
system entrance fee.  
 
The Board shall be authorized to set the principles and procedures applicable to the implementation of 
this article.  WT/TPR/M/259/Add.1 
 Page 107 
 
 
 Revocation of establishment permission 
 
Article 11 - The establishment permission of a bank sha ll be revoked by the Board decision taken 
through the affirmative votes of minimum five Boar d members, in case of one or more of the 
following conditions:    
 
a) The permission is based on non-factual declarations.  
b) Failure to apply for operating permission within nine months following the issue of 
establishment permission. 
c) Clearly stating the decision to waive the establishment permission. 
d) Losing the eligibility qualifications for pe rmission until commencement of operation, 
e) Failure to get operating permission. 
f) Voluntary waiver from the whole activities listed in Article 4 of this Law, or 
completion of voluntary liquidation. 
g) Completion of the merger and disintegration procedures of transferred banks. 
h) Completion of liquidation or bankruptcy proceedings under Article 106 of this Law. 
 
Revocation or restriction of operating permission 
 
Article 12 -  In cases where a bank has received the operating permission on the basis of non-factual 
declaration or has failed to commence the activit y within six months after getting the operating 
permission or failed to perform the activity for an un interrupted period of six months within one year 
following the start of activity, the operating permissi on of such bank shall be revoked.  In cases where 
a bank has not become a member of the relevant a ssociation of institutions within one month after 
receiving the operating permission or has failed to pay the remaining portion of the system entrance fee to the account of the Fund and has failed to fulfill these obligations despite the warning of the 
Agency, such bank's fields of activity other than t hose covered by sub-paragr aphs (a) and (b) of the 
first paragraph of Article 4 of this Law may be individually restricted by the Board.  
 Such decisions shall be notified in writing to the relevant parties and be pu blished in the Official 
Gazette.  
In cases where the operating permission of any bank es tablished abroad and having branch in Turkey 
has been revoked, its activities have been suspended, it  has been decided to be declared bankrupt or 
liquidated and it has declared bankrupt in the country of establishment, the Board shall revoke the operating permission of the branches of such bank in Turkey.  
The Board's revocation of the authorization given to  a credit institution under sub-paragraphs (a) and 
(b) of the first paragraph of Article 4 of this  Law shall mean the revocation of the operating 
permission.  
RELATED ARTICLES OF REGULATION ON OPERATIONS OF BANKS SUBJECT TO 
PERMISSION AND INDIRECT SHAREHOLDING 
Operations Subject to Permission Establishment of a Bank 
ARTICLE 4 – (1) The following must be annexed to an appli cati0on to be submitted to the Agency for the 
purpose of establishing a bank in Turkey: 
 a) An operational program, which analyzes benefits expected from establishment of the 
bank, indicates operations to be carried out  and operational plans containing methods WT/TPR/M/259/Add.1 
Page 108  
 
 of achieving internal supervision, inte rnal control and risk management and 
incorporates the financial structure of the organization in a manner also containing the 
capital adequacy of the relevant projections thereof 
 b) Declarations to be individually signed by the founders and certified by a notary public 
as per the models in Annex 1 and Annex 2 
 c) Partnership articles of association signed by the partners 
  ç) Documents to be received from the Commercial Courts of First Instance and 
Execution Courts attesting that the bank's shareholders as natura l persons and legal 
entities and shareholders as natural persons, who hold qualified shares in its founders 
as legal entities directly or indirectly, are not declared bankrupt and that they have not 
declared any debt rescheduling, respectively 
  d) Documents to be received from the Commercial Courts of First Instance and 
Execution Courts attesting that applications  for restructuring through reconciliation by 
the bank's shareholders as natural persons  and legal entities and shareholders as 
natural persons, who hold qualified shares in its founders as legal entities directly or 
indirectly, have not been endorsed and th at no ruling for postponement of bankruptcy 
have been given about them, respectively 
  e) Criminal records containing the archiv e records which have been received by the 
bank's shareholders as natural persons and legal entities and shareholders as natural 
persons, who hold qualified shares in its  founders as legal entities directly or 
indirectly, in the last six months 
  f) Copies of resolutions adopted by the au thorized organs regarding admission of the 
founders as legal entities to the bank as partners 
  g) Declarations by the bank's shareholde rs as natural persons  and legal entities and 
shareholders as natural pers ons, who hold qualified shares in its founders as legal 
entities directly or indirectly, as per Annex 3 that they have not held or been in control of any qualified shares in the brokerage houses / bankers forced into liquidation and 
in the financial organizations forced into liquidation other than voluntary liquidation 
and those investment and development ba nks, the operating permissions of which 
have been cancelled and in the credit organiza tions in which the partnership rights of 
their partners excluding dividends and thei r management and supervision have been 
transferred to the Fund or their permissions  and authorizations to practice banking and 
receive deposits and participati on funds have been lifted before transfer to the Fund or 
the lifting of their permissions and author izations to practice banking and receive 
deposits and participation funds, as well as certificates to be received by them from the Fund regarding such facts  
  ğ) Declarations as per Annex 3 that the bank's shareholders as natu ral persons and legal 
entities and shareholders as natural persons, who hold qualified shares in its founders 
as legal entities directly or indirectly, have not  held or been in control of any qualified 
shares in those banks for which Article 71 of  the Law were applied or in those banks 
transferred to the Fund before entry into force of the Law, well as certificates to be received by them from the Fund regarding such facts 
 
 h) Copies of the relevant issues of the Tu rkish Trade Registry Gazette regarding the 
founders as legal entities, lists indicating their partners holding any qualified shares  WT/TPR/M/259/Add.1 
 Page 109 
 
 
 directly or indirectly, rates and sums of their shareholdings including any privileged 
shares if any, detailed explanations on th e fields of operation, investment and 
operational areas and last three years' balance sheets and revenue sheets certified by sworn financial consultants licensed as pe r Law Nr. 3568 and reports prepared by 
rating agencies for any founders as legal entiti es, which have a status of a bank or a 
financial organization, if any 
  ı) Last three years' consolidated or non  consolidated balance sheets and income 
statements of the capital groups of which th e founders as legal entities are a part and 
also of the partnerships, in which such  groups are included, as certified by an 
independent auditing company 
  i) Sheets indicating the partnership compos itions of founders as legal entities with such 
details allowing information on their partners  as legal entities and lists indicating their 
privileged shares and declarations if there are no such privileged shares 
 
 j) Documents to be received from the relevant tax offices and the Social Security 
Institution that the bank's shareholders as natural persons a nd legal entities and 
shareholders as natural pers ons, who hold qualified shares in its founders as legal 
entities directly or indirectly, currently  have no overdue ta x and premium debts 
 
 k) Founders' declarations of income and / or corporate tax for the last five years as 
certified by the tax offices and real estate tax declarations regarding any real estate owned by them, which are certified by the relevant units of the municipalities and title deeds registrations to be received from the title deeds departments concerning such real estate as well as documents indicating any reservations and restrictions on them if 
deemed necessary by the Agency 
  l) Information on the accounts of deposit and credit of those banks committing to 
subscribe ten per cent or more of capital as st ated in their declarations of founders and 
documents to be issued by the relevant  banks and addressed to the Agency, which 
certify that certify such accounts in a manner also containing dates of opening such 
accounts, with such accounts bearing the same date 
  m) Reports on the financial status of tho se founders committing to subscribe ten per cent 
or more of capital, which are certified by sw orn financial consultants who are licensed 
under Law Nr. 3568 
 
 n) Information and documents concer ning Executive Board members and general 
manager to be appointed if they are alr eady assigned, which must be submitted to the 
Agency as per Articles 4 and 6 of the Regul ation on the Procedures and Principles for 
Notices for Officers to Be Appointed for Top Management in Banks, Administration of Oaths of Office and Declaration of Pe rsonal Assets and Main tenance of Books of 
Resolutions 
  o) Copies of powers of attorney issued to the persons authorized to represent the 
founders who are natural persons and legal entities 
 
 ö) Provision of information by those founde rs, who pledge to provide ten per cent or 
more of capital, as regards the method of securing necessary resources for this purpose and a letter of commitment to be completed and signed as per Annex 4 that 
they have provided such sums as a result of their own commercial, industrial and any 
other legal operations free of any colored and fictitious transactions WT/TPR/M/259/Add.1 
Page 110  
 
  p) In case founders are an overseas based bank or financial organization 
 
 1) An operational program, which analyzes benefits expected from establishment 
of the bank, indicates operations to be carried out and operational plans containing methods of achieving internal supervision, internal control and risk management and 
incorporates the financial structure of the organization in a manner also containing the 
capital adequacy of the relevant projections thereof, 
 
2) Articles of association  
3) Copies of resolutions by their authorized organs regarding establishment of a 
bank in Turkey  4) Last five years' balance sheets a nd profit / loss schedules also including any 
subsidiaries as well as independe nt auditing reports thereof 
 
5) Documents received from their authorized councils that their banking operations involving receipt of deposits or participati on funds in the countries of 
establishment or operation have not been ba nned and / or such activities have not be 
restricted in any manner,  
6) Organizational structures, organizatio nal charts for operations outside the 
country of establishment and also for the country of establishment, detailed information and documents about its operati ons in the international financial markets 
and reports issued by a rating agency on su ch banks or financia l organizations, which 
also includes the envisaged rating thereof, 
 
7) A letter of commitment that reports concerning audits to be conducted by 
independent auditing companies authorized as per the legislation in the country where 
their head office is located shall be  submitted to the Agency annually, 
 8) Minutes of their last general assembly meeting as well as a list of partners 
holding more than ten per cent of capital, which is duly certified by competent 
authorities in the countries where their head offices are located. 
 (2) The Agency is entitled to request any add itional information and documents if deemed 
necessary. The Board is entitled to institute any op erations / procedures on the basis of different 
information and documents received. 
Establishment by overseas based banks of  their initial branches in Turkey 
 ARTICLE 5 -  
(1) Overseas banks intending to open their first br anches in Turkey must annex the following to 
their applications to be submitted to the Agency: 
  a) Their articles of association   b) Copies of resolutions adopted by their competent organs for opening up branches in 
Turkey 
  c) An operational program, which analyzes benefits expected from opening up a branch 
in Turkey, indicates operations to be carried out and operational plans containing  WT/TPR/M/259/Add.1 
 Page 111 
 
 
 methods of achieving internal supervision, internal control and risk management and 
incorporates the financial structure of the organization in a manner also containing the 
capital adequacy of the relevant projections thereof 
 ç) Past five years' balance sheets and pr ofit / loss schedules as well as independent audit 
reports thereof 
 
 d) Their partners / shareholders, organiza tional structures, organizational charts for 
operations outside the country of establishment and also for the country of establishment, detailed information and documents about its operations in the 
international financial markets and reports i ssued by a rating agency on such banks or 
financial organizations, which also includes the envisaged rating thereof 
  e) Documents received from their authorized councils that their banking operations 
involving receipt of deposits or participa tion funds in the countries of establishment 
or operation have not been ba nned and / or such activities have not be restricted in 
any manner 
  f) Minutes of their last general assembly meeting as well as a list of partners holding 
more than ten per cent of capital, which is  duly certified by competent authorities in 
the countries where their head offices are located 
 
 g) A letter of commitment that reports con cerning audits to be c onducted by independent 
auditing companies authorized as per the legi slation in the country where their head 
office is located shall be subm itted to the Agency annually 
 (2) The Agency is entitled to request any add itional information and documents if deemed 
necessary and similarly the Board is entitled to ins titute any operations / procedures on the basis of 
different information and documents received.  (3) (Additional Paragraph: OG-5/4/2008-26838) Information relating to the amendments 
occurred in the partnership structure of a bank estab lished abroad and operating in Turkey by branch 
opening shall be given to the Agency to be evaluate d within the scope of Article 9 (1/f) of the Law. 
Permissions for establishment or branch opening in Turkey of banks established abroad ARTICLE 6 – 
(1) Permissions for establishment or branch openi ng in Turkey of banks established abroad are 
granted pursuant to a resolution adopted by affirma tive votes of minimum five members of the Board. 
Resolution concerning permission is adopted within three months from the date of application or 
completion of any required information and documents in case of omissions in the application. In case 
of failure to make up for any omissions within six months, application is rendered null and void. 
(2) Any permission granted is issued in the Offi cial Gazette as well as in the Agency's weekly 
bulletin. It is obligatory that an operating permission has to be obt ained additionally for 
commencement of operations after the procedur es for establishment or opening up branches are 
concluded. WT/TPR/M/259/Add.1 
Page 112  
 
 Operating permissions 
 ARTICLE 7 –  
(1) Upon completion the procedures for establishmen t or opening up branches in Turkey in line 
with the provisions of the applicable legislati on and subsequent conclusion of the procedures for 
registration with and public announcement by the Trade Registry Office, an application is made to the 
Agency with a declaration to be completed as pe r Annex 5 to receive an operating permission. The 
application for operation permission has to be made until the end of the ninth month from the date of 
publication of the Agency resolution regarding the issue of establishment permission in the Official 
Gazette at the latest. 
 (2) The Agency examines if the capital of the ba nk applying for an operation permission has been 
paid in cash in a manner free of any fictitious and colorful transactions and if it is of such a level 
capable of achieving the operations defined by Artic le 4 of the Law, if it has technical equipment / 
hardware and adequate staff capable  of performing such operations, if its staff in managerial positions 
meet the conditions sought under the provisions gove rning corporate management covered by Section 
Three of the Law and if necessary arrangements have been made to ensure compliance of its operations with the principles of corporate management. 
Operating permissions are granted to those, whic h are considered appropriate following evaluation 
made, within maximum three months from the date of the initial permission application. Permissions 
granted take force as of the date of  publication in the Official Gazette. 
 (3) In the event that operating permissions grante d by the Board are limited to certain subjects of 
operation, the justification for such a limitation is  also notified to the applying bank in writing. 
 
(4) Pursuant to a notification to be made by th e Agency, the following must be submitted to the 
Agency prior to the publication of an operating permission in the Official Gazette:   a) Documents that minimum one fourth of the system entrance share, which is at a rate 
of ten per cent of the minimum capital i ndicated by paragraph (b) of the second sub-
paragraph of Article 10 of the Law, has b een deposited by the founders with the Fund 
and a letter of commitment that the balan ce will be deposited with the Fund account 
in three quarterly installments, 
  b) Documents that the obligation for the financial operati ng permission charges 
indicated by Tariff (8) attached to Act of Fees Nr. 492 dated July 2, 1964. 
(5) An additional time limit of up to six months from a notice by the Agency thereof is granted to 
those not meeting the conditions in the Law and th is Regulation to make necessary corrections and 
complete any omissions. Establishment permissions of  those not considered appropriate as a result of 
examination about new applications  made during this period are cancelled by a resolution of the 
Board, which is adopted by affirmative votes of minimum five members of the Board and such a resolution is notified accordingly and the establishmen t permission issued is rendered null and void as 
of the receipt of the notice thereof. Any such establishment permissions rendered null and void are 
published in the Official Gazette as well  as in the Agency's weekly bulletin. 
 (6) (Additional Paragraph: OG-5/4/2008-26838) In case of a bank which have granted the 
permission to open branches and operate in Turkey is  turned over to an other bank established abroad 
which have not granted these permissions; it is oblig atory that the bank transferee takes permission to 
open branches from the Board in order to continue their activities. The bank transferee shall apply for 
opening branch to the Agency within six months with  the documents determined within the Article 5.  WT/TPR/M/259/Add.1 
 Page 113 
 
 
 Until that the bank transferee grants the required pe rmissions, the permissions granted to the bank 
turned over are valid. If the required application is not made within this period, the operation 
permission granted to the bank turned over becomes invalid. Opening up representative offices in Turkey (Amended Article: OG-5/4/2008- 26838)
2 
 
ARTICLE 10 –  
(1) Opening up a representative office in Turkey  is subject to the Board's permission. The 
representative offices cannot accept deposit nor particip ation fund, cannot provide loan facilities and 
cannot conduct any activities determined within the Ar ticle 4 of the Law or be intervene to these acts. 
Principles and procedures relating to the activities of representative offices are determined by the 
Board.  (2) Only one person entitled as representative can wo rk in the representative offices. It is essential 
for any banks applying to establish representation o ffices to ensure that they have a sound financial 
                                                      
 2 Before amended pursuant the Regulation; 
 "Opening up representati ve office in Turkey 
ARTICLE 10- (1) Establishment by overseas based banks of representation offices in Turkey is subject to 
permission by the Board provided that such offices may not involve in admission of deposits and participation 
funds and banking operations.  (2) It is essential for any banks applying to establish representation offices to ensure that they have a sound 
financial structure, that as of the date of application, their equity in the head offices is not less than the minimum 
paid up capital required to be held by any banks to be established in Turkey and that there are no restrictions 
imposed on their operations and that they are operational for the last three years. 
(3) Overseas based banks intending to open up representation offices in Turkey must attach the following to 
their petitions of application to be submitted to the Agency: a) Financial reports and operational reports passing independent audits certifying that they are operational for 
minimum three years, 
b) Documents received from the official  authorities in the coun tries of the bank's in corporation or operation 
certifying that there has been no ban on the bank's operations of admission of deposits or banking operations 
there and that there have been no restrictions imposed on such operations, 
c) Copies of resolutions adopted by their competent organs for establishment of representation offices in Turkey, ç) A detailed report indicating justification for estab lishment of a representation office in Turkey, which is 
prepared in a comprehensive manner also indicating types and volumes of operations conducted with the banks 
and other natural persons and legal entities based in Turkey, d) A report prepared by a rating agency about the bank, if any, 
e) Information and documents on the bank's organizationa l chart and operations in international Money markets 
Detailed CV's of representatives intended to be appointe d, including information if they have been involved in 
any financial organizations in the last ten years. 
(4) (Additional paragraph: OG-24/07/2007- 26592) In case of a major amendment occurred in the partnership 
structure of a bank established abroad having the permission to open up representative office in Turkey or title 
amendments in case that another bank is turned over to this bank, giving information to the Agency related to 
these amendments is sufficient. (5) (Additional paragraph: OG-24/07/2007- 26592) In case of a bank established abroad having the 
permission to open representative office in Turkey is turned over to another bank which does not have the 
permission to open up represen tative office in Turkey with all of its ri ghts, receivables, debts and liabilities, the 
bank transferee shall submit the documents determined within the paragraph three to the Agency within six 
months. If these documents are not submitted to the Agency within six months, the permission to open up 
representative office of the bank is  annulled by the Board Decision.  
(6) (Additional paragraph: OG-24/07/2007- 26592) If, within the six months following the permission granted 
by the Board, the opening up of the representative office is not notified to the Agency, the permission to open up 
representative office granted to the bank is considered as invalid. 
(7) (Additional paragraph: OG-24/07/2007- 26592) Information relating to closed representative offices shall 
be given to the Agency. If the bank which had notified that its branch is closed would re-open a branch in 
Turkey it is obligatory that it re-apply to the Agency." WT/TPR/M/259/Add.1 
Page 114  
 
 structure, that as of the date of application, thei r equity in the head offices is not less than the 
minimum paid up capital required to be held by any ba nks to be established in Turkey and that there 
are no restrictions imposed on their operations and th at they are operational for the last three years. 
(3) Overseas based banks intending to open up representation offices in Turkey must attach the following to their petitions of application to be submitted to the Agency: 
 
 a) Financial reports and operational repor ts passing independent audits certifying that 
they are operational for minimum three years 
 b) Documents received from the official authorities in the countries of the bank's 
incorporation or operation certifying that there has been no ban on the bank's 
operations of admission of deposits or provi ding loan facilities, or conducting banking 
operations, including the ones determined with in the Article 4 of the Law and that 
there have been no restrictions imposed on such operations, 
 c) Copies of resolutions adopted by their competent organs for establishment of 
representation offices in Turkey, 
 ç) A detailed report indicating justification for establishment of a representation office in 
Turkey, which is prepared in a comprehensive manner also indicating types and volumes of operations conducted with the ba nks and other natura l persons and legal 
entities based in Turkey, 
 d) A report prepared by a rating agency about the bank, if any,  e) Information and documents on the bank' s organizational char t and operations in 
international money markets 
 f) Detailed CV's of representatives intended to be appointed, including information if 
they have been involved in  any financial organizations in the last ten years, 
 g) On condition that the legislation of th e country in which the bank is established 
allows; a guarantee taken from the bank assu ming that the documents requested will 
be provided. 
 (4) In case of major amendment of the partnership structure of the bank established abroad having 
permission to open representative office in Turkey or in case of turn over of that bank to another bank 
and in title amendments thereof, the Agency  shall be notified about these amendments. 
 
(5) In case of a bank established abroad having th e permission to open representative office in 
Turkey is turned over to another bank which do es not have the permission to open up representative 
office in Turkey with all of its rights, receivables,  debts and liabilities, the bank transferee shall have 
the permission of the Board to proceed its activities.  The bank transferee shall apply to the Agency 
with the documents determined w ithin the paragraph three within six months. Until that the bank 
transferee obtains the permission required, the permis sion of the bank turned over is valid. If within 
this period the required application is not ma de, the permission given to the bank for opening 
representative office becomes invalid.  (6) The address, phone and fax numbers of the re presentative office permitted shall be notified to 
the Agency within fifteen days following its opening  date. This obligation is valid in case of changes 
in this information. 
 (7) The Agency shall be notified in case of cl osures of representative offices. If the bank which 
notified its representative office closure wants to re- open a representative office in Turkey, it shall re-
apply to the Agency. 
 
(8) The permission for opening a representative o ffice is annulled if any of the following is 
realized; if the opening of representative office is not notified to the Agency within the six months 
following the permission, if the permission is grante d based on false statements, if the activities of 
bank to which the representative office is attached  are limited because of any reason, or if its  WT/TPR/M/259/Add.1 
 Page 115 
 
 
 bankruptcy or liquidation is adjudicated or it effects a composition in its home country, if it's 
ascertained that the representative office conducts ba nned activities, if the documents and information 
demanded by the Agency are not sent within the re quested periods by the re presentative office or by 
the bank attached. 
 
MALAYSIA 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE (1) MEASURE DIRECTLY AFFECTING IMPORTS 
(b) Safeguard measures 
 
Page 46, paragraph 49  Question 1  
Malaysia takes note the Secretariat's report wh ich states Turkey's amendment to the Decree 
which aims for a more effective application of safeguard measures.   In relation to safeguards, Malaysia would like to bring to the attention of TPR that the previous 
anti-dumping duty of 6.5% imposed on imports of PET from China, India, Indonesia, Korea, 
Malaysia, Taiwan and Thailand has expired on 27 January 2011.  The IA did not extend the AD 
measure for a review after the expiry. Hence, Malaysia implicitly noted that the Turkish 
domestic industry has recovered during the imposition period of the AD measure.  
 However, on 28 March 2011, Turkey initiated a sa feguard investigation on the same product. As 
evidenced from the indexed injury data as publ ished by Turkey in the WTO notification in 
documents G/SG/N/8/TUR/13, G/SG/N/10/TUR/13 and SG/N/11/TUR/16 dated 24 June 2011, 
Malaysia found that the Turkish domestic industry did not suffer serious injury.   Furthermore, the basis for Turkey to initiate and impose safeguard duty on PET is questionable 
because the Turkish domestic industry did emphas ise that the injury suffered by the industry 
was caused by the cheap imports, and the pric e is the important factor influencing customer 
preferences on PET.  
 In respect to above, what is the justification for Turkey initiating the safeguard investigation after terminating anti-dumping on the same product?  
 Turkey's answer: In Turkish national legislation on trad e remedies the conditions necessary to 
initiate investigations for anti-dumping, countervailin g and safeguard measures are clearly stated and 
if domestic producers make proper applications, the investigating authority has to take them into 
consideration. Following the initiation of the inv estigations under the legislation on anti-dumping or 
safeguard measures, all the rules and procedures unde r the related WTO Agreements have been taken 
into account. 
 
As it is known, Turkey regularly notifies the WTO Secretariat regarding the anti-dumping and 
safeguard measures taken. Please refer to Turkey's notifications on this issue.   
Question 2 
 
It is noted that Turkey has imposed safeguar d measures ranging from 7% to 8% on PET for 
3 years from 2011 to 2013. With the safeguard duty; and also the custom duty and value added tax (VAT) of 3% and 18% respectively applied on PET imported into Turkey, the maximum duty rates for import of PET have achieved almost 29%.  WT/TPR/M/259/Add.1 
Page 116  
 
 Could Turkish government justify how the higher safeguard duties of 7-8% could address the 
injury compared to anti-dumping duty of 6.5% esp ecially when the injury no longer exist on the 
domestic industry based on the termination of the previous anti-dumping duty? 
 
Turkey's answer: The anti-dumping measure on PET was revoked not because it was determined that 
there had been no injury on the domestic industry.  It was terminated since domestic industry did not 
make a substantiated written request within the time period governed by the domestic legislation that 
is no later than 3 months prior to the expiry date of the measure.  However, the domestic industry applied for a safeguard measure on the product concerned and 
safeguard measure of 8% has been determined in 2011 as a result of a safeguard investigation 
conducted under the rules and provisions of WTO Agreement on Safeguards. The results of the 
safeguard measure investigation have been notifie d to the WTO Secretariat, please refer Turkey's 
notifications on this issue. On the other hand, 18% value added tax is not a ta x specific to the imported 
products, it is collected also from domestic goods. So , it would not been accepted as a part of import 
duties.   
 
 
JAPAN 
 
The Government Report (WT/TPR/G/259) 
 
II. TRADE POLICIES 
(5) TURKEY'S ACCESSION PROCESS TO THE EU (ii) Developments in harmonization with the EU policies (a) Harmonization in commercial policies 
 
Question 1: Page 31, paragraph 163  Regarding the coverage of negotiations which ar e launched in accordance with Article 16 of the 
Customs Union between Turkey and the EU, is it  necessary that the FTA negotiations follow the 
same coverage and the commitments as those of the FTA between Turkey and the EU? For 
example, do the FTA negotiations include the a reas of trade in services and investments as well 
as trade in goods? 
 
Turkey's answer:  Article 16 of the Customs Union Decision reads that with a view to harmonizing 
Turkey's commercial policy with th at of the EU, Turkey shall align itself progressively with the 
preferential customs regime of the Community. To th is end, Article 16 requires Turkey to take the 
necessary measures and negotiate agreements on mu tually advantageous basis with the countries 
concerned.  As can be understood from the letter of this Article, this requirement concerns alignment with the EU 
in the area of commercial policy, more specifically preferential customs regime. Moreover, Article 16 
does not define the scope of agreements that Turk ey will negotiate with third countries or mention 
particular chapters that need to be covered by  the preferential agreements of Turkey. Finally, 
Article 16 includes the term of "mutually advantage ous basis" for the negotiations that Turkey will 
carry on with third countries.  
Accordingly, Turkey conducts Free Trade Agreemen t (FTA) negotiations with countries that EU has 
already an FTA, or conducts FTA negotiations or h as a perspective to conclude an FTA. Yet, the 
scope of these FTA's is not necessarily the same with  that of the EU. So far, Turkey's FTA's have 
included mostly trade in industria l goods and envisaged establishment of free trade areas between the  WT/TPR/M/259/Add.1 
 Page 117 
 
 
 countries concerned. In this perspective, while c onducting its FTA negotiations, Turkey would like to 
take into consideration its own needs and priorities.   Nevertheless, this does not mean that Turkey has not  been covering or will not cover such chapters as 
services or investment in its FTAs. In fact, many of  Turkey's FTAs already re fer to these issues with a 
view to developing the cooperation in these areas.  Moreover, the FTAs that we currently negotiate 
with South Korea and Ukraine include chapte rs in trade in services and investment. 
 In conclusion, the content of the FTAs of Turkey is not necessarily the same with that of the EU. 
Instead, Turkey and the country in question jointly decide on the scope of the Agreement on a 
mutually advantageous basis. 
 
Question 2: Page 31, paragraphs 163 
 Turkey is now under FTA negotiations with Sout h Korea. What is the current situation with 
regard to it?  
Turkey's answer:  Turkey and Korea initiated the FTA nego tiations on 19th March 2010, during the 
course of which three rounds and three inter-sessional meetings dedicated to trade in goods were held. 
The next round of negotia tions is scheduled to take place betwee n 6-10 March 2012, with a view to 
finalizing the Agreement in the first half of 2012. 
 
Question 3: Page 31, paragraphs 163 
 Regarding Article 16 of the Customs Union in force between Turkey and the EU, Turkey seems to recognize that it is necessary to advance th e FTA talks with the third country which is 
advancing the FTA talks with the EU. In Turkey's  view, does the EU share the same perception? 
If so, what is the basis of this mutual understanding? 
 
Article 16 of the Customs Union between Turkey and the EU 
 With a view to harmonizing its commercial poli cy with that of the Community, Turkey shall 
align itself progressively with the preferential customs regime of the Community within five 
years of the date of entry into force of this  Decision. This alignment will concern both the 
autonomous regimes and preferential agreements wi th third countries. To this end, Turkey will 
take the necessary measures and negotiate agreem ents on a mutually advantageous basis with 
the countries concerned. The Association Counc il shall periodically review the progress made. 
 Turkey's answer: In order to ensure smooth functioning of  the Customs Union, Turkey negotiates 
and concludes free trade agreements with third countri es in parallel with the EU . In this respect, once 
the European Commission receiv es the necessary mandate of the European Council to conduct 
negotiations with a third country, Turkey conveys its request to start FTA negotiations with that 
country as well.  
This does not always mean that Turkey should wait for the EU to advance its FTA negotiations with 
any country before advancing its FTA process. Th ere are some cases where Turkey achieves much 
more progress than the EU, as far as FTA negotiations with a third country is concerned.   The rationale of this understanding is the proper functioning of the Customs Union as well as enabling 
Turkish exporters to have equal market access opport unities with their European counterparts in third 
country markets. WT/TPR/M/259/Add.1 
Page 118  
 
 Lastly, it is codified in Decision No 1/95 of EC-Turkey Association Council that both parties of EU-
Turkey Customs Union share the same vision: alignm ent of preferential tariff regimes, in accordance 
with the objectives and scope of the Customs Union. Such vision automatically brings about a shared 
perception where FTA policy of EU is supposed to  be followed by Turkey with minimum gap in 
timing and in coverage of  core policy operations. 
 
Secretariat Report (WT/TPR/S/259) 
 
II. TRADE AND INVESTMENT REGIMES (4) INVESTMENT REGIME 
Para. 35, page 21 and Table II.5, page 22  
Question 4: Page 21, para. 35 and Page 22, Table III.6 
 The Secretariat's Report points out that cabotage is reserved for national flag carrier of Turkey 
Japan would like to clarify whether Cabotage Law No.815 or related laws has any exceptions 
which allow foreign flag carriers, for example, to carry empty containers between two Turkish 
ports.   
Turkey's answer:  The ships owned by the foreign reside nts in Turkey or by their companies 
established according to Turkish legislation do not ha ve the right to cabotage. There is no exception 
applied for that provision in Turkish legislation.  
 
III. TRADE POLICY AND PRACTICES BY MEASURE  (1) MEASURES DIRECTLY AFFECTING IMPORTS (vi) Application of internal taxes 
 
Question 5: Page 38, Table III.6  According to the description of the Automotive sector (in Page 94 of the Trade Policy Review), it is stated that in Europe, Turkey is the leading manufacturer of commercial and light 
commercial vehicles. Also, Turkey has made re markable progress in spite of the recent global 
economic crisis. For achievement of free and open  market access to the automotive sector in 
Turkey, Japan is of the view that it is time for Turkey to consider the elimination of the high 
tariff (10%) on both passenger and commercial ve hicles to be imported into Turkey. What are 
the views of Turkish government in this regard? 
 Turkey's answer: Turkey has been implemen ting the Customs Union Decision with the EU since 
1996. In that respect, Turkey is responsible fo r implementing the EU's common external tariff on 
industrial products which is 10 % for the passe nger cars and ranges from 10 to 16 % for commercial 
vehicles. Based on this, there is no room for Turkey  to apply unilaterally the tariffs lower than the 
Communities common custom tariffs for the said products. 
(3) MEASURES AFFECTING PRODUCTION AND TRADE 
(ii) Technical barriers to trade, standards and certification (c) Conformity assessment procedures 
 
Question 6: Page 64, Paragraph 87 
 
Regarding Conformity Assessment Procedures , Japan would like to know whether there are 
ICT products which are not covered by the EU 's new approach directive or which are required 
to meet additional testing.  WT/TPR/M/259/Add.1 
 Page 119 
 
 
 Turkey's answer: With regard to ICT Products, Turkey harm onized 3 related legisl ations of the EU. 
Low Voltage Directive (LVD), Electromagnetic Compatibility (EMC) and Radio and Telecommunication Terminal Equipment (RTTE). The products falling into these Directives are 
controlled in accordance with the requirements of  these Directives and seek CE marking. In 
accordance with the risk assessment system, related authorities may also demand testing. Moreover, 
for the Class 2 products of the RTTE Directive, Turk ey requires an application from importers before 
supplying to the market to check its confor mity with the national frequency system.  
 For a specific ICT product, further info rmation can be requested via website: 
http://www.economy.gov.tr/index.cfm?sayfa=Inquiry  
 
(xi) Trade-related intellectual property regime 
 
(Question7: Page 79, Paragraph 133) 
 The Constitutional Court's annulment of crimi nal provisions in the trademark decree No. 556 
and the late adoption of the new criminal provisions may have caused a legislative vacuum with respect to Article 61 of TRIPS. Consequently, lower courts acquitted the defendants in ongoing and pending criminal proceedings, which were in itiated during the effectiveness period of 
Decree No. 556, and also decided to return the counterfeit goods to the defendants. These goods 
may have been remarketed in Turkey and possibly in other countries as well. 
 
From the above-mentioned point of view, Japan would like to ask the following questions: 
 1. Criminal provisions for handling the counterfeit goods with commercial aims are important in order to prevent the seized count erfeit goods from being released back to the 
market. However, in the present Trademark La w, there seems to be no articles clearly 
prohibiting the handling of counterfeit goods with  a commercial aim. Therefore, Japan would 
like to make sure of the criminal provisions re garding penalties imposed on people who handle 
counterfeit goods under the present Trademark Law. 
 
Turkey's answer:  "Handling the counterfeit goods with comme rcial aims" does not stated clearly as 
a crime in the Law No: 5833 (entered into force:  27.01.2009) which regulates the actions constituting 
infringement of trademark right both civil and criminal perspective.   However, "to expose goods for sale" constitutes a crime entailing imprisonment from one year up to 
three years and judicial fine up to 20,000 days according to the same Law.  
 
To explain which situations can be regarded as "to expose goods for sale", the following example can 
be given: If counterfeit goods stored in the shop where selling is done, this considered as "to expose 
goods for sale" by prosecutors and judges.  
Moreover "Handling the counterfeit goods with comme rcial aims" can be sued in civil courts by 
asking:  
 
- precautionary measures,  - prevention or cessation of infringement, - damages, - confiscation of the products and equi pment/machinery used in production of 
counterfeit goods,  
- transferring the ownership on the products and the means seized,  - destruction of the products and vehicles seized. WT/TPR/M/259/Add.1 
Page 120  
 
 2. What is the status of the discussion in Parliament with regard to the amendment of the 
Trademark Law in which the criminal provisions for handling counterfeit goods with commercial aims are stipulated? 
 
Turkey's answer: Article 61(a) Law (changed by Law no: 5833) of the Trademark Decree Law 
which is currently in force is compatible with  the TRIPS Agreement and stipulates that "those 
producing goods or rendering services, offering fo r sale or selling goods by way of infringing 
trademark rights of a third party shall be sentenced to an imprisonment term of between one and three 
years and to pay a fine up to twenty thousand days. The Draft Trademark Law which was being evaluated in the National Assembly Commissions w as lapsed as it could not be adopted before the 
June 2011 elections. The Law No 5833 which co mprises the criminal provisions for trademark 
infringement was already adopted by the Turkish National Assembly as of 21/01/2009.  
IV. TRADE POLICIES BY SECTOR 
(3) MANUFACTURING 
(i) Automotive sector  
Question8: Page 95 , Paragraph 54  
 
It can be understood that the special consumpt ion tax will be reduced from 37% to 3-15% for 
vehicles with electric engines. What would be th e reduction plan and/or the idea for a special 
consumption tax for Plug-in Hybrid and Hybrid engine vehicles in the future?    
Turkey's answer: Some taxation advantageous were introduced to vehicles with electrical motor in 
terms of Special Consumption Tax under the De cree of the Council of Ministers No. 2011/1435 and 
the Decree of the Council of Ministers No. 2011/2304.  
 
Works have been going on the taxation system whic h promotes the usage of eco-friendly vehicles with 
low emission of CO
2 (electrical, hybrid and other vehicles with low emission of CO 2).   
 
(4) SERVICES (ii) Telecommunication 
 
Question 9: Page 101 , Paragraph 76 
 
Japan would like to know the criteria for the en terprises deemed to possess significant power in 
the relevant market. Do these ente rprises correspond to the 'major supplier' referred to in the 
WTO Reference Paper? 
 
Turkey's answer:  Information and Communications Technology Authority (ICTA), being the 
national regulatory authority in Turkey, has the power to make ex-ante intervention in order to ensure 
effective competition environment in the electronic communications sector through analyzing the competition level of the relevant markets by means of market analyses and to impose obligations on 
the operators which are deemed as having significant market power (SMP). The criteria used for the 
designation of SMP operators have been determined  in accordance with the EU legislation. Within 
this context, market shares of the operators are considered as the primary criteria. Furthermore, the 
following criteria may also be used in addition to  the market shares of the operators by ICTA: 
 
a) Control of infrastructure which is not easily duplicated, 
b) Technological advantages or superiority, c) Lack of countervailing buying power, d) Easy or privileged access to capital markets/financial resources, e) Product or services diversification,  WT/TPR/M/259/Add.1 
 Page 121 
 
 
 f) Economies of scale, 
g) Economies of scope, h) Vertical integration, i) Highly developed distribution and sales network, j) Lack of potential competition, 
k) Barriers to expansion. 
 
(v) Construction 
 
Question 10:  Page 106, Paragraph 101 
 
In the case of a project in international bidding, a contractor is to pay three types of stamp taxes 
which are levied on a bidding result document , on a contract document, and on documents 
about piece rate payment. As for documents relat ed to piece rate payment, Japan considers that 
it is inappropriate to impose a stamp tax on them because they are a contractee's internal 
documents, and therefore this stamp tax should be abolished. In addition, there seems to be a 
situation in which Turkish companies are exempt ed from these documentary stamp taxes while 
foreign companies are not. Japan considers that such unfair treatment is occurring, then it 
should be abolished. Japan would like to know the view of Turkey.  
Turkey's answer: The Article 1 of the Stamp Tax Law No.488 stipulates that the documents stated in 
Table (1) which is annexed to Law No. 488 are subject to the Stamp Tax. In addition, the Article 3 of 
Stamp Tax Law No. 488 stipulates that the taxpayers  are the individuals who sign the documents and 
individuals are liable to pay the stamp tax which is levied on the documents related to the transactions 
performed between the public agencies and individuals. 
 
The documents which are stated below are subjec t to proportional stamp tax pursuant to annexed 
Table (1) of Stamp Tax Law No. 488:  
- The contracts which includes constant amount of money, (stated in chapter of 
Table (1) highlighted as " I-The Documents Related to Contract ")  
- Every decision of tender of government agen cies and institutions, which are subject to 
tender law or not, (stated in chapter of Table (1) highlighted as " II-The Decisions and 
Mandates ")   
- The documents grant the payments pertaining to purchase of goods and services of 
government agencies (stated in 1/a paragraph of chapter of Table (1) highlighted as 
"IV-The Receipts and Other Documents "). 
 Stamp Tax Law No. 488 stipulates that the individual s and corporations are liable to pay stamp tax; 
those who win the tender in respect of tenders initiated by the government agencies, those who sign 
the contracts in respect of the contracts and t hose the goods are purchased from or services rendered 
from (without making any discrimination between the domestic and foreign companies) in respect of 
receipt of payment. It is not obstacle for the taxation of documents in respect of stamp tax that there is 
no signature on decisions of tender and receipts of payment aforesaid.  On the other hand, the Article 2 of Stamp Tax La w numbered 488 stipulates that the documents which 
are set out relevant to operations which are orient ed to earn foreign exchange are exempt from Stamp 
Tax. In respect of implementation of this article , what are the foreign exchange earning-oriented 
operations is stated within it. Additionally, this artic le also stipulates that fundamentals and procedures 
pertaining to application of this article are determin ed by the Ministry of Finance and the Ministry of 
Economics collectively. WT/TPR/M/259/Add.1 
Page 122  
 
 The operations which are promoted according to the Communique No.1 "Exemption of Stamp and 
Fee In Foreign Exchange Earning Operations" based on the jurisdiction of the Additional Article 2 of 
Stamp Tax Law are stated and the domestic companie s that undertake works (w orks which are similar 
to those financed by foreign exchange or subjected  to international tenders as well as being included 
in current investment programs) which are iden tified within those operations benefit from the 
provision of exemption in the scope of Certificat e of Stamps and Fee Exemption which is obtained 
from the Ministry of Economy.    In this Communique, the "domestic company" is  identified as a company which is established 
according to the Turkish Commercial Law No.6762 and full taxpayers in respect of tax 
implementations. In accordance, the "domestic manu facturer" and "manufacturer" are identified as 
those which carry on production operations, which are full taxpayers in respect of tax implementations 
and established according to the Tu rkish Commercial Law No.6762. 
 The government aims to promote the improvement of  industry of Turkey and to impede the foreign 
exchange to outflow to abroad making the domestic  companies perform the operations pertaining to 
tenders within aforesaid regulation.   The exemption of Stamp Tax does not apply on the documents set out relevant to operations undertaken by the foreign companies and the Certific ate of Stamp Tax and Fee Exemption is not given 
by the Ministry of Economy to the foreign compan ies in consortiums which are undertaken by foreign 
companies or established as a partnership of domestic and foreign companies due to the fact that 
foreign companies do not bring Turkey foreign exchange. 
 
Question 11: Page 106 , Paragraph 101 
 
Turkey stipulates that foreign companies shall em ploy five Turkish workers per foreign worker.  
Japan would like to know the purpose of this reg ulation and, if any, the prospects for the 
amendment of this regulation.  
 
Turkey's answer:  The evaluation criteria of Ministry of Labor and Social Security that requires the 
employment of five Turkish workers per foreign wo rker is based on the Article 13 of the Regulation 
on the Implementation of the Law on Work permits of Foreigners. This criterion is not applied to the 
categories of natural persons covered under Tu rkey's obligations under the GATS, including 
administrative and technical personnel, managers-e xecutives, specialists, and service sellers. On the 
other hand, for service suppliers who do not fall under these categories and not covered by our GATS commitments, the above-mentioned evaluation crite rion is applied. The main reason behind this 
limitation is to decrease the unemployment rate in Turkey.  
 
Question 12: Page 106, Paragraph 101 
 
In order to acquire an engineer's work permit, an "Equivalency Certificate" published by the 
Higher Education Board in Turkey is required. However, it would take more than six months 
from the date of application to get this certificate. Japan is of the view that such requirements 
should be changed to documentation such as a report detailing the rank of the schools or faculties published by the Overseas Establishm ents of Turkey. Japan would like to know the 
view of Turkey.  
Turkey's answer: The Ministry of Labor and Social Security is working on easing and simplifying 
the application process for the foreign engineers who work for the foreign direct investment 
companies. The studies on shortening the period for gr anting engineer's work permits are in progress. 
  WT/TPR/M/259/Add.1 
 Page 123 
 
 
 SAUDI ARABIA 
 
Secretariat report (WT/TPR/S/259) 
 III. TRADE POLICIES AND PRACTICES BY MEASURE 
(x) Anti-dumping, countervailing duty, and safeguard regimes  
(a) Anti-dumping and countervailing measures 
 
Paragraph 45 states: 
 
The legislative framework for the imposition of anti-dumping and countervailing 
measures has remained unchanged since Turk ey last Trade Policies Review.  Turkey 
revised its legislation in 1999 to conform to the relevant WTO Agreements and its Customs Union obligations.  At present, th e framework consists of Law No. 4412/1999 
on the Prevention of Unfair Competition in Imports; Decree No. 13482/1999 on the 
Prevention of Unfair Competition in Impo rts, amended by Decree No. 9840/2005; and 
the Regulation on the Prevention of Unfair  Competition in Imports, amended in 2002 
and 2006. The provisions of the WTO Agreement on Subsidies and Countervailing Measures and the Agreement on Implementation of Article VI of the GATT 1994 (Anti-Dumping Agreement) would be observed in ca se of any inconsistency between domestic 
legislation and Turkey's multilateral obligations. 
 
1. Question:  As Turkey is aware, Article 2.2.1.1 of the Anti-Dumping Agreement provides 
that for the purpose of a dumping determination, co sts shall normally be calculated on the basis 
of records kept by the exporter or producer under investigation, provided that such records are 
(i) in accordance with the generally accepted ac counting principles of the exporting country and 
(ii) reasonably reflect the costs associated with  the production and sale of the product under 
consideration.  Under what circumstances would the Turkish authorities find that record costs do not "reasonably reflect the co sts associated with the production and sale of the product 
under consideration" within the meaning of this provision? 
 
Turkey's answer:  The circumstances which may cause that records be found not "reasonably reflect 
the costs associated with the production and sal e of the product under consideration" are assessed 
according to the specific facts of each case. 
Paragraph 46 states in part: 
 
The Directorate General of the Ministry of Economy is in charge of preliminary 
examination, upon complaint or ex officio
3.  Should the Directorate General conclude 
that an investigation is justified, it will fo rmalize a recommendation to this effect to the 
Board of Evaluation of Unfair Competition in Importation which, if it concurs, will authorize the Directorate General to carry out the investigation. […]  The Board may 
make proposals in the course of an investigation, evaluates the results, and submits decisions on the imposition of provisional and/or definitive measures to the State 
Minister in charge of foreign trade affairs, for approval.   
 
                                                      
3 A complaint made "by or on behalf of the domestic industry" must fulfil the requirements laid down 
in Article 5.4 of the WTO Anti-Dumping Agreement.  Examinations must be completed within 45 days, and 
decisions to initiate an investigation must be publishe d in the Official Gazette.  The Turkish authorities may 
decide to initiate an investigation ex officio  if the affected industry is fragmented with an exceptionally large 
number of producers, provided sufficient evidence exists to indicate dumping, injury, and a causal link. 
According to the authorities, no ex officio investigations have been initiated. WT/TPR/M/259/Add.1 
Page 124  
 
 2. Question:   
 
(a) At the stage of the preliminary examination, what are the criteria used by the 
Directorate General in determining whether an investigation is "justified", and what basis do such criteria have in WTO rules? 
(b) Following receipt of the recommendation from the Directorate General, what 
criteria are used by the Board of Evaluation in authorizing the Directorate General to carry out the investigation, a nd what basis do such criteria have in 
WTO rules? 
(c) What criteria are used by the Board of Evaluation when it makes 
recommendations to the State Minister wi th respect to the imposition of 
provisional and/or definitive measures, and what basis do such criteria have in WTO rules? 
 
Turkey's answer:  Turkish anti-dumping legislation (i.e. law, decree and regulation) is in conformity 
with WTO Anti-Dumping Agreement. Please refer to the related provisions of both domestic 
legislation and agreement.  
Paragraph 47 states: 
 
Use of anti-dumping measures has been rising over the years in Turkey.  As of 
August 2011, Turkey had 118 anti-dumping duty measures in force, compared with 93 at 
the end of 2007, and 27 at the end of 2002
4.  China (47) is the main exporter affected by 
these measures, followed by Indonesia (10), India and Chinese Taipei (8 each), and 
Thailand and Malaysia (7 each).  Anti-dumping  duties affect mostly textile and clothing 
items, base metal products, plastics a nd rubber articles, and a range of other 
manufactured goods such as lighters and  pencils (Tables III.11 and III.12). The duties 
are either expressed in ad valorem rates or in specific terms (US$/unit). 
3. Question: Turkey has increased its anti- dumping measures apparently by over 300% 
within a ten-year period.  Can Turkey please expl ain why it has chosen to increase is recourse to 
anti-dumping duties so significantly during this period? 
 Turkey's answer: As it is known, anti-dumping measures are used to deal with the unfair competition 
conditions caused by dumped imports. In this re gard, the increasing number of anti-dumping cases is 
the result of the increasing unfair competition practices.  
IV. Trade Policies by Sector 
(2) Energy  
Paragraph 30 states in part: 
 
The projected increase in energy demand will require considerable investments to expand the energy infrastructure.  As the private sector is expected to lead the way in 
financing these investments, the Turkish Gov ernment has taken steps to reduce its own 
involvement on the supply side, and provide a more transparent, predictable, liberalized and competitive framework for privately owned operators in the energy market.  Between 2001 and 2007, Turkey passed new legislation to reform the energy sector, 
including the Electricity Market Law (2001) , the Natural Gas Market Law (2001), the 
                                                      
4 Of these 118 anti-dumping duties, 14 were anti-circumvention measures taken against 10 trading 
partners in 6 product groups.  Anti-circumvention provisions were incorporated in Turkey's legislation through 
Decree No. 9840/2005.  WT/TPR/M/259/Add.1 
 Page 125 
 
 
 Petroleum Market Law (2003), the Liquefied  Petroleum Gas (LPG) Market Law (2005), 
the Law on the Utilization of Renewable Energy Sources for the Purpose of Generating 
Electrical Energy (2005), the Energy Efficien cy Law (2007), the Law on Geothermal 
Resources and Natural Mineral Waters ( 2007), and the Law on Construction and 
Operation of Nuclear Power Plants and Energy Sale (2007).  The Energy Market 
Regulatory Authority (EMRA) was establis hed in 2001 to perform independent 
regulation and supervision of the market and its operators.  Despite the reform efforts, 
Turkey's market for petroleum and petroleum products is still dominated by large state-
owned or former state-owned enterprises, i.e. the Turkish State Petroleum Company (TPAO), the Turkish Petroleum Refinery Corporation (TÜPRA Ş), and the Petroleum 
Pipeline Corporation (BOTA Ş).   
 4. Question:  Could Turkey please explain what  steps have been taken to expand its energy 
infrastructure?  Could Turkey also please explain how the laws listed in this paragraph will lead 
to "a more transparent, predic table, liberalized and competitive framework for privately owned 
operators in the energy market"?  
Turkey's answer:  Legislative and administrative framework of the Turkish electricity sector which 
have been undergoing a massive program of moderni zation, restructuring and liberalization during the 
last decade further encourages local  and international entrepreneurs to invest in Turkey, which in 
return has turned out to be one of the most favor ed destinations of energy investments throughout the 
world.   
 The regulatory framework governing electricity sector and significant steps taken towards a fundamental restructuring of the electricity sector si nce The Electricity Market Law came into effect 
in March 2001, with the objective of developing a transparent and competitive electricity market, 
achieving stability of supply, and ensuring high qua lity and inexpensive electricity. With EML, the 
electricity market was restructured, the state monopolies were unbundled and the competition in the 
market was allowed, where possibl e. If not, as in the case of natural monopolies, competition for the 
market was implemented and the majority of th e distribution regions have been privatized.  
 The Electricity Law created an independent Energy  Market Regulatory Authority (EMRA), which is 
responsible for regulatory functions such as licen sing, supervising, tariff setting and market 
monitoring. Additionally, participants in all market  segments (generation, transmission, distribution, 
wholesale (trading) and retail) are required to be licensed by the EMRA. The law also requires that 
separate accounts be maintained for each licensed act ivity and location, each with specific rights and 
obligations. Our regulatory framework also prov ides non-discriminatory and regulated third party 
access to the electricity grid and distribution system. 
 As a result of the aforementioned Electricity Ma rket Law and the relevant secondary legislation 
passed since then provides a fair framework for competition. Consum ers directly connected to the 
transmission system or with annual consumption of a certain threshold are el igible to choose their 
suppliers. That threshold which was originally set  to 9 GWh (Gigawatt Hour) per year has been 
reduced annually by EMRA and re-determine d in January 2011 as 25.000 kWh. This figure 
corresponds about 80% market openness. The Electric ity Market and Security of Supply Strategy 
paper provides that the threshold level will continue  to be decreased on a regular basis in order to 
increase market openness rate in electricity consum ption. Accordingly, users will become fully 
eligible by the end of 2015.  
 
It should be noted that legislative reform of the sect or have been prepared and adopted in line with the 
relevant EU rules and practices as Turkey is a candidate country for full membership. The main priority has always been harmonization with the EU acquis and integrating with the EU integral 
energy market and benefiting from the experiences of the EU member countries. Consequently, WT/TPR/M/259/Add.1 
Page 126  
 
 legislative framework governing Turkish energy sector is one of the most up to date and modern one 
in the region. As of 2007, the EU Commission decl ared no opening criteria for the commencement of 
negotiations in the energy chapter and invited memb er states to approve to open this chapter.  
 In natural gas markets, a similar path h as been followed, though relatively slowly.  
 
In the downstream oil market, price regulations we re abolished and the limitations on imports were 
removed. State-owned refinery company was priva tized and 2 new refinery licenses are granted by 
EMRA, not the mention more than 50 wholesale distributors.  
Since the restrictions in private ownership and the price regulations in the energy markets are 
eliminated, completion rules dominate the market  and the price signals constitute the necessary 
information and incentive for new investments. The functions ca rried out by the independent 
regulator, ie. licensing, ratemaking and supervising are transparent and highly transparent. Turkish 
policymakers are committed to follow through the lib eralization steps and many times expresses their 
full backing for these policies.  
 The private investors, domestic and foreign alike, have already appreciated the steps taken and shown 
enormous interest in Turkish energy market.  Turkey has been experiencing rapid demand growth  second country after China. In order to meet 
growing demand, investment requirement of Turkis h energy sector is one hundred and twenty (120) 
billion dollar until 2020. Investments make by privat e sector in the context of competitive energy 
market conditions in Turkey.  Both domestic and foreign investments are growing as a result of liberalization and transformation of 
energy markets in Turkey.  
THAILAND 
 
Question regarding the secretariat report 
 II. TRADE AND INVESTMENT REGIMES 
Page 16 (paragraphs16-17) 
 "The Customs Union between Turkey and the EU entered into force on 1 January 1996 according to the Decision No. 1/95 of the Turkey-EU Association Council.
5  The Customs Union 
provides for a common external tariff (CET) for the products covered, and foresees that Turkey 
will align its trade-related legislation with the EU acquis  in several areas essential for market 
access, e.g. with respect to product standards.6  The Customs Union covers all industrial 
products as well as the industrial component of processed agricultural goods, TRIPS, and 
competition policy, but does not extend to agric ultural commodities, services, or government 
procurement.7  Unlike members of the European Economic Area, Turkey may be subject to 
anti-dumping and countervailing measures taken by the EU.  Trade in agricultural products is 
regulated according to Decision No. 1/98 of the Association Council.8  A free-trade area has 
                                                      
5 The Association Council is the main deci sion-making body of the association.   
6 Until 1 January 2001, Turkey was allowed to main tain import duty rates above the CET for certain 
"sensitive" products, i.e. at the outset 290 items at the HS 12-digit level. 
7 Negotiations addressing services and government procurement were launched in 2000, but are now 
part of Turkey's accession process.   
8 Free movement of agricultural goods is an agreed common objective, but no firm timetable has been 
set for the integration of agriculture into the Customs Union.    WT/TPR/M/259/Add.1 
 Page 127 
 
 
 existed since 1996 between Turkey and the EU fo r products covered by the European Coal and 
Steel Community. 
 
Turkey was granted the status of candidate country for EU membership at the Helsinki 
European Council in 1999.  Subject to the fulfil ment of certain conditions, EU member states 
endorsed "enlarging and deepening" the Cust oms Union and opening accession negotiations 
with Turkey at the Copenhagen European Council in December 2002.  Negotiations began on 3 October 2005.  By September 2011, 13 negotiation chapters had been opened, and one of them provisionally completed.
9"   
 
Questions:  1. As currently, the Customs Union between Turkey and the EU do not cover agricultural 
commodities, services, or government  procurement, are all of these areas now part of Turkey's 
negotiation process for its accession to the EU?  When does Turkey expect the accession process 
be completed?  
Turkey's answer: Turkey's accession negotiations with the EU  are being conducted in line with the 
"Accession Negotiations Framework Document for Tu rkey", which was adopted by the EU Council 
on 3 October 2005. The Negotiation Framework Docume nt defines the principles and procedures that 
will be followed during the course of accession negotia tions. It also determines the chapters of the  
acquis  on which the accession negotiations will take place. In this context, Turkey's accession 
negotiations are conducted on 33 chapters including  those mentioned in Thailand's question namely, 
"Agriculture and Rural Developmen t", "Right of Establishment and Freedom to Provide Services", 
and "Public Procurement". 
When it comes to the second part of the question,  which is Turkey's expectation regarding the 
timeframe for completion of the accession negotiations, it would be beneficial to give first information 
on the current state of play of the negotiations.  Since October 2005 when the accession negotiations have launched, Turkey could manage to open 
13 chapters. Out of these 13 chapters, negotiations  on "Science and Research" have been provisionally 
closed. On the other hand, negotiations on the fo llowing 12 Chapters are still ongoing: Enterprise and 
Industrial Policy, Financial Control, Statistics, Consumer and Health Protection, Trans-European 
Networks, Free Movement of Capital, Intellectua l Property Rights, Corporate Law, Information 
Society and Media, Taxation, Environment, Food Safety, Veterinary and Phytosanitary Policy.  However, in 2006, the European Council has decided to suspend the accession negotiations 
on 8 Chapters on the grounds that Turkey has not fulfilled its commitment stemming from the 
Additional Protocol and has not extended the Customs Union to all members of the EU in the aftermath of the EU's enlargement of 2004. In that respect, until the time the European Council 
decides that Turkey fulfills its commitment ste mming from the Additional Protocol, screening reports 
will be prepared, opening criteria w ill be determined for the relevant  chapters; but negotiations will 
not start in these 8 chapters that have been suspended and will not be closed on those that have already 
opened. 
 The 8 chapters suspended by the European Council are as follows: Free Movement of Goods, Right of 
Establishment and Freedom to Provide Services , Financial Services, Agriculture and Rural 
Development, Fisheries, Transport Policy, Customs Union and External Relations. 
                                                      
9 EU (2011). WT/TPR/M/259/Add.1 
Page 128  
 
 In addition, while Greek Cypriot Administration ha s been blocking negotiations on 6 chapters (Free 
Movement of Workers; Energy; Judiciary and Fundamental Rights ; Justice, Freedom and Security ; 
Education and Culture ; Foreign, Security and Defence Policy) for some political considerations, 
France has also been hindering opening of negoti ations in 5 chapters (Agriculture and Rural 
Development; Economic and Monetary Policy; Re gional Policy and Coordination of Structural 
Instruments; Financial and Budgetary Provisions; Ins titutions) on the grounds that those chapters are 
directly linked to the EU membership.  Given the above, Turkey is now facing a situation where more than half of the negotiation chapters 
have been suspended or blocked by political re asons and hence negotiations on these chapters cannot 
be opened. Moreover, in the other half of the chapte rs negotiations cannot be cl osed even the technical 
criteria set for these chapters have been fulfilled by Tu rkey. As a result, in the last 2.5 year, no chapter 
could be opened for negotiations. For the time being, there are only three chapters namely, 
Competition Policy, Public Procurement, and Social Policy, in which the negotiations can start in case 
the necessary technical conditions are met by Turkey. 
 
In this respect, it is especially regrettable to see that such chapters as Free Movement of Goods, 
Customs Union or External Relations where Turkey has already made remarkable alignment with the 
EU acquis  following the Customs Union, take place among the suspended chapters. It is also 
noteworthy that Croatia who has launched its acce ssion negotiations on the same date with Turkey, 
has signed the Accession Treaty with the EU in December 2011. 
 
Accordingly, under such circumst ances where almost all of the negotiation chapters have been 
blocked somehow by political reasons, it is not easy to mention a date for the completion of accession 
negotiations. Nevertheless, Turkey has been exer ting all the efforts to fulfill the requirements 
stemming from the accession process and to meet the technical criteria set for the opening or closing 
of the chapters.  
Finally, Turkey would like to recall that according to the "Accession Negotiations Framework 
Document", the ultimate objective of negotiations is full membership. In this respect, Turkey is of the 
opinion that the accession negotiations should be con ducted on equal footing w ith the other candidate 
countries respecting the principle of pacta sunt servanda  and hence should not be obstructed by 
political considerations.  2. As the Secretariat Report states that as of September 2011, only of 13 negotiation chapters of the accession negotiation is provision ally completed, does Turkey plan to integrate 
agricultural commodities into its Customs Union wi th the EU before the accession is completed? 
 
Turkey's answer:  It should be noted that, the 13 negotiation chapters referred to in the second 
question have been opened for accession negotiati ons, and of these 13 chapters, one has been 
provisionally closed. Two negotiation chapters ar e related to agriculture, namely, Chapter 11-
Agriculture and Rural Development and Chapter 12-Food Safety, Veterinary and Phytosanitary 
Policy. Accession negotiations under Chapter 12 were opened in June 2010. Based on the 
recommendations of the EU Commission, in Dece mber 2006, the European Council decided not to 
open negotiations on eight chapters of the acquis,  including among others, Chapter 11-Agriculture and 
Rural Development. Article 25 of the Associa tion Council Decision No. 1/95 establishing Customs 
Union between Turkey and the EU states that Turkey shall adjust its policy in  such a way as to adopt 
the common agricultural policy measures required to establish freedom of movement of agricultural products. Free movement of agricultural goods is  an agreed common objective; however no firm 
timetable has been set for the in tegration into the Customs Union.   WT/TPR/M/259/Add.1 
 Page 129 
 
 
 Page 20 (paragraph 28) 
 "Turkey is currently engaged in negotiations with the Faroe Islands, the Gulf Cooperation Council, MERCOSUR, Ukraine, Moldova, Colomb ia, Ecuador, Libya, Seychelles, Korea, 
Cameroon, Democratic Republic of Congo, and Ma laysia.  Turkey has initiated the launch of 
negotiations with:  Mexico; the South Afri can Customs Union (SACU); Algeria; ASEAN 
countries;  Indonesia;  India;  the Africa, Ca ribbean and Pacific (ACP) countries;  Canada;  
Peru;  and Central America.  Moreover, exploratory talks with the CARICOM Secretariat were held in 2009.  To date, Mexico, SACU, and Algeri a have not responded to Turkey's invitation to 
engage in FTA negotiations." 
 
Question 
 3. As it is indicated that Turkey has initiated the launch of FTAs negotiations with a number of countries and economic blocs, could Tu rkey elaborate on its priorities for these 
prospective FTAs negotiations, including the time line it has expected to conclude negotiations 
with the countries mentioned? 
 
Turkey's answer: Turkey identifies its prospective FTA partne rs in line with EU's preferential trade 
policy. Once the EU launches negotiations with a th ird country, Turkey conveys its request to start 
FTA negotiations with that country as well.  
 
Among its prospective FTA partners, Turkey does not tend to make a systematic prioritization, as all 
these countries are equally important in terms of cl osing negotiations and harmonizing Turkey's trade 
policy with that of the EU.  
 
Among Turkey's prospective FTA partners, some countries have higher trade creation potential and 
seem to bring remarkable benefits for Turkey's econom y. However, this situation does not lead Turkey 
to put all its efforts to conclude FTA talks with  those countries and neglect other ones. Since the 
Ministry of Economy, the institution which is r esponsible for executing FTA  operations, has enough 
formal, financial and human resources capacity to  conduct negotiations with diverse countries 
simultaneously, it is able to handle FTA negotiations  with all prospective pa rtners simultaneously, 
without giving priority to any country over anot her. Timelines for negotiations with each single 
county is set in accordance with the progress made dur ing that negotiations and the availability of both 
parties.  
 
THAILAND – ADDITIONAL WRITTEN QUESTIONS 
 Questions regarding the secretariat report 
 III. TRADE POLICIES AND PRACTICES BY MEASURE 
 
Page 44 (paragraphs 42-43) 
 
"The basic legal provisions on Turkey's non-pref erential rules of origin are set out in Customs 
Law No. 4458, Articles 17 to 21.  Pursuant to the Customs Union Decision, Turkey has been 
applying the same rules of origin as the EU to third countries since 1 January 1996.  
 
Turkey's preferential trade agreements set out pref erential rules of origin, normally based on a 
wholly obtained or substantial transformation cri terion, with scope for cumulation.  Turkey has 
been part of the Pan-European Origin Cumu lation System since 1 January 1999.  The 
arrangement allows the use of any material from  any country within the zone (EU, EFTA, and 
Turkey) to produce a good whilst retaining preferential origin.  This diagonal cumulation WT/TPR/M/259/Add.1 
Page 130  
 
 system has been extended to the Faroe Islands and to Mediterranean countries participating in 
the Euro-Mediterranean partnership through th e Barcelona Declaration of 2004.  Thus, the 
Pan-Euro-Mediterranean Cumulation System operates on the same principle.
10  The application 
of diagonal cumulation requires the implementation of identical rules of origin among the parties.  Turkey is still conducting an internal evaluation regarding the adoption of the EU's 
new GSP legislation, which includes revised rules of origin."   
 Question  1. How long will the internal evaluation pr ocess for the EU's new GSP legislation take?  
After the completion of evaluation, how long will it take for such legislation to be adopted?  
Regarding this point, Thailand would like to re quest that Turkey publish the changes of its 
legislation regarding the implementation of the GSP scheme at least 6 months in advance in order to allow the beneficiary countries sufficient time to prepare and adjust to the changes, 
which will enable them to better comply with the rules. 
 Turkey's answer:  Internal evaluation process regarding the adoption of new EU legislation on 
revised GSP rules of origin and c overing consultation with the private sector has been still going on. It 
is not possible to give any time schedule for adopting the new legislation.  
Page 46 (paragraph 47) 
 
"Use of anti-dumping measures has been rising over the years in Turkey.  As of August 2011, 
Turkey had 118 anti-dumping duty measures in fo rce, compared with 93 at the end of 2007, 
and 27 at the end of 2002.
11  China (47) is the main exporter affected by these measures, followed 
by Indonesia (10), India and Chinese Taipei (8 ea ch), and Thailand and Malaysia (7 each).  Anti-
dumping duties affect mostly textile and clot hing items, base metal products, plastics and 
rubber articles, and a range of other manufactu red goods such as lighters and pencils (Tables 
III.11 and III.12).  The duties are either expressed in ad valorem  rates or in specific terms 
(US$/unit)."  Question  
2. The Report mentions that as of August 2011, Turkey had 118 anti-dumping duty 
measures in force and the number is rising ever y year.  However, Thailand finds that not all 
documents provided by Turkey during the proceedi ngs of anti-dumping investigations, such as 
petitioner's complaint and final determination, ar e in English, which have created hindrance to 
our producers/exporters from making a response in time.  Does Turkey have plans to provide all 
relevant information in English to all relevant parties in the near future?  
Turkey's answer: The language of the application form for the domestic producers and the final 
disclosure is Turkish. On the other hand, th ere is no language criterion in the Anti-Dumping 
Agreement regarding the investigation procedur es. Although there is no language criterion, the 
exporter questionnaire is in English and responses by the exporters in English language are accepted 
by the Investigating Authority.  
                                                      
10 Like the EU, which publishes entry dates for Pan-Euro-Mediterranean rules of origin protocols in its 
Official Journal , the Ministry of Customs and Trade publishes a "notice" in the Turkish Official Gazette  
informing economic operators of the date of entry into force of Pan-Euro-Med origin protocols with partner 
countries.  The last notice was published in Official Gazette  No. 27875 on 15 March 2011.   
11 Of these 118 anti-dumping duties, 14 were anti-circumvention measures taken against 10 trading 
partners in 6 product groups.  Anti-circumvention provisions were incorporated in Turkey's legislation through 
Decree No. 9840/2005.  WT/TPR/M/259/Add.1 
 Page 131 
 
 
  
IV. TRADE POLICIES BY SECTOR 
 
Page 83 (paragraph 10) 
 
"Turkey has no WTO tariff-quota commitments  but maintains numerous tariff quotas under 
preferential agreements (Table AIII.5).  The Go vernment has also been using unilateral tariff 
quotas as a trade policy instrument to fac ilitate imports. The Ministry of Economy is 
responsible for tariff quota licensing procedures.  Tariff quotas are generally allocated on the 
basis of first-come-first-served and/or pas t-performance criteria, as published through 
communiqués in the Official Gazette .  Under the past-performance method, part of the tariff 
quota is allocated equally to applicants and the remainder is allocated ta king into consideration, 
inter alia,  the import performance and the pro duction and consumption rates of the 
importer/producers. There no charges or fees for tariff-quota applications."   
 
Question 
 3. We note that Turkey maintains numero us tariff quotas under preferential agreements, 
which are not included in WTO tariff-quota co mmitments.  What is the reason for such 
arrangement, and does Turkey intend to incl ude these tariff quotas under the preferential 
agreements in its future commitments? 
Turkey's answer: Turkey granted tariff rate quotas as a c oncession for some agricultural products 
within the context of Free Trade Agreements, as both parties agreed on such a concession pattern. 
Turkey may or may not include such concessions in its future agreements, which will be determined 
during the negotiation process.  
 
Under the preferential agreements, certain concessions in agricultural products are granted in the form 
of tariff quotas; therefore they are already included under the preferential agreements of Turkey.   
Page 87 (paragraphs 25-26) 
 "This overview of support and protection of Tu rkish agriculture relies to a large extent on 
OECD data and analysis, since Turkey has no t provided any domestic support and export 
subsidy notifications to the WTO since 2002.  Members have expressed concern about Turkey's 
outstanding notifications in the Committee on Agriculture.
12  Since its last Review, Turkey has 
abandoned its direct income support policy and in creased considerably the level of market price 
support, deficiency payments, and other production-stimulating instruments of support, in 
particular on net-imported products.13 
 Market price support remains the main instru ment of support to Turkish agriculture: it 
encompasses all policy measures that raise the dom estic price relative to the border price of the 
commodity concerned, including border measu res (tariffs, tariff quotas, and other import 
restrictions); intervention prices, and export s ubsidies.  In the period under review, about 80% 
of Turkey's Producer Support Estimate (PSE)
14 has been production-stimulating market price 
support, pushing domestic commodity prices above  international prices and "taxing" Turkey's 
                                                      
12 WTO document G/AG/R/60, 19 January 2011, p. 6. 
13 Turkey has no domestic support reduction (AMS) commitments under the Agreement on Agriculture.  
The applicable de minimis  ceiling of support is 10% of the value of production. 
14 PSE is total annual monetary transfers to farmers individually (not agriculture generally) from: 
market price support mainly through bo rder measures but also food aid, export subsidie s (calculated by the price 
gap between domestic and border price); payments to farmers; and tax/fee reductions (revenue forgone). WT/TPR/M/259/Add.1 
Page 132  
 
 consumers in a manner that is not transpa rent for them (the remaining 20% has been 
budgetary payments under domestic programm es).  Turkey's market price support has 
increased in recent years, mainly due to higher do mestic prices rather than lower world market 
prices.  However, market price support tends to be  capitalized in the value of agricultural land, 
as a result of which only a small fraction of th e support ends up as farmers' income;  it also 
impedes expansion in farm size and growth in productivity.  Moreover, market price support 
distorts the price signals for farmers to respond to market demand and produce the products in 
which Turkey has a comparative advantage.  Gree n Box measures have low priority in Turkey's 
agricultural budget, although experience from other countries shows that research, training, 
and extension have positive long-term effect s for productivity and competitiveness."   
 
Question  4. Does Turkey have any plan to phase out the price support or replace it with a less 
distorting measure of support to its agricultural sector? 
 
Turkey's answer:  Within the scope of Accession Negotia tions to the EU, one of the opening 
benchmarks under 11th "Agriculture  and Rural Development" Chap ter is related to the support 
scheme of Turkey, which is Turkey's presenting a strategy to the Commission that reverses the 
tendency in increasing the coupled direct support paym ents and price support measures in favor of the 
decoupled direct supports which are compatible w ith the recent trend of Common Agricultural Policy 
(CAP)". 
In this context, a strategy document, which is relate d to the decoupled direct support, to align Turkish 
domestic support policy to CAP is prepared and will be discussed with the EU in near future. In this 
draft strategy, at the transition period while tran sforming deficiency payment supports to area-based 
support policies, implementation of the newly intr oduced basin based support program is foreseen. 
The strategy document also foresees improvement of infrastructure to implement CAP until 2014 as 
mid-term objective and fully start to implement CAP with accession to the EU.  
Currently, Turkey is in favor of using the price support programs as 'amber  box' and will notify them 
to the members in that way. The domes tic support commitments of Turkey is 'de minimis'  level and, as 
a developing country, Turkey has right to use 'de minimis'  support level under the provisions of the 
current WTO Agriculture Agreement. 
The total amber box annual monetary limit of Turk ey is 10% of its total agricultural value (de 
minimis) that was listed in WTO document TN/AG/S/21/Rev.3.  
CHILE 
 
(iii) Obstáculos técnicos al comercio, normas y certificación 
(b) Reglamentos técnicos 
 
83. Todos los reglamentos técnicos y procedimient os de evaluación de la conformidad que 
los Ministerios y otras autoridades públicas publican y ponen en vigor se publican en la Gaceta 
Oficial , que puede consultarse en forma gratuita a tr avés de Internet.  Turquía no publica avisos 
sobre proyectos de reglamentos técnicos y procedim ientos de evaluación de la conformidad;  no 
ha notificado a la OMC los proyectos de legisl ación técnica en curso de armonización con la 
legislación de la UE, ya que esta legislación ya se habrá notificado.  No obstante, dada la 
creciente importancia que se atribuye a la transparencia en el plano internacional, Turquía está reconsiderando esta política, y el servicio de info rmación nacional sobre OTC está exhortando a 
ministerios y otras instituciones públicas a notifica r sus reglamentos técnicos.  En caso de que se 
le solicite, Turquía facilitará el texto completo de los proyectos de medidas (si fuera posible en  WT/TPR/M/259/Add.1 
 Page 133 
 
 
 inglés, y de lo contrario en turco).  Turquía generalmente prevé un período de 60 días para 
realizar observaciones.  Pregunta: ¿Por qué Turquía no publica los proyectos de reglamentos si está dispuesto a entregarlos si le lo piden? 
 Turkey's answer:  Turkey is in the process of reconsidering its notification policy. Besides, most of 
the authorities post their draft legislations to their websites. 
 
84. Los comunicados sobre normalización del com ercio exterior se revisan anualmente para 
tomar en cuenta las cuestiones que  surgen del proceso de aplicación o las propuestas y opiniones 
recabadas del público y los sectores privados.  En situaciones urgentes, también es posible 
modificar los comunicados en el curso del año.   Las modificaciones del régimen pueden incluir 
la eliminación de reglamentos técnicos o pro cedimientos de evaluación de la conformidad.
15 
Pregunta: Estas opiniones del público y sector privado ¿incluye a los nacionales solamente o 
también a los extranjeros?  
Turkey's answer: In gathering the opinions regarding The Communiqués on Standardization for 
Foreign Trade, there is no restriction to foreigners. Through the website for technical barriers to trade, 
namely http://www.teknikengel.gov.tr and also formal application to the Ministry of Economy, the 
opinions are taken into consideration from public and private, foreign a nd domestic stakeholders 
without discrimination. 
 
88.  El Decreto sobre etiquetado y envasado,  que se remite a la Ley N° 1262, regula el 
marcado, etiquetado y envasado de productos farm acéuticos;  mientras el decreto que se remite 
a la Ley N° 3977 reglamenta el marcado, envasado y etiquetado de productos cosméticos.  En 
virtud del Comunicado N° 1 sobre el sistema de  rastreo y seguimiento de los productos del 
tabaco y las bebidas alcohólicas con arreglo al artículo 257 (bis) de la Ley de procedimiento 
tributario N° 213, los productos del tabaco y la s bebidas alcohólicas deben llevar sellos fiscales 
con marcas de seguridad cuyo diseño ofrezca certeza del pago de los tributos.  Pregunta: Esos sellos fiscales exigidos a los ta bacos y bebidas alcohólicas, cuando se aplican a 
productos porvenientes del resto de mundo ¿gen eran costos monetarios  a los importadores? 
Implica una retención de las mercancías en las aduanas de Turquía? 
 
Turkey's answer: According to banderoled product tracking system, which has been implemented by 
Revenue Administration since 24 July 2007 in order to assure VAT and Special Consumption Tax i.e. 
levied on the tobacco products and the alcoholic  beverages including beer, the domestic production 
and importation of the alcoholic be verages without banderol are prohi bited. Therefore, it is not 
possible that the alcoholic beverages imported in cluding beer pass through the boundary of Turkey 
without banderol. The importers pay banderol fee to the companies, authorized to printing and 
distribute banderol on the basis of fees which are determined for banderols bought by the importers. Additionally, the system does not bring in additional cost for the importers. 
 
                                                      
15 Desde 2007, Turquía ha derogado los comunicados relativos a las importaciones de combustibles 
líquidos y cosméticos y detergentes, ha dividido en dos un comunicado sobre importaciones de desechos y 
desechos metálicos peligrosos y eliminado así la evaluación de la conformidad respecto de los desechos metálicos importados (salvo en cuanto al control aduanero de la contaminación por radiación) y ha reducido 
considerablemente la cantidad de productos que deben inspeccionarse en aduanas (véanse en particular los 
Comunicados N
os 2011/1 y 2011/9). WT/TPR/M/259/Add.1 
Page 134  
 
 The companies which are importer of alcoholic beve rages including beer will be able to import these 
products to Turkey after they apply the banderols  and coded etiquettes on the products out of the 
territory of Turkey. In this regard, it is possible that the importer companies apply banderols in the 
foreign production facilities, free zones and ware house with the new implementation which will be 
legally put into force on soon. 
 
c) Procedimientos de evaluación de la conformidad 
 90. Los productos de alto grado de riesgo y otros productos que figuran en los anexos de los 
comunicados sobre normalización del comercio ex terior deben pasar pruebas suplementarias.  
El Ministerio de Medio Ambiente y Urbanizaci ón está a cargo de los procedimientos de 
certificación y evaluación de la conformidad re specto de los productos vinculados al medio 
ambiente, como los desechos pelig rosos, los combustibles sólidos y los desechos metálicos, y el 
Ministerio de Sanidad se ocupa de dichos procedim ientos respecto de los productos médicos, los 
farmacéuticos y los estupefacientes.  El Minister io de Sanidad, el Ministerio de Alimentación, 
Agricultura y Ganadería o el Ministerio de Medio Ambiente y Urbanización expiden 
"certificados de control" respecto de varios productos importados.
16  El Ministerio de Economía 
ha designado al TSE para llevar a cabo la evaluación de la conformidad de productos 
industriales importados, como maquinaria, disp ositivos de baja tensión, accesorios de 
compatibilidad electromagnética, accesorios y anillos de pistón.17  El TSE también supervisa la 
metrología industrial y calibración y los servic ios de laboratorio para la evaluación y 
certificación de la conformidad.18  Si bien los productos de alto riegos procedentes de la UE y 
que lleven una marca CE no están sujetos a lo s requisitos de inspección y documentación 
dispuestos en los comunicados sobre normaliz ación del comercio exterior, las importaciones 
procedentes de terceros países sí lo están.19  Los controles de import ación sobre los productos 
abarcados por otras directivas de la UE so n realizados por inspectores en las oficinas 
provinciales del Ministerio de Economía.  En  2010 se puso en marcha un nuevo sistema nacional 
de seguridad de los productos para facilitar el control electrónico de la exportación e 
importación de productos en función del riesgo.  Pregunta: ¿Cuál es la opinión de Turquía respect o de que la no exigencia de requisitos de 
inspección y documentación  a los productos de alto riesgo procedentes de la UE y que lleven 
una marca CE podrían eventualmente consti tuir una discriminación contra aquellos 
provenientes de otros orígenes? 
 
Turkey's answer: Turkey has a Customs Union with the EU  in conformity with Article XXIV of 
GATT 94. The main principle of the Customs Union is free movement of goods between the Parties 
covering the implementation of common customs ta riffs and common commercial policy. In this 
context, technical legislation of the EU has been tr ansposed into the Turkish legislation which enables 
that both Turkish and EU originated products are manufactured and marketed  according to the same 
                                                      
16 Véanse los comunicados de norma lización del comercio exterior Nos 2011/5, 2011/6, 2011/17 
y 2011/20.  Los certificados de co ntrol se expiden para productos ta les como los productos farmacéuticos, 
determinados medicamentos, productos químicos orgánicos, vacunas, productos químicos, materiales forestales, 
productos alimenticios, animales vivos y vegetales, cer eales y semillas vegetales, productos del reino animal, 
productos veterinarios y hormonas.  El Ministerio de Alimentación, Agricultura y Ganadería aplica métodos de 
análisis del riesgo para controlar, entre otros, a los animales importados, los vegetales, los productos 
alimenticias, las semillas y los productos veterinarios. 
17 Véanse los comunicados de normalización del comercio exterior Nos 2011/1 y 2011/9. 
18 El alcance de los servicios de inspección y el m odo exacto de funcionamiento del TSE se establecen 
anualmente en la legislación de la Subsecretaría de Comercio Exterior:  actualmente en el Comunicado Nº 2011/1 de la Subsecretaría de Comercio Exterior. 
19 Información en línea del Servicio Comercial de los EE.UU.  Consulta da en:  http://export.gov/turkey/ 
doing businessinturkey/index.asp  WT/TPR/M/259/Add.1 
 Page 135 
 
 
 regulation. Consequently, the products move freel y without any control within the Customs Union 
area while for third countries, the general controls are applied.  
 
Preguntas chile ministerio de hacienda 
 
¿Específicamente, en qué consiste el Progr ama a Medio Plazo 2012-2014 de Turquía y cómo 
pretende disminuir la carga fiscal?  
 
Turkey's answer:  Turkey is a country with one of the lowest tax burden in OECD countries. The 
MTP does not include a specified policy in order to  reduce the tax burden. However it should be noted 
hereby that an increase is not foreseen in the peri od of 2012-2014 for lump-s um taxes levied on fuel 
products. This will definitely lower tax burden further.   
According to OECD reports of the year 2010 Turk ey has the sixth least tax burden with 26% among 
the 34 OECD countries. VAT rates are reduced from 18% to 8% for textile, tourism, health and 
education sectors. For some staple foods, rates are reduced from 8% to 1%. During the period after the 
global crisis, in the EU-27 approximated genera l VAT rate increased from 19.8% to 20.7%. In 
Turkey, effective VAT is reduced from 16% to 14. 4% by 2005. Thanks to these tax reductions, the 
tax-base broadened and tax revenues increased.   We are also working on Personal Income Tax La w and Tax Procedure Law to have a simpler and 
more equitable tax system. 
 
¿Se están adoptando medidas de largo plazo o estructurales  contracíclicas que permitan 
financiar un impulso fiscal en tiempos adversos? 
 
Turkey's answer: Thanks to tight fiscal policy conducted sin ce 2002, Turkey was able to create fiscal 
space which gave the chance to make maneuvers duri ng the crisis. The financial sector has become 
sound after the structural reforms made since 2001 and had not been affected from the global crisis in 
2008/9. Therefore, Turkey did not have to support fi nancial sector and had used a certain part of the 
fiscal space to avoid a sharp decrease in demand a nd to support the real sector by decreasing its 
burden. Most of the measures taken in crisis were temporary and Turkey has been able to finance the 
cost of the measures without taking any long term  measures or other structural counter-cyclical 
measures. 
 
¿Cómo compatibiliza el BCT el efecto de sus intervenciones cambiarias con su objetivo de 
mantener la estabilidad de precios? 
 Turkey's answer: The primary objective of the Central Bank of Turkey (CBT) is to achieve and 
maintain price stability. Besides, the CBT, as stipulated  in its law, fulfills its duty to take measures to 
achieve stability in the financial system. To th is end, the CBT conducts its monetary policy under 
inflation-targeting regime since 2006.  
 
Along with inflation targeting regime, the CBT implem ents floating exchange ra te regime. Under this 
framework, foreign exchange rate is not a policy tool  or target and it is determined by the demand and 
supply conditions in the foreign exchange market. Ho wever, the CBT also retains the option of direct 
intervention in the market through purchase or sale,  in case of any unhealthy price formations in 
exchange rates due to speculative behavior stemmi ng from a decrease in market depth. Besides, the 
CBT holds foreign exchange auctions according to pre-announced terms and conditions without 
interfering supply and demand conditions in the fore ign exchange market, as much as possible. The 
CBT takes into account the foreign exchange liquidi ty developments while determining the amount to 
be transacted via auctions and also deciding on suspending these auctions.  
 WT/TPR/M/259/Add.1 
Page 136  
 
 During 2011, the CBT geared its policies toward s preventing exchange rates moving away from 
economic fundamentals excessively on either side. As of the second half of 2010, strengthening short-
term capital inflows fueled by the quantitative easing across advanced economies led to a rapid credit 
growth and gradual appreciation of the Turkish lira.  In the period from the last quarter of 2010 to 
intensifying uncertainties in the European economy  in August 2011, the CBT used regular foreign 
exchange buying auctions in order to strengthen its international reserves. Since August 2011, 
intensified concerns over global gr owth and sovereign debt problems in some European countries led 
to a global increase in risk aver sion and a record-high volatility in risk appetite. Upon the acceleration 
of capital outflows from emerging economies in this pe riod, the CBT took a set of liquidity measures 
which were taken to limit fluctuations in the foreign exchange market. In this period, foreign exchange 
buying auctions were halted and the CBT starte d to provide the market with foreign exchange 
liquidity via foreign exchange selling auctions when deemed necessary.  
 
¿Qué tan grande es la exposición del sector fina nciero turco a la deuda - tanto soberana como 
bancaria - de países europeos? 
 Turkey's answer: Foreign claims of Turkish banks on European countries have reached to 
19,088 million US dollars as of end of September 2011 (Table 11). Total assets of Turkish Banking 
Sector amount to 700 billion US Dollars while total banks' capital is around 90 billion US Dollars. 
Compared the balance sheet size, Turkish Banking Sector's exposure to European countries remain 
quite small.  
 
Table 1.  Consolidated Forei gn Claims of Turkish Banks  
End-September 2011 (In millions of US Dollars) 
Europe 19,088 
  
Developed Countries 17,310 
Germany 5,235 
Netherlands 3,540 
United Kingdom 2,970 
France 2,482 
Malta 681 
Other Developed 2,402 
  
Developing Countries 1,778 
Source:  BIS Consolidated Banking Statistics, Table 9D. 
 
¿Cómo garantiza Turquía la sustentabilidad de su déficit comercial? 
 
Turkey's answer: In order to reduce and sustain its foreign trade deficit, Turkey aims to increase 
exports of goods and services. In this context, Turkey  tries to diversify its export markets and products 
by focusing on producing and promoting innovative a nd higher value added products. The Investment 
Incentives Program of Turkey aims to promote these kinds of investments, innovation and R&D 
activities. In addition, Turkey concentrates on dom estic and overseas investment opportunities that 
will maximize its production capacity to achieve effec tive economies of scale. Within the scope of its 
"Export Oriented Production Strategy", Turkey target s to reduce the dependenc y of its exports on 
imports, especially on energy and non-energy raw mate rials. In parallel with this approach, Turkey 
tries to improve its investment environment, legal and regulatory framework in order to attract more 
FDI. In addition, for Turkey energy is not only the most important fuel of the growing economy but 
also the most important source of its foreign trad e deficit. As a result of this, reducing Turkey's 
dependency on energy imports, increasing the number and quality of the energy investments, the  WT/TPR/M/259/Add.1 
 Page 137 
 
 
 effective usage of domestic and alternative ener gy resources and promoting new energy projects are 
main objectives of Turkey to reduce its foreign trade deficit. 
¿Existen esfuerzos de parte de Turquía por diversificar su portfolio  de exportaciones? 
 
Turkey's answer: Turkey aims to increase its product and expo rt market diversity by transferring 
new production technologies and transforming its e xport composition from medium-tech to high-tech 
products.  
In order to diversify its export markets, Turkey has been striving to raise the awareness of Turkish 
products in our targeted markets by organizing tr ade missions to new potential markets and inviting 
buyers from these markets and organizing seminars  to explore opportunities in emerging export 
markets. As a result, it has been observed that while  the share of those new markets such as African, 
especially Northern African, Middle Eastern and CIS Countries in our total exports has increased 
traditional markets like European Countries has decreased as compared to previous years. 
 
CHILE – ADDITIONAL WRITTEN QUESTIONS 
 The Government Report WT/TPR/G/259 
 Telecommunications Services  
Par. 73 and following ones  
Question 1 
 Could Turkey provide members with furthe r information regarding the regulation of 
international mobile roaming services within Turkey?  
 Turkey's answer:  Turkish mobile operators and foreign opera tors can freely negotiate their technical 
and economic (as international roaming prices) terms. Thus mobile roaming services within Turkey are unregulated.  
Land Acquisition 
P. 35 and footnote concerning P. 31 
 
Question 2  Given the complexity of the land acquisition pr ocess by foreigners in Turkey, what steps is the 
Turkish Government considering to make th e system more transparent and expeditious? 
 Turkey's answer:  The system for land acquisition in Turk ey is already quite transparent and 
expeditious. Anyone can acquire the necessary inform ation on foreigners' land acquisition in Turkey 
through the General Directorate of Land Registers and the diplomatic representations, as well as 
checking the website of Directorate (www.tkgm.gov. tr) and clicking on the link "for foreigners". 
 
With the reservation of reciprocity and compliance w ith legal restrictions, foreign real persons can 
acquire real estate in Turkey. In the countries that  implement any restrictions on the acquisition of real 
estate by Turkish nationals, the same restrictions are applied to the nationals of the country concerned. 
 In case of an application to acquire real estate, the procedures are carried out expeditiously. In the 
Land Registry Offices, when the necessary paperwork is  ready, the acquisition of real estate can take 
place in one day. This also applies to foreign nationals.  WT/TPR/M/259/Add.1 
Page 138  
 
 EUROPEAN UNION 
 
The Secretariat Report WT/TPR/S/259 
 I.  ECONOMIC ENVIRONMENT 
(3)  TRADE PERFORMANCE 
(4) OUTLOOK  Question 1:   page 4, para. 11 and page 8, para. 18 
 
The Secretariat's report in para. 4 refers to increasing current account deficit since 2001; 
para. 18 of the Government's report outlines the main objectives of the medium term programme, inter alia  to reduce the current account deficit.  Has Turkey envisaged any plan/ 
policies to address this matter and if so, how will it implement such plans in full compliance with 
its WTO obligations and other international commitments? 
 Turkey's answer: In accordance with the ultimate goal of in creasing the welfare level of Turkey, one 
of the fundamental purposes of the Medium Term  Program (2012-2014) is to reduce the current 
account deficit. In this framework, it is given prio rity to accelerate the implementation of structural 
reforms which solve the current account deficit problem permanently within this Programme. 
 
The most significant component of CAD stems from th e foreign trade deficit realized in intermediate 
goods. Turkey depends on imports of certain in termediate goods used in production process of 
manufacturing industry and this creates a direct  relationship between C AD and economic growth.  
 In this context, under the coordination of the Ministry of Economy, "Input Supply Strategy" has been 
developed with the main objective of securing su stainability and increasing efficiency in accessing 
inputs that manufacturing industry needs for production. With this strategy, it is intended to overcome 
some structural deficiencies in Turkish industr ial production and introduce a long-term input supply 
roadmap by developing policies in line with intern ational commitments. It is  important to underline 
that the primary goal is easing the access to inputs used in the production process.  
Moreover, in order to reduce high current account defi cit to a sustainable level, necessary policies and 
several measures were taken place both in Medium  Term Programme (2012-2014) and 2012 Annual 
Programme. In this context, to improve the investment climate and to increase efforts, efficiency and flexibility of labor market will be continued. Comb ating informality will be maintained decisively, 
strategies of export oriented production, input supply and export markets diversification will be 
completed, the efforts for Istanbul to become the International Financial Center will be accelerated, 
steps to reduce foreign energy dependency will be continued and lastly  R&D and innovation for 
development programs will be carried out efficien tly by taking account the WTO obligations and 
other international commitments.  
II. TRADE AND INVESTMENT REGIMES 
(1) GENERAL FRAMEWORK 
 Question 2  Would Turkey explain how it ensures that the fundamental rights at work as embodied by the 
ILO's 2008 Declaration on Social Justice for a Fair Globalisation and the 8 core ILO 
Conventions are respected in the informal sector?  WT/TPR/M/259/Add.1 
 Page 139 
 
 
 Turkey's answer: Turkey has already ratified all of the co re conventions of ILO and makes all the 
efforts to fulfill the provisions of the conventions taking the national legisla tion and overall situation 
of working life in Turkey into consideration.  The Committee on Application of Standards put the i ssue of implementation of standards in Turkey 
into their agenda for only the conventions no 87, 98 and 111. Turkey did not take place in the agenda 
of the Committee for the implementation of Conve ntion No. 111 since 1991, and of the Convention 
No. 98 since 2000 as well. The implementation of the standards set by Convention No. 87 in Turkey 
was last discussed in the Committee previous year. (100
th Conference of ILO in June, 2011) 
 
Draft law on collective labor relations which comb ines the texts of The Law on Trade Unions (Act 
No. 2821) and The Law on Collective Labor Agreem ent, Strike and Lockout (Act No. 2822) was 
drawn up by participation of representations of share holders and social partners in accordance with the 
concept of social dialogue and taking th e norms of EU and ILO into account.  
 Page 11, para. 5 (and footnote 7)  According to the Secretariat's report "/…/The im port and export regimes, safeguard measures, 
and surveillance of imports are all being implemented through decrees." Provisions for 
surveillance of imports is regulated by Counc il of Ministers' Decision (2004/7304) however 
products of which import is subject to surv eillance are published by Communiqués. As such, 
antidumping taxes are implemented throug h Communiqués whereas for implementing a 
safeguard measure, a Council of Ministers' Decision is required.   Question 3  
Could Turkey explain the ground for having a different legal framework for these measures?  
 
Turkey's answer: Implementation of safeguard and anti-dumping measures, taken in accordance with 
the related WTO Agreements is  a matter of domestic law.  
 According to Turkish legal system an implementa tion which has a duty effect has to be based on a 
law. Since anti-dumping legislation is based on a specific Law (namely Law No. 4412/1999 on the 
Prevention of Unfair Competition in Imports) which authorizes the Minister of Economy to impose anti-dumping measures, anti-dumping measures have been put into force through Communiqués.  
 On the other hand, the Foreign Trade Regulations Law (No. 2976 of 1984) which is the base of the 
Decree on safeguard legislation (Decree No. 2004/ 7305) authorizes the Council of Ministers to 
impose tariff-like measures. Hence, safeguard measu res have been put into force through Council of 
Ministers' Decree.   
 
Since surveillance has not been implemented as a me asure and does not have a duty effect in Turkish 
legal system, it is not based on a law.  
 
(4) INVESTMENT REGIME 
 Question 4: Pages 21-25  
Can Turkey confirm that economic activity und ertaken in relation to a new or existing 
investment respects Turkey's nati onal labour law, the fundamental rights at work as embodied 
by the ILO's 2008 Declaration on Social Justice for a Fair Globalisation and the 8 core ILO Conventions (nos. 29, 87, 98, 100, 105, 111, 138 and 182)?  How does Turkey ensure that these 
are in fact respected? WT/TPR/M/259/Add.1 
Page 140  
 
  
Turkey's answer:  Our answer to the second question is also valid for this question. 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE 
(1) MEASURES
 DIRECTLY  AFFECTING  IMPORTS 
(i) Import procedures and requirements, page 27, para. 6 
 
The Secretariat's report states that certain goods may only be imported through specialised 
customs offices. Recently, Turkey has designated  the customs offices where alcoholic drinks can 
be imported.  
 
Question 5  Could Turkey elaborate on the reasons for such a practice?  
Turkey's answer: In Turkey, importation of certain products is completed from specialized customs 
offices. With their highly qualified and trained pers onnel for specific sectors, some customs offices 
are competent for special products. With this implementation, customs clearance of goods is 
completed in a more efficient and effective manner. Specialized customs offices are not designed as an obstacle or a restriction to trade, equipped with relevant techniques and expertise, their aim is to 
ease and speed up the formalities. 
 
Page 27, para. 7 
 The Secretariat's report refers to the registration of certain textiles and clothing products pursuant to Communiqué 2010/1.  
 
Question 6  Could Turkey explain how does it find this pr actice compatible with WTO rules, why the 
registration is done through Turkish Exporters Associations and how long will Turkey to 
continue to monitor import of these products ? How and why does this implementation differ 
from other surveillance implementations? 
 
Turkey's answer: Turkey holds the opinion that the Communiqué 2010/1 is not in conflict with WTO 
rules as the registration system falls within the scope of automatic licensing under Article 2 of 
Agreement on Import Licensing Procedures.  
 
Due to the fact that the scope of textile and appare ls sector is very wide and sometimes sector specific 
information is needed in monitoring operations, th ere exists a unique surveillance implementation for 
mentioned sector. By the expertise of aforementione d Associations any delay in import operations is 
averted and sector specific problems of companies are eliminated.  
 
Since textile and apparels sectors are very sensitive and plays a very significant role in its economy, 
Turkey would like to maintain this  surveillance system for a while.  
(ii) Ordinary customs duties 
(a) Bound and applied MFN duties, statutory tariffs Page 28, para. 9 
The Secretariat's report states that the purpose of the last two digits of Turkey's customs tariff 
is to collect statistical data.    WT/TPR/M/259/Add.1 
 Page 141 
 
 
 Question 7 
 Could Turkey confirm that the 11
th and 12th digits are created only for collection of statistical 
data and they are not managed for other pur poses such as implementation of technical 
regulations /standardization or internal taxes for instance VAT and special consumption tax? 
0 
Turkey's answer:  11th and 12th digits are created for statistical purposes; however customs duties are 
also determined and applied by using the 11th and 12th digits of Turkey's customs tariff codes. Thus, 
two goods having the same 10 dig it tariff code and different 11th and 12th digits may be subject to 
different levels of customs duties.  
 
Technical regulations are prepared and implemen ted on a product group basis such as LVD, EMC and 
RTTE products, batteries and accumulators, toys , personal protective equipment, construction 
products, medical devices etc. However at import level the products that will be subject to control are 
determined mostly at 12 digit level. 
 
(v) Fees and charges for services rendered 
Page 37, para. 26  The Secretariat's report refers to consideration of options by Turkey to eliminate the price 
difference for the cost of stamp paper for beer.  
 
Question 8  Could Turkey confirm that price differences between the costs of the stamps for imported and domestic beers will be eliminated and that it will be possible to apply fiscal stamps for all 
alcoholic beverages (including beer) in im porters warehouses in Turkey or elsewhere? 
 
Turkey's answer:  According to banderoled product tracki ng system, which has been implemented 
by Revenue Administration since 24 July 2007 in order to assure VAT and Special Consumption Tax 
i.e. levied on the tobacco products and the alcoholic beverages including beer, the domestic 
production and importation of the alc oholic beverages without banderol are prohibited. Therefore, it is 
not possible that the alcoholic beverages importe d including beer pass through the boundary of Turkey 
without banderol. The importers pay banderol fee to the companies, authorized to print and distribute banderol on the basis of fees which are determ ined for banderols bought by the importers. 
Additionally, the system does not bring in additional cost for the importers.  
Operations of tender were perform ed by the Revenue Administration with the aim of renewal of the 
banderoled product tracking system regarding tob acco products and alcoholic beverages which has 
been implemented since 17 February 2007 for five -year period. A new agreement was signed on 
13 December 2011 with a new company that won the tender, for the next five year period starting from the date of 17 February 2012. Thus the comp anies which are importer of alcoholic beverages 
including beer will be able to import these products  to Turkey after they apply the banderols and 
coded etiquettes on the products out of the territory of  Turkey. In this regard, it is possible that the 
importer companies apply banderols in the fore ign production facilities, free zones and warehouse 
with the new implementation whic h will be legally put into for ce soon. Moreover, according to 
technical specification of tender, the fees of domestic and imported banderols are equaled.  
 
(vii) Import prohibitions, restrictions, and licensing 
Page 42, para. 36  The Secretariat's report states that imports of old, second-hand, renovated, faulty and obsolete 
goods are subject to permission by the Ministry of Economy. This is, in practice, equivalent to a WT/TPR/M/259/Add.1 
Page 142  
 
 non-automatic import-licensing reg ime, which, for the way it is implemented, may result to a de 
facto import ban. In fact, only a limited num ber if listed second-hand goods can be imported 
without import license,  provided they are not ol der than 10 years. Moreover, only goods that 
are exported during the same year of production  are considered as new goods, otherwise they 
fall into the category of used goods. The EU is particularly concerned in respect of the import 
regime for retreated tyres, which are unduly cla ssified by Turkey as second-hand products, 
thereby not recognizing UN/ECE relevant standards.  Question 9  
Could Turkey provide a justification and legal basis for such restriction?  
Turkey's answer: In line with the Turkish Import Regime Decree "the importation of old, used, 
renovated, faulty and obsolete goods" is subject to the authorisation of the Ministry of Economy. 
Accordingly, until the end of 2009, the import of  the old, used or renovated goods covered by the 
Import Communiqué 9, had been free without being subject to any prior permission, on the condition 
that the goods to be imported were not older than ten years.   Yet, with the idea of providing an effective and a mo re liberalized system based on risk analysis, the 
Undersecretariat for Foreign Trade (now the Ministry of Economy) has put into force a new Communique, The Import Communiqué 2010/9, on 1 January 2010.  
 
The Communique, which has been renewed on 1 Jan uary 2012 with the Import Communiqué 2012/9, 
is based on the logic of classifying the old and used  products in three lists, the importation of which: 
 - are free (Annex I A),  
- are subject to prior permission of re levant institutions (Annex I B), and 
- are directly subject to prior permission of the Ministry of Economy (Annex II).  
 
On the other hand, the products in List II can be  imported to Turkey without permission of the 
Ministry of Economy provided that:  
 
- their unit CIF price is more than the price determined and listed in Annex II. 
- or they are imported in quantities that are equa l to or less than 10 units and 50 kilogram 
(both conditions are to be met at the same  time) for each tariff code in each customs 
import declaration.  
 
By use of the Communiqué, Turkey achieved to esta blish an effective, liberalized system based on 
risk analysis, disregarding the age of the product but instead taking into account the CIF price of it. 
The new Communiqué thus provides the market with the best possible option to liberalize and regulate the import of used products to Turkey.   
The EU also notes that the footnote 29 presents  this import-licensing regime as not at all 
impinging on the export of second-hand goods. As a matter of fact, every second-hand, old or 
renovated good is subject to formal permission as  a general rule, the exception being that some 
categories of goods (e.g. food, packaging, textil e, machinery, mining and metal equipment, 
construction equipment, transportation equipmen t etc.) are in fact freely imported, without any 
import license.   
In addition there is no reference to an apparent ban on the import of spirits in bulk for local 
bottling.    WT/TPR/M/259/Add.1 
 Page 143 
 
 
 Question 10 
 
Could Turkey confirm that such a ban is in place and comment on its compatibility with GATT 
Article XI?  
Turkey's answer: There is no import ban on the importation of spirits in bulk in the framework of 
Turkey's Import Regime. 
 
(ix) Rules of origin Page 44, para. 42 
 
The Secretariat's report describes the basic legal pr ovisions for non-preferential rules of origin.  
 Question 11  
Could Turkey explain in which cases a certificat e of origin is required for non-preferential 
importation? Is there a prescribed format for su ch a certificate? What is the objective and 
purpose of the presentation of a non-preferen tial certificate of origin? Does Turkey accept 
certification of non-preferential origin established on the basis of other origin rules than its own?  
 Turkey's answer:  A certificate of origin is required for determining the origin status of the goods 
which are subject to measures such as tariff quotas,  safeguard measures, qua ntitative limits and anti- 
dumping duties.  Turkey does not accept certificates of origin which are issued in line with non-preferential rules of 
origin of other countries. However, it accepts certificat es of origin issued in different format by other 
countries provided that those certificates include th e necessary details stipulated in Article 40 of 
Customs Regulation of Turkey.  The prescribed format for certificates of origin whic h are issued at exportation is stipulated in Annex 7 
of Customs Regulation of Turkey. 
 
Page 45, para. 44 
 
The Secretariat's report informs that "Accordin g to Customs law No. 4458, economic operators 
may request advance assessments (BTI-Binding Traiff Information) for the determination of 
import and export taxes /…/"/. Customs Commun iqué no: 10 on BTI ( published on Official 
Gazette of 26815 dated 13.03.2008) provides that for the goods listed in Annex 23 of Customs Implementing Provisions that are subject to mand atory laboratory analysis, no application for 
BTI shall be accepted.  
Question 12  
 
Could Turkey confirm the information and if  so, state the reason for this limitation? 
 
Turkey's answer: Parallel to provisions of Customs Law No 4458, Communiqué 10 provides the 
details of BTI implementation. Communiqué No. 10 is applicable for goods which are not subject to 
laboratory analysis. If goods are subject to laborat ory analysis, BTI is not granted due to problems 
experienced in identification. 
 But apart from the EU implementation, there is still an opportunity for the operators to receive 
classification information from the Regional Directorat es. In practice the operator applying for tariff WT/TPR/M/259/Add.1 
Page 144  
 
 classification is never rejected. Depending on the nature of goods either receives BTI or tariff 
information. Communiqué. 11 is trader friendly legislation. Even for internal trade, it provides classification-since national/indirect taxes are also related with tariff classification.    
(x) Anti-dumping, countervailing duty, and safeguard regimes 
(b) Safeguard measures 
Pages 46-52, para-s 49-52 and tables III.11 – III.13  The Secretariat's report outlines the legal framework for the imposition of safeguard measures and provides information on current safeguard measures.  
 
Question 13  Could Turkey explain how it considers that the measures continue to be necessary in cases 
where the industry has recovered, i.e. when the in jury indicators after the initial period of 
imposition of measures show a situation comparab le to that prevailing at the beginning of the 
investigation period of the original investigat ion, and what are the standards of evidence 
concerning the fact that the industry is adjusting? 
 
Turkey's answer: During the investigation, all injury indi cators have been evaluated as it was done 
during the original investigation. Investigating authority examines whether the conditions stated in 
Article 7.2 have been met relying both on the data  submitted by all interested parties and collected 
during the on the spot visits and on determinations  made during the investigation. All the relevant 
factors regarding the developments in domestic indus try in terms of the adju stment to the market 
conditions since the imposition of the initial safeguard  measure have been evaluated. In spite of the 
standards of evidence concerning the fact that th e industry is adjusting are assessed according to the 
specific facts of each case, especially efforts of th e domestic producers to incr ease its competitiveness 
in the market have been analyzed in detail.  
Furthermore, it is noted that, contrary to  the Anti-dumping agreement, the Safeguard 
Agreement has no provision allowing for the dut y to remain in force pending the outcome of an 
"expiry" review investigation. This would imply th at the investigation into the need to maintain 
a measure should take place during the time the original measure is in force. Turkey however 
imposed provisional measures in order to fill the gap between the expiry of a three year period 
of safeguard measures and their prolongation after the expiry review.  Question 14 
 
Could Turkey explain how it considers this to be compatible with the provisions of the WTO Agreement, and in particular given the wording of the Article 6 of the WTO Safeguard Agreement, which foresees the possibility of imposing provisional measures "in critical 
circumstances where the delay would cause damage which it would be difficult to repair"? This 
indeed would appear to be possible only at  the stage of the original investigation. 
 
Turkey's answer: Provisional measure is put into force with a view to avoiding any possible adverse 
effects of removal of the measure on the recovery of the domestic industry. This will give an 
opportunity for the investigating authority to condu ct an investigation, verify domestic industry 
figures related to injury and make its analysis and determinations in an effi cient and healthy manner. 
The provisional measure is applied in the form of  security. Thus, in case of having a conclusion that 
no extension of the measure is needed at the end of  the investigation, no measure will be imposed and 
the collected security will be refunded.   WT/TPR/M/259/Add.1 
 Page 145 
 
 
 It is clear that application of a provisional safe guard measure during the extension investigation does 
not mean the extension of the measure in force for the product under investigation. The application of 
provisional measure during the extension investig ation is based on a need and according to our 
understanding not contrary to the spirit and rules of WTO Agreement on Safeguards. 
 
The Secretariat's report also refers to the import surveillance system, which for certain 
products is price based.  Question 15  
In this regard, would Turkey provide inform ation how this price based surveillance is 
implemented at the customs and how does this give rise to declaration of customs value above certain c.i.f price by the importers and real di fficulties of customs value determination? 
 
Turkey's answer:  The purpose of import surveillance system is to closely monitor imports and to 
collect specific data regarding the imported products. For some of the products under the surveillance, 
the scope of the surveillance is defined with a pri ce level. The aim of setting a price level for defining 
the products under the surveillance is to exclude high-end products, hence onl y the products below a 
certain CIF value are taken under surveillance. In prac tice, if the unit price of imports is below the unit 
CIF value stated in the related Communiqué on survei llance, the importer has to apply to the Ministry 
of Economy to have a surveillance document.  (2) MEASURES DIRECTLY AFFECTING EXPORTS Pages 52-55  Question 16 
 
What measures – if any – does Turkey take to  ensure that goods destined for export are 
produced in full respect of the fundamental rights at work as embodied by the ILO's 2008 Declaration on Social Justice for a Fair Globalisation and the 8 core ILO Conventions (nos. 29, 87, 98, 100, 105, 111, 138 and 182)?   
 
Turkey's answer:  Our answer to the second question is also valid for this question. 
 
(iii) Export restrictions Page 53, para. 57  
Turkey applies export registrati on requirement (i.e. export licen se) for the following products, 
copper scrap, aluminium scrap and paper scrap, rendering exports of which subject to non-
transparent conditions.   Question 17 
 
Would Turkey provide reference to the int ernational legal base for such measure? 
 
Turkey's answer:  Turkey believes that export registration applications comply with WTO rules. 
According to Turkish foreign trade statistics, Tu rkish exporters continue to export copper scrap, 
aluminum scrap and paper scrap to both the Europ ean Union member countries and other countries. 
 WT/TPR/M/259/Add.1 
Page 146  
 
 (iv) Export subsidies, finance, assistance, and promotion 
Page 55, para. 60  The Secretariat's report states "Exporters benefit from duty and tax concessions.  Exporters of 20 agricultural commodities or processed agricultura l products are eligible for export subsidies 
under the Export Subsidy Programme  for Agricultural Products
20, established to develop 
Turkey's export potential in processed agricultu ral products (Chapter IV, Table AIV.2).  This 
programme is financed from the Support and Price Stabilization Fund. ". In May 2011 the 
Turkish state minister of Foreign Trade, Mr Zafer Ça ğlayan (presently Minister of Economy) 
announced that the government was renewing the subsidies of USD125/tonne paid to citrus 
producers (Foodnews. Volume 39, No.19). Other news  mention that the Ministry of Agriculture 
is handing by an indirect channel subsidies to  Turkish exporters of citrus fruits (oranges, 
tangerines, lemons and grapefruit), possibly through the Turkish Mediterranean Exporters' 
Union.   
Question 18 
 Can Turkey provide an update on which pro ducts currently receive export subsidies?  
 
Turkey's answer:  The products currently receiving export subsidies will be notified by the 
notification for the year 2012.   (3) MEASURES AFFECTING PRODUCTION AND TRADE (ii) Technical barriers to trade, standards and certification (b) Technical regulations Page 63, para. 83 
 
The Secretariat's report indicates that Turkey  does not notify to WT O TBT Agreement draft 
technical regulations and conformity assessm ent procedures because those have been 
harmonized with EU legislation previously notified.  Question 19 
 
The EU is however aware of some cases wher e there was no full harmonization with EU 
legislation (e.g. Good Manufacturing Practices for Pharmaceuticals) and the text was still not 
notified to WTO. The EU takes note of Turkeys'  intention to reconsider its notification policy. 
 
Turkey's answer: Human medicinal products legislation are under "classical approach directives" 
meaning before coming into market, each huma n medicinal product is subject to marketing 
authorization. GMP certification is carried by dedicated, competent experts of GMP who worked under each competent authority responsible for giving marketing authorization to human medicinal products. So GMP certificate is only one of the several documents required for obtaining marketing authorization. 
 
However medical devices and some other groups of goods for which different Ministries are responsible; legislation is considered under "new  approach directives" by EU Commission and 
conformity assessment procedures are developed as these group of products are put into market by just notification system. In other words, no marketing authorization is required.  
 
                                                      
20 Implemented through Decrees Nos. 2008/1 and 2009/1 of the Money-Credit and Coordination 
Council for the years 2008 and 2009.    WT/TPR/M/259/Add.1 
 Page 147 
 
 
 Besides "Regulation on the Manufacturing Sites of  Human Medicinal Products" that contain the 
provisions on the quality of  human medicinal produ cts has been in force since 1 November 1984 and 
updated according to 91/356/EEC, 2001/83/EC,  2003/94 /EC directives  and  put into force on 
30 June 2004. The Regulation was sent to EU Commission for evaluation during harmonization of 
legislation as it was a requirement for negotiation procedures.  
 
GMP inspections carried out by the Ministry of  Health are for public health concerns and no 
discrepancy is made between local and foreign companies manufacturing sites. 
 
As stated in the report, Turkey would like to strengthen its notification system and notify draft 
technical regulations if the content of a proposed technical regulation is not in accordance with the 
technical content of relevant international sta ndards and if the technical regulation may have a 
significant effect on trade of other Members, as determined in the TBT Agreement. 
 With regard to GMP legislation, Turkey only a bolished the unilateral acceptance of certificates 
designated by respective countries. Turkey's GMP legi slation is in conformity with the international 
rules and procedures. 
 
(iii) Sanitary and phytosanitary measures 
Page 66, para. 95 
 Alcoholic beverages require an a nnual Control Certificate for importation. The EU is informed 
that a new import regime is being introduced.   
Question 20 
 Would Turkey please indicate whether it intends to notify details of the new scheme, including 
any future implementing legislation, to allow co mments on its potential operation to be taken 
into account?  
Turkey's answer:  TAPDK is continuing the preparations of new draft "Regulation on the Rules of 
Procedures Subject to Production and Trade of Alcoho lic Drinks", to replace the "Regulation on the 
Rules of Procedures Subject to the Domestic and Foreign Trade of Alcohol and Alcoholic Drinks", 
respecting necessary transparency needs. 
(iv) Free zones, special economic areas 
Pages 68-69 
 Question 21  Do national labour laws, the fundamental righ ts at work as embodied by the ILO's 2008 
Declaration on Social Justice for a Fair Glob alisation and the 8 core ILO Conventions also 
apply in free zones and free economic zones? If not, why not?  
Turkey's answer: As set forth in article 10 of the Free Z ones Law Nr.3218, provisions of the Social 
Security Regulations of the Republic of Turkey  are also applicable in the free zones.  
 
Page 68, para. 102 
 The Secretariat's report states "Financial incen tives available to free-zone companies include 
exemption from payment of customs duties and fees; exemption from corporate, income, and WT/TPR/M/259/Add.1 
Page 148  
 
 value-added taxes; free repatriation of profits; 100% repatriation of capital without prior 
permission; and absence of foreign exchange restrictions/…/".  Free zones have proved a positive environment and framework for expor t-oriented foreign manufacturers. Nonetheless, 
Turkish tax inspection services are lately doing an extensive interpretation of the Value Added 
Tax (VAT) and the corporate tax regulations, leading project development cost and corporate 
services fee to be subject to those taxes.  
 Question 22  Regarding the VAT and the corporate tax, what is  the regulation applying to foreign companies 
and joint ventures?  
Turkey's answer:  The VAT and the corporate tax, as well as other free zone implementations, are 
applied to all free zone companies regardless of their origin. There is no differentiation between 
foreign or domestic companies with regards to the free zone procedures.  
 
Question 23 
 
Which type of operations are exem pted from these tax regulations? 
 
Turkey's answer: The value added tax implementation and ex emptions are regulated in the Value 
Added Tax Law Nr: 3065. Since the trade between the free zones and Turkey is subject to the foreign 
trade regime, the goods sold to Turkey from th e free zones is deemed to be imported and as a 
consequence value added tax is applied. Corres pondingly the goods sold from Turkey to the free 
zones are exempted from the value added tax since they are subject to the export regime. The goods 
that are brought into the zones from abroad are al so exempted from value added tax as long as they are 
not used or consumed under conditions other than tho se provided for in the customs legislation. If the 
VAT free goods of third country origin are incor porated in the manufacturing process, countervailing 
tax over the rates set forth in the common customs tari ff has to be paid for the final product to be put 
into free circulation.  
Financial incentives are widely used in the free zon es system in the world like some of the EU free 
zones such as Madeira, Gran Canaries etc. In orde r to further align the Turkish Free Zones Legislation 
with the EU acquis, Law Nr. 5084, which came in to effect on February 6, 2004, amended the 
incentive system set forth in the Free Zones La w Nr.3218 and ended the tax exemptions by the 
beginning of 2009 for the users that engage activi ties other than manufacturing. The corporate or 
income tax exemption is only for the manufacturer  companies and effective until Turkey becomes a 
full member to the European Union.  
 
Question 24 
 
Furthermore, could Turkey provide further deta ils on which type of companies can benefit 
(domestic or foreign companies), under which cond itions, which activities are allowed and which 
not, and what are the exact tax incentives granted?  
 
Turkey's answer: In order to operate in the Turkish free zones, the domestic or foreign companies 
should have an operating license that is granted by  the Ministry of Economy (Directorate General of 
Free Zones, Overseas Investment and Services) upon the evaluation of their application. Only the 
companies with a valid operating license can  benefit from the free zone advantages.  
 
Any kind of industrial, commercial and service activities approved by the Supreme Coordination 
Council of Economic Affairs can be carried out with in the free zones. While 26.5 percent of the free 
zone users engage in manufacturing, 54 percent of  the users engage in purchasing and selling. The  WT/TPR/M/259/Add.1 
 Page 149 
 
 
 other activities in the free zones are assembling, re pair and maintenance, r esearch and development 
etc.   As stated above the tax exemptions ended by the beginning of 2009 for the companies that engage in 
activities other than manufacturing as a result of the amendments introduced by Law Nr. 5084 on 
February 6, 2004. However, the ho lders of operating licenses on or before that date are exempted from 
income or corporate taxes on the earnings generated through their activities in these zones, within the 
validity period of their operating licenses. Also th e transactions and arranged documents related to the 
activities carried out in the zones (such as notary fees on specimen of signature) are exempted from 
stamp duties and fees.  (vii) Government procurement Page 71, para 114  The Secretariat's report informs that "A 15% price preference may be granted to domestic 
tenderers pursuant to Article 63 of the PPL.  The p reference is not applicable to joint ventures 
between Turkish and foreign companies. The tenderers must present a certificate of origin, 
issued by the chamber of commerce in the area  where the goods have been produced, to benefit 
from the preference margin."  Question 25 
 
Could Turkey introduce whether it has any plan for modifying the nation al price preference for 
the public procurement regulation?  
 
Turkey's answer: Turkey is not a party to the Governme nt Procurement Agreement under the World 
Trade Organization (WTO).  
 Thus, the existence of domestic preferences is not in violation of any of Turkey's international 
obligations. On the other hand, it is clear that the Turkish public procurement system provides a 
competitive environment to the foreign tenderers as  well and does not disqualify totally and restrict 
the participation of foreign tenderers.  
Turkey is also aware of the discriminatory a pproach of some members of the World Trade 
Organization to the Turkish tende rers and considers this fact as a clear-cut obstacle to the 
liberalization of the public procurement sector.   In spite of the fact that Turkish economic operators are faced with total exclusions in tenders by some 
of the EU members arguing that there is no b ilateral agreement on public  procurement between 
Turkey and the EU in tenders, the EU based fore ign tenderers can participate as long as they meet 
certain requirements.   Domestic preference is an important instrument for supporting the development of local small and medium-sized enterprises for Turkey. Therefore an amendment to the article 63 of Public Procurement 
Law (PPL) which regulates the 15 % preference is not foreseen at the moment. 
 
Question 26 
 
Does the 15% preference apply to procurement of all goods and services, including 
procurements which are formally op ened to international bidders?  
 
Turkey's answer:  The main criterion for local preference in public procurement is the origin of the 
goods (local or foreign) rather than the nationality of the tenderer. The redefinition of the basis for WT/TPR/M/259/Add.1 
Page 150  
 
 local preference in Turkish public procurement has made it possible for foreign companies to compete 
with local companies on a more equal footing, as long as they, too, offer locally produced goods. 
 According to the PPL contracting authorities may apply an up to 15 % preference to domestic 
tenderers in the procurement of any type of servic es. In case of the procurement of any type of goods 
they can apply an up to 15 % preference to all tenderers (dom estic and foreign).  
 Application of the price preference is not obligat ory; it depends on the discretion of the contracting 
authority.  Question 27 
 
Could Turkey provide further details on the ex emption applicable to joint ventures between 
Turkish and foreign companies? 
 Turkey's answer: There are no further exemptions. 
 It must be underlined that any joint venture can benefit from the price preference in the procurement 
of goods insofar they offer domestic products. It mu st also be noted that foreign-owned companies 
incorporated under Turkish law ma y qualify as domestic tenderers.  
 Question 28 
 
Could Turkey provide data on the extent of use of this domestic preference? 
 
Turkey's answer: In 2010, a price preference up to 15% was granted to domestic tenderers in 15% of 
the tenders which are above the PPL thresholds. 
 Since June 1996, Turkey has participated as an  observer in the WTO Committee on Government 
Procurement. However, it is not yet a member of the Government Procurement Agreement.  
Question 29  
 
Does Turkey have any plan to join the WTO Agreement on Government Procurement as a 
Party?  
Turkey's answer: Turkey acknowledges that GPA is a very  important instrument in enhancing 
transparency and market access in government procur ement. Turkey, as a developing country, is also 
aware of the special provisions about the "Sp ecial and Differential Treatment for Developing 
Countries", specific exclusions and the other provisi ons in the GPA which may help to facilitate the 
accession process. Nevertheless, the evaluation on wh ether to and when to start accession to the GPA 
is a multi-dimensional and long process. In this context, the internal evaluation process for the 
participation in the GPA continues.  
 
(viii) State trading, state-owned enterprises, and privatisation 
Pages 72-75  Question 30  
How does Turkey ensure the fundamental rights  at work as embodied by the ILO's 2008 
Declaration on Social Justice for a Fair Globalisation and the 8 core ILO Conventions and are respected by state-owned enterprises, in particul ar those that are engaged in manufacturing or 
processing destined for export?  WT/TPR/M/259/Add.1 
 Page 151 
 
 
 Turkey's answer:  Our answer to the second question is also valid for this question. 
 
Page 74, para. 120  The Secretariat's report state that the privatis ation of 19 electricity distribution companies 
began in 2008 and continued in 2010 and 2011.   
Question 31 
 
In this framework, has Turkey developed an y new strategy/policy on the privatisation of 
electricity distribution and generation a ssets after failure of recent four tenders? 
 
Turkey's answer: The retendering process for the remaining electricity distribution companies will 
commence subsequent to approval of Privatisati on High Council. The technical studies for 27 hydro 
electric, 16 coal fired and 2 gas fired power genera tion companies are being carried out together with 
the consultants. The tendering process will commence subsequent to approval of Privatisation High 
Council. There will be no program change in the privatisation of energy sector.  
 
(ix) Competition policy Pages 75-76  
The Secretariat's report describes Turk ey's competition legislation.  
 Question 32  Can Turkey explain which sectors are exempted fr om the application of the Competition Laws 
and on which legislative Acts these exemptions are based on? 
Turkey's answer: Article 4 (restrictive practices) and artic le 6 (abuse of dominant position) of the 
Act no 4054 on the Protection of Competition (Competiti on Act) applies to all sectors. Furthermore, 
the Turkish Competition Authority has full enforc ement responsibility for mergers and acquisitions 
above a certain threshold with one exception. Acco rdingly, the Competition Act is not applicable to 
mergers and acquisitions involving banks if the sectoral share of their total assets does not 
exceed 20%.   
 
Question 33 
 
As regards Article 45 of decree-law 649 (issued in August 2011), can Turkey please explain how 
this Article has been implemented so far in the area of competition and how it is foreseen to be 
implemented in the future? To which extent does  Article 45 affect the Competition Authority's 
operational independence? Does this Article a llow the competent minister to influence the 
authority's decision-making in any way? If yes, please describe how.  
Turkey's answer:  The Turkish Competition Authority (TCA) has a public legal personality with an 
administrative and financial autonomy. It is inde pendent in fulfilling its duties. According to Act 
no 4054 on the Protection of Competition (Competi tion Act), article 20, no organ, authority and 
person may give commands and orders to influence th e final decisions of the TCA. The Ministry to 
which the TCA relates is the Ministry of Customs and Trade.   
Based on this provision, it can be argued that the TCA is enforcing the Competition Act and the 
secondary legislation adopted by the Competition Bo ard in an independent manner. This is also 
expressly mentioned in the Progress Reports issued  by the European Commission (P. 62 of the 2011 
Progress Report says that " The [Turkish] Competition Authority enforces antitrust rules effectively, WT/TPR/M/259/Add.1 
Page 152  
 
 with a satisfactory level of independence "). The Competition Act includ es the basic mechanisms to 
ensure the independence of the TCA.   The said article has not been implemented so far against any decisions of the Competition Board. 
Besides, the government has never influenced any decisions of the TCA for the last 15 years of 
enforcement. Central government has also been sen sitive to the TCA's requests. Moreover, the TCA's 
autonomy was noted in the OECD's report as well as in European Commi ssion's Progress Reports 
cited above. As to the oversight, the TCA's decisions are subject to judicial review by the Council of 
State, which is the high administrative court. Ther efore, no political intervention is possible to amend 
a decision taken by the Competition Board.  (x) Price controls Page 77, para. 128  The incentive-based pricing mechanism is not properly implemented for electricity and gas 
(cross-subsidy is still being implemented in the electricity sector). 
 Question 34  Could Turkey inform if there is any plan/strate gy to implement cost based pricing mechanism? 
 
Turkey's answer 
Electricity Market:  Within the context of Electricity Market Law (EML) EMRA approves the 
connection and use of system tariffs, the transmissi on tariff, the wholesale price tariff, the distribution 
tariff and the retail tariff.  The connection and use of system tariffs including terms and conditions for 
connection to and use of transmission system or a distribution system establish non-discriminatory 
prices on the basis of non-discriminatory conduct princi ple. These tariffs reflect the envisaged cost of 
connection and use of system.  The transmission tariff is prepared by the Turkish El ectricity Transmission Co. Inc. It includes prices, 
terms and conditions for the provision of transm ission service to all users benefiting from the 
transmission of generated, importe d or exported electricity over the transmission facilities. It is 
employed on the basis of non-discriminatory conduct pr inciple. The transmission tariff is approved by 
EMRA. The method used for determining transmissi on tariff is an incentive-based method (incentive 
regulation/revenue cap). The incentive based pric ing mechanism regarding transmission tariff is 
properly implemented.  
The wholesale price tariff is prepared by Turk ish Electricity Trading and Contracting Co. Inc. 
(TETAŞ) including prices, terms and conditions to a ll real persons and legal entities to which TETA Ş 
is obligated to sell electricity on wholesale basis. It is employed on the basis of non-discriminatory 
conduct principle. The cost-reflective wholesale tariff of TETA Ş is approved by EMRA. 
 The distribution tariff is prepared and offered by distribution companies. It includes prices, terms and 
conditions for the distribution service to all real  persons and legal entitie s benefiting from the 
distribution of electricity through distribution fac ilities. It has to be employed on the basis of non-
discriminatory conduct principle. The distribution tariff is approved by EMRA. The method used in determining the distribution tariff is the revenue- cap method, one of incentive regulation methods. The 
incentive based pricing mechanism regarding di stribution tariff is properly implemented. 
 
The method of price-cap is used while determini ng retail tariff showing it is an incentive-based 
mechanism.   WT/TPR/M/259/Add.1 
 Page 153 
 
 
 It should be noted that, currently, cross-subsidiza tion between different activities such as distribution, 
transmission and retail activities has almost been elim inated. For example, distribution tariff reflects 
the cost and/or incentives regarding only the distri bution activity. Cross-subsidization exists only at 
the retail energy tariff and between different subscriber groups.  
It is declared in EML that a temporary price equa lization mechanism shall be applied to partially or 
wholly protect the consumers purchasing electricity over the regulated tariffs from the price differences present due to the cost differences among the distribution regions. The transition period for 
the implementation of the price equalization peri od will end on 31 December 2012 . By the end of this 
period cross subsidies between different subscriber  groups shall be removed. Cross subsidy via the 
tariffs approved by the Board can only be changed by  a decree of Board of Ministers. Within this 
scope, EMRA plans to remove cross subsidies by th e end of 2012. The regulated electricity energy 
prices are determined quarterly and the amount of cross subsidies was substantially removed at the 
fourth quarter of 2011. The remaining cross subsidies are planned to be eliminated by the end of this 
year unless an amendment at the EML forcing EMRA to implement cross-subsidization is enacted.  
 
Natural Gas Market: Within the context of Natural Gas Market Law, natural gas market tariffs are as 
follows; connection tariff, transmission tariff, st orage tariff, wholesale tariff, retail sale tariff. 
 The connection tariff principles to be determined  by the Authority shall include the terms and 
conditions based on the principle of non-discrim ination among free consumers which have equal 
standings for the connection to a transmission or di stribution system which shall be included in the 
relevant connection agreements. The fees shall be  freely determined by the parties within the 
framework of these principles. The fixed connection tariffs determined between the Authority and the 
distribution company shall apply to the subscribers. 
The Authority shall determine the tariffs regardi ng the transmission and supervision of conveyance. 
The legal entities performing the transmission and supervision of conveyance service shall notify 
then-tariffs to the Authority within the period specifi ed by the Authority. The transmission tariff to be 
prepared by the Authority shall include prices,  terms and tariff conditions applicable without 
discrimination among all users with equal standings, benefiting from the transmission facility for the 
conveyance of the generated, imported or exporte d natural gas. The method used for determining 
transmission tariff is an incentive-based method (incentive regulation/revenue cap). The incentive 
based pricing mechanism regarding transmission tariff is properly implemented. The tariff is valid for 
the period 2011-2013.   Until the storage capacity reaches a sufficient level,  Authority determines the storage tariff.  The 
method used for determining storage tariff is an incentive-based method (incentive regulation/revenue 
cap) like transmission tariff. The storage companies must prove to the Authority that they provide 
economical, effective and safe operation services. Th e storage tariffs shall be determined freely 
between the companies involved in storage busin ess and the legal entities receiving the storage 
services when there will be enough capacity.   The Authority shall determine the principles and cond itions to be taken as basis for the natural gas sale 
tariffs. The retail sale prices and tariff principles consisting of unit purchase price of the natural gas, 
unit service cost, depreciation costs of the distributio n company (distribution fee) and other factors, 
shall be determined by the Authority. No price under any name can be requested from the consumers 
except for the retail sale price so established. The Au thority shall take into consideration the service 
cost, reasonable profitability that provides opportun ity for investment, current natural gas purchase 
prices in the market and similar factors while determining such prices. The distribution fee is 
determined on the basis of the consumption groups  (based on their consumption level) and this 
application prevents cross-subsidation. On the other hand the method of price-cap is used while WT/TPR/M/259/Add.1 
Page 154  
 
 determining retail tariff showing it is an incentiv e-based mechanism. The current tariff period is 
between 2011 and 2015.  
 
The cost-based pricing mechanism for electricity and gas is properly implemented since July 2008. On 
the other hand, according to the High Planning Council Decision on cost-based pricing mechanism the 
cross-subsidization will be removed at the end of the transition period which will end 
on December 31st 2012. 
 
(xi) Trade-related intellectual property regime Pages 77-80 
 
As a consequence of the Decision No. 2008/2 of July 2008 of the Turkish Constitutional Court, criminal provisions of the Trademark Decree 556 punishing trademark infringements and patent and utility models decree law, GI d ecree law, industrial designs decree law were 
cancelled.  The Court also ruled that the Turk ish parliament was to adopt a new law providing 
for criminal sanctions for infringements before  the deadlines.  The new law was only for 
trademarks however, adopted after deadline. Th is late adoption created a legislative vacuum 
and caused considerable legal uncertainty and a large number of acquittals regarding on-going trademark proceedings. The counterfeit goods were re leased back to the market. Right-holders 
are still paying storage costs for the goods that have not yet been released.   
Question 35 
 What measures has Turkey taken up to now to rem edy the situation and to avoid that the same 
situation repeats with regard to other industrial property rights? 
Turkey's answer: It should be noted that currently, Turkey's industrial property righ ts legislations are 
in line with the relevant international agreements  and requirements stemming thereof. Nevertheless 
with the aim of enhancing the current system, resp onding to the sectors needs and providing further 
alignment, meanwhile, a single draft law comprising of, inter alia, civil and criminal provisions for 
patents, industrial designs, and geographical indica tions has been prepared by the Turkish Patent 
Institute.  This new draft law has recently been made  public in order to collect the opinions of all the 
stakeholders.  IV. TRADE POLICIES BY SECTOR (1)  AGRICULTURE (iii) Border measures Pages 82-83, para. 8 
 
When the import restriction on meat and live an imal imports was partially lifted in April 2010, 
it was announced that this market opening was for a temporary period until the market prices 
are stabilised.   Question 36 
 
Is it still the case or would it be considered that this restriction has been definitely lifted as the 
tariff quota period has been once more extended for another year?  
Turkey's answer: First of all, there has never been an import restriction other than the customs duties 
upon the imports of meat and bovine animals. Before  the year 2010 in which the domestic meat prices 
rose sharply within a very short period of time, th e customs duties were 0% for the pure-bred breeding 
bovine animals, 135% for other bovine animals and 225% for meat. As a result, Turkey has been 
importing pure-bred breeding bovine animals not only after 2010 but also before 2010, whereas there  WT/TPR/M/259/Add.1 
 Page 155 
 
 
 was no imports of bovine animals for slaughter and meat before 2010 since they had very high 
customs duty rates. Since mid-2010, Turkey lowered the customs duty of bovine animals other than pure-bred breeding animals from 135% to as low as 0% and also lowered the customs duty of meat 
from 225% to as low as 30% so that imports of these goods have taken and are still taking place. 
Turkey still monitors domestic and international ma rkets and could adjust the customs duty rates at 
any time in accordance with the market conditions.  
 Secondly, the tariff rate quota mentioned has been opened for 100,000 tons of bovine animals with a 
0% customs duty until 31 December 2010, and was extended until 31 December 2012. The intention 
behind the opening of the tariff quota was to in tervene the market should a speculative or 
manipulative price movement took place in the ma rket against the interests of the consumer. 
 As a result, the rationale behind adjusting the tariff rates and the tariff rate quota was to respond to and 
intervene the extraordinary market  circumstances and these policies should not be regarded as lifting 
the import restriction since import restriction and customs duties are different concepts. From Turkey's 
point of view, the application of customs duty is not an import restriction per se. In this regard, there 
has been no import restriction on bovine animals or meat. 
 
Import restriction on meat and live animals or lif ting the restrictions are decided on the basis of 
disease notifications made to OIE. As long as the health requirements are met imports of live animals and meat will be continued.  
(iv) Domestic programmes 
(a) Direct income support Page 83, para. 11  According to the Secretariat's report "/…/ The authorities note that Turkish agricultural policy 
is in a process of transition and that the Gov ernment plans to provide direct payments in the 
future, while the agricultural support model applied in the EU will be adopted after full membership. Turkey is taking steps in this direction/…/".    Question 37  
Could Turkey introduce its plans with resp ect to its agricultural support strategy? 
 
Turkey's answer: Within the scope of Accession Negotia tions to the EU, one of the opening 
benchmarks under 11th "Agriculture  and Rural Development" Chap ter is related to the support 
scheme of Turkey, which is Turkey's presenting a strategy to the Commission that reverses the 
tendency in increasing the coupled direct support paym ents and price support measures in favor of the 
decoupled direct supports which are compatible with the recent trend of CAP". 
In this context, a strategy document to align Tu rkish domestic support policy to CAP is prepared and 
will be discussed with the EU in near future. In this draft strategy, implementation of the newly 
introduced basin based support program is foreseen  at the transition period while transforming 
deficiency payment supports to area-based support policies. The strategy document also foresees 
improvement of infrastructure to implement CAP un til 2014 as mid-term objective and fully start to 
implement CAP with accession to the EU. A comprehensive impact analysis is also planned in order to put forth the financial and social impacts of transition. 
The speed of Turkey to bring its domestic support po licies in-line with those of the European Union 
also partly depends on the amount and in time allo cation of the EU funds into Turkish Agriculture. 
 WT/TPR/M/259/Add.1 
Page 156  
 
 (v) Agricultural state-owned enterprises  
Page 86, para. 21  The Secretariat's report outlines Turkish agricultural state-owned enterprises, including Turkish Grain Board (TMO).  
 
Question 38  Could Turkey describe in detail the functioning of the TMO, in particular provide details on intervention prices as well as information on pr ices of wheat proposed to flour exporters, and 
volumes concerned for the last 5 years? 
 
Turkey's answer:  TMO is an institution that carries out its activities and operations within the scope 
of The Board of Directors' decisions. It works on the ground of profitability. Since 2002, TMO has set 
purchasing and selling price of the products in the field of its activities autonomously. The product 
prices that TMO announces are not administered pri ces of the government but prices announced by 
TMO's Board of Directors.   Thus, TMO is not an institution that intervenes dire ctly in functioning of grain markets. When grain 
prices that are formed in grain markets fall below the prices that are set by TMO, it gets into market 
and purchases grains with its prices and it sells those products with the profit. TMO's export price for 
the grain, including wheat, is determined at the level or above the world market prices.    
(vii) Evolution of support and protection 
Page 87, para. 25  The Secretariat's report states that "/…/Turkey  has not provided any domestic support and 
export subsidy notifications to the WTO since 2002". The EU notes that it is of major 
importance to provide WTO with up-to-date notifi cations in order for the review process to be 
efficient and for Members to understand each others' policies.   Question 39  
When does Turkey intend to present the delayed notifications? 
 
Turkey's answer: Turkey plans to submit its domestic support and export subsidy notifications to the 
WTO in the near future.   
(2) ENERGY 
Page 89, para. 30 
 With a share of 86%, the Petroleum Pipeline Corporation (BOTAS) still maintains a near-
monopoly position on imports.   Question 40 
 
Does Turkey have any strategy to lift or lower the BOTAS share in future? 
 
Turkey's answer: BOTAŞ's monopoly in natural gas imports, exports and wholesale trading was 
demolished with the enactment of the 2001 Natura l Gas Market Law.  In this context, BOTA Ş have 
implemented the contract transfer programme.  
  WT/TPR/M/259/Add.1 
 Page 157 
 
 
 As of 2010, 4 bcm of gas import c ontract previously owned by BOTA Ş has been transferred to 
4 different private companies and further studies are being conducted in order to transfer additional 
volumes of contract. Furthermore, BOTA Ş did not renew contract of gas purchase agreement via West 
Line with Russian counterpart. It is envisaged th at Natural Gas Market Law (4646) will be amended 
as drafting studies are underway, and the amendments will include articles regarding to increase the 
share of private sector.  
 
(v) Renewable energy Page 93, para. 30  
The Law on the Utilization of Renewable En ergy Sources for the Purpose of Generating 
Electrical Energy as amended in January 2001, provides feed-in tariffs that are proportional to the local content of equipments used, thereb y discriminating against equipment of foreign 
origin. The EU urges Turkey to eliminate any local content requirement from the law and to 
adopt implementing legislation that is WTO compliant.  
 
Question 41  Could Turkey provide information about the timeline of adoption of such implementing legislation? 
 
Turkey's answer:  In order to reduce energy import dependency and increase utilization of 
indigenous resources, further measures aiming at fa cilitating utilization of vast renewables potential 
and supporting market penetration of  renewable based electricity gene ration are crucial elements of 
Turkey's energy strategy.   
Turkey aims to reach at least thirty percent (30% ) share of renewables in electricity mix until 2023. 
This is also one of the main tools in the context of the Electricity Market and Security of Supply Strategy Paper, as a road map of Turkish Electricity sector.   The Renewable Energy Law (2005), The New Rene wables Law (2011), The Electricity Market Law 
and Energy Efficiency Law, together set the le gal framework for promoting electricity generation 
from renewable sources and include these main instruments:  
 
- Supporting mechanisms and incentive schemes such as differentiated feed-in tariffs 
(7,3 US cents per kWh for hydro and wind, 10,5 US cents for geothermal and 13,3 US 
cents for solar and biomass),  
- purchase guarantees, 
- connection priorities,  
- lower license fees and exemptions and  
- various practical conveniences in project prep aration and land acquisition are defined.  
 
In addition, a certain support of 0.4 to 3.5 US cents  per kWh is to be provided to the plants if they 
choose to utilise domestically manufactured technical equipment. Please note that this is not a 
requirement to be fulfilled by the investor, but a support scheme for the development of renewable 
related technology and knowhow in Turkey. Investors are not under any sort of obligation or required 
or compelled to use or buy local content under any circumstances, but will be rewarded with a small 
extra incentive if they desire and decide to use dom estically produced or manufactured equipment. It 
should be noted that the basic intention is not to discriminate foreign goods but to further contribute to 
the development of renewable technology and f acilitate maturing of new energy sciences.  
 WT/TPR/M/259/Add.1 
Page 158  
 
 To sum up, it would be incorrect to assert that ther e exists a "local content requirement" for renewable 
energy sector in Turkey as investor are not requ ired to use local content but extended additional 
incentives in order to improve renewable energy use.  
 
(4) SERVICES 
(ii) Telecommunication 
Page 101, para. 75  The Secretariat's report states that "Suppliers of electronic communications services require 
authorization from the ICTA. If the service do es not require allocation of scarce resources (such 
as frequency or satellite slots), the service is co nsidered authorized upon notification to the 
ICTA. When allocation of resources is required, the ICTA may grant a right of usage valid for up to 25 years. Unless the number of rights has been limited, e.g. for reasons of efficiency, rights of usage are granted within 30 days from the da te of application. In addition to an annual 
administrative fee, the Council of Ministers sets minimum right of usage fees based on proposals 
by the Ministry of Transport, Maritime and Communications taking in to account suggestions 
from the ICTA."  Question 42  Could Turkey provide more information with regards to the authorisation procedure? 
Turkey's answer:  Electronic communication services may be provided and/or electronic 
communication networks may be inst alled and operated by the operators after the authorization to be 
granted by ICTA.  Article 7 of the "By-Law on Authorization for Electronic Communications Sector" defines the 
authorization conditions for a supplier whether it is do mestic or foreigner. A ccording to this article: 
 1. The company to be authorized must be founded in legal status of incorporation or 
limited company according to the laws of Republic of Turkey for the purpose of performing activities within the scope of authorization or together with such activities, required and/or relevant device sales, installation, maintenance-repair and 
consultancy. 
 2. Its scope of activity in the articles of incorporation as published on the Trade Registry 
Gazette, whereby the company is registered  and announced, must include the wording 
"providing electronic communication/telecommunication service and/or building and 
operating electronic communication/teleco mmunication network or infrastructure " or 
the electronic communication activity for which it seeks authorization. 
 3. Natural person partners ha ving minimum ten percentage of the company's shares and 
the persons authorized for managing and re presenting the legal entity should not have 
been sentenced  for in the information and communication technologies sector crimes  
provided in chapter Ten of the third Sec tion of Turkish Penal Code numbered 5237 
and dated 26/9/2004 and, excluding unwilli ng crimes, these persons should not have 
been sentenced for penal servitude  or imprison ment for more than five years,  or legal 
fraud, corruption, bribery, theft, confiden ce tricks, misfeasance, forgery, fidelity, 
fraudulent bankruptcy, crimes of smugglin g, bid rigging, money laundering, tax 
smuggling or participating in tax smuggling crimes.  
 The same conditions mentioned above apply also for foreigner suppliers to be authorized to provide 
electronic communication services.  WT/TPR/M/259/Add.1 
 Page 159 
 
 
  
The companies satisfying these conditions can apply for authorization and if they do not require allocation of scarce resources such as numb er, frequency, satellite position for electronic 
communication services they intent to provide and/or electronic communication network or infrastructure they intent to install and operate, they  shall be authorized by means of notification. The 
companies should notify the Authority before comme ncing the activities by filling out the notification 
form. The company notifying the Authority shall be accepted as authorized at the time its notification 
form is entered into Authority's document regist ry and obtains operator status and may commence 
providing relevant services marked in the notification form.  
The Authority within maximum fifteen days after entering of notification form to the Authority's 
registry shall send a letter confirming that the said notification is duly made pursuant to the relevant 
regulations and in case defects/non-conformances is  found in an operator's notification application 
form, the operator shall be asked in written form late st within fifteen days after the notification form 
enters to records of the Authority's registry to correct the relevant defects/non-conformances. 
When allocation of resources is required, the ICTA may grant a right of usage valid for up to 25 years. 
Unless the number of rights has been limited, e.g. for reasons of efficiency, rights of usage are granted 
within 30 days from the date of application. Right of use whose number is limited shall be granted to 
the companies which are rewarded and meets the c onditions of the tender to be performed by the 
Authority or the Ministry. In this scope, process releva nt to authorization, app lication form for right of 
use with notification, certificate of authorization wh ere rights and obligations are specified in its annex 
and other information and documents to be submitted to the Authority regarding authorization shall be 
in the relevant tender specification document. 
 In addition to an annual administrative fee equivale nt to thirty five ten-thousandth (0.35%) of the 
operator's net sales specified under income table for the previous year, the operators are required to 
pay the right of use fees for the allocated scarce r esources the minimum values of which is set by the 
Council of Ministers on proposals by the Ministry of  Transport, Maritime and Communications taking 
into account suggestions from the ICTA.  
Page 101, para. 76 
 The Secretariat's report describes the responsib ilities of the Information and Communication 
Technologies Authority (ICTA), including related to its tariff setting and supervisory functions.  
 Question 43  Could Turkey explain when the ICTA may int ervene in the tariff setting and inform about 
ICTA's supervisory functions?  
 
Turkey's answer:  For Wholesale Services:  The ICTA may impose on operators with significant 
market power in the relevant market obligation to set their access tariffs on cost basis. Upon request of 
the Authority, the obliged operators have to prove that their tariffs ha ve been set on cost basis. In case 
ICTA determines that the obliged operators have not  set their tariffs as cost-oriented, it shall be 
entitled to set their access tariffs as cost-oriented. Un til it does so, ICTA shall be entitled to introduce 
upper limit by taking into account the implementations of other countries, the prices applied beforehand, and interrelationship between the service which is subject to regulation and other services 
offered in the same and/or similar markets at wholes ale and retail levels, to the appropriate extent. In 
this case it is obligatory to comply with the tariffs set by ICTA. 
 WT/TPR/M/259/Add.1 
Page 160  
 
 For Retail Services:  According to the Concession Agreements of the operators and the relevant 
legislation, they are free to set the end-user tariffs of the electr onic communication services as long as 
tariffs are determined in accordance with the relevant legislation and regulations. 
 According to the Tariffs Ordinance, the ICTA is  entitled to impose obligations on operators with 
significant market power in relevant markets to be  subject to tariff regulations. The tariffs of these 
operators shall be regulated within the framework of one or more of the following methods, having 
regard to structure of the mark et whereby the service is  offered, competition conditions within the 
market and consumer interests: 
- The tariffs being subject to the notification procedure (default method), 
- Setting lower and/or upper limits for the tariffs, 
- Approval of the tariffs in accordance with the cost-based method, - Approval of tariffs in accordance with the price cap method.  
ICTA is entitled to monitor and examine all types of  tariffs and their scopes, durations and terms on its 
behalf or upon a complaint with respect to protect ion of consumer rights and competition. In this 
framework, operators are obliged to provide all requested information and documents. ICTA is 
entitled to take the following measures during and/or  as a result of the monitoring and examination: 
 - Ensuring correction of the tariff or general terms regarding the tariffs, 
- Suspension of the implementation of the tariff temporarily, - The revocation of the tariff. 
 
Furthermore, ICTA, having regard to the nature of  the breach it finds as a result of the monitoring and 
examination, is entitled to implement necessary ad ministrative fines and other sanctions including 
suspension of the tariffs that have  been subject to examination. 
 
If the operators do not fulfill their obligations under the supervisory regulations, then the sanctions 
and measures stipulated by the provisions of the relevant legislation sha ll be implemented by the 
Authority.  
 
(v) Construction Page 106, para. 102 
 
According to the Secretariat's report, "/…/Pursuant to Regulation No. 27787 On the Registry of 
Building Contractors, Field Supervisors and Licensed  Craftsmen, all contractors will need to 
obtain a competence number from 1 January 2012 onwards./…/". 
 
Question 44 
 
Could Turkey provide more details regardi ng the competence number obligation?  
 
Turkey's answer:  Ministry of Environment and Urbanism implements the contractors' competence 
number system: Pursuant to the Regulation No. 27787 "On the Registry of Building Contractors, Field 
Supervisors and Licensed Craftsmen", all contr actors should obtain a competence number from 
01 January 2012 onwards. All contractors in the countr y are registered by a central automation system.  
 Foreign construction companies established according to the Turkish trade legislation and providing 
construction services should obtain a contractor competence number from the Environment and 
Urbanism Provincial Directorates where the company is established and/or registered.  These foreign 
companies are registered like the Turkish compan ies and no discriminatory measures are applied. 
Foreign company owners or share holders should ob tain a temporary Turkish citizenship ID from the  WT/TPR/M/259/Add.1 
 Page 161 
 
 
 Ministry of Interior Works. They are registered  to the system of contractor competence number 
through this ID or tax number.  
ARGENTINA 
 
Informe de la Secretaría (WT/TPR/S/259)  
 
RESUMEN 
 
En el párrafo 12 se señala que el gobierno de Turquía ha compensado las pérdidas de las 
empresas de propiedad estatal que comercian con productos básicos como los cereales y el 
azúcar con transferencias del Tesoro turco. El in forme menciona además que dieciséis grupos de 
productos tienen derecho a recibir subvenciones a la exportación.  
 Pregunta 1: ¿Podría el gobierno de Turquía detallar cuáles son los sectores específicos beneficiados por los mencionados subsidios? 
 Turkey's answer:  Turkey provides export subsidies to 16 product groups with the Export Subsidy 
Programme for Agricultural Products, Decree 2010/10 of The Money-Credit and Coordination 
Council. These 16 product groups are available in table AIV.2, Secretariat Report, Page 149. 
 
Pregunta 2: ¿Cuáles son los criterios que el gob ierno de Turquía adopta para otorgar dichos 
subsidios? ¿Qué condiciones deben cumplir los exportadores para acced er a los subsidios?  
 
Turkey's answer: Turkey maintains this export subsidy program me for agricultural products with the 
aim of developing its export potential in valu e-added processed agricultural products. The subsidies 
are provided to producer/exporters or exporters . The applicants should submit the necessary 
documents (customs declaration, receipt, certificate of origin etc.) in order to benefit from this subsidy 
program.   
En el párrafo 13 se menciona que Turquía está tr atando de aumentar la proporción de las 
fuentes de energía renovables para cubr ir su creciente demanda de energía. 
 
Pregunta 3: ¿Podría el Gobierno de Turquía expl icar cuáles son las herramientas a través de las 
cuales Turquía está buscando ampliar la propo rción de las fuentes de energía renovable?  
 
Turkey's answer:  Accordingly, Turkey's energy strategy is multi-dimensional. It strives at 
diversifying its energy supply sources and routes, as well as its energy basket by increasing the share 
of the renewables and adding the nuclear energy.  
 In order to reduce energy import dependency, reduce greenhouse gas emission from electricity generation sector and benefit from indigenous resources, further f acilitating utilization of vast 
renewables potential of our count ry and supporting market entry of renewable based electricity 
generation are crucial elements of our energy st rategy. In this manner, Renewable Energy Law was 
enacted in order to encourage re newables based generation in compe titive market conditions. To this 
end, certain supporting mechanisms and incentiv e schemes are defined in relevant laws and 
regulations.   1. Having a substantial potential for the renewable en ergy resources, Turkey ranks seventh in the 
world and first in Europe in terms of geothermal en ergy. Turkey also aims at further increasing its use 
of hydro, wind and solar energy resources. Turkey  envisages producing 30% of its electricity need 
from the renewables by 2023. WT/TPR/M/259/Add.1 
Page 162  
 
 Through measures for utilization of our domestic and renewable resources,  high level of import 
dependency in oil and gas will be reduced.   2. By the end of December 2011, share of renewa bles is twenty five percent (25%) in total 
electricity mix. Furthermore, every ten years, el ectricity demand doubles. Wind installed capacity has 
reached 1 691 mw. It is expected that solar installe d capacity will be developed further this year. Until 
the end of 2012, 600 MW solar power is envisaged to be connected to electricity system in first step. 
After 2012, connection capacity will be improved b ased on the initial experience. Transformer points 
were announced in 2011. Geothermal installed cap acity has reached 114 MW. 2023 renewable related 
targets can be summarized as; 20.000 MW wind, 60 0 MW geothermal, 3000 MW solar and utilisation 
of remaining hydroelectricity potential (currently 40% utilised). 
 
III. POLÍTICAS Y PRÁCTICAS COMERCIALES, POR MEDIDAS 
1) MEDIDAS QUE AFECTAN DIRECTAMENTE A LAS IMPORTACIONES  
 
En el párrafo 8 se explica que desde el 1º de enero de 2010, los productos textiles y el vestido 
están sujetos a requisitos de registro para vigilar sus importaciones.  Pregunta 4: ¿Podría Turquía explicar con más de talle cómo funciona el mecanismo de registro 
de exportadores para los productos textiles?   
Turkey's answer: The Exporter Registration Form is required for the first application of each 
exporter. Exporter Registration Form should be ap proved by the Turkish Consulate General in the 
exporter country after the approval of the related co untry's authorities. In case of the absence of the 
Turkish Consulate General in that country, the form  will be approved by the Chamber of Commerce, 
where the producer company is registered.  
 
Turkish Consulate General's approval is not necessary in case an Apostille agreement is in force with 
the exporter country in accordance with the La Ha gue Convention dated Oct ober 5, 1961. Completion 
of this process depends on the exporter country and it should be emphasized that this process is 
required for only the first time. Exporter Registration Fo rm is valid for one year  and then renewals and 
updates can be made on the Internet.  
 
However, exporters can fill out the said form on inte rnet and complete the authorization process by the 
aforementioned authorities within 60 days. This me chanism is aimed to prevent any delays. Hence, 
literally this process takes no time.  
Detailed information can be acquire d from the file "Exporter Registry Form Guide Book" at the link 
below.  http://www.ebirlik.org /Default_En.asp  
 
Pregunta 5: ¿Cuál es el tiempo estimado para la realización  de dicho trámite?   
Turkey's answer:  Exporters can fill out the Exporters Regi stration Form on internet and complete 
the authorization process by the related authoriti es within 60 days. This mechanism is aimed to 
prevent any delays. Hence, literally this process takes no time.  Regarding the importers in Turkey if all the condition s are met the Registry Document is granted in no 
more than 1 hour.  WT/TPR/M/259/Add.1 
 Page 163 
 
 
 iii) Los demás derechos y cargas 
 
En el párrafo 18 se explica que Turquía aplica en la actualidad un impuesto del Fondo Público 
para la Vivienda al pescado y los producto s del pescado importados comprendidos en los 
capítulos 2, 3, 15, 16 y 23 del SA.  El gravamen es diferente según se trate de importaciones de la 
UE, países miembros de la AELC u otros pa íses, y varía entre cero y 35 por ciento ad valorem . 
Turquía no ha consolidado sus aranceles corr espondientes al pescado y los productos del 
pescado, pero las importaciones de los países miem bros de la AELC entran libres de derechos de 
importación y del gravamen del Fondo Público para la Vivienda en virtud del acuerdo de libre 
comercio entre Turquía y la AELC.  
 
Pregunta 6: ¿Podría Turquía explicar bajo qué criterios el gravamen se aplica de manera diferente según se trate de importaciones de la UE , países miembros de la AELC u otros países?  
 
Turkey's answer: Mass Housing Fund is principally applie d without any country specific condition 
and/or discrimination. However, texts regarding Turkey's bilateral trade relations such as FTA 
documents may include exemptional clauses that provide Turkey's counterparts to benefit from 
advantageous fund deducti ons and/or exemptions. In the MH F case, bilateral legal texts signed 
between the EU, EFTA and the Republic of Egypt and Turkey brought mentioned parties the ease to 
benefit lower MHF rates in their exports to Turkish Customs Region. 
 
The preferential rate of tariff is applicable in case Turkey has granted tariff concessions in fish and 
fishery products under its preferential agreements wi th certain countries, such as EU, EFTA countries, 
Bosnia and Herzegovina etc. 
 
Under the preferential regime with the EU, fish and fish products are subject to liberalization. Imports 
from the EU countries enter with reduced duty.  
 
For the fish and other marine products, listed in  Annex II of the Turkey-EFTA Free Trade Agreement 
which came into force in 1992, Turkey reduced 60 pe rcent of customs duties upon the entry into force 
of the Agreement. Remaining reductions were comple ted in 1995 in line with the provisions of Annex 
II as amended by the Joint Committee Deci sions No. 4 of 1992 (19 November 1992). 
 v) Derechos y cargas por servicios prestados   En la página 42, los párrafos 26 y siguientes se ref ieren a la exigencia turca de la colocación de 
una cinta adhesiva a las bebidas alcohólicas y los productos del tabaco desde noviembre de 2007, 
contando también con post eriores modificaciones.   
 Pregunta 7: ¿Podría Turquía explicar el trámite que tienen que llevar a cabo los importadores de dichos productos?  
 
Turkey's answer:  Regarding the implementation of a stri p-stamp requirement for tobacco products: 
 
 - The firms having Certificate of Import  Authorisation  issued by TAPDK may receive 
strip-stamps for the products which will be imported. They provide these strip-stamps from the company authorized by Ministry of Finance. 
 - The importers convey these strip-stamps to the producer and insure them to affixed to 
the products at production sites abroad be fore the products are shipped to Turkey. 
 - TAPDK receive a very small amount (1,80 TL for 1000 strip-stamps) of service 
charge 
 -  In order to provide security of the legally  imported products by the firms registered by 
TAPDK, the import of the products without strip-stamp are not permitted. In this WT/TPR/M/259/Add.1 
Page 164  
 
 context, it is not possible to be finished  the entry process to the country of the 
products without strip-stamp. 
 
Regarding the implementation of a strip-st amp requirement for alcoholic beverages: 
 
 - The firms submitting their notification to TAPDK in order to import alcoholic 
beverages may receive strip-stamps fo r the products which will be imported 
 - The firms wishing to import alcoholic beverages submit their notification to TAPDK 
in person or through their authorized re presentatives with necessary documentation 
stating information regarding the firm and th e relevant product, enclosed to a petition. 
 - The firms provide the strip-stamps, the number of which is approved by TAPDK from 
the company authorized by Ministry of Finance.  
 - The strip-stamps are affixed to products at production sites abroad before the products 
are shipped to Turkey or in customs areas in Turkey, or at facilities operated by an 
authorized company in the provinces of Istanbul, Izmir, or Mersin. 
 
3) M
EDIDAS QUE AFECTAN A LA PRODUCCIÓN Y AL COMERCIO  
iii) Medidas sanitarias y fitosanitarias  En el párrafo 94 se comenta que Turquía aprobó una Ley de bioseguridad y el correspondiente 
Reglamento de los OMG en 2010 para regular  todos los aspectos relacionados con la 
biotecnología agropecuaria en Turquía, exigiendo que los alimentos y los piensos que contengan 
OMG sean etiquetados como tales.   En reiteradas oportunidades varios Miembros de  la OMC han planteado en el Comité de 
Medidas Sanitarias y Fitosanitarias su preocupaci ón por la falta de fundamentos científicos de 
determinados requisitos incluidos en la Ley de  bioseguridad y sus normas reglamentarias. 
 Pregunta 8: ¿Podría Turquía explicar si ha atendido estas preocupaciones y, por lo tanto, ha puesto su normativa en conformidad con los requisitos de la normativa internacional de referencia (en este caso normas de Codex Alimentarius)?  En caso de respuesta negativa, ¿podría Turquía ex plicar si cuenta con sustento científico que 
justifique tal apartamiento?  
Turkey's answer: The Biosafety Board gives decision on the application related to the GMO or GMO 
products, based on the results of risk assessment and socio-economic evaluation that is carried out by 
the Scientific Committees on a scientific base.  
 
While carrying out the evaluations, The Scientific  Committees consider several documents submitted 
by the importer firms, the opinions of the various  institutions that carry out risk assessment (EFSA, 
WHO, FAO, FDA), the results of the scientific researches (analyses of allergic and toxic effects, stability of genetic modification, morphological and agronomical characteristi cs, impacts on the off-
target organisms), production, consumption conditi ons and gene transfer methods, the molecular 
characterization of the transferred gene, the expressi on of the protein that it produced and its possible 
risks to human and environmental health.  According to the Law on Biosafety, based on Sc ientific Risk Assessme nt Committee and Social 
Economic Committee reports, Biosafety Board decid es the usage of GM products taking into account 
for human, animal and plant health and biological diversity.  
Until now, there is no application refused by the Biosafety Board. If a GMO product will be 
disapproved by the Biosafety Board in the future it will surely be based on scientific evidences as the  WT/TPR/M/259/Add.1 
 Page 165 
 
 
 applications are assessed by the scientific a nd socio-economic committees established under the 
Board.  
En el párrafo 95 se explica que las importacio nes de productos agrícolas y alimenticias 
requieren un certificado de control expedido por el Ministerio de Alimentación, Agricultura y 
Ganadería (MFAL).  
Pregunta 9: ¿Podría Turquía explicar cómo es el procedimiento para la obtención del 
certificado?  
Turkey's answer: The real and legal persons requesting to import live animals or animal products 
shall submit their application dossier to the Gene ral Directorate of food and control under the MFAL 
in person or through their authorized representatives before completion of departure procedures within 
the exporting country, together with necessary docu mentation stating the information regarding the 
firm and the relevant product, enclosed to a petition.  
Relevant information and documents to be included in the dossier  are available at the web site of 
General Directorate of Food and Control under the MFAL: http://www.gkgm.gov.tr/genel/ 
aboutus.html 
IV. POLÍTICAS COMERCIALES, POR SECTORES 
1) AGRICULTURA iv) Programas internos 
f) Medidas ambientales 
 En el párrafo 17 se explica que desde 2005 se realizan pagos ambientales en el marco del Programa de protección ambiental de las tierra s agrícolas (ÇATAK), para compensar a los 
agricultores por retirar tierras de la producción y utilizar técnicas de conservación del suelo en 
zonas vulnerables desde el punto de vista medioambi ental. Asimismo, se co menta que  se presta 
ayuda a la agricultura orgánica y las "buenas prácticas agrícolas" encaminadas, entre otras 
cosas, a proteger los recursos na turales, la rastreabilidad y la seguridad alimentaria. 
 Pregunta 10: ¿Podría Turquía explicar las co ndiciones para acceder a los beneficios del 
Programa de protección ambiental? ¿Bajo qué criterios el Gobierno de Turquía otorga los 
pagos ambientales?  
 
Turkey's answer: Environmentally Based Agricultural Lands Protection Program (ÇATAK): On 
agricultural lands that are exposed to erosion and en vironmental adverse effects, in order to motivate 
producers making processed farming to use their lands for natural vegetation, organic agriculture and 
forestation or as meadows or pasture, environmen tally based agricultural lands protection program 
supports are provided for a certain period of time. 
Payments are made in three categories. 1) set-aside 2) minimum-processed soil farming and 
3) environmental friendly agricultural techniques a nd cultural practices (including irrigation, organic 
farming, good agricultural practices, controlled fe rtilizer and herbicide usage). The program is 
implemented in 25 provinces.  
Pregunta 11: ¿Cuáles son las zonas vulnerables d esde el punto de vista medioambiental? ¿Qué 
criterios se toman en cuenta para la clasificació n de zona vulnerable? ¿Cuál es la autoridad de 
aplicación de dicho Programa?  
Turkey's answer: According to Urban Waste Water Treat ment Directive Hot Spots (HS) and 
Sensitive Areas (SA) of Turkey has been identified.  In the identification of Hot Spots and Senstive WT/TPR/M/259/Add.1 
Page 166  
 
 Areas both Urban Waste Water Directive's and inte rnational Conventions' (Barcelona and Bucharest) 
criteria were used. Ministry of Environment and Urbanization is responsible for implementation of 
this Communiqué.  
 
Pregunta 12: ¿Podría Turquía detallar cuáles son los criterios para otorgar las ayudas a la 
agricultura orgánica y las "buenas prácticas agrícolas"?¿De qué manera se asegura que las 
ayudas están efectivamente encaminadas, entre otra s cosas, a proteger los recursos naturales, la 
rastreabilidad y la seguridad alimentaria?   
Turkey's answer: The farmers are required to be registered in National Farmers Registration System 
and in Organic Farming Information System. 
For the registry, farmers are required to apply with conformity certificate and have to be engaged in 
organic farming for at least1 year. 
Protection of the natural resources is monitored by increasing the number of areas on which organic 
farming is made. 
Good agricultural practices is a way of production; in which making an environment, human and 
animal health friendly agricultural production, protection of natural resources, food security, 
traceability an sustainability, professional health a nd animal welfare criteria are kept as obligatory 
requirements "By-Law Concerning Good Agricu lture Practices" dated 7 December 2010 and 
numbered 27778. Control and Certification Institutio ns which the Ministry of Food Agriculture and 
Livestock delegates authority, carries out inspecti ons to decide whether the companies use good 
agriculture practices in line with related legislati on. The companies which are in line with the related 
legislation are certified. The products having "Good Ag riculture Practice Certificate" are supported in 
the scope of good agriculture practices supports. Su pports' being used for traceability, protection of 
natural resources and food security purposes is  ensured with the Ministry inspections.  
 BRAZIL  The Secretariat Report WT/TPR/S/259 
I. ECONOMIC ENVIRONMENT 
Page 3 (para. 10) 
 Turkey has witnessed major fluctuations in the ex change rate of the Turkish Lira since at least 
2003. According to the Secretariat Report, its val ue rose by virtually 20% until the end of 2007, 
when it started to drop. It eventually reached, at  the beginning of the global financial turmoil, a 
real level comparable to the one recorded in 2003. In 2009 and 2010, it experienced a "steady 
appreciation" once again, which was followed by another considerable devaluation in 2011.  
 Question 1  Which sectors of the Turkish economy were most affected by such currency fluctuations? 
 
Turkey's answer: Our econometric analysis of the impact of real effective exchange rate (Reer) on 
Turkey's foreign trade shows that imports are more  sensitive to the Reer fluctuations, compared to 
exports. Thus the appreciation of Turkish Lira trigge rs imports and mainly that of intermediate goods. 
This exacerbates the dependency of the production an d exports on the imports of intermediate goods.  WT/TPR/M/259/Add.1 
 Page 167 
 
 
 Question 2 
 What remedies has the Turkish government employed to alleviate the impact of such fluctuations on growth and, in particular, on foreign trade and investment? How effective have 
those national measures been? 
 
Turkey's answer: As a result of the aforementioned economic structure, Turkey employs structural 
solutions rather than exchange ra te based solutions. These structural  solutions target to increase 
exports and export oriented producti on. In this respect Turkey tr ies to reduce the dependence of 
exports on the importation of inte rmediate goods, energy and non-ene rgy raw materials; improve the 
value added generated in Turkey and incr ease the competitiveness of Turkish products 
 In line with the major macro-econom ic reforms launched in 2001, with the aim to stabilize the Turkish 
Lira and decline the inflation as well as the budget de ficits, Turkey has also initiated a comprehensive 
investment climate reform program, in order to en sure an investor friendly regulatory framework. The 
reform program aimed to streamline investment re lated procedures by eliminating administrative and 
bureaucratic bottlenecks. In the context of th e Investment Climate Reform Program, Turkey 
developed its own structure based on strong public -private sector dialogue for strengthening the 
competitive position of the country. The reform pr ogram has proved to be highly functional in 
building productive problem solving mechanisms with effective participation of all stakeholders from 
both public and private sector. With the continuous a nd enhanced efforts of the two main platforms, 
Turkey has completed major reforms in the past 10 years period, including a highly liberal FDI Law. 
As a result, Turkey has attracted more than 110 b illion USD Foreign Direct Investment inflows in the 
last 10 years period (2001-2011), more than twelvefold  of the previous ten years FDI inflow figures. 
 
The Government Report WT/TPR/G/259 
IV FUTURE ECONOMIC AND TRADE POLICY GOALS 
Page 37 (Paragraphs 203-205) 
 
Turkey has devised a long-term "Export Strate gy Project" whose ultimate objective is to 
"transform Turkey's export composition from lo w-tech to high-tech products". That project 
seems to be a part of a larger "Long-term Deve lopment Strategy" aimed at bringing about "an 
export-oriented, technology-intensive production structure".  Question 3  
What are some of the trade policy tools that have been considered within the framework of the 
aforementioned export strategy? 
 
Turkey's answer: The Exports Strategy of Turkey fo r 2023 has been worked on since 2009 and 
intended to be publicized in the first quarter of 2012.  Overall, the main purpose of this strategy is to 
reach 500 billion dollars of exports volume in 2023,  the centenary anniversary of the Turkish 
Republic, with an average of 12% increase in exports  annually. Having 1.5% share of global trade 
in 2023 is also being targeted. The main pillars of this Strategy are to endorse exports capacity and 
R&D, improve in infrastructure, en courage the exporters to particip ate in trade missions, raise the 
awareness of Turkish products in our targeted mark ets, promote Istanbul as an international fashion, 
fair and trade center during the period of 2012- 2023.  Question 4  Turkey's Government Report mentions that one of the targets under consideration on the trade 
front is to ensure domestic production of ra w materials necessary for exports "to the extent WT/TPR/M/259/Add.1 
Page 168  
 
 possible". How does Turkey plan to strike a balance between imported and domestically 
produced inputs for exports in a manner that do es not adversely affect the competitiveness of its 
export sector?  
Turkey's answer: One of the pillars of the "Export Strategy Project" is the "Input Supply Strategy" 
administered by the Ministry of Economy with the objectives of improving competitiveness in exports 
by securing sustainability and increasing efficiency in accessing inputs that manufacturing industry needs for production. With the "Input Supply Strategy", it is planned to minimize the risks emerging due to the uncertainty of global input supply, u nbalances in input resources such as country/region 
dependencies and price volatilities in commodity markets.  
 
One of the main targets of the Strategy is to  develop the necessary policies that will lower the 
dependency of production on imports of intermediate goods while increasing input efficiency and 
domestic value added. Here, it is im portant to underline that the primar y goal is to ease the access to 
inputs while maintaining cost efficiency. This can be done either by ensuring domestic production to 
the extent possible or through importation.  
 
BRAZIL-II  
The Secretariat Report WT/TPR/S/259 
IV (1) (iii) Border measures 
Page 83  The report states that "in 2010-11, Turkey allowe d tariff-quota imports of beef and slaughter 
cattle". These included  tariff quotas for 7,500 to nnes of beef at an in-quota tariff of 25%, 
16,000 tonnes of live slaughter cattle at 10% im port duty, and a duty-free quota equivalent to 
100,000 tonnes of live bovine animals. 
 
Question 5  Are there plans to reinstate  these quotas in the future? 
 Turkey's answer: Turkey continuously monitors the markets but at this stage we are unable to make 
any precise assessment about future arrangements.  
IV(1)(VII) EVOLUTION OF SUPPORT AND PROTECTION 
Page 87 
 
The report states that "Turkey has not provide d any domestic support and export subsidy 
notifications to the WTO since 2002."  Question 6  
Are there any plans to disclose this informat ion, so that Members may assess Turkey's 
compliance with its commitments?  
Turkey's answer: Turkey plans to make its domestic suppor t and export subsidy notifications to the 
WTO in the near future.    WT/TPR/M/259/Add.1 
 Page 169 
 
 
 IV(1)(VII) EVOLUTION OF SUPPORT AND PROTECTION 
Page 87  The report states that "in the period under revie w, about 80% of Turkey's Producer Support 
Estimate (PSE) has been production-stimulati ng market price support, pushing domestic 
commodity prices above international prices and 'taxing' Turkey's consumers in a manner that 
is not transparent for them".  On page 88 of the same report, it is stated that  "contrary to the OECD trend, Turkey continues 
to deliver most of its support and protection in  the potentially most trade-distorting manner 
(support tied to production or input use). 
 Question 7  Are there any plans to reform support progr ams into less trade-distortive formats? 
 
Question 8  If so, is there a timeframe for this?  
Turkey's answer: Turkey is a developing country and bound with " de minimis " level in providing 
domestic supports that are subject to reduction co mmitments in the WTO Agreement on Agriculture. 
Turkey has no right to use agricultural safeguard  mechanism (SSG) either. Moreover, deep-rooted 
infrastructural problems of agriculture in Turkey , such as fragmented farm holdings, make alignment 
process with the EU's Common Agricultur al Policy (CAP) a challenging issue. 
 
In the scope of Accession Negotiations to the EU, "Agriculture and Rural Development" Chapter is 
one of the areas that Turkey has to make the necessary harmonization including the EU's domestic 
support scheme.  A strategy document to align Turkish domestic support policy to CAP is prepared and will be 
discussed with the EU in near future. In this dr aft strategy, implementation of the newly introduced 
basin based support program is foreseen at the transition period while transforming deficiency 
payment supports to area-based support policies. Th e strategy document also foresees improvement of 
infrastructure to implement CAP until 2014 as mid-te rm objective, while starting fully to implement 
CAP with accession to the EU.   PART II:  QUESTIONS REGARDING THE GOVERNMENT REPORT  
II TRADE POLICIES Page 24 (para. 141)  Turkey's intellectual property regime has experi enced evolutions in the recent past. These 
evolutions must take into account the objectives of the TRIPS Agreement, as stated in Part I, 
with a special attention to Articles 7 and 8. In  this context, the relation between the TRIPS 
Agreement and access to medicines is a very sensi tive issue and was object of many discussions 
in WTO, including the Doha Declaration on the TRIPS Agreement and Public Health.  Question 9 
 
Concerning patent protection, please explain what  are the patentable subject matters in the 
pharmaceutical sector. Please refer to the pa tentability of second indication/use (or new 
indication/use), polymorphs, selection patents, Suisse formula, Markush claims and others likewise. WT/TPR/M/259/Add.1 
Page 170  
 
 Turkey's answer: According to Article 6 subparagraph (e) of Decree-Law No:551 methods of 
diagnosis, therapy and surgery applying to human or animal body are not being inventions as of their 
nature, therefore, these remain outside the scope of this Decree-Law. However, this provision, applies 
neither to the products and compositions (per se) used in connection with these methods nor to their 
process of manufacturing.  
 
Decree-Law No: 551 does not comprise any specific provision regarding the patentability of second indication/use (or new indication/use), polymorphs, selection patents. In practice, as there is no 
provision restricting the patentability of th ese subject matters, second indication/use (or new 
indication/use), polymorphs, selection type claims are regarded as patentable9o provided that they are 
novel, which surpass the State-of-the-Art and which are applicable in industry.  Since Turkey has been 
party to the EPC since 2000, granted European patent s have been registered and have the same effect 
with the national patents. Thus, the practice of EPO  in examination, opposition and appeal procedures 
for the Swiss type, markush type and selection invention has de facto been applied in Turkey, as well.  
 
Question 10 
 Concerning protection of undisclosed information,  please explain the Turkish system for this 
type of protection. What is the protection pr ovided against unfair commercial use? Please take 
into consideration that the use of undisclosed te st or other data for the regulatory approval of 
generic pharmaceutical chemical products  is allowed by the TRIPS Agreement. 
 
Turkey's answer:  According to article 83 paragraph 3 of the Decree Law No 551, where an 
application for patent has been filed for pharmaceutical  or veterinary products /drugs and for chemicals 
destined to agriculture, the authorities issuing au thorizations/licenses for the manufacture and sale of 
such products and requesting for this purpose informa tion and test results, that were not disclosed to 
the public and the realization and accumulation of wh ich requires considerable expenses and efforts, 
shall keep such information and test results s ecret/confidential. The au thority asking for such 
information and test results shall take the necess ary measures to prevent unj ustified/illegitimate use 
thereof.  In the Decree Law No 551 for the protection of patent rights, in article 75 (f),  it is provisioned that the 
acts which the invention covers that is the subject  of an authorization and having the purpose of 
experimentation, including tests and experiments required for the authorization of the medicaments, 
are exempted from the patent protection.    A medicinal product can only be placed on the market  in Turkey when a marketing authorisation has 
been issued by the General Directorate of Phar maceuticals and Pharmacy of Ministry of Health 
(MoH). Regulation on Licensing of Medicinal Products for Human Use published in the OG 
No. 25705, dated 19 January 2005. The Regulation ente red into force as of 30 December 2005, except 
for Article 9. Article 9 regulates the abridged ap plication procedure and entered into force in 
1 January 2005 without prejudice to the Patent Law. According to Article 9 subparagraph (a), the data 
exclusivity period is 6 (six) years beginning from th e first marketing authorization date within the 
Customs Union Area. Products that have patent prot ection in Turkey shall have 6 (six) years of data 
exclusivity period limited to the patent duration in Turkey. For further details, please visit: 
www.iegm.gov.tr   
Question 11 
 
Regarding the exhaustion regime of intellectua l property rights, please explain the Turkish 
regime. Are parallel imports allowed?  If yes, please provide details.  WT/TPR/M/259/Add.1 
 Page 171 
 
 
 Turkey's answer:  In the Decree-Law No. 551 for the protecti on of patent rights, Article 76 stipulates 
that, the patented products those having been sold in Turkey with the consent of the patent holder or 
by the patent holder himself are not protected by th e patent rights. In other words national exhaustion 
principle is accepted according to this Article by the "product, under patent prot ection, has been put to 
sale in Turkey" expression. Parallel imports of pate nted products are not allowed according to Decree 
Law No 551. 
 As regards trademarks, Article 13 of the Decree-L aw No. 556 provisions that the acts related with a 
product containing the registered trademark shall not constitute a breach of the rights of a registered 
trademark, where such acts have occurred after the product has been put on the market in Turkey by 
the proprietor or with his consent. 
 Article 24 of the Decree-Law No. 554 Pertaining to th e Protection of Industrial Designs stipulates that 
the acts relating to a product in which a design is inco rporated or to which it is applied fall outside the 
scope of protection of the design, after the product has been put on the market in Turkey  by the holder 
of the design right or with his consent, which means that the parallel imports are not allowed. 
  
INDONESIA 
 
TRADE AND INVESTMENT REGIMES 
POLICY OBJECTIVES  
According to the Report by the Secretariat, at national level, Turkey's  Long-Term Development 
Strategy (2001-2023) of the Ministry of Development, envisages the development of an export-oriented, technology-intensive production st ructure, with emphasi s on high-value-added 
products and services.   
 Furthermore, export-oriented activities, particular ly of small and medium-sized enterprises, are 
to be supported, inter alia, by providing cred it, guarantees, and insurance through Turk 
Eximbank; harmonization of foreign investme nt legislation with EU norms;  reduced 
bureaucratic procedures for exporters;  and improve d basic infrastructure. (para. 8, page 11)  
Question 1 
 Could Turkey kindly explain whether - Turkey's  Policy to support small and medium sized 
enterprises by providing credit, guarantees, and insurance through Turk  Eximbank for export 
oriented activities doesn't violate the Agree ment on Subsidies and Countervailing Measures 
under the WTO Agreements ?  
Turkey's answer:  Turk Eximbank's main objectives are to  increase the volume of Turkish exports, 
diversify exported goods and services, support Turk ish exporters to penetrate into new markets, 
increase the share of Turkish exporters in internati onal trade, extend financial support in their ventures 
as shall be necessary, provide exporters and over seas contractors with support for increasing the 
competitiveness and security in international markets, and support and encourage overseas 
investments and production and sale of export-oriented  capital goods.  In order to achieve these aims, 
the Bank provides short-, medium- and long- term loans, guarantees and insurance.  
 Turk Eximbank ensures that credits  are available to all manufactur er and exporter firms, including 
small and medium-scale enterprises (SME's), which may experience difficulties in getting credits from 
commercial banks because of a lack of ad equate collateral, among other factors. 
 WT/TPR/M/259/Add.1 
Page 172  
 
 There is a sub program in the Pre-Shipment Export Credit.  Intermediary banks are required to extend 
at least 30 per cent of their credit limit to SME's in Pre-Shipment Export Credit Programs. The term 
and conditions of this program are same as other credit programs.   In addition, there is a specific program for SME's called as Pre-Export Small and Medium Sized 
Enterprises Credit Programme which is a short-term credit facility extended both in TL and foreign 
currency to only small and medium scale enterprises.  It aims to provide financial support to SMEs in 
the preparatory stage of their exports.  Interest rate  for TL credits is determined by Turk Eximbank in 
accordance with developments in money markets and varies according to repayment period. Interest 
rate for foreign currency credits varies in accordan ce with repayment period and is linked to LIBOR/ 
EURIBOR/STG LIBOR/TIBOR.  The share of this  credit program within all Short Term Export 
Credits Programs is 0.05 per cent.  Regarding medium and long-term export credit, guarantee and insura nce facilities, Turk Eximbank 
fully complies with OECD Consensus which dete rmines the guidelines for the officially supported 
export credits for two years or more.  According to the item (k) of the Annex I of the SCM 
Agreement, an export credit practi ce, which is in conformity with the provisions of the OECD 
Consensus shall not be considered as an export s ubsidy prohibited by this Agreement.  Medium and 
long term export credits of Turk Eximbank are in conformity with the OECD Consensus.   Regarding export credit insurance programmes, Turk Eximbank follows all the disciplines and 
requirements furnished in the OECD Arrangement , Berne Union and the WTO.  The insurance 
activities of Turk Eximbank are similar with those of the traditional ECAs'.  Its basic insurance 
programmes are relatively well run and they fully me et the underwriting requirements of international 
reinsurers.  For export insurance covering political  and commercial risk, the exporter is charged a 
premium according to the risk classification of the buyer's country, credit length, payment term and 
the type of buyer (public or private) which includes overhead costs as well.  Like all other officially 
supported ECAs, only political risk is under the guarantee of the state; the losses incurred due to commercial risks are indemnified by Turk Eximbank from its own resources.  However, re-insurance treaties have been established with domestic and ov erseas re-insurance companies to cede part of the 
commercial and political risks borne by Turk Exim bank under the short-term export credit insurance 
programme (70 per cent of commercial and political  risks under short-term insurance activities are 
covered by a reinsurers panel on the basis of a quota-share treaty).  Premium rates and premiums 
collected have been fairly adequate to cove r the long-term operating costs and losses of the 
programmes since commencement.    In sum, the support provided by Turk Eximbank compli es with the international obligations and rules. 
The related programs of Turk Eximbank are re gularly notified to the WTO SCM Committee. 
 
TRADE POLICIES AND PRACTICES BY MEASURE 
MEASURES AFFECTING PRODUCTION AND TRADE Technical barriers to trade,  standards and certification 
 
According to the Turkish authorities, Turkey ha s transposed around 82% of the sector-specific 
EU directives into Turkish technical regulatio ns, including 222 technical regulations and the 
adoption of 24 "new approach" Directives covering products such as radio and 
telecommunication terminal equipment, batteri es and accumulators, toys, personal protective 
equipment, construction products, medical devices,  gas appliances, civil explosives, and lifts.  
The transposed Directives cover approximately 70% of manufactured goods imported into 
Turkey, and impose various technical product re quirements and specifications.  Conformity 
assessment controls for these products are im plemented through annual Communiqués.  Other 
Communiqués relate to product groups controlled by  other legislation or subject to import rules  WT/TPR/M/259/Add.1 
 Page 173 
 
 
 or prohibitions, for example controlled or prohib ited wastes, narcotics, chemical products, solid 
fuels, pharmaceuticals, and controlled or pr ohibited scrap metal. (para. 81, page 62) 
 All technical regulations and conformity assessme nt procedures published and put into force by 
Ministries and other public authorities are published in the Official Gazette , which may be 
accessed via the Internet free of charge.  Tu rkey does not publish notices of draft technical 
regulations and conformity assessment procedu res;  it has not notified to the WTO draft 
technical legislation that is being harmonized wi th EU legislation, as this legislation would 
already have been notified.  However, given the growing importance of transparency at the 
international level, Turkey is reconsidering this  policy, and the national TBT enquiry point is 
urging ministries and other public institutions to notify their technical regulations.  Upon 
request, Turkey will provide the full text of draft measures (in English, if possible, otherwise in 
Turkish).  Turkey generally allows a 60-day comment period.  (para. 83, page 63)  Para 81 stated that Turkey has transposed aro und 82% of the sector-specific EU directives into 
Turkish technical regulations, including 222 technical regulations and the adoption of 24 "new 
approach" Directives covering several products. In  correlation with para 83, based on our view 
that number of technical regulations and conf ormity assessment procedures as mentioned do 
not publish notices and have not notified to the WTO that is being harmonized with EU legislation.   
In this matter we would like to kindly remind the Turkish Government that in the area of 
transparency, The TBT Agreement particularly in  Article 2.9.2 stipulated that "notify other 
Members through the Secretariat of the products  to be covered by the proposed technical 
regulation, together with a brief indication of its objective and rationale. Such notifications shall 
take place at an early appropriate stage, wh en amendments can still be introduced and 
comments taken into account;  
 Question 2(a):  Could Turkey authorities further explain the ma in reason about this policy? Since we learned 
that only 82 % of the EU Specific directive has transposed into Turkey Technical regulation, 
what about the Turkey Technical regulation wh ich has not been harmonized with the EU?  
 
Turkey's answer: Turkey has transposed around 82% of the sector-specific EU directives into 
Turkish technical regulations and Turkey has not b een notifying technical regulations transposed from 
EU legislation for not creating duplication as this le gislation would already have been notified by the 
EU. Turkey reiterates that the policy is under recons ideration and National Enquiry Point is advising 
other authorities to notify their technical regulati ons both in harmonized and non-harmonized areas. 
 
Question 2(b): 
 
Could Turkey providing us the list of Technical Regulation which has not been harmonized with 
EU? 
 
Turkey's answer: Preparation of the list for non-harmonized technical regulations with the EU is 
ongoing.  WT/TPR/M/259/Add.1 
Page 174  
 
 TRADE POLICIES BY SECTOR 
AGRICULTURE Export Measures 
 
The Secretariat notes that Turkey maintains an  export subsidy programme for agricultural 
products with the aim of developing its expo rt potential in value-added processed agricultural 
products. Sixteen product groups are eligible to  receive export subsidies . Export subsidies are 
granted in the form of reductions of the exporters' debts vis-à-vis public corporations (for example, deduction of taxes, telecommunications or energy bills).  Export refunds are specified 
through annual decree and administered by the Ministry of Economy;  goods must be of 
Turkish origin and of marketable quality.  All destinations are eligible, including to the EU. 
(para. 23, page 86)  Question 3  
Taking into  account that the WTO Agreement (especially Agreement on Agriculture) in line 
with the WTO meeting in Hong Kong in 2005, members agreed to eliminate export subsidy. 
WTO members are encouraged to reduce export subsidies. In this regard, Indonesia would like to know further Turkey's Scheme Export Subsidi es especially on the form of reductions of the 
exporters' debts and export refunds and how mu ch is the average annually was given by 
Turkish Government for this scheme? And what  is Turkey's commitment to reduce export 
subsidies in the future? 
 
Turkey's answer: Export subsidies are granted in the form of  reductions of the exporters' debts vis-à-
vis public corporations (for example, deduction of taxes, telecommunications or energy bills). The 
detailed list of subsidies that are granted in the fo rm of reductions of the exporters' debts vis-à-vis 
public corporations are listed below: 
 
- Taxes and  tax penalties, - Social security contributions, - Communication expenditures (telephone, telefax etc. costs) - Energy expenditures (electricity, natural gas etc.) 
- Liabilities and default interests of the men tioned liabilities to the banks in liquidation 
and to the Savings Deposit Insurance Fund.  
 Turkey plans to submit its export subsidy notif ications to the WTO in the near future.  
 
Certainly, developments in the WTO Agricultural ne gotiations will be guiding Turkey in future steps 
needed to be taken.  
MANUFACTURING 
TEXTILES AND CLOTHING  
We note from the WTO Secretariat's report that the textiles and clothing sector is subject to 
higher tariff protection than most other industrial ac tivities.  Anti-dumping measures also affect 
the importation of yarn and textile fabrics.  On 15 September 2011, Turkey began applying 
additional rates of duty ranging from 11% to 20% on textiles and 17% to 30% on clothing products within fixed ad valorem limits expres sed in US$/kg depending on the origin (LDCs, 
developing, or other countries).  The additional import duties are applied to all countries, except 
the European Union and Turkey's free-trade partners. (para. 62 page 96)   WT/TPR/M/259/Add.1 
 Page 175 
 
 
 Question 4 
 Could Turkey please briefly describe what is the main consideration to determine in applying 
the amount of additional rates of duty on textiles and clothing products depending on the origin? 
 
Turkey's answer::  Turkey has increased its applied tariff ra tes for certain textile and apparel products 
with a Decree of Council of Ministers published on the Official Gazette dated 15 September 2011. 
Turkey has increased its applied ta riff rates to the level of the bound rates set out in their Schedules 
pursuant to Articles II:1(a) and II:1(b) of the GATT 1994.   
 
Preferential origin of the goods has been taken into account during the impl ementation of additional 
tariff on certain textile and appare l products to preserve their market access preferences. Hence, 
additional tariffs are lower for developing countries  and for the least developed countries in the 
implementation of additional tariffs. 
 
In the framework of current Import Regime Decree of  Turkey, regular customs tariffs have also been 
applied according to the preferential origin of th e goods (namely the least developed countries and 
some developing countries within the framewo rk of Generalized System of Preferences). 
 
 
COSTA RICA 
PARTE I:  PREGUNTAS EN RELACIÓN CON EL INFORME DE LA SECRETARÍA 
Página 8 (párrafo 18) 
 
De conformidad con el Programa a Medio Plaz o del Gobierno de Turquía para 2012-2014, los 
principales objetivos son mantener el crecimiento , aumentar el empleo, mejorar las cuentas 
públicas y reducir el déficit por cuenta corrien te para aumentar el nivel de bienestar de 
Turquía.    
Pregunta 1 
 
¿Podría Turquía profundizar sobre el Plan Fisca l que acompaña al Progr ama a Medio Plazo del 
Gobierno de Turquía para 2012-2014? ¿Cuáles son las metas de este Plan? ¿De qué manera se podrán alcanzar las metas? 
 Turkey's answer: First of all, the Medium-Term Program (MTP) that is prepared by Ministry of 
Development (MD) in collaboration with Ministry  of Finance (MoF), Treasury and Central Bank of 
Turkey sets medium-term strategic objectives and priorities and covers macroeconomic policies, 
targets and projections. After the approval of th is document by the Council of Ministers, MoF in 
collaboration with MD and Treasury prepares the Me dium Term Fiscal Plan (MTFP) which is based 
on the MTP and sets institutional budget ceilings. Therefore, maintaining growth, increasing 
employment, improving public finances and reduci ng the current account deficit are the main 
objectives of Turkey under the Medium-Term Program  of the Government of Turkey for 2012-2014 
in accordance with ultimate goal of increasing the welfare.  
 Number of policies are aimed to be implemente d during the period covered by the Medium Term 
Programme to strengthen confidence, stability and predictability and enhances the economy's 
resilience to external shocks. Also, under MTP, it is  given priority to accelerate the implementation of 
structural reforms to overcome the current acco unt deficit problem permanently. Increasing the 
efficiency and flexibility of labor market, comba ting informality, pursuing a strategy towards export 
oriented production, input supply and export mark ets diversification are among the policy objectives 
that MTP envisages to address.  WT/TPR/M/259/Add.1 
Page 176  
 
 Página 9 (párrafo 20) 
 
Se menciona que Turquía le da prioridad a los proyectos para reducir los desequilibrios 
regionales. 
 
Pregunta 2 
 
¿De qué se tratan los proyectos para reducir los desequilibrios generales? 
 
Turkey's answer: One of the main development axes of the 9
th National Development Plan covering 
2007-2013 period is "Ensuring Regional Developmen t and Reducing Regional Disparities". Under 
this development axis, the main objective of th e regional development policies is to reduce the 
development disparities among the regions, to improve the minimum standard of living in rural areas 
and to maximize the contribution of regions to national development, competitiveness and 
employment by increasing regions' competitiveness. In order to reach these objectives, Turkey has 
experienced significant transformation process for the implementation of regional development 
policies.  The most important part of this transformation process is the establishment of the regional development agencies in 26 NUTS II regions. Together with the financial and technical assistance to 
the regional development projects and initiatives, development agencies try to increase cooperation 
among local stakeholders for regional development. On  the first stage, the agencies have focused on 
institutional capacity building, publicity and awar eness rising activities. The agencies rapidly have 
begun to work for determining priority areas of th eir regions and provided financial and technical 
support for the projects in the regions.  
Second, "Growth Centers" that have high potential to grow and to serve to th eir periphery regions are 
determined particularly in developing and the l ess developed regions of Turkey. Specific projects for 
the better accessibility of these centers  and fortification of their physical and social infrastructures 
have continued for four years.  In addition, public investment policy has also been  used as a tool to reduce regional development 
disparities and to utilize regional development potenti al. In this framework, a couple of big regional 
development projects have been implemented during the 9th Nati onal Development Plan period. 
These are South Eastern Anatolian Project (GAP), Eastern Anatolian Project (DAP) and Konya Plain 
Project (KOP). The focus of these projects is main ly economic and social infrastructure needs of 
developing and the less developed regions. Furtherm ore, improving the competitiveness of SMEs and 
new entrepreneurs is another objective of regional development policies in Turkey. Turkey tries to 
improve business climate by decreasing bureaucratic procedures for business sector, easing SMEs access to finance and supporting cluster formation in the regions. 
 
Within the context of the Investment Encouragem ent Program (IEP); there are no specific "projects" 
aimed. According to the Investment Encouragemen t Program (IEP) any eligible investment project 
which can benefit to the region in accordance with the program may be considered as a project for 
reducing the imbalance between the different regions  of Turkey. Any company/investment, whether it 
be domestic or foreign, can take advantage of the program. The basic aim is to channel investments to 
less developed regions rather than to already develo ped zones of Turkey. This policy is laid out in 
detail in the notification document relati ng to IEP; WTO document G/SCM/N/186/TUR, 
2 March 2010.  WT/TPR/M/259/Add.1 
 Page 177 
 
 
 Página 24 (párrafo 35) 
 En el informe de la Secretaría se indica que las empresas de propiedad totalmente extranjera 
pueden operar en casi todos los sectores de la economía turca, a excepción de ciertos sectores, 
que mantienen restricciones sobre la propiedad extranjera.  
 
Pregunta 3  ¿Podría Turquía indicar si prevé que en el corto o mediano plazo haya una política de apertura en los sectores de aviación, transporte marítimo , servicios portuarios, entre otros, a fin de 
incentivar la inversión extranjera en dichos sectores?  
 
Turkey's answer: As overall assessment of the Turkish Foreign Investment Regime indicates, Turkey 
has a fairly open FDI regime based on equal treat ment of domestic and fore ign investors. However 
there are certain national legislations and regulati ons relevant to licensing processes and regulations in 
some sector,  as summarized in  Table II.5, page 22, WT/TPR/S/259.  
 The Foreign Investment Regime adopted in 2003 , is generally an open system based on equal 
treatment of domestic and foreign investors. A ll companies established according to the Turkish 
Commercial Code are regarded as Turkish compani es, with equal rights and responsibilities as stated 
in the Constitution and in other laws. However im proving investment environment is an endless 
process. Within this perspective, internationa l implementations for improving the investment 
environment are closely monitored.  
Página 26 (Cuadro II.5) 
 
En el Informe de la Secretaría, en el Cuadro  II.5 – Restricciones a la inversión extranjera 
directa se indican las restricciones a la industria de  electricidad. En dicho sector, se indica que 
"la cuota total de mercado de una persona física  o privada, ya sea directamente o mediante el 
control de las empresas de generación, no puede s uperar el 20% de la capacidad instalada total. 
Este umbral es del 10% en el caso de la vent a al por mayor de electricidad de las mismas 
condiciones."  
 
Pregunta 4  ¿Podría aclarar si a lo que se refiere es a las personas físicas o privadas extranjeras, o a 
cualquier persona física o privada?  
 
Turkey's answer:  Foreign direct investments are crucial fo r Turkey's economic development. In this 
context, Turkey has taken the necessary measures to improve the conditions for the investors. There is 
no discrimination against international investors in favor of domestic counterparts. There are no 
barriers against the free market entry, no limits on capital or transfer capital and on procurement or 
transfer of foreign exchange.    
 
According to Foreign Direct Investment Law No 487 5 (Official Gazette June 17, 2003, 25141), real 
persons who possess foreign nationality and Turkish nationals resident abroad, and  foreign legal 
entities established under the laws of foreign countri es and international institutions who make foreign 
direct investment in Turkey are referred as foreign investor. 
 
As overall assessment of the Turkish Foreign Invest ment Regime indicates, Turkey has a fairly open 
FDI regime based on equal treatment of domestic a nd foreign investors. However there are certain 
national legislations and regulations  relevant to licensing processes and regulations in some sector, as 
summarized in Table II.5, page 22, WT/TPR/S/259.  WT/TPR/M/259/Add.1 
Page 178  
 
  
Besides, 20% market share restriction for generation sector and 10% restrictions for wholesale sector has been adopted in order to prevent market dominan ce by one single firm. It is valid for domestic and 
foreign companies alike.  Pregunta 5 
 
¿Prevé Turquía que en el corto o mediano plazo se elimine la restricción de que las instituciones 
de enseñanza establecidas por personas físicas o jurídicas extranjeras deban tener un 100% de 
estudiantes extranjeros?  
 Turkey's answers: As overall assessment of the Turkish Foreign Investment Regime indicates, 
Turkey has a fairly open FDI regime based on equa l treatment of domestic and foreign investors. 
However there are certain national legislations a nd regulations relevant to licensing processes and 
regulations in some sector,  as summarized in  Table II.5, page 22, WT/TPR/S/259.  
 
To improve its investment environment, Turkey developed its own struct ure for reform in 2001, 
launching a comprehensive reform program by Council of Ministers Leading Decision. The 
Coordination Council for the Improvement of the Investment Environmen t (YOIKK) is the key 
structure of the Program, with the help of 12 Technical Committees working on specific issues with 
participation of both public and private institutions . Also, international implementations are closely 
monitored by the YOIKK to assist the improvement of the investment environment studies in close 
cooperation with public and private sector institutions . 
 
YOIKK aims to rationalize the regulations on invest ments in Turkey, develop policies by determining 
the necessary arrangements that will enhance the co mpetitiveness of the investment environment, 
generate solutions to the administrative barrier s encountered by the domestic and international 
investors in all phases of the investment process including the operating period. 
 
(Further information can be found at  our website www.economy.gov.tr and 
http://www.yoikk.gov.tr/eng/ )   Página 27 (párrafo 36) 
 
En el informe de la Secretaría, se indica que "e l índice de restricción reglamentaria no tiene en 
cuenta el grado de cumplimiento real de las restricciones legales, aspecto que es difícil de evaluar" y cita como ejemplo, que los existen sectores en los que los procedimientos para la 
obtención de licencias aún requieren una gran cantidad de trámites.  
 Pregunta 6  ¿Podría Turquía indicar si ha tomado o planea tomar medidas para facilitar el establecimiento 
de empresas y la obtención de licencias para operar en el país? 
 
Turkey's answer:  Improving investment environment has b een at the top of Turkish government's 
agenda since 2000s. International implementations towards improving investment environment, are 
closely monitored by the Coordination Council for the Improvement of the Investment Environment 
(YOİKK),  which assists the studies towards streamlining the bureaucratic procedures and reducing 
red tape, in close cooperation of public  and private sector institutions.  
 One of the main achievements of YO İKK Platform has been on the establishment of businesses. With 
the Company Establishment Law enacted on June 2003, business start up period has been reduced to 
1 day, from the previous length of 2,5 months. Besi des, the red tape was also  reduced and instead of  WT/TPR/M/259/Add.1 
 Page 179 
 
 
 various forms taken from different institutions, filling one standard form is ad equate to establish a 
business in Turkey. Also the Regulations on Opening a Business Place and Work License (Official 
Gazette 08.10.2005/25902)  have increased the authority of local administrative bodies and 
significantly reduced the required number of docum ents to obtain an operating licence. Detailed 
information regarding the procedures to start a business and obtain operation licences can be reached 
at www.yoikk.gov.tr    
 
Página 34 (párrafo 13) 
 La Ley del arancel de aduanas Nº 474 permit e al Gobierno aumentar los tipos arancelarios 
NMF aplicados cuando considera que no son su ficientes para proporcionar una protección 
"adecuada" a las ramas de producción nacionales.   En ella se establece el llamado arancel legal, 
diferente del arancel NMF aplicado que adopta anualmente el Consejo de Ministros.  Pregunta 7 
 
¿Podría Turquía profundizar sobre la aplicación del "arancel legal"?  Pregunta 8 
 
¿A cuáles productos se les aplica? 
 
Pregunta 9 
 
¿Cuál es el período de vigencia de este arancel? 
 Turkey's answer: (for questions 7, 8, and 9): Law No: 474, which is named as "Law Regarding 
Customs Clearance Tariff Table", regulates the customs duties that do not fall under the coverage of 
Turkey's international commitments . Legal boundaries for rates to exercise customs duties are 
enlisted in the annex of the said Law. Mentioned La w authorizes  Council of Ministers to determine 
the applicable rates by increasing the duties that are st ated in the annexed lists up to 50% or  decrease 
them up to 0%. The Council of Ministers exercis es the authorization by amending the annexed Lists 
of Import Regime Decree published at the end of ever y year. Hence, "legal tariffs" can be defined as 
those that are considered to remain within the limits stated in Law:474. 
 However, the area of the application of Law No:474 is restricted by Turkey's international 
commitments. Regarding the goods that are under the coverage of Turkey's concession lists, no 
escalation in bound rates can be made as Law:474 rema ins inapplicable to such goods. Within this 
context, the practices under Law:474 does not create a possibility for tariff ra te increases above the 
bound rates where the goods fall within the scope of  Turkey international commitments, namely 
concession documents delivered to WTO, legal texts regarding the operation and functioning of the 
Customs Union between the EU and Turkey a nd/or FTA's or other bilateral/multilateral 
agreements/arrangements signed by Turkey. 
 
Therefore, expressing "legal tariff" as those that ar e different than those applied by the MFN tariff 
would be misleading as Law:474 is not applicable to  goods that fall under the coverage of Turkey's 
international commitments and as not the term "tarif f" but the term "tariff boundary/limit" is at stake 
considering the implementation of the Law. 
 
Though there can be no time limit defined as mentione d Law is a permanent legislation that draws the 
proportional frame in percentages within which the customs duties for goods that are not covered by 
bilateral or multilateral agreements signed by Turkey will be applied. 
 WT/TPR/M/259/Add.1 
Page 180  
 
 Página 38 (párrafo 18) 
 
El impuesto del Fondo Público para la Vivi enda al pescado parece ser discriminatorio. 
 Pregunta 10 
 
¿Podría Turquía ampliar sobre la aplicabilidad de este impuesto? 
 
Turkey's answer: Fish and fishery products enlisted in List IV are not bound within the WTO 
commitments and do not fall under the scope of Cu stoms Union. Therefore, the Mass Housing Fund 
(MHF) is levied to the aforementioned goods in order to reach sufficient protection levels which 
remains insufficient when Law No:474 ("Law Regard ing Customs Clearance Tariff Table"), regulates 
the customs duties that do not fall under the co verage of Turkey's international commitments. 
According to the related articles of the Law, Counc il of Ministers is authorized to increase the duties 
that are stated in the annexed lists by 50% and d ecrease them to 0%) is app lied to the same group of 
goods.   
Mass Housing Fund is principally applied w ithout any country specific condition and/or 
discrimination. However, texts regarding Turkey's  bilateral trade relations such as FTA documents 
may include exemptional clauses that provide Turk ey's counterparts to benefit from advantageous 
fund deductions and/or exemptions.   Página 39 (párrafo 19)  Turquía abre contingentes NMF de manera unilatera l y la asignación de realiza de acuerdo con 
el "orden cronológico de presentación de las solicitudes" o del criterio de los "resultados 
anteriores".    Pregunta 11  
¿Cómo se determina el método a utilizar?  
 
Turkey's answer: Turkey has no WTO tariff quota commit ments but maintains numerous tariff 
quotas under preferential agreements, and has also  been using unilateral (autonomous) MFN tariff 
quotas as a trade policy instrument which is to fac ilitate imports. The tariff quotas under preferential 
agreements are generally allocated on the basis of  "first come first served" method, whereas all of the 
autonomous tariff quotas are allocated based on past performance criteria.   
Pregunta 12 
 
¿Depende de cada producto para el cual se abre el contingente o hay normas previas 
establecidas?  
Turkey's answer: As mentioned above all of the autonomous tariff quotas are allocated based on past 
performance criteria.  
 
Pregunta 13 
 
¿Podría ampliar a qué se refiere el criterio de "resultados anteriores"?  
 Turkey's answer: In this method, some portion of the total tariff quota quantity is allocated equally 
among all the applicants and the remaining portio n is allocated in proportion to the production, 
consumption and import performance of the applicants . The ratio of the portions to the total quantity  WT/TPR/M/259/Add.1 
 Page 181 
 
 
 of the tariff quota might change taking into consider ation the number of the applicants and the total 
tariff quota quantity.   Should the tariff quota is not fully used, the unused  part can be allocated among the applicants. 
 Pregunta 14 
 
¿Cuando se aplica esta modalidad pueden entrar  nuevos interesados en realizar importaciones 
del producto? 
 Turkey's answer: The newcomers are always welcome to take advantage of the tariff quotas.  
Página 52 (párrafo 44) 
 De conformidad con la Ley de aduanas Nº 4458,  los operadores económicos pueden solicitar la 
realización de una evaluación anticipada (infor mación arancelaria vinculante o BTI) para la 
determinación de los derechos de importación y ex portación, para el cálculo de devoluciones de 
derechos y de pagos de importaciones y exportacion es en el contexto de la política agrícola de 
Turquía, o para el uso de certificados en los que figure información sobre los aranceles o el origen, presentados a efectos del despacho de aduana.   
 
Pregunta 15  ¿Existe algún sistema que permita solicitar la BTI de manera electrónica? 
 Turkey's answer:  A database is available within the body of Ministry of Customs and Trade which 
contains all data regarding the application of the Bi nding Tariff Information, which is prepared by the 
Customs. Customs personnel can use this system and if the data do not contain confidential trade information this is issued at the web site "www.gumruk.gov.tr". 
 The technical studies for further development a nd trade facilitation still continue to provide 
applications electronically for Binding Tariff Inform ation and to send the conclusion to the applicant. 
 
Página 53 (párrafo 47 – nota al pie de página número 38) 
 De estas 118 medidas antidumping, 14 eran medi das contra la elusión adoptadas contra 
10 interlocutores comerciales en 6 grupos de produc tos. Las disposiciones contra la elusión se 
incorporaron en la legislación de Turquía me diante la adopción del Decreto Nº 9840/2005. 
 Pregunta 16  ¿Podría Turquía explicar cuál es el sustento le gal en el Acuerdo Antidumping de la OMC para 
aplicar las medidas contra  elusión mencionadas? 
 
Turkey's answer:  Those 14 measures on 6 product groups against 10 countries are anti-
circumvention measures. Please refer to the Decr ee on the Prevention of Unfair Competition in 
Imports No.99-13482 dated 30.10.1999.  
 
Página 59 (párrafo 52) 
 De conformidad con la Decisión Nº 2004/7304 del Consejo de Ministros, Turquía ha introducido 
un sistema de vigilancia de las importaciones en virtud del cual el Ministerio de Economía 
expide un documento de vigilancia.  El objetivo del sistema es vigilar y recopilar determinados WT/TPR/M/259/Add.1 
Page 182  
 
 datos.  En el caso de ciertos pr oductos, el sistema de vigilancia se aplica en función del precio, y 
sólo se vigilan los productos importados cu yos precios son inferiores a determinados 
valores c.i.f. 
Pregunta 17 
 
¿Podría Turquía aclarar cuáles son los criterios  o parámetros que toma en cuenta para 
determinar estos valores CIF?   
Turkey's answer:  Import surveillance system is based on Council of Ministers Decision No. 
2004/7304 published in the Turkish Official Gaze tte dated 29/05/2004 No.25476. The purpose of 
import surveillance system is to monitor and to coll ect specific data regarding the imports of selected 
products. Ministry of Economy issues the Surveilla nce Document free of charge. For some of the 
products, Turkey implements a price-based surveillan ce system which is defined by analyzing market 
and import conditions and only the pr oducts below certain CIF value are taken under surveillance. The 
products that have CIF values more than specified  in respective regulations are simply imported 
without being subject to surveillance implementation. 
 
Pregunta 18 
 
¿Podría Turquía explicar cuál es el sustento legal en el Acuerdo sobre Salvaguardias de la OMC 
para aplicar sistemas de vig ilancia de las importaciones? 
 Turkey's answer:  Since surveillance implementation is not a safeguard measure, they are not applied 
within the scope of WTO Safeguards Agreement.   
Página 60 (párrafo 56) 
 
Turquía aplicaba impuestos a la exportación a un tipo de 0,5 dólares EE.UU. por kg a las pieles 
en bruto, de 0,04 dólares EE.UU. por kg para la s avellanas sin cáscara, y de 0,08 dólares EE.UU. 
por kg para las avellanas con cáscara. 
 
Pregunta 19 
 
¿De qué manera se salvaguarda n los impuestos a la exportación en los tratados de libre 
comercio suscritos por Turquía? 
 
Turkey's answer:  In some Free Trade Agreements of Turkey , there is no specific provision for the 
elimination of the export taxes on agricultural prod ucts whereas in some of them, export taxes on 
agricultural products are eliminated.  
 
Página 71 (párrafo 79)  Se presume que los fabricantes que cumplen las normas turcas adaptadas a las normas europeas 
sobre productos se ajustan a los requisitos de las Directivas de la UE conexas y los reglamentos 
técnicos turcos equivalentes.  Pregunta 20  
¿En cuál instrumento jurídico se establece esa presunción? 
  
Turkey's answer:  Turkey has transposed 24 New Approach  Directives of the EU covering such 
products as radio and telecommunication terminal  equipment, batteries and accumulators, toys,  WT/TPR/M/259/Add.1 
 Page 183 
 
 
 personal protective equipment, construction products, medical devices, gas appliances, civil 
explosives, and lifts. The New Approach Direc tives lay down essential requirements for products, 
including those related to human health and safet y. The Directives may also refer to harmonized 
standards for detailed technical specifications. Thes e standards are adopted by European Standards 
Institutions (CEN, CENELEC and ETSI) upon mandate  issued by the Euro pean Commission. The 
harmonized standards provide the presumption of conformity with the essential requirements laid 
down in a specific New Approach Directive, if th eir reference has been published in the Official 
Journal of the European Union and if they have been transposed at national level. TSE adopts these 
standards as national (Turkish) harmonized standa rds as well. Thus, compliance with such Turkish 
standards that harmonize the relevant European harm onized standards provide - in turn - presumption 
of conformity with the sectoral Turkish legisl ation transposing the New Approach Directives. 
Página 72 (párrafo 81) 
 Los controles de evaluación de la conformida d de estos productos se realizan a través de 
comunicados anuales. 
 
Pregunta 21  ¿En qué consisten esas comunicaciones anuales para  controlar la evaluación de la conformidad 
de los productos? 
 
Turkey's answer:  In Turkey, the European Union New Appr oach Directives on products that must 
bear the "CE" marking, such as toys, machinery,  personal protective equipment (PPE), have been 
harmonized as national legislation by relevant Tu rkish authorities. To comply with these national 
regulations, products that fall under this legislation (the New Appro ach Directives) are inspected in 
the customs at the import stage. These product gr oups are radio and telecommunications terminal 
equipment, toys, PPEs, construction products, batte ry and accumulators, medical devices, machines, 
LVDs, EMCs, lifts, pressure equipment, gas appl iances and hot water boilers. Furthermore, the 
procedures of inspection are laid down by communiqu és issued and revised annually by Ministry of 
Economy. All the communiqués are published in the Official Gazette. On the other hand, since the 
beginning of the year 2012, the Communiqués on RT TE, toys, PPE, constructio n products, battery and 
accumulators and medical devices are executed th rough the so-called Risk Based Trade Control 
System (TAREKS). The new system enables import c ontrols of aforementioned product groups to be 
carried out electronically and on the risk assessment basis.   
Página 72 (párrafo 83) 
 
Pregunta 22 
 ¿Qué medidas está llevando a cabo Turquía con el fin de mejorar el cumplimiento de las 
disposiciones sobre transparencia?  
Turkey's answer:  The National Enquiry Point of Turkey is in the process of promoting and urging 
legislation making authorities to notify draft technical regulation and conformity assessment 
procedures. This process is to be strengthened through information exchange. Furthermore, these 
authorities are reminded of their liability of notifyi ng every new legislation and any amendment and 
update thereof.   Página 75 (párrafo 92)  Ucrania notificó a la OMC un Memorando de  intención entre Ucrania y Turquía sobre 
cooperación en materia de reglamentación técnica,  normalización, metrología, evaluación de la WT/TPR/M/259/Add.1 
Page 184  
 
 conformidad y protección de los consumidores.  Turquía también ha celebrado otros acuerdos 
de cooperación, por ejemplo con China, los Es tados miembros de la AELC, Israel, Bulgaria, 
Irán y Líbano, en materia de normalización, metrología y evaluación de la conformidad. 
Pregunta 23 
¿En qué consisten y cuáles son los objeti vos de esos acuerdos de cooperación? 
Turkey's answer:  These agreements prepared and signed with a view to co-operate and collaborate in 
the field of technical regulations, standardization,  metrology, conformity assessment and consumers' 
rights protection in the framework of friendly re lations between the parties. The aim of these 
agreements is the elimination of technical barrier s to bilateral trade through improving transparency, 
cooperation on harmonization of the na tional legislations with intern ational standards and rules to 
facilitate bilateral trade and to further the obj ectives of World Trade Organization Agreement on 
Technical Barriers to Trade. 
Pregunta 24 
¿Su aplicación ha reportado beneficios en  términos de facilitación del comercio? 
Turkey's answer:  The cooperation agreement makes the syst em more transparent through exchange 
of information and experience. In addition, both Parties are convinced that collaboration through 
exchange of information facilitates trade between the countries. 
Página 76 (párrafo 94) 
Turquía aprobó una Ley de bioseguridad y el correspondiente Reglamento de los OMG en 2010 
para regular todos los aspectos relacionados con la biotecnología agropecuaria en Turquía, 
exigiendo que los alimentos y los piensos que co ntengan OMG sean etiquetados como tales.   
Pregunta 25 
¿Bajo qué principios se regula en Turquía lo relativo a OMG? ¿En qué consisten las 
regulaciones sobre biotecnología agropecuaria y cuál es su fundamento científico? 
Turkey's answer:  The Biosafety Board gives decision on the application related to the GMO or GMO 
products, based on the results of risk assessment and socio-economic evaluation that is carried out by 
the Scientific Committees on a scientific base.  
While carrying out the evaluations, The Scientific  Committees consider several documents submitted 
by the importer firms, the opinions of the various  institutions that carry out risk assessment (EFSA, 
WHO, FAO, FDA), the results of the scientific researches (analyses of allergic and toxic effects, stability of genetic modification, morphological and agronomical characteristi cs, impacts on the off-
target organisms), production, consumption conditi ons and gene transfer methods, the molecular 
characterization of the transferred gene, the expressi on of the protein that it produced and its possible 
risks to human and environmental health. 
According to the Law on Biosafety, based on Sc ientific Risk Assessme nt Committee and Social 
Economic Committee reports, Biosafety Board decid es the usage of GM products taking into account 
for human, animal and plant health and biological diversity.   WT/TPR/M/259/Add.1 
 Page 185 
 
 
 Required documents: 
Article 8 of Regulation on 
GMO's (List in Annex A) 
Confidentiality: Secured 
by MFAL in accordance 
with Article 13 of 
Regulation on GMO's APPLICATION AND APPROVAL PROCEDURES OF GMO'S AND PRODUCTS CONTAINING 
GMO'S OF TURKEY 
      
 
APPLICATION SUBMITTED TO 
GENERAL DIRECTORATE FOR AGRICULTURAL 
RESEARCH 
(GDAR) UNDER THE MINISTRY OF FOOD 
AGRICULTURE AND LIVESTOCK (MFAL) 
 
 
      BIOSAFETY BOARD 
(Decision on whether the application is approved for assessment or not)   
                                            90 DAYS 
(the timeframe can be extended, if additional information required,  
associated costs borne by the applicant ) 
Board's decision is sent to GDAR and GDAR informs applicant in 15 DAYS  
 
 
 
                          
 
        
 
 
     
 
SCIENTIFIC COMMITTEES 
(Established separately for each application by the Board in accordance with Art. 10 of 
Regulation on Biosafety Board, each committee cons ists of eleven experts selected from scientists 
pool of 158. List available at www.tbbdm.gov.tr ) APPROVED FOR ASSESMENT 
UNDER SIMPLIFIED 
PROCEDURE      
In accordance with Art. 12    
(The timeframe decided by Board; 
shorter than normal procedure, if additional inform ation required it 
can be extended) If a risk 
assessment carried out before for the GMO in question   
                   APPROVED FOR 
ASSESMENT UNDER 
NORMAL PROCEDURE     
In accordance with Art. 11 
270 DAYS 
(The timeframe can be extended, if additional 
information required) 
 
                       REJECTED         
In accordance with 
Art 6 and Art. 8 (9)WT/TPR/M/259/Add.1 
Page 186  
 
  
   
          
 
                   
 SCIENTIFIC REPORTS OF THE COMMITEES  
         
 
          SUBMITTED TO PUBLIC OPINION 
 (by means of biosafety information exchan ge mechanism at www.tbbdm.gov.tr web page, 
except confidential information)   
 
 
FINAL ASSESSMENT REPORT 
 
                                                  
FINAL DECISION OF THE BOARD 
  (Consists of 9 experts. The Board takes decision by majority of votes,  
inform MFAL within 15 DAYS regarding the decision) 
 
    
                          
 
              
                                             
  
       
   
 
  
SCIENCE- 
BASED RISK 
ASSESSMENT  
COMMITTEE  SOCIO- 
ECONOMIC 
ASSESSMENT  
COMMITTEE   
   ETHICAL 
COMMITTE
E 
(in case of 
necessity)
AUTHORIZATION OF 
GMO'S AND PRODUCTS CONTAINING GMO'S
 REJECTED   
Applicant is notified; for review of 
the decision request should be made in 60 days. The Board reviews the decision within 60 days. 
Approval Published at the Official 
Gazette within 15 DAYS 
Validity of authorization is 10 years 
For extension application at least one year 
before from the date of expiration for 
validity.  WT/TPR/M/259/Add.1 
 Page 187 
 
 
 Página 80 (párrafo 106) 
 En la actualidad, Turquía no tiene una regla mentación específica sobre el comercio de 
compensación y de trueque, ya que el Com unicado Nº 10/2008 suprimió el "Comunicado 
Nº 4/2006 relativo a las exportaciones realizadas a través de operaciones de trueque o compras 
de contrapartida". 
 Pregunta 26  ¿Podría Turquía ampliar en qué consiste el comercio de compensación y trueque? 
 
Turkey's answer:  Countertrade and barter are the exchange of goods or services which are paid for, 
in whole or part, with other goods or services, rather than with money.   
Página  81 (párrafo 113) 
 
Se indica que quedan fuera del alcance de la PPL  las compras de algunos bienes y servicios de 
ciertas instituciones públicas (por ejemplo, las empresas que operan en los subsectores de telecomunicaciones, transporte, energía y agua).  Sin embargo en la página 80 (párrafo 109) se indica que la PPL fue modificada en varias oc asiones para adecuarse a las directivas europeas. 
 
Pregunta 27  ¿Las disposiciones que aplican en materia de  contratación las empresas en los sectores 
transporte energía y agua son igualmente comp atibles con la Directiva 2004-17, aún cuando no 
están dentro del alcance de la PPL? 
 
Turkey's answer:  The procurements which are exempt ed from the PPL are described in the 
3
rd Article of the PPL.  
 According to the 4th interim article of the PPL, th e enterprises, institutions and corporations which 
carry out activities in energy, water, transportati on and telecommunication sectors are subject to sub-
paragraph (g) of the 3rd article of the PPL until thei r special laws enter into force and are subject to 
other provisions of the Law for procurements of goods, services and works which are not within the 
scope of this sub-paragraph.  
And according to the sub-paragraph (g) of the 3r d article of the PPL, the related  institutions 
determined in this sub-paragraph (State economic enterprises, consis ting of public corporations and 
state economic establishments …) are not subject to  the provisions of the PPL by the procurement of 
goods and services for their commercial and industrial ac tivities that has to be made in order to cover 
the needs related directly to the production of goods and services or related to their principal activities 
in the cases where the estimated costs and contr act prices do not exceed 5,372,854 TL. (Exempting 
those financed by treasury guarantee or by means of transferring directly from the transfer order of 
budget.)  Therefore it can be concluded that the enterprises,  institutions and corpor ations which carry out 
activities in energy, water, transportation and tel ecommunication sectors realize their procurements of 
certain goods and services below a certain limit (5.372. 854 TL) within the scope of the article 3 (g). 
The rest of the goods and services procurements below this limit and all goods, services and works 
procurements above the aforementioned limit ar e subject to the provisions of the PPL. 
In addition it must be underlined that the procur ements within the scope of the article 3 (g) are 
conducted according to their specific regulations. An d a further examination of these regulations and WT/TPR/M/259/Add.1 
Page 188  
 
 practices demonstrate that open and restricted pro cedures are main procedures preferred for the award 
of contracts and publication of contract notices ar e generally required. Basic principles such as 
transparency, public oversight and efficiency are also embraced in tenders conducted according to 
these regulations.  
So it is clear that even the procurements in the utilities sector which are not within the scope of the 
PPL are carried out according to their specific regula tions and these reflect the fundamental principles 
of the PPL.   
Página 87  (párrafo 123) 
 
La Ley Nº 4054 sobre Protección de la Compet encia, promulgada en 1994 y modificada por 
última vez en 2008, sigue siendo la principal ba se jurídica para la promoción y el cumplimiento 
de las condiciones de competencia en los mercado s de bienes y servicios.  La Autoridad de 
Defensa de la Competencia, dirigida por una  Junta de la Competencia formada por siete 
miembros, se encarga de la aplicación y el cump limiento de la ley desde 1997.  La Autoridad 
elabora el derecho derivado, principalmente cons tituido por reglamentos, que la Junta pública. 
 Pregunta 28  ¿En qué consistieron las principales modificaci ones realizadas a la Ley N° 4054 sobre Protección 
de la Competencia, promulgada en 1994 y modificada en el 2008 por la Ley N° 5728?  
Turkey's answer:  The amendment in 2008 has substantially changed the enforcement policy of the 
Turkish Competition Authority (TCA). The amendmen ts mostly concern administrative fines to be 
imposed regarding violations of the Act no 4054 on the Protectio n of Competition (Competition Act). 
The relevant part of the amendments is given below:  
 
The previous fixed amounts of procedural fines in Article 16 of the Competition Act were replaced by 
fines that would be calculated by taking into acc ount the annual gross revenue. As a result of the 
amendment, undertakings, association of undertakings  and members of such associations shall be 
imposed 0.1 % of their annual gross revenue where  
 
- incomplete, incorrect or misleading information or document is provided, or 
information or document is not  provided with in the time specified or at all regarding 
the powers granted to the TCA with r espect to request for information from 
undertakings, association of undertakings and public authorities which are obliged to provide the information requested, and on-th e-spot inspections to be conducted in 
undertakings and association of undertakings, 
 whereas undertakings, association of undertakings and members of such associations shall be imposed 
0.5 % of their annual gross revenue  where 
 
- on-the-spot inspection is obstructed. 
According to the amendment, the fine provided abov e can not be less than ten thousand Turkish liras 
(5,835 €)
21. The amendment also clarifies that annual gross revenue to be taken into account for 
calculation of these fines shall be the one which generated by the end of the fiscal year preceding 
                                                      
21 The minimum amount of fine is revalued each year via a communiqué issued by the Competition 
Board and is 13,591 YTL (approximate ly 5,835 €) until December 31, 2012. Th e revaluation rate is established 
in the Tax Procedure Law General Communiqué, Item No 410, published in the Official Gazette dated 
December 17, 2011 an d numbered 28115.   WT/TPR/M/259/Add.1 
 Page 189 
 
 
 the decision , or where it can not be calculated, which generated by the end of the fiscal year 
closest to the date of the decision . The fact that the professional staff of the TCA has not faced any 
obstruction of on-the-spot inspections except fo r one case following the amendment might be an 
indication of deterrent nature of the turnover-based fines.  
 
The above fine applicable for cases where on the spot  inspection is obstructed can still be imposed in 
the event that on-the-spot inspection is carried out by court decision. 
 
The amendment also clarifies that regarding the substantive fine  to be imposed up to 10% of the 
annual gross revenue, the annua l gross revenue shall be the one which generated by the end of the 
fiscal year preceding the final decision, or where it  can not be calculated, which generated by the 
end of the fiscal year closest to the date of the final decision .22 Moreover, according to the 
amendment the executives or employees of the undert aking or the association of undertakings which 
are detected to have had a decisive infl uence on the violation will be imposed fines up to 5% of the 
substantive fine  imposed on the undertaking or association of undertakings. 
 
Previous to the amendment, the Competition Board,  while deciding on the substantive fine, had to 
take into account factors such as the existence of intent, the severity of fault, the market power of 
the undertaking or undertakings upon which a penalt y is imposed, and the severity of potential 
damage.  The amendment, while keeping some of these fa ctors, also replaced certain of them and 
added new ones. As a result, according to the ame ndment, the Competition Board has to take into 
account factors such as the repetition and duration of violation, the market power of the 
undertaking or associations of undertakings, their determining impact on the occurrence of 
violation, whether they conform to the comm itments made, whether they assist with the 
inspection, the gravity of the damage whic h has occurred or is likely to occur. 
 
Another important feature of the amendment is the introduction of to tal immunity from the substantive 
fine which was not legally possible previously. The amendment provides that undertakings or associations of undertakings or their executives and employees  which actively cooperate with the 
TCA for uncovering the violation of the Competition Act may be held immune from the substantive 
fine and the fine applicable for executives or employees, or be granted reductions on these fines, 
taking into account the nature, effectiveness and timing of the cooperation and with the reasoning 
thereof clearly presented.  
 
Moreover, according to the amendment the Competiti on Board is to decide by regulations the factors 
considered in the determination of the administra tive fines mentioned above, conditions for immunity 
or reduction in the case of cooperation, as well as procedures and principles of cooperation. 
 
Another important aspect of the amendment concerns periodic fines in Article 17 of the Competition Act. Previously, there were fixed amounts of pe riodic fines and the amendment replaced them by 
those fines to be calculated according to annual gr oss revenue. According to the amendment in cases 
of: 
 
- Non-compliance with the obligations provide d by or commitments given with a final 
decision or an interim injunction decision, 
- Preventing or impeding on-the-spot inspection, 
                                                      
22 The year gross revenue of which will be taken into account while calculating the fine was not clear in 
the former text of the Article. The Competition Board used to consider the year before the start of investigation. 
However, the Council of State, suprem e administrative court, which is both the court of first instance as well as 
the appellate court against the decisions of the Compe tition Board, annulled several decisions of the Competition 
Board and ruled that the year before the infringement should be taken into account. The amendment was made 
upon these rulings of the Council of  State to ensure legal certainty. WT/TPR/M/259/Add.1 
Page 190  
 
 - Failure to submit the requested informa tion or the document in time regarding the 
powers granted to the TCA with respect to request for information from undertakings, association of undertakings and public aut horities which are obliged to provide the 
information requested, and on-the-spot inspec tions to be conducted in undertakings 
and association of undertakings,  
 
the Competition Board shall impose administrati ve fines on undertakings and associations of 
undertakings per day  which amounts to 0.05% of the annual gross revenue  of the undertakings 
concerned, and of associations of undertakings a nd/or the members of such associations, which is 
generated by the end of the financial year preceding the decision and where it is not possible to 
calculate such revenue, of the revenue which is gene rated by the end of the closest financial year. The 
amendment also mentions criteria on the starting date of the periodic fines.  On February 15, 2009, in line with the amendm ent of 2008 in the Competition Act requiring the 
Competition Board to decide by regulations the f actors considered in the determination of the 
administrative fines, conditions for immunity or reduction in the case of cooperation, as well as 
procedures and principles of cooperation, two regul ations have been adopted by the Competition 
Board.   The last amendment in the Competition Act occu rred on November, 2011. To cite some of the 
amendments, for instance, the Mini stry of Customs and Trade (Ministry), which the TCA relates to, 
have gained greater influence in appointing Comp etition Board members. Accordingly, the Ministry 
can now nominate three candidates to the Competition Board, one of which must be appointed by the 
Council of Ministers as the Competition Board member  from within the TCA. Moreover, the Council 
of Ministers can now appoint the President of the TCA who is also the chairman of the Competition 
Board, and the deputy chairman. Previously, the Council of Ministers was to appoint the President of 
the TCA from among the three members nominated by the Competition Board, and the Competition 
Board was to elect the deputy chairman. Also, within  the TCA, the President can now directly appoint 
personnel of the TCA, except the Vice-Presidents an d the Chief Legal Advisor, without requiring the 
endorsement of the Competition Board.   
Página 87  (párrafo 126) 
 
El número de expedientes concluidos por la Au toridad de Defensa de la Competencia aumentó 
constantemente entre 2000 y 2008 (cuadro III.21). 
 
Pregunta 29  ¿En qué áreas se han enfocado pr incipalmente tales denuncias? 
 Turkey's answer:  Question 29 by Costa Rica concerns focus of the complaints. However, as there is 
no readily available information on allocation of the complaints the Turkish Competition Authority 
submits information on the sectoral allocation of th e decisions taken in the period between 2006-2011 
by the Competition Board, the decision making body of the Turkish Competition Authority. 
  WT/TPR/M/259/Add.1 
 Page 191 
 
 
 SECTORAL ALLOCATION OF THE DECISIONS, 2006-2011 
SECTORS INFRINGEMENTS OF 
COMPETITION23, 24 EXEMPTION -
NEGATIVE 
CLEARANCE MERGERS SECTOR 
OVERALL 
TOTAL 
Iron and Steel 15 2 35 52 
Non-Iron Metals 1 0 6 7 
Energy (Electricity-Gas-Water) 29 2 140 171 
Petroleum, Petrochemistry and 
Petroleum Products 98 111 37 246 
Mine and Mining 10 2 24 36 
Plastic and Rubber Products 1 1 14 16 
Baked Clay and Ceramics 2 1 5 8 
Chemistry and Chemical Products (other 
than those which are the subject of Fast 
Moving Consumer Goods - FMCG), Human Medication 55 24 119 
198 
Printing and Publishing, Reproduction of 
Long Plays, Cassettes 56 12 51 119 
Office Machines and Computer 36 5 43 84 
Construction, Cement and Other 
Construction Materials 48 2 65 115 
Electronics 12 3 38 53 
Pulp Paper, Paper and Paper Products 1 0 22 23 
Telecommunications, Mail 75 7 32 114 
Machinery, Equipment Manufacturing and 
Defense Industry 32 6 68 106 
Health, medical, precision and optical 
instruments, medical consumables 40 2 74 116 
White Goods, Furniture, Television, etc. 29 5 13 47 
Food Products and Beverages 145 30 142 317 
Agriculture and Animal Farming, Forest 
Products, Water and Water Products 20 1 28 49 
Textile and Ready-Made Clothing, Leather 
and Leather Products 11 7 33 51 
Tobacco Products 6 1 4 11 
Glass and Glassware 5 6 1 12 
Chemical products which are the subject of 
FMCG, and medication used in agriculture 
and animal farming, fertilizers  17 6 28 51 
Transport 136 12 64 212 
Tourism 18 1 18 37 
Financial Services (banking, insurance and 
other financial organizations) 39 43 91 173 
Land, Air, Sea and Railway Vehicles 61 28 58 147 
Education, Sport, Free Lance and Other 
Services   77 4 47 128 
Other 26 1 48 75 
TOTAL 1,101 325 1348 2,774 
 
                                                      
23 Not including decisions related to prevention of on-the-spot inspections, decisions taken following an 
annulment by the Council of State and other decisions. 
24 Not including other decisions such as requests for th e review of the decision, etc. as well as decisions 
taken following an annulment by the Council of State. WT/TPR/M/259/Add.1 
Page 192  
 
 Página 88 (párrafo 129) 
 
En el caso de los productos farmacéuticos, se utiliza un sistema de precios de referencia para 
controlar los precios franco fábrica.   
Pregunta 30 
 
¿Podría Turquía ampliar sobre el funcionamiento  del sistema de precios de referencia para los 
productos farmacéuticos? 
 
Turkey's answer:  Please refer to the related "Decision Re garding the Pricing of Medicinal Products 
for Human Use" No. 31014 dated June 1, 2007 , which can be found at http://www.iegm.gov.tr/ 
Default.aspx?sayfa=regulations&lang=en&the lawtype=17&thelawId=220 (in English).  
 The latest amendment (dated 10 November 2011) of  the above mentioned Decision can be found at 
http://www.iegm.gov.tr/Folders/TheLaws/10%20Kas ım%202011_Bakanlar%20Kurulu%20Karar ı_73
47bcc.pdf (in Turkish) 
 
Página 96  (párrafo 13) 
 El efecto de un régimen de pagos de complemento en la producción es similar al de un sistema 
de precios administrados, ya que garantiza un precio mínimo a los productores.  Durante el 
período examinado se otorgaron pagos de compleme nto principalmente al trigo, el algodón, el 
girasol, el maíz, el té, la cebada y la leche (cuadro AIV.1).   Pregunta 31  
¿Considera Turquía este programa como de Caja Ambar y la notifica como tal? ¿Cuál es el 
límite monetario anual de Turquía en lo que respecta a Medida Global de Ayuda? 
 
Turkey's answer:  Turkey will naturally consider some of its domestic support programs as 'amber 
box' and will notify them to the members in that wa y. The asking member shall note that the domestic 
support commitments of Turkey are 'de minimis' leve l.  As a developing country, Turkey has the right 
and obligation to utilize that right under the current WTO Agreement on Agriculture. 
The total amber box annual monetary limit of Turk ey is 10% of its total agricultural value (de 
minimis).  
Página 100 (párrafo 25) 
 
Turquía no ha presentado a la OMC ninguna notificación relativa a la ayuda interna y las 
subvenciones a la exportación.  Pregunta 32 
¿Cómo garantiza Turquía a los demás Miembros de la OMC, que no sobrepasa sus límites 
monetarias anuales de ayuda y subvenciones a la exportación, si desde el año 2002 no notifica? 
Turkey's answer:  Turkey is aware of the importance to  abide by WTO committed domestic support 
and export subsidies limits. Turkey plans to  submit its domestic s upport and export subsidy 
notifications to the WTO in the near future.  WT/TPR/M/259/Add.1 
 Page 193 
 
 
 Página 100 (párrafo 26) 
 En el período objeto de examen, en torno al 80 por ciento de la Estimación de Ayuda a los 
Productores (EAP) de Turquía ha consistido en el  sostenimiento de los precios del mercado para 
fomentar la producción, lo que ha encarecido los precios internos de los productos básicos frente 
a los precios internacionales y ha "gravado" a los consumidores turcos de una manera falta de 
transparencia para ellos (el 20 por ciento restante  ha consistido en pagos presupuestarios en el 
marco de programas internos).    Pregunta 33 
 
¿Cuándo notificará Turquía a la OMC sus niveles de  ayuda a la agricultura, en términos de la 
MGA? 
 
Turkey's answer:  The notifications will be made availabl e to the members in the near future.  
 
Página 112 (párrafo 64) 
 Los servicios no están abarcados po r el acuerdo de unión aduanera concluido entre Turquía y la 
UE.  Sin embargo, en el contexto de las negoc iaciones de adhesión de Turquía se ha comenzado 
a trabajar para poner en conformidad esta esfera con el acervo de la UE sobre el derecho de 
establecimiento y la libertad de prestar servicio s transfronterizos.  El proceso requerirá que 
Turquía cumpla lo dispuesto en la Directiva de la  UE sobre los servicios en el mercado interior, 
incluido el establecimiento de una ventanilla única y de las autoridades competentes.   
 Pregunta 34 
 
¿Cuándo prevé Turquía el establecimiento de una  ventanilla única dispuesta en la Directiva de 
la UE?  
Turkey's answer:  Turkey will be implementing a detailed st rategy preparation project for identifying 
the necessary steps on the way to harmonization w ith the EU Services acquis. The timetable for 
adopting the EU acquis will be determined by the po litical decision-makers on the basis of results of 
this project. However, it can be assumed that certa in stipulations of the Chapter improving business 
environment and upgrading quality of services in Tu rkey, like Points of Single Contact, will be 
adopted much sooner than provisions requiring recipr ocity, like full liberalization of access to service 
markets.  Página 115 (párrafo 71)  El BRSA ha comenzado a aplicar las normas de Basilea II, pidiendo a los bancos que respeten 
esas normas a efectos de presentación de informes y examen durante un período de transición comprendido entre el 1º de julio de 2011 y el 30 de junio de 2012.  Sin embargo, por el momento 
no se utilizan las normas de Basilea II para sancionar los incumplimientos. 
 Pregunta 35  ¿Qué razones ha considerado Turquía para poster gar la aplicación de las normas de Basilea II 
exclusivamente en materia de incumplimientos?  
Turkey's answer:  As it is stated in the report, the BRSA has defined a transition period starting from 
July 1st, 2011 to June 30th, 2012 regarding the im plementation of Basel II rules. In this period, the WT/TPR/M/259/Add.1 
Page 194  
 
 banks are required to provide their reports in two different approaches which one of them is due to 
current regulatory rules and the other is due to ne w Basel II rules. However, current regulatory rules 
are legally binding during this period.  During this period, if an incongruity is found by the BRSA due to new Basel II rules, the bank is 
asked to correct it. However, since there is a pa rallel run and it is in the transition period, the 
implementation of a sanction against the bank is no t considered during this period. The period is 
considered to be a learning and transition process of  the new rules for both banks and supervisors. But 
at the end of this period the old rules will be  expire and the new rules will be in effect. 
 
Página 116 (párrafo 76) 
 La ICTA puede intervenir en la fijación de las tarifas de las empr esas cuando considere que 
tienen un poder significativo en el mercado de que se trate.  
Pregunta 36 
 ¿Podría Turquía indicar con más detalle en qué caso s puede la ICTA intervenir en la fijación de 
las tarifas de las empresas de  comunicaciones electrónicas?  
 
Turkey's answer: 
 
For Wholesale Services The ICTA may impose on operators with significant ma rket power in the relevant market obligation to 
set their access tariffs on cost basis. Upon request of the Authority, the obliged operators have to 
prove that their tariffs have been set on cost basis. In case ICTA determines that the obliged operators 
have not set their tariffs as cost-oriented, it shall be entitled to set their access tariffs as cost-oriented. 
Until it does so, ICTA shall be entitled to intr oduce upper limit by taking into account the 
implementations of other countries, the prices app lied beforehand, and inte rrelationship between the 
service which is subject to regulation and other servic es offered in the same and/or similar markets at 
wholesale and retail levels, to the appropriate extent. In this case it is obligatory to comply with the 
tariffs set by ICTA. 
 
For Retail Services According to the Concession Agreements of the operators  and the relevant legislation, they are free to 
set the end-user tariffs of the electronic communication services as long as tariffs are determined in accordance with the relevant legislation and regulations. 
 
According to the Tariffs Ordinance, the ICTA is  entitled to impose obligations on operators with 
significant market power in relevant markets to be  subject to tariff regulations. The tariffs of these 
operators shall be regulated within the framework of one or more of the following methods, having 
regard to structure of the mark et whereby the service is  offered, competition conditions within the 
market and consumer interests: 
 
- The tariffs being subject to the notification procedure (default method), - Setting lower and/or upper limits for the tariffs, - Approval of the tariffs in accordance with the cost-based method, - Approval of tariffs in accordance with the price cap method.  
ICTA is entitled to monitor and examine all types of  tariffs and their scopes, durations and terms on its 
behalf or upon a complaint with respect to protect ion of consumer rights and competition. In this 
framework, operators are obliged to provide all requested information and documents. ICTA is 
entitled to take the following measures during and/or  as a result of the monitoring and examination:  WT/TPR/M/259/Add.1 
 Page 195 
 
 
  
- Ensuring correction of the tariff or general terms regarding the tariffs, 
- Suspension of the implementation of the tariff temporarily, - The revocation of the tariff. 
 
Furthermore, ICTA, having regard to the nature of  the breach it finds as a result of the monitoring and 
examination, is entitled to implement necessary ad ministrative fines and other sanctions including 
suspension of the tariffs that have  been subject to examination.  
 
Página 119 (párrafo 85) 
 
Para subsanar la congestión y las deficiencias de  los puertos turcos, los derechos de explotación 
de 13 puertos públicos explotados por la Direcci ón General de la Organización Marítima Turca 
fueron privatizados hace varios años… El proces o de privatización de otros puertos propiedad 
de TCDD (es decir, los de Derince, Iskenderun, Galataport y Esmirna) está en curso. 
 
Pregunta 37  ¿Considera Turquía que la privatización de la explotación de los puertos turcos ha tenido un 
impacto positivo en la competitividad comercial del país? 
 Turkey's answer:  Many facilities have been either upgrad ed or introduced, ranging from additional 
equipment, creation of more yard space, repair of civil structures on the wharf, streamlining of 
operational procedures and also grooming and traini ng of the workforce. These improvements have 
brought about 30% capacity increase as well as pr ivatization-related increase in productivity. The 
privatization process has encouraged the investors to establish new Ro-Ro lines and to make more 
investments in the field of logistics.  
 In the light of all these developments, it is consider ed that the privatization of Turkish ports has had a 
positive impact on trade competitiveness in the country . New investments for the privatised ports can 
be considered as improvements in the economy.  Página 120 (párrafo 90)  Ferrocarriles del Estado (TCDD) tiene el monopolio de jure  de la prestación de servicios de 
transporte de pasajeros y carga por ferrocarril en  Turquía.  TCDD posee y explota la totalidad 
de la red ferroviaria.  La reorganización y reestru cturación de TCDD, que es deficitaria, ha sido 
un aspecto fundamental de las reformas contempl adas en el Noveno Plan de Desarrollo (2007-
2013).    Pregunta 38  ¿Podría Turquía indicar si prevé la apertura del mercado de servicios de transporte de 
pasajeros y carga por ferrocarril en un corto o me diano plazo, en el marco de la reorganización 
y reestructuración de TCDD? ¿Ha considerado Tur quía la eliminación del monopolio de jure de 
la prestación de servicios de transporte de pasajeros y carga por ferrocarril?  
 
Turkey's answer:  Turkey has prepared the legal regula tions required for liberalization of the 
passenger and cargo transport via railways. 
 Decree Law No 655 dated 26/09/2011, which has restru ctured the Ministry of Transport, Maritime 
Affairs and Communications provides the legal basis required for ending the state monopoly on railways. Publication of the By-Law of the concer ned Decree Law will pave the way for the private WT/TPR/M/259/Add.1 
Page 196  
 
 sector to operate in the railways sector. This By-Law  is expected to be issued in the second half 
of 2012.   Related legal regulations will be completed with the issuance of the Law on TCDD, which is prepared 
in the scope of restructuring of TCDD.  
 
Página 122 (párrafo 100) 
 
El Gobierno otorga diversos incentivos a la inv ersión en instalaciones turísticas, como la 
asignación de tierras públicas mediante contra tos de arrendamiento por 49 años, el suministro 
de agua y electricidad a tarifas reducidas, exenci ones fiscales para los productos importados, así 
como exenciones del IVA y otros impuestos para  las compras de productos nacionales.   
 Pregunta 39  
¿Podría Turquía confirmar si los incentivos a la inversión en instalaciones turísticas tienen 
alguna restricción en cuanto a la nacionalidad  de los inversionistas o si pueden ser aplicados 
tanto a nacionales como a extranjeros?  
 
Turkey's answer:  With the understanding that the question is in relation to the Investment 
Encouragement Program, we shall attempt to  answer the question in that respect.  
 
As it has been summarized in para. 119. 120. of  the document TPR/G/259,  The Turkish Investment 
Encouragement Program (IEP) currently in force, ta kes into account the recent changes in the global 
economic and social circumstances. This system, wh ich has been in force since July 2009, has three 
main targets; reducing the inter regional de velopment discrepancies, supporting large scale, 
technology and R&D intensive investments for increasing competitiveness and supporting sectoral 
clustering.  The investment encouragement program is based on three main pillars; large scale investments, 
regional incentives and a general incentive system . Large scale investments require advanced 
technology and high capital, which will contribute to the technological and R&D capacity of the 
country and develop Turkey's production base. Regi onal incentives aim to eliminate inter regional 
discrepancies and support an investment environmen t to encourage sectoral clustering. The provinces 
of Turkey have been categorized in four groups  according to their level of development.   
 As far as the mechanism is concerned, domestic and foreign investors are equally treated; the 
companies having foreign capital can benefit from all encouragement measures granted to domestic 
companies with the same conditions. Within the cont ext of this mechanism, there is no differential 
treatment between domestic and foreign investments in tourist facilities.   Within the objectives and the scope of the Program, eligible investment projects can benefit from tax 
based encouragement measures (n amely, customs duty exemption, VAT Exemption, reduced 
corporate/income tax rate), support for employer's contribution for social security and land allocation 
where possible. Additionally, "interest rate s upport" provides for the compensation of certain 
percentage points of the interest rate for credits  obtained in commercial terms by investors for the 
investments in the less developed regions.  
But, since the system is explained in detail in  its totality in the WTO-SCM Notification document 
(G/SCM/N/186/TUR), it would be best to re fer to the extensive document mentioned. 
  WT/TPR/M/259/Add.1 
 Page 197 
 
 
 PARTE II:  PREGUNTAS EN RELACI ÓN CON EL INFORME DEL GOBIERNO 
 
Página 15 (párrafos 48-58) 
 
Se menciona que en mayo de 2009 se promulgó la  Ley No. 5891 que permite que las empresas 
con actividad en los sectores del comercio y lo s servicios, y las empresas manufactureras, se 
beneficien de las ayudas ofrecidas por el Organ ismo Público para el Desarrollo de las PYME 
(KOSGEB).   
Pregunta 40 
 ¿Podría Turquía confirmar si dichas ayuda s pueden considerarse como subsidios a la 
exportación, o de qué tipo de ayudas se trata?  
 
Turkey's answer:  The provisions of the Law No. 5891 allo ws all SMEs operating in the areas of 
trade, service and manufacturing for KOSGEB support. With the Law, in addition to the 
manufacturing sectors, service and trade sectors  were also included to the KOSGEB target audience.  
 The new regulations which were enacted in 2010 aims to improve trading capacities and cooperation 
between SMEs.  
 
As one of the supports covered by the Law, Fo reign Business Trips aims to address accommodation 
and travel costs of the eligible SMEs. The allocated upper amount by SMEs for 3 years is 10,000 TL.   The Matching Support is used for the services re ndered by the 'Business Matching Centers.' The 
'Business Matching Centers', are the centers establis hed to enhance the trade and technical cooperation 
between the SMEs. The counseling, organizati onal services and showroom services are provided 
within the centers. The allocated upper amount by SMEs for 3 years is 15,000 TL.   
Pregunta 41 
 
¿Podría Turquía ampliar como han contribuido las medidas, y estrategias (incluyendo las 
nuevas leyes y reformas) referidas a mejorar el c lima de inversión en el país? ¿Ha habido un 
aumento  de la IED como resultado de la implementación de dichas medidas?  
 
Turkey's answer:  The reform program which has been ca rried out by The Coordination Council for 
the Improvement of the Investment Environmen t (YOIKK) contributes greatly to improve the 
regulatory framework in Turkey and yields favorab le macroeconomic results including but not limited 
to high levels of FDI. Through this process, the av erage annual FDI to Turkey in the 2000s compared 
to the previous ten years has increased about twelvefold. Turkey has attracted approximately 
110 billion USD of FDI in 10 years period, since the establishment of YO İKK Platform. The FDI 
inflows for 2011 have exceeded the internationa l institutions expectations and reached at 
15,7 billion USD level.  
 
Detailed information about the im provements in terms of improving investment environment can be 
reached at www.yoikk.gov.tr  Pregunta 42 
 
¿Existe alguna distinción entre las medidas y est rategias aplicadas a las empresas nacionales y a 
las empresas de capital extranjero que operan en Turquía?  WT/TPR/M/259/Add.1 
Page 198  
 
 Turkey's answer:   
The national treatment is the major principle of foreign investment policy of Turkey, which is 
indicated in the Article 3 of the Foreign Dir ect Investment Law No. 4875 as stated below: 
 
Article 3.   
a) Freedom to Invest and National Treatment  
Unless stipulated by international agreements and other special laws:  1. Foreign investors are free to make fo reign direct investments in Turkey,  
2. Foreign investors shall be subject to equal treatment with domestic investors  
 
Página 23 (párrafo 101)  El régimen de importaciones de Turquía refle ja las necesidades económicas nacionales y sus 
derechos y obligaciones dimanantes de los Acuerdos de la OMC, la Unión Aduanera con la UE y 
otros acuerdos bilaterales, regionales y multilat erales, incluidos los acuerdos de libre comercio 
(ALC). 
 Pregunta 43  ¿Podría Turquía aclarar qué significa que el régimen de importaciones de Turquía refleja las necesidades económicas nacionales? 
 Turkey's answer:  Turkish Import Regime Decree is designe d prioritizing its rights and obligations 
stemming from international (such as WTO), regiona l (such as the Customs Union with the EU and 
FTA networks with Euro-Med countries), bilate ral (such as FTAs) and un ilateral (such as GSP) 
arrangements. Needs and interests of national economy  (such as sectoral structure and strategies) are 
also given due consideration in the overall desi gn and implementation of Turkish Import Regime.  
 
Página 24 (párrafo 112)  
 Para Turquía es fundamental que se extiendan las flexibilidades a los países en desarrollo, 
incluidos los productos especiales y el mecanismo de salvaguardia especial. 
 
Pregunta 44  ¿Cuáles son los productos "especi ales" de Turquía para los que se necesita la extensión de 
flexibilidades? 
 
Turkey's answer:  As one of the most contentious  areas of negotiation in the DDA, WTO 
Agricultural Negotiations has the potential to deliver  more competitive and fair trading conditions for 
developing countries. Indeed, Turkey believes that flexibilities for "special products" would be one of 
the most important achievements of this Round for developing countries, with a number of constraints 
in their agricultural sectors. 
It is with this understanding that Turkey has so far engaged in the negotiations at this specific topic. 
Accordingly, Turkey will be shaping list of speci al products on the basis of  her domestic needs as 
well as the final outcome of the negotiations that are yet to be concluded.  
Página 26 (párrafo 123) 
 
En el informe se indica que con el fin de seguir liberalizando el sector de los servicios, Turquía 
ha contraído compromisos con respecto a varias ca tegorías de servicios en el marco del Acuerdo  WT/TPR/M/259/Add.1 
 Page 199 
 
 
 General sobre el Comercio de Servicios (AGCS)  y que se ha sumado a los esfuerzos para 
dinamizar las negociaciones de la Ronda de Doha. Además, se indica que en el informe sobre el 
desarrollo financiero del Foro Económico Mundial  de 2010, Turquía figura como el país con 
mejores resultados en lo que a compro misos en el marco del AGCS se refiere. 
 
Preguntas 45 
 ¿Podría Turquía indicar si ha presentado algu na oferta de compromisos en servicios en el 
marco de la Ronda de Doha?  
Turkey's answer:  As stated in the Government Report, Turkey has submitted its initial conditional 
services offer to the WTO on 15 August 2003 and its  revised conditional offer on 12 September 2005. 
They were circulated on 3 September 2003 (TN/S/O/TUR) and on 29 September 2005 
(TN/S/O/TUR/Rev.1), respectively.  
Pregunta 46 
 
¿En qué sectores principales ofreció contraer compromisos?  
 
Turkey's answer:  In its revised offer, Turkey has prop osed to increase its commitment level in 
sectors such as computer and related services, telecommunications, construction and related 
engineering services, and financial services. Turkey h as also offered to increase the liberalization of 
its horizontal commitments. 
 
Pregunta 47  ¿Cuáles son los mejores resultados que según el Foro Económico Mundial ha obtenido Turquía 
en lo que a compromisos en el marco del AGCS se refiere?  
 
Turkey's answer:  The World Economic Report Financ ial Development Report 2010 and the 
Financial Development Index (FDI) on  which it is based provide a score  and rank for 57 of the world's 
leading financial systems and capital markets. The report has several indexes measuring the level of development in financial services. Under the "Ins titutional Environment" title, an index regarding the 
"Commitments to WTO Agreement on Trade in Serv ices" is developed. This index measures the 
extent of commitments to the WTO's General Ag reement on Trade in Services (GATS) within the 
financial services sector. It is standardized on a 1–7 (most liberalized) scale for 2008 or most recent 
year available. In this index, Turkey ranks as the 20
thcountry in 2008 among 57 countries with a score 
of 5.59. It is an index that is used to measure the level of financial sector liberalization in the countries 
and is an indicator that Turkey is one of the best performers in this area with a high level of financial 
sector commitments under the GATS. 
Página 41 (párrafo 198) 
 El sector de la confección turco es uno de los principales sectores de Turquía en términos de 
contribución al PIB, generación de  empleo y exportaciones netas. 
 
Pregunta 48  ¿Cuál es la contribución del sector de confección en  Turquía en términos de contribución al PIB 
y generación de empleo? 
 WT/TPR/M/259/Add.1 
Page 200  
 
 Turkey's answer:  Textile and wearing apparel is the biggest  sector in Turkey, in terms of a wide 
range of macroeconomic indicators such as its shar e in GDP, manufacturing and total industry, level 
of exports and contribution to total employment.   Its share in GDP was about 10% in 2010. The numbe r of employed in the tex tile and wearing apparel 
sector was 1,384,600 people in the same year. Accordingly, approximately6% of total employment 
belongs to this sector.  
 
Moreover, Turkey is: 
- The largest textile producer in Europe 
- The third largest textile exporte r of Europe (8 billion USD/2011) 
- The third largest home textile expor ter in the world (3 billion USD/2011) 
- The sixth largest apparel exporter in the world (16,5 billion USD/2011) 
- The second largest apparel supplier of Europe (13 billion USD/2011) 
 
Turkey is also an important cotton and synthetic fiber producer which gives producers the opportunity 
to vertically integrate in line with global trends and latest innovations in the world of fashion.  
 
 
UKRAINE 
 
The Secretariat Report (WT/TPR/S/259) 
Introduction   Page 6, paragraph 7: "… However, through the measures taken by the government  and expected 
relative slowdown in the economy in the second half of 2011 and 2012, the efforts of the Banking 
Regulation and Supervision Agency and the CBT  are expected to pave the way in reducing the 
current account deficit…."   Question 1  Could you, please, specify what actions/measu res were taken by the Turkish Government, 
Banking Regulation and Supervision Agency, CBT aiming at minimization of current account 
deficit?   
Turkey's answer:  In the aftermath of the global cris is, advanced economies implemented the 
extraordinarily loose monetary policies which led to  ample and low-cost liquidity. Turkey has taken a 
large share out of these inflows due to its strong financial sector and robust growth potential. The 
increased capital inflow drew the appreciation of th e Turkish lira and rapid credit growth. This, in 
turn, led to a remarkable deterioration of the current account balance. Central Bank foreseen the 
probable impacts of this on macroeconomic stability  and changed its policy strategy towards which 
financial stability had an increased weight. Besides,  inflation remained below the target and enabled 
the Central Bank to focus on financial stability during this period. 
 
Hence, by November 2010, the Central Bank embarked on using multiple policy instruments simultaneously. The policies implemented in the new framework aimed at reducing the credit growth 
to reasonable levels. These measures helped contain the effects of the turmoil in the euro area as of 
August 2011 on our economy. 
 
Data released for 2011 points that the desired rebala ncing process in the economy has already started. 
Accordingly, the contribution of net exports to growth increased notably, and the current account 
balance posted a noteworthy improvement in the second ha lf of the year. In addition, the last quarter  WT/TPR/M/259/Add.1 
 Page 201 
 
 
 of 2011 was marked by ongoing tightening in mone tary and financial cond itions and a pronounced 
deceleration in loans.  1. Loan to value ratios:  As of the date of January 1st, 2011, it was decided that in credits to be 
extended by banks to customers for housing and in  consumer credits to be extended under housing 
collaterals, the amount of the credit shall be limited to  75% of the value of the real estate subject to 
collateral and in installment commercial loans to be extended for commercial real estate purchase, the 
amount of the credit shall be limited to 50% of th e value of the real estate subject to collateral.  
2. General provisioning on new loans:  General provisions for pre-non performing loans 
increased from 2 percent to 8 percent. The highe r provisioning requirements are conditional on banks 
having a consumer loan portfolio exceeding 20 per cent of total loans or having a consumer loan 
(except for vehicle and housing loans) NPL greater than 8 percent.  
3. Higher risk weights on calculation CAR : Another measure for fast growing consumer loans 
is the higher risk weights. Through this, in th e calculation of Capital Adequacy Ratio (CAR) for 
consumer loans (except for vehicle and housing loans) with maturities below 2 years the risk 
weighting increased to 150 percent from 100 percen t. For consumer loans (except for vehicle and 
housing loans) with maturity greater than 2 year s, the risk weight increased to 200 percent from 
100 percent. For consumer loans (except for vehi cle and housing loans), general provisions were 
increased from 1 percent to 4 percent.  
 
On the other hand, the main measures that have been applied by Banking Re gulation and Supervision 
Agency to curb the credit growth are the loan to value ratios, gene ral provisioning on new loans and 
higher risk weights on calculation of CAR. 
 
Customs Procedures  Page 14, paragraph 57  
 
Question 2  As Undersecretariat of Customs has now become the Ministry of Customs and Trade, where is 
the contact point for customs-related matters a nd enquiries from other Members (article 69 of 
the TRIPS Agreement)? 
 
Turkey's answer:  The contact point for customs-related ma tters and enquiries related to TRIPS is 
still at the General Directorate of Customs: 
Ms. Meriç KELLEC İ 
Customs and Trade Expert 
Department of Legislati on and External Relations 
General Directorate of Customs e-mail: M.Kelleci@gumrukticaret.gov.tr  
Trade in Goods 
 
Question 3 
 Page 21, paragraph 108.  According to CU with the EU, Turkey grants preference to selected 15 countries under the Special Incentive Arrangem ents for Sustainable Development and Good 
Governance. Could Turkey give a list of the countries, which enjoy such special treatment? 
Which are the criteria for defining beneficiary countries? Is Turkey planning to increase the 
number of beneficiary countries in the coming years? WT/TPR/M/259/Add.1 
Page 202  
 
  
Turkey's answer:  Turkey implements the EU's GSP regime  for the products covered by the Customs 
Union between Turkey and the EU. In this context,  Turkey also takes into consideration the EU's 
implementation regarding the  Everything But Arms (EBA) incenti ves and Special incentives under the 
sustainable development and good governance a dopted in 2004 and 2005 respectively.  
 
In concern with the designation criteria of benefici ary countries within the categories of 'Everything 
But Arms', 'Special incentiv es under the sustainable development and good governance' and 
'Developing Countries'; Turkey applies the same list of EC and reflects the amendments related with 
beneficiary countries to its lists as soon as possible.  Turkey's current beneficiary country list for 
'Special incentives under the sustainable devel opment and good governance' is as follows: 
 
SPECIAL INCENTIVE ARRANGEMENT COUNTRIES 
AZERBAIJAN COSTA-RICA  
BOLIVIA MONGOLIA 
ECUADOR MOLDOVA  
EL SALVADOR  NICARAGUA  
GUATEMALA  PARAGUAY  
GEORGIA PANAMA 
HONDURAS  PERU 
COLOMBIA  
 
Page 22, paragraph 110  
Question 4 Could Turkey, please, provide more detailed info rmation and elements, be nchmarks as regards 
its development plan in agricultural policy asp ect, envisaged by the Strategic Plan (2010-2014)? 
Turkey's answer:  Strategic Plan (2010-2014) has been prepared  and put into force in order to realize 
the policies mentioned in Agriculture Law. The missi on foreseen in the Strategic Plan is to provide the 
sustainable use of agricultural and ecological sources,  to increase the life standards in rural areas, to 
access to the safe food and qualified agricultural products needed. The vision of the Ministry is to be a 
competent institution that completed its institutional and administrative transformation which is 
effective in urban areas and rural areas, close to st akeholders and consumers whenever they need and 
expert in finding solutions fo r each problem of agriculture.  
Strategic Plan Includes 5 Strategic Areas: 
A. Agricultural Production and Security of Supply 
B. Food Safety 
C. Plant and Animal Health 
D. Rural Development 
E. Institutional Capacity 
Strategic Areas and Goals in the Strategic Plan: 
A. Agricultural Production and Security of Supply 
   To direct the agricultural produc tion and to provide the offer security, 
   To develop the agricultural infrastructure, 
   To protect and improve the environment and natural resources,  WT/TPR/M/259/Add.1 
 Page 203 
 
 
  To provide their sustainability and to ta ke measures concerning decreasing the effects 
of natural disasters.  
B. Food Safety 
   To provide the offer for safe food and feed. 
 C. Plant and Animal Health 
   To eradicate the plant and animal diseases and pests,  
   To prevent the loss of products,    To protect the public health. 
 D. Rural Development  To improve the agricultural infrastructure services, human resources and organization 
level in rural areas,  
   To provide the integration of market, to diversify the income of the rural population,  
   To increase the local development capacity and life quality.  
E. Institutional Capacity 
 To provide the administrational and in stitutional perfection in order to present 
efficient and qualified service." 
   Regarding institutional capacity, the Mini stry has been reorganized by Decree Law 
  No. 639 (published at the Official Ga zette No: 27958 on 08.06. 2011) to reach the 
  objectives foreseen under Strategy Plan and to align Turkey's agricultural policy more 
  closely with the Common Agricultural Policy of the EU.  
Question 5 
Page 22, paragraph 111. Ukraine welcomes aspirati on of Turkey to achieve by 2013 consistency 
with EU's rural development policies. Could Turkey outline key rural development policy 
alternatives? Is the Pre-Accession Assistance-Rural Development Programme (IPARD) available for public? Ukraine would appreciate having the text of the Programme or a link to where it can be found in English? 
Turkey's answer:  The Pre-Accession Assistance-Rural Development Programme (IPARD) is 
available since the publication of the Commission Implementing Decision C(2011) 6079 dated 30/08/2011 conferring the Republic of Turkey manage ment powers of EU funds for three measures 
across 17 provinces. To date, 4 calls for proposals ha ve been made for 3 rural development measures 
in 17 accredited provinces.   
The Pre-Accession Assistance-Rural Development Pr ogramme (IPARD) is available to the public. 
Internet users can reach the English vers ion of the programme via the link below: 
http://www.tkdk.gov.tr/files/IPARD_Ingilizce.doc  In Turkey, complementary to the IPARD program me, a National Rural Development Plan for 2010-
2013, financed by the national budget, is being im plemented by the Ministry of Food, Agriculture and 
Livestock. The National Rural Development Plan is also available to the public in Turkish. 
(http://www.tarim.gov.tr/Files/KirsalKalkinma/KirsalKalkinmaPlani.pdf)  To enhance rural development and promote legal and natural persons' investments based on economic 
activities and their project based investments, "R ural Development Investments Support Programme" 
was put into force in 2005. As a result of the loan  agreement signed with the World Bank, the program 
was applied under the name "Village Based Particip atory Investment Program" in 16 pilot provinces WT/TPR/M/259/Add.1 
Page 204  
 
 and the latter, in 81 provinces by allocating res ource from the General Budget. The program which 
was applied between 2006 and 2010 in a successful manner, ended by 31.12.2010 and the decree of 
the new 5 years program that will cover the years 20 11-2015, entered into force in No: 27851 Official 
Gazette, date d 19.02.2011. 
Services 
 
Ukraine welcomes liberalization and regulatory reforms in services sector, undertaken by 
Turkey over the review period. Ukraine also appreciates Turkey's endeavours in the Doha 
Round in this area.   
Question 6 
 At the same time Ukraine is seeking informatio n about regulatory reforms in transport services 
sector of Turkey within the review period and plans for the future if any.    
Turkey's answer  
 
Road Transport: General Directorate of Highways (KGM) was established by Law No. 5539, under 
the Ministry of Public Works and Settlement, an or ganization with legal entity, after the  Budget Law 
No. 5018, on 1 January 2006, included in the General Budget.  
On August 31, 2007 General Directorate of Highways was connected to the Ministry of 
Transportation. (The name of the Ministry has b een changed as "Ministry of Transport, Maritime 
Affairs and Communications  on November 1, 2011) 
 The main objective of GM is to expand and impr ove the Turkish Road Network to meet the demand 
of  the economic growth. The public funding is not able to afford highway investments adequately. 
Expenditure on new development and rehabilitation of roads is likely to be a major component of 
national budgeting.  
Financing mechanism on the basis of Public Private Partnership (PPP) is one of the most effective 
alternative to realize large scale highway projects without causing public burden.  
The Build Operate Transfer (BOT) model brings clo se together the investment dynamism and project 
experience of the private sector and the s upport of international finance institutions. 
 General Directorate of Highways sees PPP as the key element to implement large-scale motorway 
(and other transport) projects. The objective of PPP structure is to obtain necessary funds to implement these large-scale projects that have important roles to play in area and national 
development. 
 Although BOT model has been applied in energy, ai rport construction and operation sectors in Turkey 
for two decades, PPP in general is a ne w financial model for motorways.  
 Rail transport: In order to improve financial and operati onal performance of railways, re-structuring 
process has been started. In line with 2003-2008 Ac tion Plan which is prepared to harmonize Turkish 
rail sector with EU legislation and approved by Ministry of Transport, Maritime Affairs and 
Communications (MoTMC), "Turkish Rail Sector Re-structuring and Strengthening Project "co-funded by EU had been carried out. Within the scope of the twinning component of the project, 
"General Railway Law" regulating the rail sector a nd "TCDD Law" were drafted together with four 
complementary implementing regulations. Regulatio ns within Draft Railway Framework Law and 
Action Plan of MoTMC regarding establishment of  Necessary Bodies and Safety Authority were  WT/TPR/M/259/Add.1 
 Page 205 
 
 
 realized by Decree Law No: 655 issued in Septem ber 2011. Studies related to other provisions of 
Draft Railway Framework Law and TCDD Law are in progress.  
Question 7 
 
In this regard and taking into account that Turk ey is now in the process of drafting its second 
revised conditional services offer "in acco rdance with the requests and the economic 
liberalization program of the government" Ukraine would appreciate some update on the current status and when the circulation of the draft offer can be expected?  
 
Turkey's answer:  Turkey is in the process of drafting its  second revised offer in accordance with the 
requests from member countries, changes in its respective services regulations as well as the economic 
liberalization program of the government. In this c ontext, Turkey has indicated its willingness to make 
some improvements in its existing offer during the Signalling Conference in July 2008.Turkey has 
basically declared that the revised offer w ill contain improvements in insurance services, 
telecommunications services, computer and relate d services, postal and courier services and tourism 
services. As it might have been expected by all the members, the date of the circulation of Turkey's 
second revised offer is related with the services negotiations of the DDA.  
 
 PERU  
 
WT/TPR/S/259, 17 de enero de 2012 
Del Resumen. Página ix  12. Turquía no ha presentado en la OMC notificaciones de ayudas a la agricultura 
desde 2002.  La información disponible parece  indicar que de un tiempo a esta parte ha 
aumentado el valor de las ayudas a los productor es agrícolas.  El Proyecto de Aplicación de la 
Reforma Agrícola, orientado al mercado, se susp endió en 2008.  Además, al ponerse fin al 
sistema de ayudas directas a la renta en 2009, un a parte cada vez mayor de las ayudas se hace en 
forma de pagos de complemento y otros instrume ntos, como los pagos por superficie.  En los 
últimos años ha aumentado el sostenimiento de los precios de mercado debido sobre todo a lo 
elevado de los precios internos, más que al bajo  nivel de los precios del mercado mundial.  Las 
consiguientes pérdidas de las empresas de pr opiedad estatal que comercian con productos 
básicos como los cereales y el azúcar se han comp ensado con transferencias del Tesoro turco.  
Dieciséis grupos de productos tienen derech o a recibir subvenciones a la exportación. 
 
Página 94  IV. POLITICAS COMERCIALES, POR SECTORES 1. AGRICULTURA ii) MARCO DE POLITICA  
5. (…) La Ley de agricultura estipula la conti nuidad de la política de sostenimiento directo 
de los ingresos iniciada en el marco del ARI P (45 por ciento) y especifica instrumentos 
complementarios para prestar apoyo al sector agríco la:  pagos de complemento (13 por ciento);  
pagos compensatorios y de transición (5 por ci ento);  ayuda a la ganadería (12 por ciento);  
ayudas en materia de seguros de las cosechas (5  por ciento);  apoyo al desarrollo rural (10 por 
ciento);  pagos ambientales (5 por ci ento);  y otras ayudas (5 por ciento).
25  Los pagos efectivos 
han diferido notablemente de estos objetivos, da do que Turquía ha abandonado el sostenimiento 
                                                      
25 Las cifras entre paréntesis indican las diferentes  asignaciones presupuestarias de la Estrategia 
Agrícola previstas para 2010. WT/TPR/M/259/Add.1 
Page 206  
 
 directo de los ingresos para recurrir a pagos de complemento y otros instrumentos de ayuda, 
principalmente pagos basados en la superficie .  Las asignaciones presupuestarias para ayuda 
agrícola en 2010 fueron las siguientes:  ayuda basada en la superficie (38 por ciento)
26, pagos de 
complemento (32 por ciento), ayuda a la ganade ría (22 por ciento), apoyo al desarrollo rural 
(3 por ciento), ayudas en materia de seguros agr ícolas (1,25 por ciento), pagos compensatorios 
(1,35 por ciento) y otro s (2,4 por ciento). 
 Página 97 c) Subvenciones a los insumos  
14. Las subvenciones a los insumos pueden ser préstamos en condiciones de favor o ayuda a 
la ganadería (véase infra ) (cuadro AIV.1).  Los préstamos en condiciones de favor tienen un 
componente de subvención que oscila entre el 25 y el 100 por ciento.
27  En 2007 se introdujeron 
las subvenciones al diésel y los fertilizantes, dirigidas a los beneficiarios del régimen de 
sostenimiento directo de los ingresos.  Aunque ya no se conceden pagos de sostenimiento directo 
de los ingresos, se siguen otorgando subvenciones al diésel y los fertilizantes.  Las subvenciones 
se pagan por hectárea y varían de un cultivo a otro.  Los pagos al diésel oscilan entre 2 a 5 TL/ha para las frutas y legumbres y hortalizas y 60 TL/ha para los cultivos industriales;  los 
pagos correspondientes a los fertilizantes oscilan entre 3 a 5 TL/ha y 60 TL/ha.  En 2006 se introdujo el seguro de los cultivos y el ganado cont ra las catástrofes natura les;  el 50 por ciento 
de las primas está subvencionado (Ley de seguros agrícolas Nº 5363, de 2005). 
Página 98 
v) Empresas agrícolas estatales  18. Algunas empresas agrícolas estatales siguen interviniendo en la producción, elaboración 
y comercialización de productos agrícolas y p restando apoyo y reglamentando los mercados de 
productos básicos agrícolas designados en nombre  del Gobierno, pero en general su importancia 
se ha reducido.  Entre dichas empresas cabe ci tar la Junta de Cereales de Turquía (TMO), las 
Azucareras Turcas (T ŞFAŞ), la Corporación de Empresas de  Tabaco, Productos del Tabaco, 
Sal y Alcohol (TTA), la Junta de la Carne y el Pescado (EBK), y ÇAYKUR (té) (cuadro III.19).  
Las transferencias presupuestarias para cubrir la s deudas y los "derechos no percibidos" de las 
empresas estatales han sido sustanciales (cuadro AIV.1).  La TTA
28 y la TŞFAŞ se encuentran 
inmersas en un proceso de privatización, mientras  que la TMO (cereales) y la EBK (elaboración 
de carne) deben ser reestructuradas y convertidas  en organismos de pago, de conformidad con 
el programa de armonización de la UE.  Página 99 y 100 
vi) Medidas de exportación 
 23. Turquía mantiene un programa de subven ción de las exportaciones de productos 
agrícolas, con objeto de fomentar su potencial de  exportación de producto s agrícolas elaborados 
con valor añadido.
29Dieciséis grupos de productos tienen derecho a recibir subvenciones a la 
                                                      
26 La ayuda basada en la superficie abarca diversas medidas, como las subvenciones a los insumos, el 
apoyo a las avellanas, el apoyo a la agricultura orgánica y el análisis de suelos. 
27 Las actividades que pueden recibir préstamos en  condiciones de favor son las buenas prácticas 
agrícolas, la agricultura orgánica, la producción de semillas certificadas, la in vestigación y el desarrollo 
agrícolas, la cría de ganado para leche, el riego, la mecanización (excepto trac tores y cosechadoras), la 
horticultura de invernadero, los cultivos medicinales, las unidades de ordeño y las cubas de refrigeración. 
28 Anteriormente denominada TEKEL;  su unidad de producción de tabaco fue privatizada en 2008 
(OCDE, 2011b). 
29 Documento G/SCM/N/186/TUR de la OMC, de 2 de marzo de 2010.  WT/TPR/M/259/Add.1 
 Page 207 
 
 
 exportación (cuadro AIV.2).  Los compromisos de  reducción de subvenciones a la exportación 
asumidos por Turquía ante la OMC abarcan 44 gr upos de productos (al nivel de 4 dígitos del 
SA).30  Las subvenciones a la exportación se con ceden en forma de reducción de las deudas 
contraídas por los exportadores con entidades públicas (por ejemplo, deducción de impuestos o 
de los gastos de telecomunicaciones o energía).   Las restituciones por exportación se fijan 
mediante decreto anual y son administradas por el Ministerio de Economía;  las mercancías 
deben de ser originarias de Turquía y aptas para  la comercialización.  Pueden ir dirigidas a 
cualquier destino, incluida la UE. 
 
24. Los exportadores de productos agrícolas tienen derecho a recibir los créditos a la 
exportación de disponibilidad general (capítulo III 2) iv)).  Se aplican impuestos a la exportación 
de avellanas y pieles en bruto (capítulo III 2) ii)).  Turquía prohíbe la exportación de diversos productos agrícolas (cuadro III.14).  Se aplica un ré gimen de licencias de exportación al azúcar 
y los piensos a efectos de supervisión (cuadro III.15).  
PREGUNTAS 
 Se menciona que en los últimos años ha aument ado el sostenimiento de los precios de mercado 
(pág.ix). Luego se menciona que Turquía ha aban donado el sostenimiento directo de los ingresos 
para recurrir a pagos de comple mento y otros instrumentos de ayuda, principalmente pagos 
basados en la superficie (pág.94), por lo que se  apreciaría un mayor detalle sobre lo enunciado, a 
fin de esclarecer lo señalado. 
Pág. 97, se agradecería un mayor detalle sobre lo s diferentes niveles actu ales de subvenciones, 
"…se pagan por hectárea y varían de un cultivo a otro".  Asimismo se apreciará que, Turquía proporcione el  detalle de los niveles de ayuda interna que 
recibe su sector agrícola, clasificado por tipo de ayuda ( caja verde, caja ámbar) y por tipo de 
actividad o producto agrícola al que se destina la ayuda.  
Turkey's answer:  This information will be presented together with the domestic support 
notifications.  
 
Pág. 98  Se apreciaría un mayor detalle sobre el proceso previsto para que las " TMO (cereales) y la 
EBK (elaboración de carne) deben ser reestructurad as y convertidas en organismos de pago, de 
conformidad con el programa de armonización de la UE."  
Turkey's answer:  In the III. Economic Criteria Chapter of  2008 National Programme of Turkey for 
the Adoption of the EU Acquis  published at the Official Gazette No: 27097 dated 31.12.2008, it is 
indicated that "price liberalization in the agricultu re sector continues with the executions towards the 
SEEs. In fact, before 2002, TMO used to regulate the grain market with the support purchase prices 
announced by the Decree of Council Of Ministers. After 2002, the market is regulated by the prices announced by the enterprise. Besides, in the grain sector, in order to be  in harmony with the EU and to 
ensure a more effective operating market, Grain and Rice Implementation Regulations were accepted 
in 2008. In Turkey, at least two payment institutions  is planned to be established. The main approach 
is to reorganize some existing institutions as "pay ment institutions." Determining the authorization 
and responsibility of these institutions and, in this context, legal works related to reorganization are 
expected to be finalized by the year 2013.  
                                                      
30 Información en línea de la OMC, consulta da en:  http://www.wto.org/spanish/thewto_s/ 
countries_s/turkey_s.htm. WT/TPR/M/259/Add.1 
Page 208  
 
 The studies continue for restructuring TMO as a payi ng agency and assigning it with additional duties, 
such as promotion activities and food aid, as carried out by paying agencies in EU, for the purpose of 
making TMO more effective. Legal process for the reorga nization is expected to be finalized by 2013.   
Efforts to re-structure the Meat and Fish Boar d (EBK), which was under privatization portfolio 
untill 2005 are being continued in accordance w ith EU harmonization programme. Ongoing work 
targets to transform EBK as paying agencies for meat processing. 
Págs. 99 y 100 
Se apreciaría un mayor detalle sobre los dieci séis grupos de productos que tienen derecho a 
recibir subvenciones a la exportación. Estas subv enciones se entiende no son homogéneas para 
todos los productos. Interesarí a conocer cuáles son estas en específico y a que productos afecta. 
Asimismo, interesaría conocer el valor, la cant idad y el destino del producto exportado 
subsidiado durante el último período de ejercicio fiscal, así como si están todas contempladas en 
algún programa de desarrollo, si contemplan un nivel de periodicidad, si existe algún mecanismo que sirva de indicador para la impl ementación de la subvención – criterios de 
selección del producto a subvencionar – y los de talles de funcionamiento de este mecanismo.  
 Turkey's answer:  According to Turkey's WTO export subsidy commitments, Turkey may provide 
export subsidies to 44 agricultural product and produ ct groups. But considering the budget restraints, 
it provides export subsidies to 16 product grou ps under the Export Subsidy Programme for 
Agricultural Products. Turkey plans to submit its ex port subsidy notifications to the WTO in the near 
future. The quantities of subsidies and the values of subsidized exports will be included in these 
notifications. The export subsidies for agricultu ral products are provided without a destination 
criterion.  
In order to comply with WTO commitments in each  product group, a "maximum payment rate" and a 
"quantity limit" is set on the basis of value and quantity of the exports.   
The subsidies are provided to producer/exporters or exporters. The applic ants should submit the 
necessary documents (customs declaration, receipt, cer tificate of origin etc.) in order to benefit from 
this subsidy program. On the other hand, this expo rt subsidy program is ba sed on "first come first 
serve" criteria to meet WTO commitments.  
Informe de la Secretaría  
Preguntas de la Superintendencia Nacional de Ad ministración Tributaria del Perú (SUNAT), en 
relación al capítulo sobre Políticas y Prácticas Comerciales: 
 
1. Turquía viene aplicando medidas de de rechos antidumping principalmente a las 
importaciones de textiles y prendas de vestir pr ocedentes de la China, en ese sentido: ¿Se han 
enfrentado el ingreso de textiles y prendas de  vestir procedentes de la China con precios 
subvaluados y de qué forma han establecido cont roles del valor para combatir este tipo de 
delito? 
 
Turkey's answer:  For this kind of illegal practices, in the scope of Turkish legislation on the 
prevention of unfair competition in imports which is notified to WTO and coherent with WTO rules, necessary measures are taken. 
 
2. Se señala que para la determinación del val or en aduana de las mercancías importadas 
se aplica el Acuerdo relativo a la aplicación del artículo VII del Acuerdo General sobre Aranceles Aduaneros y Comercio de 1994 sus notas interpretativas y las Decisiones del Comité 
de Valoración en Aduana de la OMC, ¿aplican los instrumentos técnicos (opiniones consultivas,  WT/TPR/M/259/Add.1 
 Page 209 
 
 
 comentarios, notas explicativas, estudios de caso) emitidos por el Comité Técnico de Valoración 
de la OMA? 
 
Turkey's answer: We will be answering this late coming qu estion in the aftermath of the review 
session. 
 
3. Sería importante también conocer en qué co nsiste el procedimiento simplificado que se 
utiliza para la determinación del valor en aduana  de los bienes perecederos y su diferencia con 
el proceso de determinación del valor en un proceso normal de importación. Así mismo es conveniente conocer si para el in greso de mercancías amparadas en  envíos postales, menaje de 
casa o equipaje acompañado utilizan un procedimie nto simplificado para la determinación de su 
valor.  
Turkey's answer: We will be answering this late coming qu estion in the aftermath of the review 
session. 
 
PAKISTAN 
 Questions 
 
1. In para 106 of the Report by Turkey, it has been stated that the "the preferential 
treatments granted under the Generalized System  of Preferences (GSP) to developing, least 
developed and special incentive arrangement coun tries" has been harmonized with the EU-GSP 
Scheme, in pursuance of the Turkey-EU Customs Un ion. The EU has also given unilateral tariff 
preferences to some countries and regions after securing a waiver from the WTO.  
 
Turkey is requested to share whether market  access provided by the EU through the WTO 
waivers is also adopted by Turkey to harmonize its tariff for those third countries or territories 
as a part of its commitments of the EU-Turkey Customs Union arrangements? 
 
Turkey's answer:  According to EU-Turkey Customs Union Ag reement, Turkey shall align itself with 
preferential customs regime of the Community. Within  this context, Turkey has totally adopted EU's 
GSP regime. Although Turkey is progressively harmoni zing its commercial policy with that of EU, it 
also has an authority to make necessary arrange ments towards its characteristic conditions before 
undertaking such preferential treatments of EU.  WTO Waivers, also mentioned in the question, as unilateral tariff preferences for some countries and 
regions are exceptional cases which do not directly take place in 1/95 Customs Union Decision. So it 
can not be considered as one of those obligations of Turkey to comply with which may set unforeseen 
situations for Turkey.  In the statement made by the EU in the Council for Trade in Goods where the request for a waiver on 
additional autonomous trade preferences granted by  the EU to Pakistan, the EU made clear the 
following: 
 "The measure for which the EU is requesting a wa iver is unprecedented in the WTO context and this 
has raised legitimate systemic concerns. However, as the EU has also emphasized during the previous 
discussions in the WTO, this exceptional measure is  responding to an exceptional situation and surely 
is not meant to establish any kind of precedent." WT/TPR/M/259/Add.1 
Page 210  
 
 In this perspective, Turkey pe rceives this measure, as indicated by the EU itself, as a temporary 
measure intended to help underpin Pakistan's recove ry from the floods that hit the country. In other 
words, Turkey does not consider this measu re as a permanent trade policy measure. 
 Accordingly, for the time being, Turkey is in a position to follow and evaluate the discussions and 
developments that have taken place within the WTO and the EU bodies. That is to say, Turkey will 
evaluate in detail the related situation as part of its commitments, and take necessary steps before its 
final decision.    Pakistan is already one of the beneficiary countries under the Turkey's GSP regime.   
 
2. Under the caption of Trade Policies in Turkey 's Report at page 19, it has been stated 
that, among others, Turkey intends to forge hi gher economic linkage with ECO, OIC and D-8.  
 Since Turkey has third country bound tariff wi th the EU on manufactured goods, and because 
these regions have no operational RTA with the EU, Turkey is unable to provide market access 
on preferential basis on such products to the Me mbers of these initiatives. Turkey is requested 
to elucidate whether the subject Trade Polic y objective can be meaningfully achieved? 
 
Turkey's answer:  Turkey attaches utmost importance to improve its trade relations within its 
neighborhood. Preferential trade agreements which are at different stages under ECO, OIC and D-8 
are reflections of this vision.  
 It is correct to say that Turkey, being a member of the WTO and having a Customs Union with the EU 
is already following a liberal tariff regime. Turkey strongly believes that liber al tariff regime fosters 
competition, provide larger and diversified investment and production opportunities.  
 
Within this perspective, Turkey is committed to operationalize regional preferential trade agreements, 
namely ECO Preferential Trade Agreement (ECOTA ), D-8 Preferential Trade Agreement and the 
Framework Agreement on Trade Preferential System among the Member States of the OIC (TPS/OIC). Indeed Turkey has from the beginning pion eered efforts to realize these agreements. It is 
also worth to note that the total share of the EC O countries in world merchandise exports stands at 
around 2 to 3 %, 10% for OIC and 5% for D-8. This low-level of performance at the global level is 
surely related to the low level of regional cooperation.   On the other hand, following a libera l tariff regime because of the fact that Turkey is a member of the 
WTO and having a Customs Union with the EU does not mean that there is no more potential for 
increasing trade volume within ECO, OIC and D-8 in itiatives. Indeed Turkey's Customs Union with 
the EU covers only industrial goods which means that Turkey still has potential to offer preferences 
both in some coal and steel products and agricultural products. Besides, Turkey is interested to enlarge 
the scope of these agreements to services and inv estments sectors and aims to embody new trade 
facilitation arrangements in these regional initiatives.   3. On page 38, the Report by Turkey, it has been informed that "Turkey's 2023 Export Strategy Project (2023 ESP) has been prepared in order to increase its current and potential 
market share in total world export through provi ding vision and leadership to the exporters in 
the field of science, technology and innovation". Tu rkey is requested to share details of this 
project? 
 
Turkey's answer:  The Exports Strategy of Turkey fo r 2023 has been prepared since 2009 and 
intended to be publicized in the first quarter of 2012.  Overall, the main purpose of this strategy is to 
reach 500 billion dollars of exports volume in 2023,  the centenary of the Turkish Republic, with an 
average of 12% increase in exports annually. Having 1,5% share of global trade in 2023 is also being  WT/TPR/M/259/Add.1 
 Page 211 
 
 
 targeted. Such projects to endorse exports capac ity, R&D, improving in infrastructure, raising 
awareness of Turkish exporters about new markets,   encouraging the exporters to participate trade 
missions, promoting Istanbul as an international f ashion, fair and trade center, are also among 
objectives that Turkey is seeking to achieve during this period. 
 
4. On page 19 of the Report by Turkey, it is mentioned that "besides, the Customs Union 
established with the European Community (EC) in 1995 and the process of full membership to 
the EU are also the main determinants of Turkey's trade policies".  Turkey is requested to inform as to what are the impediments and challenges for achieving full 
membership to the EU in the backdrop of the cu rrent crisis in the euro zone? Besides, is there 
any timeframe to achieve this trade policy objective? 
 Turkey's answer:  EU - as being the biggest trading partner and the largest foreign direct investor of 
the world – also accounts for almo st half of total trade as well as  90% of total foreign direct 
investments of Turkish economy. Therefore, there ar e still considerable risks posed by Euro crisis on 
global economy and of course on globally integrat ed Turkish economy. Thus, being aware of the 
importance of economic recovery in the EU, some necessary preventive measures have been taken by 
our government and economy  management accordingly. 
 On the other hand, the Customs Union (CU) makes significant contributions to the Turkish economy but there are outstanding issues between parties pending from the agreement. Turkey is not the 
member of the EU Committees of technical natu re in the area of CU. Although Turkey has 
functioning Custom Union with EU, Turkey could not participate in the Trade Policy Committee and 
GSP Committee, where the EU trade policy decisi ons are generally determined. Turkey has some 
difficulties in signing free trade agreements with thir d countries that already signed the FTA with EU. 
Those countries are not willing to sign agreement with Turkey because there are no any penal sanctions or economic moti vations for them to sign FTA with Tu rkey. This creates trade diversion and 
unfair competition against Turkish economy. Visa issu e, road quotas applied to vehicles are the other 
important difficulties pending from functioning of the CU. Parallel to the accession negotiations, 
outstanding issues are e xpected to resolve. 
 
5. On page 27 of the Report by the Secretar iat, it is highlighted that a "surveillance 
measure" was put in place w.e.f. 1st January 2010 on the import of textiles and clothing 
products into Turkey. This measure hampers export of these products from developing 
countries.   Turkey is requested to inform whether these measures are also applicable on the imports under 
the GSP scheme and whether there is any plan to  withdraw this measure. If so, is there any 
timeframe decided by the Government of Turkey? 
 
Turkey's answer:  Surveillance system for textiles and appa rel products has been put in force to 
monitor the imports in detail. This system is an automatic licensing system and covers all textile and 
clothing imports and also applicable to GSP schem e. Since textile and apparels sectors are very 
sensitive and play a very significant role in Turkis h economy, in the foreseeable future, Turkey is 
determined to continue carrying out this surveillance system.  
 
6. On page 18 of the Report by the Secretaria t, it is stated that "Turkey's free-trade and 
association agreements contain a standard mo del based on the preferences each party has 
exchanged with the EU". It appears that Turkey  can negotiate free-trade agreements only with 
the countries and regions which has already negotiated and applied RTAs with the EU.  WT/TPR/M/259/Add.1 
Page 212  
 
 The Secretariat Report (page 20) provides inform ation for Turkey's current engagement in the 
negotiations with e.g. Gulf Cooperation Council Malaysia, Indonesia, India, and ASEAN etc. 
These regions/countries do not have operational  RTAs with the EU. Turkey is requested to 
elucidate their policy of undertaking RTA initiatives/initiation of joint studies.   
Turkey's answer:  Article 16 of the Decision No. 1/95 of the Turkey – EC Association Council on 
implementing the final phase of the Customs Union,  which entered into force on 31 December 1995, 
sets the rules and modalities of the alignment, where it is provided that Turkey will take the necessary 
measures and negotiate agreements on a mutually ad vantageous basis with the countries concerned. 
 
In order to ensure the smooth functioning of the Customs Union, Turkey negotiates and concludes 
FTA's with the third countries in parallel with the EU. In this respect, once the Commission receives 
the necessary mandate of the European Council to conduct negotiations with a third country, Turkey 
conveys its request to start FTA negotiations with  that country regardless of the initiation or 
conclusion of the EU negotiation process.  
 
7. The Secretariat Report (page 20) provid es information for Turkey's current engagement 
in the negotiations with e.g. Gulf Cooperation Council, Malaysia, Indonesia, India, and ASEAN etc. These regions/countries do not have operation al RTAs with the EU. Turkey is requested to 
elucidate their policy of undertaking RTA initiatives/initiation of joint studies.  
 Turkey's answer:  The above-mentioned answer applies to this question as well.  
  WT/TPR/M/259/Add.1 
 Page 213 
 
 
 ADDITIONAL AND FOLLOW-UP QUESTIONS FROM 
THE MEMBERS AND ANSWERS PROVIDED BY TURKEY 
  PERU 
 Preguntas de la Superintendencia Nacional de Administración Tributaria del Perú  (SUNAT), en relación al capítulo sobre Políticas y Prácticas Comerciales:  1. Se señala que para la determinación del valor  en aduana de las mercancías importadas 
se aplica el Acuerdo relativo a la aplicación del artículo VII del Acuerdo General sobre 
Aranceles Aduaneros y Comercio de 1994 sus notas interpretativas y las Decisiones del Comité 
de Valoración en Aduana de la OMC, ¿aplican los instrumentos técnicos (opiniones consultivas, 
comentarios, notas explicativas, estudios de caso) emitidos por el Comité Técnico de Valoración 
de la OMA? 
 Turkey’s answer: WCO Technical Valuation Committee’s opinions (advisory opinions, 
commentaries, explanatory notes, case studies) are not a part of the customs legislation. Nevertheless, 
these opinions can be used as a guideline fo r interpretation of the legislation.  
 
2. Sería importante también conocer en qué cons iste el procedimiento simplificado que se 
utiliza para la determinación del valor en aduana  de los bienes perecederos y su diferencia con 
el proceso de determinación del valor en un proceso normal de importación. Así mismo es conveniente conocer si para el in greso de mercancías amparadas en  envíos postales, menaje de 
casa o equipaje acompañado utilizan un procedimie nto simplificado para la determinación de su 
valor. 
 Turkey’s answer: There is a specific provision about peri shable goods in article 31/2 of Turkish 
Customs Law, which is parallel to the article 36/2 of the European Community Customs Code 
(Council Regulation - 2913/92). However the implem entation provisions are not in force yet.  
 As for postal shipping; in commercial goods, genera l provisions are applicable. For postal shipping in 
non-commercial goods, in accordance with the Article  460 of the Customs Regulation, values written 
on “Déclaration en Douane” can be used for cust oms purposes. Based on the Decree of Council of 
Ministers 2009/15481 article 62, the customs value of accompanying goods can be determined on the 
basis of submitted documents (like invoice). Where customs value of these kinds of goods cannot be 
determined on the basis of accompanying/submitted documents, general provisions are applicable. 
COLOMBIA  
 
En la página 94, numeral 5, el informe de la Se cretaría indica que Turquía ha abandonado el 
sostenimiento directo de los ingresos para  recurrir a pagos de complemento y otros 
instrumentos de ayuda, principalmente pagos basados en la superficie.  
Podría Turquía explicar en qué consisten los programas sobre los pagos de complemento y los 
pagos basados en la superficie?; la metodología utilizada para determinar los productos y cuáles 
han recibido estos apoyos? 
 
Turkey’s answer: The agricultural support provided aims to  solve the problems of the agricultural 
sector and to increase the efficiency of the implemen tation of agricultural policies. Support is provided 
through the programmes that ensures social and eco nomic efficiency and productivity. Depending on 
availability of the budget, payment ratios are dete rmined by the Steering Committee of Agricultural 
Supports which is established under the presidency of the Minister of Food, Agriculture and Livestock WT/TPR/M/259/Add.1 
Page 214  
 
 and is composed by the members of relevant Mini stries. In determination of the support programmes 
the principles and strategies taken into consideration are as follows:   
a) The contribution to achieve agricultural policy objectives, b) The compliance to the international rules and the EU legislation, 
c) The balance among sub-agricultural sectors, 
d) The fair reflection to producers, e) The continuation of the producer activities under free market conditions.   
The details of programs are explained in the Agriculture Law No: 5488.  
 
En la página 96, numeral 11, se hace referencia al  sostenimiento directo de los ingresos, para 
compensar en parte las pérdid as de ingresos debidas a la eliminación de los precios 
administrados (precios mínimos garantizados). Los pagos se determinan en función de una tasa 
uniforme, hasta un máximo de 50 hectáreas. 
 
Podría Turquía señalar cómo estas medidas so n compatibles con las disciplinas de ayuda 
interna definidas en el Acuerdo sobre la Ag ricultura y cómo se asegura que no causan 
distorsiones en el volumen de la producción?  
Turkey’s answer: In 2001, the direct income support was introduced into the program to align 
Turkey's agricultural support system with the "s ingle payment scheme" of the EU-CAP. The purpose 
of the payment was to partially compensate the Turk ish farmers’ income loss arising from the removal 
of administered prices (i.e. guaranteed minimum prices).  Payments were set at a uniform rate, up to a ceiling of 50 ha, and with no requirement to produ ce anything. This kind of program is neither linked 
to any type of crop nor supports any volume of pr oduction; hence, not a “trade distorting support” at 
all. Furthermore, delinkage of the support from pr oduction and type of crop reduces the distortions in 
the agriculture sector.  
 
En la página 96, numeral 13, se indica quelos pagos de complemento en la producción se realizan en forma de pagos de primas por unida d de producción y su cuantía se determina en 
función de los costos de producción, la situac ión del mercado y consideraciones presupuestarias. 
 Podría Turquía explicar con mayor detalle la me todología empleada para determinar el pago de 
la prima por unidad de producción?. A cuánto asciende actualmente la prima?. Cómo opera 
este programa y qué productos han recibido este apoyo?  
Turkey’s answer: By taking into account budgetary consid erations, production costs and market 
prices on the basis of per unit product, payment ratios are determined by the Steering Committee of Agricultural Supports which is established under the pr esidency of the Minister of Food, Agriculture 
and Livestock and is composed by the members of re levant Ministries. In determination of the support 
programmes the principles and strategies ta ken into consideration are as follows:  
 
a) The contribution to achieve agricultural policy objectives, 
b) The compliance to the international roles and the EU legislations, c) The balance among sub agricultural sectors, d) The fair reflection to producers, e) The continuation of the producer activities under free market conditions.  
The details of programs are explained in the Agriculture Law No: 5488.   WT/TPR/M/259/Add.1 
 Page 215 
 
 
 En la página 97, numeral 13, se indica que en 2010, Turquía introdujo un nuevo régimen de 
pagos de complemento, mediante el cual se estab lecen distintos pagos por kilogramo o cabeza de 
ganado para 30 regiones agrarias de Turquía (programa de ayuda por cuencas).  Podría Turquía explicar en qué consiste este programa?  Cómo se determinan los pagos por 
kilogramo y por cabeza de ganado?  
 
Turkey’s answer: Agricultural basins are determined by the Decision of Council of Ministers 
No: 2009/15173. The payments are made for those crops and cattle which are produced or reared on 
the most suitable ecological conditions by taki ng into account the budgetary considerations, 
production costs and market prices on the basis of per unit product, kilogram/number of cattle. The 
payment ratios are differentiated according to the basins and they are determined by the Steering 
Committee of Agricultural Supports which is estab lished under the presidency of the Minister of 
Food, Agriculture and Livestock and composed of members from other relevant Ministries.   
 
En la página 98, numeral 16, se señala que existen controles a la producción de remolacha 
azucarera, la cual está restringida mediante la ap licación de un contingente nacional de azúcar 
(2,2 millones de toneladas en 2011).  El contingent e lo determina cada año la Junta del Azúcar y 
lo asigna a las fábricas de azúcar.  Podría Turquía explicar en detalle cómo funcio na este programa y qué tipo de controles aplica 
para que no se presente una mayor de producción de la fijada? 
 
Turkey’s answer: In Turkey sugar is subject to quotas. “A” quota sugar is the quantity of sugar 
which is produced in order to meet domestic de mand and which can be delivered to the domestic 
market within the marketing year (1 September- 31 August), “B” quota sugar is  the quantity of sugar 
which corresponds to a certain percentage of the A sugar quota and which is produced in order to be 
kept for security purposes. A and B quotas are assigned by the Turkish Sugar Board annually on the basis of sugar producer companies. It is possible to produce in excess of the quotas which is called “C 
sugar”. Subsequently, sugar producer companies di stribute beet quotas, corresponding of their sugar 
quotas, among their farmers. A and B beets are produced according to contracts between producers and the companies. C beet is produced according to  the agreement between beet producer and sugar 
producer. The price of C beet is determined also by the agreement between beet producer and sugar 
producer. C sugar cannot be marketed dom estically and must be exported.  
 Quotas of the companies are determined by the Board no later than every 30
th June for following 
marketing year by taking into consideration th e domestic demand for sugar and performances related 
to sugar production of the factories in the last three years. 
 Companies are obliged to keep reco rds of all information related to production; such as duration of the 
campaign, quantities of production, sale and stock fo r each type of the sugars mentioned above and 
send them to the Sugar Board monthly basis.  More over, Sugar Board carries out on-site inspections at 
companies. Controls are based on both the inform ation regularly received from the companies and on-
site inspections. 
 Another control mechanism is to apply administ rative fines. In case sugar companies do not keep 
quota B sugar or sell C sugar in domestic market administrative fines are applied .  
 
En la página 98, numeral 19, se señala que alg unas empresas estatales, siguen estableciendo 
precios de compra/intervención, pero que éstas  no funcionan como vendedores o compradores 
exclusivos en el mercado interno, ni tienen un monopolio de exportación.  WT/TPR/M/259/Add.1 
Page 216  
 
 Podría Turquía suministrar información sobre el  objetivo y función de los precios de compra 
y/o intervención establecidos por las empresas esta tales y la cuantía de los montos destinados a 
los productos agrícolas a través de este programa?  
 
Turkey’s answer:  Most administered prices, including cereals and paddy rice, have been abolished 
since 2002.  When required, the purchasing prices of  wheat, barley, rye, oats, triticale, maize and 
paddy rice falling under the purview of TMO, are a nnounced by the decision of Board of directors and 
these prices should not be interpreted as administer ed prices. Therefore, agricultural support does not 
include TMO purchases.  
Fresh tea purchase prices are determined by the Boar d of Directors for the Directorate General of Tea 
Enterprises each year. Therefore, agricultural suppo rt does not include Directorate General of Tea 
Enterprises purchases.  
THAILAND  
 
QUESTION REGARDING TH E SECRETARIAT REPORT 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE  Page 67 (paragraph 97)  “Turkey has signed cooperation agreements to  prevent animal diseases from entering the 
country through trade in and transit of liv e animals and animal products, veterinary 
medications, fodder, and other products that may affect animal health.
31  Moreover, bilateral 
agreements on a product-by-product basis have been signed with Belgium, France, Germany, Italy, the Netherlands, New Zealand, the United Kingdom, and the United States in relation to 
the use of sanitary and phytosanitary certificates.” 
 
Question  1. As Turkey has signed bilateral agreement s with many counterparts with regard to the 
use of sanitary and phytosanitary certificates on a product-by-product basis, could Turkey 
please explain the scope of such cooperation in de tails and benefits on trade facilitation deriving 
from those agreements? 
 
Turkey’s answer: Turkey has signed cooperation agreemen ts to prevent animal diseases from 
entering the country through trade in and transit of live animals and animal products, veterinary 
medications, fodder, and other products that ma y affect animal health. Agreements include 
cooperation in the areas of bilateral technology and know-how transfer, training, technical assistance and etc. These agreements aim to harmonize SPS measure s to the international standards at bilateral 
level.  
 The conventions on “Plant Protection and Plant Quar antine” are signed in line with International Plant 
Protection Convention (IPPC) in order to prevent qua rantine pests from entering into the country and 
spreading, provide cooperation, sustainability, de velopment between parties on plant protection and 
quarantine and coordinate studies regarding plant health.  
                                                      
31 Turkey has signed cooperation agreements with Al geria, Bulgaria, Germany,  Iran, the Netherlands, 
Syria, and Tunisia.  Negotiations con tinue with Albania, Azerbaijan, Croa tia, Czech Republic, Georgia, Kuwait, 
FYROM, the Russian Federation,  Slovakia, and Ukraine.    WT/TPR/M/259/Add.1 
 Page 217 
 
 
 On “Plant Protection and Plant Quarantine” Conven tions there are provisions regarding authorized 
contact information responsible for Convention provis ions, measures and follow up in import, export 
and transit pass of plants and plant products, legisl ation and exchange of in formation regarding above 
mentioned activities and measures, R&D activities, or ganizing meetings on the implementation of the 
Convention.  
 
Conventions on Plant Protection and Plant Quarantine ensure to protect state parties from quarantine 
pests, improve amicable terms between the par ties and develop economic and commercial relations 
more intensively.   
Veterinary health certificates that are specific fo r the live animals and animal products are sent to 
veterinary service of exporting countries and the offi cial guarantees have been  taken for those that 
meet health requirements. In case of their acceptance reciprocally, importation is permitted.  
 
II. TRADE AND INVESTMENT REGIMES 
 
Pages 24-25 (paragraph 37 and Table II.7)  “Investment incentives, such as import duty exem ptions and subsidized credits, are available to 
domestic and foreign investors alike.  Turkish residents wishing to invest abroad are free to 
export capital in cash, by ba nk transfer or in kind in accordance with Turkey's Customs 
Regulations.
32” 
 Questions  1. Do the investment incentives vary depending on different types of investment, e.g. are 
the incentives for the automobile indus try and the iron sector different?  
 2. Could Turkey please explain further in deta ils about “subsidized credits”?  What are the 
criteria/requirements for an investor to be eligible for such benefit? 
 3. Could Turkey explain why the FDI inflows, as indicated in Table II.7, have continuously 
declined since 2008?   
 
Turkey’s answer for Questions 1, 2 and 3:  As it has been explained in the WTO document notified 
under the SCM documents (G/SCM/N/186/TUR,  2 March 2010); under the “Investment 
Encouragement Program” (IEP), only investing firms may benefit from this program.  
 
3. In summary, within the IEP, investments to be made are granted an investment incentive 
certificate in order to benefit from the available in centives in accordance with the related Laws and 
Regulations. The Turkish Investment Encouragement System covers all investments within an 
established program, it takes into account the changes in the global economic and social 
circumstances.  
 
4. As far as the mechanism is concerned, domestic and foreign investors are equally treated; the 
companies having foreign capital can benefit from all encouragement measures granted to domestic 
companies with the same conditions. Within the objectives and the scope  of the Program, all eligible 
investment projects can benefit from tax based encouragement measures (namely, customs duty 
exemption, V AT Exemption, reduced corporate/in come tax rate), as well as support for employer's 
contribution for social security and land allocation wh ere possible. Additionally, "interest rate support" 
                                                      
32 An authorization requirement from the Undersec retariat of Treasury for outward investment 
exceeding US$5 million was abolis hed at the end of 2006.    WT/TPR/M/259/Add.1 
Page 218  
 
 provides for the compensation of certain percentage poi nts of the interest rate for credits obtained in 
commercial terms by investors for the investments in the less developed regions.   
Please see G/SCM/N/186/TUR for futher detail. 
 As for the question on declined Foreign Direct Inve stment (FDI) inflows in 2008, we would like to 
note that FDI flows had been among the economic indicators that were negatively affected by the 
global financial crisis.  
Negative effects of the crisis were mostly felt in 20 09, in which FDI inflow to Turkey was recorded as 
8.4 billion, down from USD 19.5 billion in 2008. Ho wever; 2010 was a year of efforts for recovery 
from the global economic crisis, which also led to a slight increase in the amount of FDI inflows, 
reaching USD 9 billion. Recovery accelerated in 2011  and FDI inflows increased by 74% compared to 
the previous year, reaching USD 15.7 billion, the hi ghest level ever recorded since 2006. Regarding 
the economic growth and upward trend for investment s in Turkey, FDI for 2012 is expected to be 
above USD 15 billion as well.  
 
CANADA 
 
Report by the Secretariat (WT/TPR/S/259) 
 
III. Trade Policies and Practices by Measure; (3) Measures Affecting Production and Trade; (iii) Sanitary and phytosanitary measures; paragraph 94; page 66: 
The WTO Secretariat report indicates that Turkey  is a full member of the World Organization 
for Animal Health (OIE), the International Pl ant Protection Convention (IPPC), and the Codex 
Alimentarius Commission, and is harmonizing its legislation with the international standards set 
by these institutions. 
1. Turkey’s 2010 Biosafety Law appears to establish that a socio-economic evaluation is 
carried out with each application for an appr oval of a GMO. Does Turkey intend to use the  
Codex Alimentarius Guideline for the Conduct of F ood Safety Assessment of Food Derived  from  
Recombinant-DNA Plants as a basis for ensuring that the approvals of genetically modified 
organisms for use in food are based on science , as provided for in the WTO SPS Agreement?   
Turkey’s answer: Turkey is a WTO member and is a candida te country to the European Union (EU). 
Being aware of its rights and obligations rising form the WTO-SPS Agreement, Turkey has been 
harmonizing its national re gulations with the EU  Acquis which is also in line with the SPS Agreement. 
Within this framework, the recommendations and sta ndards of the international sister organizations 
(IPPC, OIE and Codex Alimentarius ) and the SPS Agreement are always respected as guiding 
principles. In case a measure is taken that is not based on international standards and 
recommendations so as to comply with EU legisla tion, risk assessment is carried out in compliance 
with the SPS Agreement.   
A decision on the approval of an application that is  related to the GMO or GMO products is given by 
the Biosafety Board, based on the resu lts of a scientific risk assessment.  
 
2. Does Turkey intend to implement the Codex Annex on Food Safety Assessment in 
Situations of Low-Level Presence of Recombinant-DNA Plant Material in Food  as a basis for 
scientifically-determined risk management decisions in situations of low level presence of 
Turkey-unauthorized GMOs in Turkish imports?  WT/TPR/M/259/Add.1 
 Page 219 
 
 
 Turkey’s answer:  Turkey is a WTO member and is a candida te country to the European Union (EU). 
Being aware of its rights and obligations rising form the WTO-SPS Agreement, Turkey has been 
harmonizing its national re gulations with the EU  Acquis which is also in line with the SPS Agreement. 
Within this framework, the recommendations and sta ndards of the international sister organizations 
(IPPC, OIE and Codex Alimentarius ) and the SPS Agreement are always respected as guiding 
principles. In case a measure is taken that is not based on international standards and 
recommendations so as to comply with EU legisla tion, risk assessment is carried out in compliance 
with the SPS Agreement.   A decision on the approval of an application that is  related to the GMO or GMO products is given by 
the Biosafety Board, based on the resu lts of a scientific risk assessment.  
 
5. Can Turkey explain how a blanket moratori um on the cultivation of genetically 
modified crops, as provided for in its 2010 Biosaf ety Law, is consistent with provisions in the 
WTO SPS agreement that require members to en sure SPS measures are based on scientific 
principles and not maintained without scientific evidence?  
Turkey’s answer: The aim of restriction on local cultivati on of GMO’s is to protect biological 
diversity of Turkey, without leading to any restriction on international trade.  
 
III. Trade Policies and Practices by Measure; (3 ) Measures Affecting Production and Trade; 
(iii) Sanitary and phytosanitary measures; paragraph 99; page 67 
 The WTO Secretariat report indicates that Tu rkey “notifies new SPS measures affecting trade 
through the WTO, and a period of six months is foreseen before entry into force of the relevant 
regulations.” 
4. Can Turkey confirm whether its implemen ting directives in connection with the GMO 
regulation of 2010 have or will be notified to the WTO? Canada is specifically interested in the process and requirements related to Turkish authorization of import of GMOs for food, feed 
and processing, as these measures have a significant impact on international trade in genetically 
modified agricultural products. 
Turkey’s answer: There are two implementing regulations of Biosafety Law; the “Regulation on the 
Genetically Modified Organisms and Their Product s” was notified to the trading partners with 
document symbol G/SPS/N/TUR/10 on 28 July 2010 a nd the “Regulation on the Working Procedures 
and Principles of the Biosafety Board and the Committees” was notified to the trading partners with document symbol G/SPS/N/TUR/11 on 28 July 2010. The information and the documents requested regarding to imports of GMO’s for food, feed an d processing are stated in the “Regulation on the 
Genetically Modified Organisms and Their Produc ts”. Up to date information on Turkey’s GMO 
policies can be followed on the website “Turkey’ s Biosafety Information Exchange Mechanism”. 
(www.tbbdm.gov.tr).   WT/TPR/M/259/Add.1 
Page 220  
 
 THE SEPARATE CUSTOMS TERRITORY OF TAIWAN, PENGHU, KINMEN AND MATSU 
 
PART I: QUESTIONS REGARDING THE SECRETARIAT REPORT (WT/TPR/S/259) 
 
I. ECONOMIC ENVIRONMENT 
(3) TRADE PERFORMANCE  
(Page 4, Paragraph 11) 
 The report stated that “Turkey's current acco unt has not been in surplus since 2001, and the 
deficit rose steadily until 2008, primarily due to a widening gap between the value of exports and 
imports of merchandise.  A significant contraction of imports in 2009 reduced the current account deficit to US$14 billion for the year, but  the subsequent economi c recovery has once 
again been accompanied by a growing deficit, equal to 6.5% of Turkey's GDP in 2010.” 
We have observed that in the past Turkey ha s taken many concrete and successful measures 
regarding macroeconomic policies and development. 
 
Question 
 
1. In light of having a deficit on its current account since 2001, how will Turkey react to the possible impact of the Euro debt crisis? 
 Turkey’s answer: European Union is the main export market of Turkey. Its share in Turkey’s total 
exports has been around 53% on average in the last ten years and was 62.4 b illion dollars in 2011 with 
a share of 46%. Hence, an economically strong EU has critical importance for the growth of Turkey, 
since a large part of the current account deficit is sourced from foreign trade deficit.  
 
Besides, although the EU has a substantial share in  Turkey’s exports, it is important to note that 
Turkey has been following a strategy of export market  diversification in the last couple of years.   
 
EU’s share in Turkey’s total exports has been declining since 2004. Compared to 2001, its share 
declined by 10 percentage points down to 46% in 2011. However the shares of regions such as Asia, 
Middle East and North Africa have been on an incr easing trend. The shares of these three regions rose 
by 14 percentage points, 9 percentage points and 1 percentage point, respectively during the same 
period. In order to leave out the effects of the cris is in North Africa, it is worth mentioning that the 
share of this region grew by 4 percentage point s during the period of 2001-2009. These figures clearly 
demonstrate a tendency of decline in Turk ey’s dependency on imports from the EU. 
 In the aftermath of the global crisis, advanced ec onomies implemented extraordinarily loose monetary 
policies which led to ample and low-cost liquidity. Turkey has taken a share out of these inflows due 
to its strong financial sector and robust growth  potential. Increased capital inflows caused the 
appreciation of the Turkish lira and a rapid cred it growth. This, in turn, led to a remarkable 
deterioration of the current account balance. Centra l Bank of the Republic of Turkey (CBRT) foresaw 
the probable impacts of this on macroeconomic st ability and changed its policy strategy towards 
which financial stability had an increased weight. B esides, inflation remained below the target and 
enabled the CBRT to focus on financial stability during this period. 
 Hence, by November 2010, the CBRT embarked on using multiple policy instruments simultaneously. The policies implemented in the new framework ai med at reducing the credit growth to reasonable 
levels as well as containing domestic currency ap preciation that would disconnect the Turkish lira 
from economic fundamentals. The CBRT proved to be successful in both dimensions to a large extent.  WT/TPR/M/259/Add.1 
 Page 221 
 
 
 An important part of the gradual depreciation in th e Turkish lira between the last quarter of 2010 and 
August of 2011 was a natural consequence of the polic ies designed to mitigate macro financial risks. 
These measures helped contain the effects of the tu rmoil in the Euro Area as of August 2011 on our 
economy.  
Data released for 2011 points that the desired rebala ncing process in the economy has already started. 
Accordingly, the contribution of net exports to growth increased notably, and the current account 
balance posted a noteworthy improvement in the second ha lf of the year. In addition, the last quarter 
of 2011 was marked by ongoing tightening in mone tary and financial cond itions and a pronounced 
deceleration in loans.  
 
Uncertainty related to the Euro Area is still a majo r concern for Turkey. The possible impact of the 
Euro debt crisis is expected to mainly arise fro m the demand side, through which Turkey’s exports to 
EU will face a threat of downward pressure. Unless Euro debt crisis  unravels disorderly and brings 
about catastrophic effects, measures mentioned abov e are likely to lower current account deficit over 
time and mitigate concerns related to it despite  lower demand from the main trading partner.  
 
(Page 4, Paragraph 13) 
 
As stated, “The European Union … remains the principal market for Turkish goods. However, the EU share in Turkey’s exports declined by nearly 10 percentage points (from 60.1% to 
50.8%) from 2006 to 2010, reflecting a successful shift in Turkish export sales to neighbouring 
countries (Iraq, Iran, Syria and Azerbaijan) as well as to growth markets in the Middle East, 
North Africa, certain CIS countries and Asia since 2008.” 
 
Question  
2. Could the Turkish government please provide details of how it managed to create the 
momentum within the private sector that achieved such a significant shift of export to Turkish 
neighbouring countries, and to new export market s abroad in the Middle East, North Africa and 
Asia? 
 
Turkey’s answer: Turkey aims to increase its product and export market diversity by transferring 
new production technologies and transforming its export composition from medium to high-tech 
products. 
In order to diversify its export markets, Turkey has been striving to rai se awareness of Turkish 
products in the targeted markets by organizing tr ade missions to new potential markets and inviting 
buyers from these markets and organizing seminars  to explore opportunities in emerging export 
markets. As a result, it has been observed that while  the share of those new markets such as African, 
especially Northern African, Middle Eastern and Commonwealth of Independent States (CIS) Countries in our total exports has increased, tr aditional markets like European Countries have 
decreased as compared to previous years.  
 
Although the EU has always been a major trading pa rtner for Turkey, its position as Turkey's leading 
trading partner was abruptly shaken as soon as the global economic crisis struck in 2008. The volume 
of trade with the EU was sharply reduced in 2008 and it did not recover for a considerably long time. 
Due to the negative consequences of the credit crisis  and the contraction in demand in the EU, Turkish 
businesses caught on the simple fact that the time fo r risk management had come and they began to 
look elsewhere for trade. The CIS stood right next  door as the best alternative for a large number of 
those businesses to redirect their shipments and medi ating risks relating to investments and stocks. WT/TPR/M/259/Add.1 
Page 222  
 
 Other reasons for quick progress with the CIS count ries were close cultural ties and the thriving inter-
governmental relations.  As for the African countries, the Ministry of Economy has been implementing the “Strategy for 
Enhancing Trade and Economic Relatio ns with African Countries” since 2003. 
 
The tools of the strategy are fairs, trade missions, business councils, Joint Economic Commission 
mechanisms, new commercial offices and agreements. The strategy also entails providing technical 
assistance and increasing banking activities.   
As a result of the strategy, in 2010, Turkey’s export s to Africa were realized as 9.3 billion dollars with 
an increase of 342% as compared to 2003 (2.1 billi on dollars) and Turkey’ imports from Africa were 
realized as 6,4 billion dollars with an increase of 94% compared to 2003 (3,3 billion dollars).  
 The Strategy has been revised in 2010 recognizing the need arising from the changing global economy 
and the economic and social c onditions African continent. 
 Turkey has developed a more focused “two-pillar” approach to the African continent on the economic 
level; North Africa and Sub-Saharan Africa.   In “North African” pillar; a more  holistic approach to trade with  North African economies has been 
developed. Existing relations have been  further strengthened and elaborated. 
 Ministerial Level Councils are es tablished under various Agreemen ts to monitor commercial and 
economic relations with all 5 countries of Nort h Africa. The bodies contributing to the economic 
integration with the region are: Joint Economic Commissions (Morocco, Libya, Algeria and Egypt), 
Association Council with Tunisia, and High Level C onsultation Council with Egypt. Besides, bilateral 
Business Council meetings with the North African countries under the auspices of the private sectors 
have been organized. Existing commercial missi ons have been enriched in personnel. 
As for Sub Saharan Africa, target countries in Sub Saharan Africa have been singled out and 
individual strategies have been developed. A “win -win” based understanding in commercial relations 
with Africa has been elaborat ed. The Turkish motto has been embodied in new generation of 
Commercial Cooperation Agreements covering a wider range of areas such as technical and financial 
assistance, training and know-how transfer.  In this respect, “confidence building” high level visits have been realized in 2010 and 2011 
intensively. New commercial missions in Africa ha ve been established (Ghana, Nigeria, Tanzania, 
Sudan, Addis Ababa and Senegal). Also, a training program for commercial bureaucrats from Sub-
Saharan Africa was orga nized in June 2011.  
 As a result:  In 2011, Turkish exports  to Africa were realized 10.3 billion dollars with an 11.3% increase as 
compared to 2010.  
 Bilateral trade volume  with the Continent has reached to 19.1 billion dollars in 2011 (representing a 
21.9% increase as compared to 15.6 billion dollars of 2010).   
 
Also, the trade between Turkey and the Middle Eastern countries has flourished rapidly since 2003, 
although the global financial crisis in 2009 affect ed the bilateral trade relations negatively.   WT/TPR/M/259/Add.1 
 Page 223 
 
 
 Turkey’s economic policy towards the Middle East  region, such as signing Free Trade Agreements 
(FTAs), organizing commercial delegations, openi ng new commercial offices, conducting Joint 
Economic Council meetings paved their way in boosting bilateral economic relations. 
 In the Middle Eastern region, Turkey has concluded FTAs with Israel (1997), Palestine (2005), Syria 
(2007) and Jordan (2011) and signed an FTA with  Lebanon in November 2010 (which is still in the 
ratification process).  Another economic policy tool that Turkey empl oys towards the region is the establishment and 
inception of High Level Strategic Cooperations Counc ils. In this regard, HLSCCs were established 
between Turkey and Iraq, Turkey and Syria. Negotiations for Jordan and Lebanon HLSCCs are 
ongoing. The HLSCC mechanisms with Iraq and Syria have already commenced their works and held 
technical meetings, that resulted in the signing of Memorandum of Understanding on the fields of 
trade, transportation and education.  
 
II. TRADE AND INVESTMENT REGIMES 
(3) TRADE AGREEMENTS AND ARRANGEMENTS 
 
(Pages 12 & 13, Paragraphs 11 & 12)  
Turkey became an original Member of the WTO on 26 March 1995 and accords MFN treatment 
to all other Members of the WTO, except Ar menia. It attaches great importance to the 
successful conclusion of the Doha Developmen t Agenda (DDA), and a WTO-DDA Coordination 
Committee has been established to follow up on issues related to the DDA and to determine 
Turkey’s strategy in multilateral negotiations.” 
 
Question  
3. Could Turkey please share with us further details on the status of the WTO-DDA 
Coordination Committee in the Turkish government and of the decision-making mechanism for determining policies on issues relating to the DDA? And, how the coordination work has been 
carried out among different departments and interest groups? 
 
Turkey’s answer: The WTO-DDA Coordination Committee was established with Circular No: 
2002/39 dated 13 September 2002 after the launch of the Doha Development Agenda (DDA) 
Negotiations in 2001, due to the need of effective coordination within the country taking into account 
the wide variety of negotiating areas in scope of the DDA and the necessity to find the right balance 
among diverse priorities.   Coordination is of utmost importance regarding the DDA negotiations, as the topics covered by the 
DDA concern almost all of the public institutions and even more than one institution at times. Thus, 
chaired either by the Minister of Economy or the Undersecretary of Ministry of Economy, the Coordination Committee acts as a forum for exchange  of information/opinion among all the relevant 
public institutions (and private sector organizations when necessary) and a decision-making platform 
at the highest level.  
 
The Coordination Committee congregates all the re levant institutions and organizations, when 
considered necessary, with pre-determined and pre-circulated agenda items that are formulated considering the conjuncture of the DDA negotiations and the agenda of the WTO.  
 WT/TPR/M/259/Add.1 
Page 224  
 
 (Page 18, Paragraph 27 & 28) 
 It is mentioned in the report that Turkey has 16 bilateral FTAs in force at present, is currently 
engaged in negotiations with 13 partners, and has initiated the launch of negotiations with 
another 10 trading partners. Our impression is that  Turkey's participation in such regional and 
bilateral trade agreements may have contributed to improving its economic competitiveness, but 
tended to complicate its trade regime and potentially  detract from multilateral efforts to open its 
economy further. 
 
4. How does Turkey overcome the complications that arise out of the increasing number of 
FTAs in its trade regime? 
 Turkey’s answer: The Customs Union between Turkey and the European Union (EU), which was 
established between the parties as of 31 December 1995, is the building stone for Turkey’s trade 
regime.  
 Turkey managed to align its commercial policy w ith the EU’s commercial policy, following the 
establishment of the Customs Union. In this regard , together with the Common Customs Tariff of the 
EU, the preferential trade regime constitutes the most important part of the trade policy of Turkey 
applied towards third countries. 
Indeed, with the Customs Union, the Turkish eco nomy has been integrated to one of the most 
competitive economic bloc of the world and obviously  that has given the biggest impetus to Turkish 
economy since the adoption of liberalization measures of the early 1980’s. 
 
Besides the Customs Union Decision, the legal basis of signed FTAs is constituted by the 
Article XXIV of the GATT 1994 and Enabling Clause of 1979 GATT Tokyo Round which enables 
flexibility in the conclusion of FTAs among deve loping countries. Turkey recognizes the importance 
of multilateral efforts to open its economy further.  However, it should be noted that bilateral 
preferential trade agreements contribute to the e xpansion of world trade through closer integration 
between the economies of the parties to such agre ements. All in all, the purpose of such trade 
agreements is to facilitate trade between the Parties. Also, it is worthy to note that FTAs of Turkey are 
notified to and presented in Regiona l Trade Agreements Committee of the WTO, a platform where the 
FTAs are “recognized” by WTO members.  
So far, Turkey has concluded FTAs with 28 countri es, 10 of which were repealed due to the accession 
of these countries to the EU. Therefore, Turkey is an  experienced country in bilateral preferential trade 
agreements, thus, able to smoothly conduct its tr ade regime without any unintended complications.  
 5. How does Turkey reach a balance betw een bilateral/regional and multilateral 
negotiations in its trade policies? 
 Turkey’s answer: Over the past two decades, the growing tendency towards bilateral and regional 
movements has become one of the most significant features of the multilateral trading system. Starting 
from the 1990’s, the world has witn essed re-emergence and prolifera tion of the preferential trade 
arrangements among countries. Turkey, as a partner of  both a Customs Union with the EU and of a 
large number of FTAs with third countries, has become  an important representative of this orientation. 
 In fact, the mode of integration between Turkey and the EU goes far beyond the classical concept of 
the customs unions. Accordingly, apart from the elim ination of customs duties on the EU imports and 
the adoption of the common external tariffs, Tu rkey also implements parallel commercial and 
competition policy instruments to those applicable in  the EU. The other important aspect of Turkey’s  WT/TPR/M/259/Add.1 
 Page 225 
 
 
 bilateral/regional initiatives is the free trade agreements concluded w ith 19 countries as of 
March 2012.  However, this wide range of initiatives in bilatera l and regional level does not necessarily mean that 
Turkey does not support the multilateral trade liberaliza tion. On the contrary, Turkey perceives that its 
accomplishments under the Customs Union as well as the FTAs are complementary for promoting the 
objectives of multilateral trading system.  In this respect, the Customs Union has obviously accel erated the liberalization process in Turkey by 
locking-in the reforms in the fields of economy and trade. When it comes to impacts on multilateral 
trading system, the Customs Union has certainly resu lted in an overall liberalization. Since 1996, third 
countries have been benefiting from the noticeable tariff liberalization as well as improved market 
conditions provided by the legislation securing trade a nd investment. In short, the third countries have 
become the net beneficiaries of the Customs Uni on. Turkey’s FTAs, on the other hand, have also 
given impetus to Turkey’s trade liberalization.  
 
In conclusion, Turkey as a founding member of the WTO and a Partner of the Customs Union and FTAs, believes that its bilateral initiatives do not co mpete but support the ultima te aim of multilateral 
trade liberalization. Accordingly, it pursues a balanc ed trade policy by respecting its obligations in 
both bilateral and multilateral manner.  
 
(4) INVESTMENT REGIME 
 
(Paragraph 35, Page 21) 
 
As stated in the report, “A 100% foreign owned company may operate in nearly all sectors of 
the Turkish economy.  Remaining restrictions on foreign ownership are laid down in legislation 
regulating specific activities (Table II.5).” 
Question 
 
1. Is further liberalization scheduled in the ne ar future for those areas (broadcasting, 
aviation, etc.) where foreign equity participation is restricted or prohibited? 
 
Turkey’s answer: As overall assessment of the Turkish Forei gn Investment Regime indicates, Turkey 
has fairly open FDI regime based on equal treatme nt of domestic and forei gn investors. However, 
there are certain national legislations and regulati ons relevant to licensing processes and regulations in 
some sectors, as summarized in Table II.5, page 22, WT/TPR/S/259.  We do not foresee any liberalization in the near future for the areas wher e foreign equity participation is restricted or 
prohibited.  
 
 
ECUADOR 
 Reporte de la Secretaría: WT/TPR/S/259  
Resumen 
 Página ix, párrafo 10.   ¿Podría Turquía indica rnos bajo  qué criterios normativos (OMC) se 
justifica y  funciona  el sistema de vigilancia de  las importaciones general,  así como el basado en 
precios?   WT/TPR/M/259/Add.1 
Page 226  
 
 Turkey’s answer: Import surveillance system is based on Council of Ministers Decision 
No. 2004/7304 published in the Turkish Official Gazette dated 29/05/2004 No.25476. The purpose of 
import surveillance system is to closely monitor imports and collect specific data regarding the 
imported products. 
Since there is no limitation on the imports of the products subject to surveillance, the surveillance 
documents are being issued without a restriction on quantity or the value and the issuance of the 
document is free of charge.   For some of the products under the surveillance, the scope of the surveillance is defined with a price 
level. The aim of setting a price level for defining th e products under the surveillance is to monitor the 
products below a certain CIF value.  
 
III. Políticas y Prácticas Comerciales, por Medidas 
 
Página 32, párrafo 11. En virtud del con cepto de un arancel variable ¿Podría Turquía 
explicarnos cómo se determina  el derecho ad val orem respecto de los artículos de confitería y 
chocolates?  
Turkey’s answer: The industrial components of processed ag ricultural products are determined by 
the European Commission while the agricultural compone nt is calculated according to the Article 19 
of the Decision No: 1/95 of the EC-Turkey Association Council on implementing the final phase of 
the Customs Union. In accordance with this Article  the agricultural component is obtained by adding 
together the quantities of basic agricultural products  considered to have been used  for  the  
manufacture  of  the  goods  in  question  multiplied  by  the  basic  amount corresponding to each of these basic agricultural products.  
In this regard, following the analysis of the ingred ients of a processed agri cultural product, the exact 
customs duty is determined based on the proportions  of the ingredients within the said product.  
 
Página 40, párrafo 23. ¿Para qué tipos de pr oductos se pueden abrir contingentes cuando las 
capacidades de producción de la Unión Aduanera no sean suficientes, y si estos se vinculan a 
proceso alguno de exportación? 
 Turkey’s answer: The Customs Union Decision requires Turkey to adopt the provisions of the 
Community Customs Code in a wide range of areas  including tariff quotas. In this respect, Turkey’s 
legislation is parallel to that of the EU in te rms of opening and administration of tariff quotas for 
products, which are subject to the rules of the Customs Union. These products include all the goods 
except agricultural products and produc ts that fell under the ECSC Treaty. 
 For the determination of products, which will be subject to tariff suspension or tariff quota in the EU 
and Turkey, Turkey submits requests to the Econo mic Tariff Questions Working Group (ETQG) of 
the European Commission.   
 
The tariff quota decisions, after being discussed in EC ETQG meetings, are taken by the European 
Commission. Turkey is treated by the Commission as  an EU Member State since Turkey’s rights and 
obligations in this case are similar to those of the Member States’.  Tariff quotas are opened for the products which are produced within the European Union and Turkey 
in insufficient quantities. However, the level of th e tariff quotas is determined by Turkey separately 
from the EU. So these tariff quotas based on Turkish re quests (national quota) are applicable within 
Turkey.  WT/TPR/M/259/Add.1 
 Page 227 
 
 
 Concerning with the rationale for maintaining tari ff quotas; as long as this shortage of domestic and 
EU production lasts, the tariff quota implementation continues by the Commission Decision upon the requests of applicant countries. Products eligible  for this kind of quotas are not linked to any 
exportation process.  
 
Página 45, párrafo 28. ¿Cuáles son los motivos pa ra que los tipos específicos por concepto del  
Impuesto especial al consumo varíen dependiendo del tipo de bebida alcohólica? Si se parte del 
hecho de que el Raki es considerado una bebida de origen nacional de Turquía,  ¿Considera 
Turquía que -con la aplicación de este impuest o diferenciado- cumple con el principio de no 
discriminación (trato nacional)?  
 Turkey’s answer: As it is known, Turkey is a candidate country to the European Union and the 
efforts for approximation of legislation in taxation with the EU acquis continues. As part of those 
efforts, the legislation of al coholic beverages regarding excise duty is also in progress. 
In European Union alcoholic beverages are taxed under five product groups and different taxation 
methods are used for these groups: 
- Beer 
- Wine 
- Fermented beverages other than wine and beer 
- Intermediate products 
- Ethyl alcohol 
 
6. In Turkey alcoholic beverages are taxed under the Law of Excise Duty. Table (A) of list (III) 
annexed to Excise Duty Law contains 18 CN codes u nder which alcoholic beverages are placed. In the 
excise system proportional taxation is applied for al coholic beverages provided that the calculated tax 
is not less than the tax calculated according to  the minimum specific tax amount. However, with 
Cabinet Decrees all CN Codes except beers are decr eased to “0” rate. So, only the minimum specific 
tax is applied for alcoholic beve rages within threshold levels.  
 
7. In Turkey neither denatured alcohol nor pure ethy l alcohol is subject to excise duty. However, 
in distilled spirits excise duty is determined in accordance with the per liter of alcohol the spirit 
contains. All, raki, gin and gene va, vodka, liqueurs and other disti lled spirits are taxed based on the 
same taxation principle.   
 
Página 82, párrafo 114. Sobre “de conformidad co n el artículo 63 de la PPL, puede concederse a 
los licitadores nacionales una preferencia del 15 po r ciento del precio.  La preferencia no es 
aplicable a los proyectos conjuntos entre empresas turcas y empresas extranjeras”. ¿Podría Turquía informarnos si esta disposición se encu entra armonizada con las disposiciones del 
Acuerdo que mantiene con la Unión Europea?  
Turkey’s answer: Although there is no obligation under the Customs Union by Turkey to fully 
harmonize its government procurement legislation with  that of the EU’s, Turkey’s legislation and 
procedures in general comply with the EU regulati ons on government procurement.  As the Turkey’s 
accession process to the EU progresses, efforts to furt her enhance this compa tibility will continue. 
 
IV. Políticas Comerciales, por Sectores 
 
Página 96, párrafo 12. ¿Podría Turquía indi carnos si los pagos de incentivos están 
condicionados a algún tipo y volumen de producción o niveles de precios? WT/TPR/M/259/Add.1 
Page 228  
 
 Turkey’s answer:  The detailed information with regard to  the incentive payments can be found in 
the Secretariat Report (WT/TPR/S/259), paragraph 13-17.  
 
Páginas 96 y 97, párrafo 13. Respecto de los pagos de complemento del año 2010. Si el objetivo de este programa  es el de increme ntar la productividad, se entendería que los pagos se basan en 
volúmenes de producción. En tal sentido, ¿ha considerado Turquía, conforme a las 
prescripciones de notificación estipuladas en el  Acuerdo sobre la Agricultura, incluir estos 
valores en las notificaciones sobre su MGA Tota l Corriente? ¿Cuáles son las razones por las 
cuáles Turquía no ha actualizado estas notificaciones?   
Turkey’s answer: The deficiency payments are made in the form of premium payments per unit of 
output. The payment rates are determined on the b asis of production costs, market conditions, and 
budgetary considerations. Turkey will naturally cons ider some of its domestic support programs as 
‘amber box’ and will notify them to the members in  that way. The amber box supports of Turkey 
remain at ‘de minimis’ level in complian ce with the WTO Agreement on Agriculture.  
 
The total amber box annual monetary limit of Turk ey is 10% of its total agricultural value (de 
minimis) as was listed in WTO document TN/AG/ S/21/Rev.3. Pending notifications will be made 
available to the members in the near future.  
 
Página 99, párrafo 22. Sobre “Los precios de ex portación de té de la Dirección General de 
Empresas de Té (ÇAYKUR) son fijados por su co nsejo de administración sobre la base de los 
precios del mercado mundial.  Los fabricantes que utilizan el azúcar como materia prima tienen derecho a adquirir azúcar de producción nacional al precio del mercado mundial”. En el caso de que el precio del mercado mundial del azúcar se a menor al precio de la azúcar del mercado 
nacional ¿quién asumiría esas pérdidas? Por otra pa rte, en el caso del té, al momento de utilizar 
el azúcar a un precio asistido, indirectamente se beneficiaría de una subvención a la exportación 
(si se destinara el té al mercado externo). De acuerdo al documento G/SCM/N/186/TUR el té no 
se consideraría como una actividad o inversión subvencionada. En las notificaciones sobre 
subvenciones a las exportaciones agrícolas  y los compromisos de subvenciones a las 
exportaciones agrícolas de Turquía (Cuadro A IV. 2) el té no consta  como un producto objeto de 
subvenciones a las exportaciones. ¿Podría Turquí a, conforme a los  puntos expuestos, indicarnos 
si ha cumplido con las prescripciones de notificación para este caso?  
Turkey’s answer: Excess sugar beet production is used to produce “C sugar” which is produced 
outside the quotas A and B. C sugar may not be mark eted in the domestic market and is procured in 
order to be processed for exportation. Purchase price of C sugar beet is lower than the regular price, 
therefore the cost of production and the price of C sugar are lower than those of A and B sugars. 
Accordingly, the production cost of C sugar is paralle l to the world market price. Hence, there is no 
loss in C sugar.  Tea is a product which is not subject to export subsidi es. So, it is in compliance with the requirements.  
 
 
EGYPT 
 
Transport- Maritime Transport:  Paragraph 84 on page l03 of the Secretariat Report  indicated that “In addition to the special tax 
incentives offered through the international registe r, flying the Turkish flag allows the vessels to 
perform cabotage operations in Turkish waters and a 10% price preference in bidding for the  WT/TPR/M/259/Add.1 
 Page 229 
 
 
 transport of public cargoes or strategic raw materials.33 Nevertheless, almost 80% of Turkey’s 
seaborne foreign trade is performed by vessels registered elsewhere in the world.” 
 Are there any plans to amend the Cabotage law concerning limiting the provision of merchant maritime transport and passenger services, pilotage , and all other port services by Turkish-flag 
ships and extend the provision of th ese services to foreign-owned ships? 
 
Turkey’s answer: There are no plans to amend the Cabotage Law for the time being.   
 
Paragraph 85 on page 103 of the Secretariat Repo rt indicated that “Turkey has also established 
36-year concessions for three of its major port s operated until recently by the Turkish State 
Railways (TCDD).”  What is the reason behind operating of major po rts by the Turkish State Railway instead of the 
Turkish Maritime Organization? 
 Turkey’s answer: According to the Article 2 of the La w No. 6186 on the Establishment of the 
Turkish Republic’s State Railways, the func tions of the State Railways are listed as: 
 
1- The compulsory duties: 
a. The management of railways delegated by the state, 
b. The management of the ports linked to the railways mentioned in 
item (a), waterfronts and docks delegated by the government, 
c. The improvement, expansion and renovation of the railways and port 
facilities. 
During the formulation of the Law, the management  of the ports that were linked to railways was 
delegated to the Turkish State Railways. This is the reason behind the Turkish State Railways 
operating the major ports.  It should also be noted that it is a common application for some countries to 
include port facilities within their Railway Administra tions in order to give combined transportation 
service.   
Privatization of the ports, which are under the re sponsibility of TCDD, through transfer of operation 
rights, does not constitute an impediment on the maintenance of railway + seaway combines-d 
transportation. Rather, combined transportation will become widespread through investments to 
privatized ports by operator companies.  
 
Financial Services  Paragraph 72 on Page 100 of the Secretariat Re port discussed in brief the project that was 
launched in 2009 to make Istanbul a regional and global financial center. 
 More elaboration is needed on the Turkish policy on interest rates and loan regulations in light 
of this project. 
                                                      
33 Pursuant to the Cabotage Law, Merchant maritime transport and passenger services, pilotage, and all 
other port services may only be provided by Turkish-flag ships. For further details regarding the incentives and 
privileges, see WTO (2003) and WTO (2007).  WT/TPR/M/259/Add.1 
Page 230  
 
 Turkey’s answer  
In the IFC-Istanbul Strategy and Action Plan cont aining 23 priorities and 71 actions, was prepared to 
achieve the vision of IFC-Istanbul. The priorities a nd actions were determin ed for forming a legal 
infrastructure working at international standards,  increasing diversity of financial products and 
services, simplifying and activating tax system , improving regulating and auditing framework, 
enhancing physical and technological infrastructure,  providing an education infrastructure which will 
satisfy the need for qualified human resource and establishing an organiza tion structure which will 
carry out introduction and tracking at world scale.   
Central Bank of the Republic of Turkey has been implementing an inflation targeting framework as 
the monetary policy since 2006. In this framework, policy rates are determined to achieve the price 
stability and also support the financial and output stability. The Project itself does not have a direct impact on the interest rate policy in Turkey.   
Banks are regulated by Banking Regulation and S upervision Agency (BRSA). For regulatory purposes 
and financial stability, BRSA may impose some indirect tools to affect loans, for example by affecting 
Capital Adequacy Ratio.   
Telecommunication Services 
 Paragraph 77 on Page 101 of the Secretariat Re port stated that although, the Turk Telecom 
monopoly rights were abolished in 2003, the co mpany continues to dominate the market for 
fixed-line telephony, holding 90-93% market share in mid-2011. 
 What is the reason behind this market domina tion, even after the monopoly rights were 
abolished eight years ago?  
Turkey’s answer:  Starting from 2004, there is no legal and factual limitation on entry to the Market 
in telecommunication sector. Information and Communication Technologies Authority is authorized for the implementation of pure competition rules.  
 In accordance with the policy of achieving compe titive environment in fixed-line market, Wholesale 
Line Rental (WLR) regulation was completed in 2011,  which is expected to increase the market share 
of alternative operators, eventually contributing to ensure greater competition. Moreover, we are 
planning to carry out the third round of market analys is in 2012. Within this context, the obligations of 
Turk Telekom regarding the fixed- line telephony services will be revi sed according to the competition 
level in the market.   
 
Transport— Road Transport 
 Paragraph 92 on Page 104 of the Secretariat Repo rt indicated that “Turkey is also planning to 
open the sector to competition, although th e infrastructure would remain state- owned.” 
 In what forms will the sector be opened to comp etition, like on concessional basis for example? 
 Turkey’s answer: The monopoly over railway sector in Turk ey will be removed. State will be 
responsible for new infrastructure investments and maintenance-repair of existing infrastructure, 
authorization for delegation of wiretapping, regula tion and management of traffic, specification of 
safety rules, screening of accidents. Operation will be opened to private sector as well as public sector.  WT/TPR/M/259/Add.1 
 Page 231 
 
 
 When monopoly over railways is removed, TCDD which is a public institution, will continue freight 
and passenger transportation. However, private sect or will be able to make passenger and freight 
transportation on railway system with its ow n locomotives, wagons and personnel, as well. 
 TCDD and private companies will pay to the State th e charges for the use of rail infrastructure and 
traffic management. There will be no right of  privilege or reduced tariffs for anyone. 
 State will be the rule maker in opening railway sect or to competition. Those rules on operation will be 
applied to TCDD likewise without any privileges .  
 
Construction 
 Paragraph 102 on page 106 of th e Secretariat Report indicated that “Pursuant to Regulation 
No. 27787 on the Registry of Building Contract ors, Field Supervisors and Licensed Craftsmen, 
all contractors will need to obtain a comp etence number from 1 January 2012 onwards. 
 
What is the criteria/basis for obtaining a competence number?  
Turkey’s answer: Ministry of Environment and Urbanism is the sole competent authority in Turkey 
regarding the licensing of contractors. The Ministry implements the contractors’ competence number system: Pursuant to the Regulation No. 27787 “On the Registry of Building Contractors, Field 
Supervisors and Licensed Craftsmen”, all cont ractors should obtain a competence number from 
01 January 2012 onwards. All contractors in t
he country are registered by a central automation 
system. This regulation also stipulates that all stru ctures subject to a construction permit must be built 
under the responsibility of a building contractor. Dom estic building standards were tightened in the 
aftermath of the 1999 earthquake as Turkey is consid ered as a seismic prone country in order to secure 
public safety and to sustain safer, sustainable and livable buildings and cities.  
Foreign construction companies established according to the Turkish trade legislation and providing 
construction services should obtain a contractor competence number from the Environment and Urbanism Provincial Directorates where the company is established and/or registered.  These foreign companies are registered like the Turkish compan ies and no discriminatory measures are applied. 
Foreign company owners or share holders should obtain a temporary Turkish citizenship ID from the 
Ministry of Interior Works. They are registered  to the system of contractor competence number 
through this ID or tax number.  
 
 
JAPAN 
 
The Government Report 8WT/TPR/G/259)  
IV. TRADE POLICIES BY SECTOR 
(4) SERVICES (v) Construction 
 
(Follow-up Question: the Reply to Japan’s Question10 (Page 31, paragraphs 163))  
Referring to Turkey’s answer, documents relevan t to operations which are oriented to earn 
foreign exchange are exempt from the Stamp Tax.  However, this exemption is applied only to WT/TPR/M/259/Add.1 
Page 232  
 
 domestic companies. What does Turkey consid er consistency with the National Treatment 
under the GATS and Foreign Direct Investment Law (Article 3)?  
 
Turkey’s answer: Once established in Turkey in accordance with the Turkish legislation, regardless 
of the foreign capital amount, a company with fo reign capital is treated as a domestic company and 
will be exempt from the stamp tax. Therefore, there is no violation in terms of the National Treatment 
principle.   
 
 
UNITED STATES 
 Pages 42-43, Table III.9:   The Secretariat Report lists various import prohibitions in Table III.9; however, Table III.9 does not note th at many agricultural products were prohibited 
after implementation of the Biosafety Law.  As a result of this law, all products containing 
biotech ingredients, except soybeans for the use of  feed, are prohibited.  This prevents all corn 
and corn products, canola, cotton seed oil, and soy-based food, as well as many processed 
products containing these ingredients, from ent ering Turkey.  Why are these products not listed 
in this section, and would Turkey provide sci ence-based justification for the ban of such 
products? 
 
Turkey’s reply: According to the Biosafety Law No. 5977 imports of GMO products are not 
decisively prohibited. Within the framework of the Biosafety Law, import prohibition of a 
product may only be applied if the product is officially disapproved by the Biosafety Board. 
However, up until now, there is no application refused by the Biosafety Board for the above-
mentioned products, hence, they were neither pr ohibited nor included into the Table III.9.  
 
While carrying out the evaluations, The Scie ntific Committees consider several documents 
submitted by the importers, the works and the docu ments of the various institutions that carry 
out risk assessment (EFSA, WHO, FAO, FDA), the results of the scientific researches (analyses 
of allergic and toxic effects, stability of gene tic modification, morphological and agronomical 
characteristics, impacts on the off-target organisms), gene transfer methods, the molecular 
characterization of the transferred gene, the expression of the protein that it produced and its possible risks to human and environmental health, etc..  If the product is approved by the Board they ar e allowed to be imported. Until the end of 2011, 
The Board has already approved 3 soybean and 13 co rn gene applications for the use of feed 
purposes and the further assessment has been ongoi ng for a number of other new applications.  
 U.S. follow-up question:  It is our understanding that on February 8, Turkey’s Scientific Risk 
Assessment committees recommende d the approval of three GE corn events, but did not 
recommend approval of six GE corn events, statin g they were risky.  These recommendations 
are now open for public comment.   
  The scientific documents referenced by the Comm ittees for the non-recommendation of the six 
events were not based on the findings of any of th e institutions cited.  In the case of the non-
recommendation for corn event T25, the Commi ttees ignored the positive risk assessment 
findings from multiple governments and instead the recommendation was seemingly based on a 
single, non-peer reviewed summary report by an  international NGO.  Moreover, this NGO did 
not provide a negative finding, but stated that more research was needed.  Would Turkey provide the rationale for the Commi ttees ignoring in its decisions a significant 
weight of scientific evidence supportive of the safe ty of feed products derived from these events?  WT/TPR/M/259/Add.1 
 Page 233 
 
 
 Turkey’s answer: The risk assessment committee which is composed of 
experts/academicians/scientists stated that there are limited numbers of scientific journals related to 
animal feeding with the T25 kind; and in these journals, the evaluation parameters based on the experimental studies are deficient and/or insufficient. 
 
In addition, the scientific committees make evaluations  by taking into consideration of all available 
scientific studies that reached positive or negative conc lusions and the tools and methods used in these 
studies. Therefore, it would not be correct to say that committees have not ignored positive or negative findings.  
 
We understand that according to an amendment to the regulations published in the Official 
Gazette on February 22, any gene with antibi otic resistance (ABR) marker genes cannot be 
imported unless it is recommended for approval by both the Board and the Scientific Risk 
Assessment Committee. Does this mean that the 6 genes in question (the ones not recommended for approval by the Risk Assessment Committee) cannot be approved for import if they contain 
ABR genes?  
 
Turkey’s answer:  As long as the scientific rese arch results related to th e resistance genes are proved 
not to be harmful to human, animal and plant hea lth, environmental diversity and biodiversity by the 
Risk Assessment Committee’s Report and Board’s Decision, the production and market access of those products are prohibited.  
 
The comments above should be taken into consideration when the Committees review the 
pending applications for this set of genes for f ood use. Please explain why the applications for 
transgenic soy and corn for food use have taken so  long to review in light of Turkey’s law which 
states that decisions must be taken within 270 days. 
 Turkey’s answer:  According to the Biosafety  Law No.: 5977, the duration for Biosafety Board to 
make decision starts with the notification made to the applicant by Biosafety Board that the 
application is approved for assessm ent or not in 90 days. The duration for Biosafety Board to make 
decision for the applications approved for assess ment cannot exceed 270 days. During these periods, 
the time passes for the demand for a dditional information or document is not considered in calculating 
the time to make decision.   
 
Page 64, paragraph 88: The Secretariat Report appears to state that Turkey discriminates 
against products bearing a CE mark that are not from the EU.  Is th e Secretariat Report 
correct? If so, how does Turkey justify this and ho w does it plan to address the issue in light of 
TBT Agreement MFN requirements? 
 Turkey’s reply: As is well known, Turkey has a Cu stoms Union with the EU in conformity with 
Article XXIV of GATT 94. The main principle of the Customs Union is free movement of goods between the Parties. In this context, technical le gislation of the EU has been transposed into the 
Turkish legislation which enables that both  Turkish and EU originated products are 
manufactured and marketed according to the sa me regulation.  Consequently, the products 
move freely without any control within the Customs Union area while for third countries, the product safety controls are applied. The Custom s Union is an exception to the MFN principle; 
the matter is not a discrimination but rather a right provided by Article XXIV of the GATT 94.  
Turkey would like to state its readiness to sign  an MRA with the USA in parallel with the MRA 
between the EU and the USA. WT/TPR/M/259/Add.1 
Page 234  
 
 U.S. follow-up question: Why does Turkey claim it  is required by the Turkey-EU customs union 
to discriminate against U.S. origin goods showing a CE mark when the EU does not discriminate 
in the same way in order to maintain the same customs union?   
Turkey’s answer:  Product safety controls aim to assure comp liance of products with the relevant 
technical legislation. The compliance is the presumpti on of the safety of the products. As mentioned in 
the first answer, in accordance with the Customs Union between Turkey and the EU, the products 
move freely without any border control within the Customs Union area. Third countries’ products may 
be subject to custom checks for safety and conf ormity concerns. However, not all but only the 
products considered risky are subject to control. Control consists mostly of document verification, 
although products may also be  tested when necessary.  
 On the other hand, while the policy option of the EU (or most of the EU members) is to handle the safety and conformity of products through market su rveillance activities, Turkey rather prefers border 
controls. These different approaches do not result from legislation because both the EU and Turkey 
apply the same legislation and have  the right to employ different degrees of either approach.  
 It should also be noted that Turkey’s import control policy is applied on an MFN basis, with the exemption provided to the EU by Article XXIV of  the GATT 94. Thus, this application is not a 
discrimination against US products, rather an  exemption provided to the EU goods.  
 
Regarding the arrangement betwee n the EU and the US, under the framework of the MRA signed by 
them, both Parties accept the relevant conformity asse ssment documents for certain products issued by 
their respective conformity assessment bodies. The said MRA was negotiated and concluded by the 
EU Commission in the name of the EU members. Thus, both the US and EU countries are bound by the rights and obligations arising from that agreem ent on a reciprocal basis. However, Turkey, not 
being a member of the EU, is not part of that arrangement in terms of neither the rights nor the 
obligations that it brings. 
 
Page 32, paragraph 15:  The report states that “…MFN duty was increased by 20% or 30% on some textile and apparel products on 15 September 2011.” Please explain under which WTO 
provision Turkey has implemented these tariff increa ses or has otherwise taken actions that are 
consistent with its obligations under the WTO.  
 Turkey’s reply: Textile and apparel industries ar e fragmented industries having various groups 
of interests. In order to thoroughly examine the application and to decide whether an increase in 
tariff rates is necessary, Turkey has launched an examination, with the request received from 
domestic producers. 
 The purpose of announcing the examination was to inform all the stakeholders that an 
examination was launched in order to examine the relevance of an increase in applied MFN tariff rates upon the application of domestic producers.   
Based on the findings of this examination, Tu rkey has increased its applied tariff rates for 
certain textile and apparel products with a Decree of Council of Ministers published on the Official Gazette dated 15 September 2011. Turkey has increased its applied tariff rates to the 
level of the bound rates set out in their Schedules pursuant to Articles II:1(a) and II:1(b) of the GATT 1994. 
 
It should be noted that the examination on text ile and apparel products are conducted out of the 
scope of the WTO Agreement on Safeguards.  WT/TPR/M/259/Add.1 
 Page 235 
 
 
 For most of the products subject to the additi onal duties Turkey has not consolidated bound 
tariff rates. However for the goods which have bo und tariff rates, tariff rate increase is limited 
to the bound level. Thus, there is no incomplianc e with Turkey’s WTO commitments out of this 
implementation.  
U.S. follow-up question:  Based on Turkey’s res ponse, we understand that this action is not 
conducted pursuant to the Agreement on Safe guards.  Please state precisely which WTO 
agreement and specific provisions therein governed  the process under which Turkey conducted 
this change in tariff rates and explain how th at process conforms to the provisions of that 
agreement. 
 Turkey’s answer: Turkey has increased its applied tariff rat es for certain textile and apparel products 
with a Decree of Council of Ministers published on the Official Gazette dated 15 September 2011. 
Under the mentioned Decree, applied tariff rates fo r certain textile and appa rel products have been 
increased to bound rates set out in Turkey’s Schedules pursuant to Articles II:1(a) and II:1(b) of the 
GATT 1994. 
 We would like to repeat that for most of the prod ucts subject to the additional duties Turkey has not 
consolidated bound tariff rates. However for th e goods which have bound tariff rates, tariff rate 
increase is limited to the bound level. Thus, th ere is no incompliance with Turkey’s WTO 
commitments.  
 Page 85, paragraph 18:  The Secretariat Repo rt states that some agricultural state-owned 
enterprises continue to play a role in producti on, processing, and marketing of agricultural 
products, and in supporting and regulating designated agricultural commodities markets.    
Without domestic support notifications to refer to, the United States cannot determine how the 
actions of state-owned enterprises, such as the Turkish Grain Board (TMO), impact Turkey’s ability to meet its WTO obligations.  For the sake  of transparency, please provide the United 
States with an update on the current status of the TMO and whether the government envisions any changes regarding the TMO’s role in cont rolling domestic prices.  Does Turkey currently 
have any plans or proposals to expand the role of state-owned enterprises in any sectors?  If so, 
in which sectors, and why? 
 Turkey’s reply  By the decision of Cabinet of Ministers, the administered prices (with the exception of opium), 
for cereals and paddy rice have been abolished since 2002.  
 Turkish Grain Board (TMO)’s main duties are to prevent extreme price volatility and to 
regulate the grain market. TMO, which operates on the grounds of profitability, can declare purchase prices for grains and can purchase grai n from the market when domestic prices tend 
to decrease. Similarly, TMO can sell grain to domestic market if domestic prices tend to 
increase. In other words, purch ase prices are set by TMO acco rding to market conditions. 
 With the exception of opium, TMO neither operate s as the sole buyer or seller in the domestic 
market nor hold an export monopoly.  
 
In the III. Economic Criteria Chapter of 2008 National Programme of Turkey for the Adoption of the EU Acquis  published at the Official Gazette No: 27097 dated 31.12.2008, it is indicated 
that “price liberalization in the agriculture s ector continues with the executions towards the 
SEEs. In fact, before 2002, TMO used to regula te the grain market with the support purchase 
prices announced by the Decree of Council Of Mi nisters. After 2002, the market is regulated by WT/TPR/M/259/Add.1 
Page 236  
 
 the prices announced by the enterprise. Besides, in the grain sector, in order to be in harmony 
with the EU and to ensure a more effective operating market, Grain and Rice Implementation 
Regulations were accepted in 2008. In Turkey, at le ast two payment institutions is planned to be 
established. The main approach is to reorgani ze some existing institutions as “payment 
institutions.” Determining the authorization and responsibility of these institutions and, in this context, legal works related to reorganization are expected to be finalized by the year 2013.  
 
There is no intention to expand the role of state-owned enterprises in any sectors.  
 
U.S. follow-up question:  Would Turkey please provide data confirming that the TMO has 
operated on a profitable basis since 2002?  
 Turkey’s answer: TMO is a State Economic Enterprise (SEE) which seeks profit in its activities. As 
a trading organization, TMO buys the products with  the purchasing prices determined according to 
their quality and sells them in domestic market with prices above the purchasing price.   Page 86, paragraph 19-20:  The Secretariat Report states that most administered prices, including for cereals and paddy rice, have been  abolished since 2002.  However, some state-
owned enterprises, such as the TMO, continue to set purchase/intervention prices.  In addition, 
the Treasury bridges the gap between purcha se/intervention prices and export prices. 
 
Can Turkey please identify for what commodi ties the administered prices (that is, the 
purchase/intervention prices) were not abolished?    Turkey’s reply:There is not any administered price implementation in the field of TMO’s 
activities. Purchasing prices are set by TMO’s Board of Directors.  
 U.S. follow-up question:  Although purchase prices are set by the TMO’s Board of Directors, 
does the Government of Turkey provide any sort of assistance to the TMO to ensure that the 
TMO’s Board is able to make payments at th eir set purchase prices?  Is the TMO’s Board of 
Directors bound by any legislation or regulation in how it determines prices? 
 Turkey’s answer:  TMO is a State Economic Enterprise (SEE) which seeks profit in its activities. As 
a trading organization, TMO buys the products with  the purchasing prices determined according to 
their quality and sells them in domestic market with prices above the purchasing price. 
 
Also, 
Can Turkey provide further explanation as to  how domestic purchases are made using the 
purchase/intervention prices and how those products are then exported? 
 
Turkey’s reply: TMO buys products at purchasing prices determined according to their quality and sells them in domestic market at prices above the purchasing price or exports at world prices. 
U.S. follow-up question: Turkey responded that  the TMO sells products above the purchase 
price in the domestic market, but it sells export ed products at the world price.  The United 
States understands that this could mean that th e TMO sells exported product below its purchase 
price.  Can Turkey confirm whether or not th is is true and explain whether the TMO’s more 
profitable domestic sales are used to make up for any losses on exports? 
 
Turkey’s answer: TMO is an autonomous State Economic Enterprise (SEE) and it operates in 
conformity with the conditions of free market economy under the principles of productivity and 
profitability in domestic market, as well as in world markets.   WT/TPR/M/259/Add.1 
 Page 237 
 
 
 If the Treasury is covering the budgetary differen ce between the two prices (that is, the export 
price is below the purchase price), how is that not an export subsidy?  Turkey’s reply: The main purpose of TMO is no t to promote exports, but to ensure food 
security. Moreover, the products purchased by  the TMO for food security purposes are not 
subject to exports.  
On the other hand, the TMO export prices, whic h are not below the world market prices for the 
products other than the products purchased fo r the food security purposes, do not create unfair 
competition in the international market.   
U.S. follow-up question:  In an earlier resp onse Turkey noted that the TMO’s purchase and 
selling of products operate on the basis of profitability.  In this response, Turkey did not confirm 
whether the TMO does or does not receive any funding from the Treasury to account for differences in the purchase price and the export pr ice, if below the purchase price.  Can Turkey 
please confirm whether or not the TMO does rece ive funding from the Treasury to account for 
any difference in price, regardless of purpose? 
 Turkey’s answer:  TMO can meet its borrowing require ments from both domestic and foreign 
financial sources. In exceptional circumstances, it can also use credit from the Treasury.   
 
 EUROPEAN UNION 
 1. Follow-up to question 18 ( WTO Secretariat’s report, page 55, para. 60 ): Could Turkey 
provide information on which products received export subsidies in the period since 2000 (the latest year notified- WTO document G/AG/N/TUR/13) until the most recent year available?  
 
EU’s initial question 18: Can Turkey provide an update on which products currently receive export 
subsidies?   Reply by Turkey: The products currently receiving  export subsidies will be notified by the 
notification for the year 2012. 
Turkey’s answer: The export subsidies granted for 16 product groups are available in the 
Table AIV.2, Secretariat Report, Page 149. In addi tion to this, Turkey regularly notifies its subsidy 
programs to the SCM Committee which include s ubsidy program for agricultural products. The 
information regarding the products receiving expor t subsidies are also available in Turkey’s 
notifications to WTO SCM Committee.  
 
2. Follow-up to question 32  (WTO Secretariat's report, pages 75-76):  The EU appreciates 
Turkey’s reply on sectors exempted from the app lication of the Competition Law. According to 
the OECD report, which served as the basis of  a peer review of the Turkish Competition 
Authority (TCA) held in the 2005 OECD Global Forum on Competition: “/ …/ however, a 
significant portion of Turkish commerce is be yond the TCA’s jurisdictional reach, because 
standard rules of statutory construction and ad ministrative law apply to override the Act. For 
example, if a state ministry displaces competition by exercising statutory authority to regulate the 
price of a commodity (such as the Health Mini stry does in Turkey with respect to the price of 
pharmaceuticals), the TCA has no power to act, ex cept in a competition advocacy role, because the WT/TPR/M/259/Add.1 
Page 238  
 
 competition statute is not deemed applicable to st ate agencies and organs ac ting in a governmental 
capacity./…/”
34. Could Turkey please provide its views on the latter?  
  
EU’s initial question 32: Can Turkey explain whic h sectors are exempted from the application of 
the Competition Laws and on which legisla tive Acts these exemptions are based on? 
Turkey’s reply: Article 4 (restrictive practices) and article 6 (abuse of domin ant position) of the Act 
no 4054 on the Protection of Competition (Competitio n Act) applies to all sectors. Furthermore, the 
Turkish Competition Authority has full enforcem ent responsibility for mergers and acquisitions 
above a certain threshold with one exception. Accordin gly, the Competition Act is not applicable to 
mergers and acquisitions involving banks if the sect oral share of their total assets does not exceed 
20%.   
 
Turkey’s answer: First of all, it should be reiterated th at the Competition Act applies to anti-
competitive conduct of undertakings, regardless of their ownership, in all sectors except for the 
mergers and acquisitions involving banks if the sect oral share of their total assets does not exceed 
20%. Therefore, it is clear that the Competition Ac t applies to anti-competitive conduct of state-owned 
undertakings as well as private undertakings. Moreov er, in case any state body such as a ministry 
which can be regarded as an undertaking due to th e nature of a particul ar economic conduct after 
considering all the economic and legal aspects surr ounding the case, then the Competition Act is also 
applicable. Nevertheless, it is true that in case th ere is a legal instrument (e.g. law, decree, etc.) 
explicitly authorizing any undertaking, regardless of its  status and ownership, or any state body, which 
can be regarded as an undertaking due to the nature of  a particular conduct, to act in a certain way as a 
result of which competition is restricted or distor ted, the TCA can not interfere with the case and 
impose the necessary remedies in line with th e Competition Act. Under these circumstances 
competition advocacy becomes the only tool and th e TCA may send its opinions to the relevant 
government agencies as to the anti-competitive natu re of the legal instrument in question.  
 
At this point a recent advocacy initiative, whic h is closely related to the question, deserves 
mentioning. Being aware of anti-competitive nature  of certain public policies and practices which 
negatively affect competition, the TCA addressed  this issue in its 2012 Competition Letter. Such 
letters are sent to all relevant stakeholders such  as business community, consumers, public agencies, 
and politicians as part of advocacy efforts of the TCA and each has a different theme. As a result, 
2012 Competition Letter tries to attract the attention of executives in state bodies to and inform them 
of anti-competitive impact of public policies and practices as well as their duties and responsibilities 
to create a more competitive economic structure.  As a final relevant point, as it is compulsory to conduct regulatory impact analysis for certain draft 
legislation, the official Regulatory Impact Analys is (RIA) principles were published in April 2007 
with a Circular of the Prime Ministry. The "RIA  Guidelines" attached to the Circular includes 
principles to be followed by state bodies such as mini stries. The relevant Circular also specifies that 
the assistance of the TCA must be requested for competition assessment. Thus, within this framework, 
"Competition Assessment Guidelines" was drafted by  the TCA in order to guide state bodies which 
will prepare legislation. The Guidelines is planned to  take force within few months in 2012. Besides, 
several public authorities ask the opinion from the TC A before enacting a legal document. To date, 
150 formal opinions (including the ones related to tr ansfer of public assets) to new legal documents 
were given to different public authorities.  
 
3. Follow-up to question 38 ( WTO Secretariat’s report, page 86, para. 21 ): The EU would 
appreciate if Turkey could provide further information on the functioning of the Turkish Grain 
Board (TMO):  
                                                      
34 OECD Journal of Competition Law and Policy – Vol. 8, No. 2, p. 219 et seq   WT/TPR/M/259/Add.1 
 Page 239 
 
 
 a) Could Turkey provide information on the grains intervention prices offered, as well as 
volumes concerned by TMO's activities in the last 5 years? b) Could Turkey inform at what price, in rel ation to market prices, is wheat sold by the 
TMO to the flour milling industry?  c) Could Turkey confirm that the purchasing prices announced by the TMO are those used 
as administered prices in the calculation of Tu rkey's market price support in the domestic 
support notifications?  EU’s initial question 38: Could Turkey describe in de tail the functioning of the TMO, in particular 
provide details on intervention prices as well as in formation on prices of wheat proposed to flour 
exporters, and volumes concerned for the last 5 years? 
 Reply by Turkey: TMO is an institution that carri es out its activities and operations within the scope 
of The Board of Directors’ decisions. It works on the ground of profitability. Since 2002, TMO has set purchasing and selling price of the products in the field of its activities autonomously. The 
product prices that TMO announces are not administered prices of the government but prices 
announced by TMO’s Board of Directors. Thus, TMO is not an institution that intervenes in functioning of grain markets. When grain prices that are formed in grain markets fall below the 
prices that are set by TMO, it gets into market and purchases grains with its prices and it sells those products with the profit. TMO’s export price for the grain, including wheat, is determined at the 
level or above the world market prices.    
 
Turkey’s answer:   
a) Domestic purchase prices of TMO are set accord ing to domestic production costs, as well as 
the domestic and world market conditions. 
 
b) TMO sells its stocks to domestic market  without discriminating among buyers (flour 
processors, traders, industrialists, etc.) and on the basis of profitability.   c) TMO is an institution that carries out its ac tivities and operations within the scope of the 
Board of Directors’ decisions and seeks profit. Since 2002, TMO sets the purchasing and selling 
prices of the products in the field of its activities by itself. In case of necessity, it buys or sells 
products at these prices. The product prices that TMO announces are not administered prices of the government but prices announced by TMO’s Board of Directors’ Decision for purchasing in case of necessity.   
TMO is not an institution that intervenes in functioning of grain markets. When grain prices that are 
formed in grain markets fall below the prices that are set by TMO, it gets into market and purchases 
grains with its prices and it sells those products with the profit. In some years (in 2006 and 2007 for 
corn, in 2008 for grains, in 20 09 and 2010 for paddy rice) inte rvention purchasing prices were not 
even announced . 
 
4. Follow-up to question 39  (WTO Secretariat’s report, page 87, para. 25): The EU welcomes 
the information from Turkey as regards its pl ans to submit delayed domestic support and 
export subsidy notifications to the WTO and is looking forward to analysing these notifications 
in the near future. However, in the meantime, could Turkey provide the following information: 
 
1) How is the production eligible to receive the applied administered price determined for the 
purpose of Turkey's notification of domestic support? b) Could Turkey provide an explanation of how the production eligible to receive the applied 
administered price has evolved over the recent 10 year period for the products under market 
price support in the Turkish domestic support notification? WT/TPR/M/259/Add.1 
Page 240  
 
 EU’s initial question 39: When does Turkey in tend to present the delayed notifications? 
 Reply by Turkey: Turkey plans to submit its domes tic support and export subsidy notifications to 
the WTO in the near future.    
Turkey’s answer: In 2001, the direct income support was introduced into the program to align 
Turkey’s agricultural support system with the “singl e payment scheme” of the EU reformed CAP. The 
purpose of the payment was to par tially compensate the Turkish farmers’ income loss arising from the 
removal of administered prices (i.e. guaranteed minimum prices). By the decision of Cabinet of Ministers, the administered prices (with the exception of opium), for cereals and paddy rice, have been 
abolished since 2002. 
 On the basis of the facts that  
-  the TMO individually sets purchasing and selling prices of those products falling 
under its area of activities while seeking profitability, 
 
- TEKEL has been privatized and 
 
- price of sugar beet is determined among real and legal people operating sugar factory 
and representatives of producers independently 
 
no market price support is provided by the Ministry  of Food, Agriculture and Livestock for those 
products.   
__________