Russia row upsets textile exporters in Istanbul
Posted by meb at September 9th, 2008
The customs row between Russia and Turkey has hit traders hard in Istanbul’s main textile exporting districts of Laleli, Osmanbey and Merter.
Traders in Istanbul’s Laleli, Osmanbey and Merter districts face tough times due to the customs crisis between Turkey and Russia and expect an urgent solution from both governments, Referans daily reported on Monday.
“If the crisis goes on, exports will decline dramatically. Besides Istanbul, textile producers in several cities, such as Gaziantep, Denizli and Bursa will also see losses,” Referans daily quoted Orhan Altun, chairman of the Laleli Industrialists and Businessmen Association (LASIAD) as saying.
Shopkeepers have already been experiencing difficulties over the last five years due to Russia’s arrangements in customs legislations and claims regarding double billing.
Laleli supplied a substantial proportion of the $7-8 billion shuttle trade exports to Russia, said Altun, adding that the crisis was causing Russians’ to reduce the amount of orders or shift them altogether.
A continuing trade row would cause a dramatic decline in exports, “Even if the crisis is solved today, it is certain that there will be shrinkage in exports,” he said.
Textile traders in Osmanbey and Merter, less affected by the crisis compared to Laleli, have started to seek opportunities in new markets, including European Union and Gulf countries, as well as within the domestic market.
source: Hurriyet daily
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