A few days before President Yitzhak Herzog’s departure for a meeting with Turkish President Recep Tayyip Erdogan in Ankara, more than 100 senior businessmen arrived from Turkey to meet with senior members of the Israeli business sector, led by the Association of Chambers of Commerce and the Turkish Exporters Association.
At an event held this morning (Sunday) at the David Intercontinental Hotel, the parties signed an economic cooperation agreement between Israeli and Turkish companies, followed by dozens of business meetings, as part of round tables. The event revealed the economic data between the countries, according to which in the past year there has been a 35% jump in the volume of trade between the countries, compared to 2020, and it stood at $ 6.7 billion, compared to 4.9 in 2020.
Uriel Lin, President of the Association of Chambers of Commerce, signed with his counterpart Ismail Gola, Chairman of the Turkish Exporters’ Association, TIM, an agreement for cooperation, as part of a visit by a large business delegation from Turkey to Israel. Exporters from Turkey.
TIM represents business organizations across 15 business sectors, representing approximately 70,000 Turkish businesses. Among other things from the fields of infrastructure, construction, industry, food, agriculture, commerce, malls and more.
Imports and exports between Israel and Turkey Photo: Association of Chambers of Commerce
Advocate Uriel Lin, President of the Association of Chambers of Commerce, stated that “Turkey is one of the key countries in Israel’s relations with the Middle East. The delegation is a turning point in our future relations with Turkey. “Economic relations between Israel and Turkey are of great importance to Israel in the areas of imports and exports, as well as opening up additional opportunities for cooperation between businesses in the two countries.”
Asmiel Gola, chairman of the Turkish Exporters Association, said: “The Turkish Exporters Association sends out delegations around the world to promote trade and investment with Turkish companies. Since the beginning of the epidemic, we have organized more than 100 trade delegations to 73 countries, and I believe that the delegation to Israel has great potential, which will significantly increase business opportunities between the two countries. The increase in Turkish exports to Israel during the epidemic proved that Turkey is a reliable and vital exporter to Israel. I sincerely hope that the volume of trade between the countries will increase as soon as possible. “
The Association of Chambers of Commerce points out that it is precisely now that the cost of living is struggling that trade with Turkey can help reduce costs that will directly affect the consumer’s personal pocket. The combination of the circumstances of the devaluation with the value of the Turkish currency that made Turkey more attractive, the geographical location that shortens the delivery times from Turkey, which stand at about 10 sailing hours compared to 21 sailing days from China, and cheap labor cost with high quality and production; All of these create a significant window of opportunity for imports to Israel.
The Association of Chambers of Commerce is witnessing a growing demand from Israeli companies interested in finding business partners in Turkey and believes that this delegation will lead to significant cooperation between the economies. A move that will contribute to lowering the cost of living in Israel, by increasing the range of products and increasing competition in the economy.
A sharp jump in the volume of trade between the countries
An analysis by the Association of Chambers of Commerce, based on CBS data, shows that the volume of trade between Israel and Turkey was $ 6.7 billion in 2021, compared to 4.9 in 2020, an increase of 35%. Imports from Turkey to Israel constitute the bulk of trade 71%.
Imports from Turkey to Israel stood at 4.76 in 2021, and recorded an increase of 36% compared to 2020, exports from Israel to Turkey stood at $ 1.9 billion in 2021, an increase of 33% compared to 2020.
Most of the increase in imports was due to the following areas: imports of rubber plastics and their products increased by 40%, which is $ 137 million, imports of electrical equipment increased by 30%, which is $ 123 million, imports of metals 50%, which are $ 470 million, imports of cement and products Ceramics and glass rose by 43%, which is $ 120 million.
Most of the increase in the volume of exports was due to the following areas: Exports of chemical industrial products increased by 44% – $ 273 million. Exports of mineral products increased by 121%, which is $ 135 million. Exports of simple metals increased by 74%, which is $ 113 million, and at the same time exports of plastics and rubber decreased by 19%, which is $ 44 million.