Economy & Internatioal Trade

Composition of the Economy:

Services constitute nearly 67% percent of the national output whereas the industry generates 24%. The agriculture is in steady decline within the composition of the economy, 9% although it employs more than a quarter of Turkish labor force. Nevertheless, Turkey is still an attractive land for agricultural production especially in fruits and vegetables as well as industrial crops (i.e., sugar beets, tobacco and cotton)

International Trade:

Turkish international trade volume jumped from US$ 87 billion in 2002 to US$ 315.8 billion in 2010 (Exports: US$ 113.9 billion, Imports: US$ 201.9 billion). In the same manner, the bilateral trade volume between NL and TR rose from US$ 2 billion to nearly $ 6 billion between 1999 and 2010. 46% of Turkish exports are destined to European markets whereas nearly 40% of Turkish imports are originating from EU. It is worthwhile to note that the increase in Turkish trade is becoming more and more SME driven and the emphasis on neighboring countries is also growing further.

Turkey is relying on imports of fuels, semi-finished goods, chemicals, transport equipment and high-value added machinery. On the other hand, strong Turkish export articles are apparels, foodstuffs, textiles, metal and machinery, automotive, furniture and vessels. Current account (CA) deficit due to trade imbalance is a major concern. Tourism revenues, direct and portfolio investments are the major source of CA deficit financing. The latter is not as high as it used to be within the last two years. Moreover, Turkish Central Bank’s current policies are in the lines of curbing short-term portfolio financing/hot money flows.

Netherlands & Turkey

The Netherlands economic mission to Turkey is the most recent sign of Dutch private sector’s keen interest in Turkey’s flourishing economy. As of December 2010, 1,866 companies with Dutch capital are present in Turkey realizing 20 percent of international direct investments within the last five years and ranking the Netherlands only second to Germany. Some of these Dutch investors are real old timers such as Philips (1930), Unilever (1953) and Shell ( The bilateral trade volume between The Netherlands and Turkey surpassed US$ 5.7 billion last year, nearly restoring the pre-crisis levels. Turkey is among The Netherland’s most important trade partners outside the EU region Turkey’s young and dynamic population as well as the country’s strong manufacturing capacity and highly developed infrastructure render it both a very attractive market and a production place according to many Dutch enterprises. On the other hand, nearly 150 Turkish origin companies have subsidiaries in the Netherlands and make use of the country as a gateway for Western European markets. Among these Turkish investors in the Netherlands are banks, textile and fashion companies, logistics firms and producers of consumer electronics. The increasing role of small and medium sized companies in the bilateral economic relations as well as the strong involvement of 400.000 Turkish origin business people in The Netherlands are also healthy signs for the future growth

Horticulture, renewable energy, transportation infrastructure, water technology, ICT, real estate development, food processing machinery, life sciences, vocational education shipbuilding and financial services are among the most promising sectors for the Dutch perspective.