Enhancing collaboration between Turkey and the Czech Republic in third countries

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Enhancing collaboration between Turkey and the
Czech Republic in third countries
Ufuk Yilmaz, Secretary General Foreign Economic
Relations Board of Turkey (DEIK)
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Access to diversified markets

• Turkey has a unique location at the crossroads of
  North Africa, Middle East, Europe, Central Asia,
  Caucasus
• One fourth of the world population and 17
  trillion economy can be reached with a flight of
  4 hours.

RUSSIAN FEDERATION
GDP Population 766 Billion USD
145 Million
EUROPE
GDP Population 14,801 Billion USD 657
Million
CENTRAL ASIAN AND CAUCASIAN COUNTRIES
GDP Population
113 Billion USD 75 Million
MIDDLE EAST AND NORTH AFRICA GDP
Population 1,258
Billion USD 311 Million

Turkey Member of European Customs Union Free
Trade Agreement with 16 Countries Production
Base of the EU Biggest exporter in its region,
exports to more than 200 countries
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Turkeys Export Markets (2008)

• Turkey is part of the Customs Union with the EU.
• Turkey has Free Trade Agreements (FTA) with
  EFTA, Georgia, Israel, the Former Yugoslav
  Republic of Macedonia, Croatia,
  Bosnia-Herzegovina, Tunisia, Morocco, the
  Palestinian Authority, Syria, Egypt, Jordan and
  Albania.

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Turkey Rising Global Investor Capital Export
of More than 20 billion

• Turkish investors are enthusiastic for the
  emerging economies of Eastern Europe, North
  Africa and the Middle East.

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Turkey rising star of cross-border MAs

• Leading brands acquired by Turkish companies
• Godiva by Ülker
• Trader Media East by Hürriyet
• Grundig ,Changzhou Casa-Shinco by Beko
• Bloomberg , Arctic , Altus ,Leisure, Flavel ,
  Elektra Bregenz , Arstil by Arçelik
• VilleroyBoch by Eczacibasi
• Krasny Vostok Bira Group by Efes Bira
• Finlux ,Luxor, Graetz by Vestel
• Razi by Gübretas
• CEDOK (Czech Republic) by Saran Group

• 12 Turkish multinationals
• Value of Foreign Assets 15,7 Billion
• Employing 70 thousand people
• 248 foreign affiliates in 61 countries
• Source DEIKColumbia University Study

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• Coca Cola Içecek (Anadolu Group) Foreign
  Investments
• one of the leading bottlers of alcohol-free
  beverages in Southern Eurasia (Turkey, the
  Caucasus and Central Asia) and the Middle East.

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TAV Airportsleading airport builder and operator
in the region
Çelebi Ground Handling Company Hungary, Belgium,
India
Picture of Enfidha-Zine El Abidine Ben Ali
International Airport in Tunisia, printed on 50
Tunisian Dinar Banknotes
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SISECAM GROUP major global glass industry
giant,major Turkish investor in EBRD region
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• Turkish Contracting Companies
• Turkey ranks 2nd after China in Engineering
  News-Record (ENR) Top 225 International
  Contractors 2009 Country Ranking
• 5000 Projects in 70 countries
• Total business volume of 130 billion

EUROPE 18 countries, (9,07)
THE CIS 12 countries, (36,87)
THE MIDDLE EAST 13 countries, (22,88)
AMERICA 4 countries, (1,66)
SOUTH ASIA FAR EAST 8 countries, (3,13)
NORTH AFRICA, 5 countries, (26,08)
SUB-SAHARAN AFRICA, 10 countries, (0,31)
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Czech Republic Economic Outlook

• The Czech Republic is one of the most successful
  transition economies
• Over 130,000 foreign companies operating in the
  Czech Republic
• Since 1993, more than USD 80 billion in FDI
• Located very close to Europes industrial
  backbone
• Educated workforce with relevant business and
  technological skills
• Competitive Infrastructure
• has one of the most advanced transport networks
  in Central and Eastern Europe.
• A vibrant economy of Europe

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Turkish-Czech Relations

• 23 Czech Companies operating in Turkey
• Increasing investment volume 386 Million Czech
  investment in Turkey in 2009
• 73 Turkish Companies Operating in Czech Republic
• Current level of bi-lateral economic relations
  not sufficient for both countries.
• The way forward cooperate in third markets
• Bilateral Economic relations should be in a
  broader geography

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Why Cooperate in Third Countries?

• Turkish Czech Cooperation in Third Countries
• A New Synergy for Mutual Economic Interests
• Road Map between Turkish and Czech business
  communities drafted in 2007 determined joint
  ventures between Turkish and Czech firms in the
  third markets as one of the main pillars of
  Turkish-Czech Cooperation
• Essential to enhance our bilateral relations and
  to increase profitability and competitiveness
  power of our companies in global market place

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Geography of Cooperation between TR and CZ
Balkans, Eastern Europe, Caucasus, Black Sea,
Central Asia
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(1) Transnational Energy Projects Turkey Major
Transit Country for Global Energy Transport
Transit route of 7 of global crude oil
Potential of 80 billion cubic meters natural gas
supply to Europe annually

• Global Transnational Energy Projects Crossing
  Turkey A Great Potential for Cooperation
• Nabucco Natural Gas Pipeline
• Transportation of natural gas via Turkey through
  Bulgaria, Romania and Hungary to Austria.
• Will contribute to the energy supply security of
  Europe.
• Gas supply to Czech Republic from Nabucco Pipeline

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(2)Energy Projects

• Power Plants constructed by Czech Companies
• First Hydro-Electric Power Station in Turkey
  (Kayseri) was engineered by Czechs
• Production, distribution, retailing of
  conventional and renewable energy
• Promoting production from renewable sources
  common agenda for the business community and
  government in both countries.
• Consolidating our power in the region to exploit
  opportunities and to be more competitive
• Governmental Energy Working Committee between two
  countries to be headed deputy prime ministers
• Examples of Cooperation
• Consortium between Akkök and CEZ Power Company
  (2008)
• Partnership between Energo Pro and Cansu Elektrik
  (2006)

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(3) Transportation infrastructure of the region
Upgrading and modernization of transportation
infrastructure opportunity for partnership
TRACECA

• Transportation is the key element of
• Integration into global market place,
• Competition factor in global business
• Potential projects
• Developing Central Asias land transport system
• Upgrading roads and railways
• Developing multi-modal transportation hubs

Revitalization of the Ancient Silk Road
The Black Sea Ring Highway
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(4)Upgrading and modernization of Tourism
Infrastructure in the Balkans and Eastern Europe

• Great Tourism Potential of the region to be
  commercialized
• Hospitals and Health Tourism
• Common Tour Packages
• Airport construction and management
• TAV modernization of Plzen Airport of Czech
  Republic
• Celebi Airways Ground Handling Services At
  Budapest Airport In Hungary Mumbai
  AirportCharleroi Airport Charleroi Airport of
  Beligum

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What To Do For A Better Cooperation in Third
Countries?

• DEIK extensive global network with 85 Bilateral
  Business Councils
• Success story in Third Markets Turkish-Japanese
  Cooperation in Central Asia and Gulf Region
• Need For A Better Cooperation Mechanism
• Working Group within Turkish-Czech Business
  Council and Search for New Business
  Opportunities
• Creation of a project pool and matchmaking
  between Turkish and Czech Companies for feasible
  projects
• www.deik.org.tr
• info_at_deik.org.tr