As companies rush to Iran, Turkey slow to wake up to opportunity
As Western companies have already set up camp in Tehran, Turkey’s business circles are waiting and hoping, but political tensions with Iran do not bode well for openings to Turkey.
As the nuclear accord was finalized between Iran and six world powers, Turkey once again found itself on the wrong side of history. Some believe the economic opportunities that will emerge after the lifting of the embargo and sanctions on Iran will be mind-boggling. Normally Turkey would be the first beneficiary of such opportunities, but this will not be so. Both the government and the Turkish business world were caught unprepared for this historic accord.
The monumental accord came at a time when Turkey was in conflict with Tehran over the civil war in Syria, struggle for power in Iraq and intervention in Yemen. Only a few days ago, the Turkish public was speculating about whether Iran would attack Turkey if Turkey intervenes in Syria.
Turkish companies are hoping to increase their cooperation with Iran in the sectors of iron and steel, chemicals, banking, automotives, tourism and transportation. Mehmet Buyukeksi, the president of the Exporters Assembly of Turkey, said he expects the volume of trade with Iran to reach $16 billion by the end of this year and $35 billion in 2016. The trade between the countries in 2014 amounted to $13.7 billion.
Although the Turkish business world has high expectations, experts say that because of political tensions, Iran should not be expected to lay out the red carpet for Turkish investors.
