A new era has begun in economic relations between Turkey and the Maldives. The Trade Ministry announced that the Preferential Trade Agreement (PTA) signed between the two countries came into effect today.
According to the ministry's statement, the agreement, which was signed in Istanbul on November 4, 2024, by Trade Minister Ömer Bolat and Maldives Minister of Economic Development and Trade Mohamed Saeed, entered into force following the completion of necessary approval procedures.
Tariff Advantage for 404 Products
According to the ministry's statement, under the agreement, Turkish exporters will obtain customs tariff advantages on 404 products, including iron and steel and articles thereof, aluminum sheets, electrical components and parts, refrigerators, air conditioners, televisions, marine vessels, furniture, plastic products, cosmetics, chocolate, confectionery, sausages, certain fish fillets, and sauces.
On the other hand, the Maldives will benefit from tax reductions or exemptions on 154 tariff lines, covering fish used in processed or canned fish production, fishmeal, swordfish, cold-water shrimp, and some other seafood products.
Customs Duty Removed on 293 Tariff Lines
Trade Minister Ömer Bolat, in a post on his social media account, stated that they have taken another important step to increase the competitive power of exporters in global markets, in line with the export-oriented trade vision led by President Recep Tayyip Erdoğan.
Emphasizing that the agreement will take economic cooperation between the two countries to a higher level, Bolat said:
With this agreement, our exporters will gain tariff advantage on 404 products across a wide range, from iron and steel to electrical goods and electronics, from furniture to plastics, from cosmetics to the food industry. Customs duties in the Maldives, averaging around 16 percent, are being completely abolished for Turkish-origin products on 293 tariff lines. Our advantages on 111 tariff lines that already have duty exemption are being preserved.
Trade Volume Expected to Increase
Bolat noted that with the agreement, Turkish industrialists, producers, and exporters will gain more favorable access to the Maldives, one of the strategic markets of the Indian Ocean.
Bolat, noting that the Turkey-Maldives trade volume, which reached $69 million last year, is expected to rise to higher levels in the coming period with the new opportunities provided by the Preferential Trade Agreement, said:
Turkey is a country that strengthens its trade diplomacy, opens new doors for its exporters through free and preferential trade agreements, and strengthens its position in global value chains day by day by diversifying its production and exports. Under the leadership of our President, Mr. Recep Tayyip Erdoğan, we will continue to produce, export, reach new markets, and permanently enhance our country's economic power in line with our Turkish Century goals.
he added.
