Turkish minister calls for updating customs union deal

By Tuba Sahin and Dilara Zengin

ISTANBUL (AA) - An update of the customs unions agreement with European Union will be beneficial for ties between Turkey and the EU, Economy Minister Nihat Zeybekci said on Wednesday.

Speaking at the Istanbul Financial Summit, Zeybekci said: "The update will be the most positive platform for our relations with the EU in upcoming period. I expect no obstacle in this regard."

The success behind the volume of Turkey's exports to EU despite the customs union agreement is a miracle, he said.

The current agreement is not sustainable and, therefore, should be updated, he said.

Turkish officials have repeatedly criticized free-trade agreements signed by the EU with other countries, such as the U.S., which would effectively open Turkey’s market to exports from such states, with no reciprocity.

Despite not being a member of EU, Turkey is a member of the customs union agreement since 1995.

Turkey contributes to increase of EU's GDP, total growth and foreign trade, Zeybekci said, adding that Germany, as the biggest economy of the EU, would benefit the most from the update.

Almost half of Turkey's export is to the EU while the country made 42 percent of its import from the union, Zeybekci said.

About suspension of hotel booking website Booking.com in Turkey, Zeybekci said the company spoke with the ministry about the issue and expressed its desire to continue their operation in Turkey.

Zeybekci said the suspension of Booking.com in the country is not a positive development for tourism but at the same time the court decision regarding the issue is straightforward.

On March 29, an Istanbul court ordered the suspension of the website, citing accusations of unfair competition, following a lawsuit filed by the Association of Turkish Travel Agencies (TURSAB).

Zeybekci said they offered the company a solution but he did not give any further details on the subject as talks continue.