ArmInfo.Artsvik Minasyan, the ex-minister of economy and secretary of the Hayastan (Armenia) opposition faction, considers the Armenian government`s steps to ban the import of Turkish goods insufficient.
At the December 13 briefing in Parliament, Mr Minasyan reminded the reporters that the initiative was introduced by the government, with him as minister of economy. According to him, the previous government stressed the importance of an embargo on the products whose equivalents could be produced in Armenia. The previous government also proposed measures to support the domestic producers to enable them to organize the production of equivalent products.
According to Mr Minasyan, the incumbent government`s actions are insufficient and incomplete. "Formal restrictions alone are insufficient for the task to be accomplished. So if the package is sufficient, it can be effective," he said. Mr Minasuyan is skeptical about the Cabinet`s capability to put its initiative into practice to full extent.
On June 24, Armenia`s Cabinet extended the embargo on the import of Turkish products until the end of 2021. The embargo was imposed after Turkey launched military support to Azerbaijan in the Karabakh war in 2020. In previous years, Armenia`s imports from Turkey totaled $250-$270mln. In introducing the draft decision, Acting Minister of Economy Vahan Kerobyan stated that the decision was should be viewed not only as and economic sanction against Turkey, but also in the context of Armenia`s national security - "to stop replenishing Turkey`s state budget from Armenian sources." In this context, he pointed out a 70% decline in Armenia`s imports from Turkey, with the import pattern radically changed: building materials, knitwear, and natural leather are mostly imported. According to the Ministry of Economy, despite the embargo on the import of Turkish goods to Armenia, they are still being sold in Armenia`s markets, with claims that the earlier imported goods are being sold out. This creates unequal competitive conditions for other importers.
Early this December, in an open letter to Armenia`s premier, the Mantashev business union, Association of Restaurants and Union of Advanced Technology Enterprises (UATE), proposed that the embargo on the import of Turkish goods not be lifted. The authors pointed out that the withdrawal of the importers of Turkish goods from Armenia`s market made the local producers to increase their output, create new jobs and seek to meet the market demand. And the re-opening of Armenia`s market for Turkish products will create problems for the start-ups that have invested in import replacement. Armenian business proposed that the embargo on Turkish goods be in effect for at least five years. Moreover, they pointed out a need for additional restrictions on the import of Turkish goods - a ban on the sale of Turkish goods. The businessmen also propose a ban on the sale of goods manufactured under Turkish trade names irrespective of the manufacturing country, which will enhance the efficiency of control by the relevant government authorities.
