Tuesday, January 17 2023 21:29
Alexandr Avanesov

Armenia`s economy will not be able to withstand the expansion of  Turkish goods- Economist

Armenia`s economy will not be able to withstand the expansion of  Turkish goods- Economist

ArmInfo.The Armenian economy will not be able to withstand the expansion of Turkish goods. A well-known Armenian economist, professor, head of the "Alternative"  Research Center Tatul Manaseryan stated in an interview with an  ArmInfo correspondent.

It should be noted that on January 14, the Turkish Anadolu agency,  citing diplomatic sources, reported that Turkey and Armenia could  discuss the issues of restoring trade between the two countries as  part of the process of normalizing relations. The issue of resuming  trade can be discussed by the special representatives of Turkey and  Armenia in the course of a new, already the fifth in a row round of  negotiations.

Meanwhile, according to Manaseryan, it is unavoidably obvious that  open roads are always much more preferable than a blockade. "But it  is necessary to take into account the fact that Turkey itself closed  the borders with Armenia, and now Ankara, rather than Yerevan, should  be the initiator of their unblocking.  We should not focus on  political diplomacy, considering the agreement reached as a serious  achievement, but to pay attention to the fact that against the  background of the blocking of the Berdzor (Lachin) corridor by  Azerbaijan, an air corridor is opening between Turkey and Armenia."

According to the economist, against the backdrop of the ongoing  developments, the question arises o as to which of the following is  of primary importance: the humanitarian catastrophe in Artsakh or the  benefits that individual entrepreneurs and not even the Armenian  economy, can receive?

At the same time, Manaseryan added that Armenia's weak economy will  not be able to withstand the expansion of Turkish goods. It is  unavoidably obvious, he continued, that Turkish goods are competitive  not only for the Armenian market, but also for any country in the  region. "Yes, the entire civilized world requires free competition,  including open communications. But in the case of Armenia, one simple  question needs to be answered: those officials who receive high  salaries and bonuses, have they done research on the possible  benefits or losses from direct trade with Turkey? And if such studies  have been carried out, does the country's public have the right to  get acquainted with their results?", Manaserian asked.

At the same time, it should be taken into account that Armenia does  not have its own cargo air transport, which means that it will either  have to rent them or use Turkish aircrafts, which it will most likely  do. And according to the expert, this will lead to an increase in the  country's dependence on the conditions of Turkish carriers. <We will  face a very serious discriminatory policy. Deliveries of rather large  consignments of Turkish goods to the Armenian market can lead to the  collapse of domestic production," Manaseryan said.

It should be noted that there are no data on trade and economic  relations between Armenia and Turkey in the reports of the RA  Statistical Committee; however, they are presented in the information  of the Customs Committee. According to these statistics, in the first  half of 2022, the export of Armenian goods to Turkey has increased  several times - from $106,000 to $20.3 million. Imports from Turkey  to Armenia during this period increased 3.4-fold- to $97.8 million.   Meanwhile, according to independent experts, these data refer to  direct trade, but they do not take into account indirect trade.  According to estimates, the y-o-y trade turnover between the  countries reaches $250 million. This is also evidenced by the  counters of Armenian stores, where the products of Turkish producers  are presented in full assortment.