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Turkish Envoy Outlines Obstacles to Free Trade Between Turkey and Azerbaijan

BAKU, July 31 — Despite a solid trade turnover of $6.5–7 billion between Turkey and Azerbaijan, significant barriers still hinder the free movement of goods between the two allied nations, Turkish Ambassador to Azerbaijan Birol Akgün said in an interview with APA.

“This is a good figure, but it falls short of our ambition,” Akgün noted, referring to a bilateral pledge by Presidents Recep Tayyip Erdoğan and Ilham Aliyev to raise the trade volume to $15 billion.

Achieving this goal, according to the ambassador, will require coordinated efforts and structural reforms. One of the most promising developments could be the activation of the Middle Corridor — a trans-Caspian trade route connecting Asia and Europe via Central Asia, the South Caucasus, and Turkey — which would significantly cut transport costs and accelerate trade flow.

However, Akgün pointed out a fundamental regulatory obstacle: “Azerbaijan is part of the Commonwealth of Independent States (CIS) customs agreements, which includes Russia, while Turkey has a customs union with the European Union. This regulatory mismatch creates complications in establishing a mechanism for the free movement of goods between our countries.”

To navigate this challenge, Ankara and Baku are working on a preferential trade agreement.

“The number of eligible products has increased from 30 to 81, but we need to further expand the list of goods under preferential terms,” the envoy explained, adding that further diplomatic and technical coordination may be necessary.

He emphasized that even in the absence of a full-fledged free trade agreement, deepening preferential trade should remain a priority.

Looking ahead, Akgün underscored the potential impact of the Zangezur Corridor — a proposed transport link between mainland Azerbaijan and its exclave Nakhchivan via Armenia.

“If the Zangezur Corridor is opened, we can co-produce goods in Turkey and Azerbaijan and export them to Central Asian markets. This opens up vast strategic and economic opportunities.”

“Big changes never come without challenges,” the ambassador said. “But our future is bright. With mutual trust and brotherly cooperation, we will overcome these hurdles together.”

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