Maldives and Türkiye Sign Free Trade Agreement to Boost Bilateral Trade
The Maldives and Türkiye have signed a free trade agreement aimed at reducing trade barriers and enhancing bilateral trade, in a move to strengthen economic relations.
The agreement was signed by Maldivian Minister of Economic Development Mohamed Saeed and Turkish Minister of Trade Professor Dr. Omer Bolat.
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The trade deal is expected to ease fish exports from the Maldives to Türkiye, opening up opportunities for Maldivian fish exporters in the Turkish market. Additionally, it will allow Maldivian consumers and businesses to benefit from access to Turkish products at lower prices, further fostering economic exchange between the two nations.
Today we signed the historic PTA between🇲🇻🇹🇷. Exports from Maldives will now enjoy significant tariff reductions on over 100 items including “0”tariff to several fish&fish products to the🇹🇷mrkt of over85m ppl.This was made possible by HEP Dr @MMuizzu during official visit in 2023 https://t.co/PW6D5wowWo pic.twitter.com/MDJVJRR7rJ— Mohamed Saeed (@em_saeed) November 4, 2024
This free trade agreement marks a significant step in deepening economic ties between the Maldives and Türkiye, creating new opportunities for businesses and signalling a strengthened partnership for the future.
Maldives-Turkey Trade Agreement Brings Duty-Free Access for Key Maldivian Exports
The Ministry of Economic Development and Trade announced that, under the newly signed Maldives-Turkey Preferential Trade Agreement (PTA), Turkey will offer duty-free access to 39 Maldivian export products that previously faced tariffs of up to 60 percent.
The agreement includes provisions for the elimination of duties on these 39 products and further concessions extending to an additional 103 Maldivian exports. According to the Economic Ministry, these changes are expected to benefit both the Maldivian economy and citizens through reduced costs and enhanced trade opportunities.
The PTA aims to make Turkish goods more affordable and diverse in the Maldivian market. This is expected to bring benefits such as lower prices on Turkish consumer products and a wider range of choices for Maldivian consumers. The agreement is also anticipated to create job opportunities through increased export and re-export activities.
Additionally, the PTA is expected to provide advantages for small businesses in the Maldives. Reduced import costs on raw materials, household goods, and equipment are expected to benefit these businesses, alongside expanded opportunities to export goods to Turkey. The agreement will also facilitate easier access to Turkish technology and machinery. The PTA opens the door for potential partnerships between Maldivian and Turkish companies.
The range of products covered by the agreement includes food and beverages, fisheries products, industrial and construction materials, marine and transport equipment, machinery, household items, and furniture.
The agreement is the result of high-level discussions between President Dr. Mohamed Muizzu and Turkish President Recep Tayyip Erdoğan. President Dr. Muizzu’s visit to Turkey marked his first international visit since taking office. During their meeting, the two leaders discussed further collaboration in multiple areas, including trade and economic development. The PTA is set to come into effect on a mutually agreed date in the first quarter of next year.
