Türkiye has few trade rules or regulations with any of its eight neighbouring countries. Thus, informal trade and the improvised movement of goods and smuggling have formed the basis of neighbourly economic deals for decades.

For many years, Iraqi diesel oil has flowed freely into Türkiye on overland tankers and ‘luggage trade’ between Türkiye and Russia has flourished. For leather only, it is estimated that this trade is worth between $2 billion and $2.5 billion annually.

To regularise this trade, the Turkish government has announced the formation of four or five border trading posts. These two-way ‘shopping centres’, will be established within Customs areas and will be opened by the Turkish Customs under-secretariat with a view to generating $100 million to $150 million worth of legitimate trade. The first market place will be with Syria and then Iran, Georgia and Nachicevan. The project is expected to be under way within a few months. Türkiye also borders with Armenia, Bulgaria, Greece and Iraq.

Tighter trading regulations are long overdue in Türkiye and these ‘outposts of enterprise’ show improved initiative. Additionally, with so many neighbours, multilateral trade is often a good diplomatic leveller. Leather professionals know that unregistered trade undermines their legitimate status.

Bulgaria, Iran and Iraq are sources for Turkish leather hides, machinery and some leather chemicals. Many ‘conflict’ zones have good animal populations and sell hides and skins to world producers. Emelda, a prestigious Turkish fashion garment producer, sources skins from Bulgaria. Bosnia has also been a source for some Turkish hide importers. With the hope of a more outward-looking government in Iraq, Turkish leather traders are sure to be taking a fresh and legal look at this country.

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