In today's interconnected world, the importance of economic collaborations between nations is paramount. Among various global relationships, the close economic ties between Poland and Türkiye exemplify the strength of collaboration and mutual benefit. Despite their geographical distance, these two nations share a robust bond, rooted in intertwined economic interests.
Examining the historical context of Poland and Türkiye unveils striking parallels, enriching the depth of their relationship. Both countries have navigated challenges, evolving from centrally planned to market-oriented economies, fostering a shared journey marked by political transformations and a commitment to democratic values.
Economic relations form the foundation of the Poland-Türkiye partnership. Bilateral trade has flourished over the years, reflecting the depth of their economic collaboration. Polish products, including machinery and chemical goods, find a strong market among Turkish consumers, while Poland has become a significant destination for Turkish textiles, fruits and vegetables. This interdependence highlights the complementary nature of their economies.
Türkiye's major exports to Poland encompass automobiles, vehicle components, tractors, aluminum products, textiles, apparel, fresh produce and white goods. In return, Poland imports machinery, mechanical tools, land vehicles, electric devices, iron, steel, chemicals, cosmetics and furniture from Türkiye.
The bilateral trade volume target is set at $10 billion (TL 305.75 billion), with a notable 28% increase in 2021, reaching $8.3 billion. By the first 10 months of 2022, the trade volume reached $8.1 billion.
Both nations acknowledge growth potential through strategic investments. Poland's position as a gateway to Europe attracts Turkish businesses seeking a European foothold, aligning with Türkiye's strengths in construction, textiles and the automotive sector that complement Poland's rapidly growing industrial landscape.
In terms of foreign direct investments, Poland invested $37 million in Türkiye as of September 2022, while Turkish investments in Poland reached $113 million. Notably, 156 Polish firms actively operate in Türkiye.
Both countries, both strategically positioned and economically vibrant, present an exciting landscape for expanded bilateral trade. This opinion paper aims to provide a more detailed exploration of concrete opportunities and strategies to foster economic collaboration between these two nations, supported by factual insights into their respective industries.
Collaboration in the automotive and machinery sectors is vital. Türkiye ranks among the top automotive producers globally, with over 1.5 million units produced annually. Poland boasts a robust machinery and equipment manufacturing sector, contributing significantly to the EU's industrial output.
When it comes to agri-food trade expansion, Türkiye is a leading global producer of agricultural products, including fruits, vegetables and grains. Poland, as one of the EU's major agricultural producers, exports a diverse range of food products, creating the potential for synergies.
Textile and fashion industry integration is also an important topic. Türkiye is the world's sixth-largest textile and apparel exporter, renowned for its textile manufacturing capabilities. Poland has a thriving fashion industry, with a growing demand for quality textiles and apparel.
Regarding trade promotion initiatives, Türkiye and Poland can build on their existing customs union agreement to reduce trade barriers and tariffs. They can jointly participate in international trade events and expos to showcase the combined strength of their industries.
Logistics and transportation optimization provide another positive aspect for both sides, as they can invest in improving the connecting road and rail infrastructure to facilitate efficient transportation. They can leverage the geographic advantage of both countries to create a cost-effective and swift transit route for goods.
Türkiye's Investment Support and Promotion Agency (ISPAT) and Poland's Polish Investment and Trade Agency (PAIH) can collaborate to attract mutual investments. Both can highlight success stories of companies that have successfully invested in each other's markets.
Educational and cultural exchanges are other tangible areas that have great potential. Both can tap into EU educational exchange programs to foster student mobility and academic collaborations, and promote language training programs focused on business communication and industry-specific terminology.
With the automotive, machinery, agri-food and textile sectors identified as key collaboration points, Türkiye and Poland possess a solid foundation for expanded trade relations. By implementing strategic initiatives, improving infrastructure and leveraging existing trade agreements, these nations can tap into their economic potential and set a precedent for fruitful collaboration in the larger context of regional and global trade.
