Netwerkbijeenkomst ondernemers - Ankara

Speech minister van Economische Zaken, mevrouw M.J.A. van der Hoeven, t.g.v. netwerkbijeenkomst ondernemers - 28 februari 2007, Ankara - Turkije. Spreektekst in Engels.

Ladies and gentlemen,

In late December I was here – in Ankara and later in Istanbul – for talks with academics and politicians. I look back with great pleasure on that visit. Not only because we made some real progress, but also because of the congenial atmosphere in which the talks took place and the generous hospitality shown to our delegation. As every Dutch tourist to visit your country knows, when it comes to hospitality, we have a lot to learn from you.

The objective of that visit was to strengthen the ties between Dutch and Turkish universities and to promote student exchanges. This time, the spotlight is on our economic relations. I am confident that here too we shall make progress. After all, we start from an excellent basis. Diplomatic relations date back many years, and we share a very rich history.

History

You supported us in our fight against Spanish rule, which started in 1568 and didn't end until 1648. More than forty years before we managed to expel the Spanish from our soil, the first Dutch ambassador had taken up residence in Istanbul. A few years later, the first envoy from the Ottoman court visited our country. That was in 1614. Our relations with some European countries have a much shorter history.

Trade developed in tandem with diplomatic relations. But it really got off the ground after the Turkish republic was founded. In 1924, our two countries signed a treaty of friendship, and in 1933, under the auspices of Atatürk and Queen Wilhelmina – the grandmother of our present Queen – a Dutch-Turkish association was set up. That is the period in which the Dutch multinationals also started operating in Turkey – Philips, Unilever, Shell and the forerunner of ABN AMRO. Representatives of all four companies are here today. I couldn’t think of a better example of continuity.

In the early 1960s, our relations gained an extra dimension with an agreement on the employment of Turkish migrant workers in the Netherlands. With 360,000 members, the Turkish community in the Netherlands is now one of the biggest in Western Europe. After some initial problems adapting – most migrants thought that their stay would be temporary – the community is now flourishing. The Turkish business community is growing fast, operating in more and more sectors. Education levels and upward mobility have also improved by leaps and bounds. One of the symbols of social mobility is my colleague, Nebahat Albayrak, our new state secretary for justice.

Locating in the Netherlands

Our Turkish compatriots could form an excellent springboard for entrepreneurs from Turkey. They speak our language and know our customs. They are aware of the opportunities, and know their way around.

There is also a wide variety of government agencies providing help and advice. One I should like to mention is the Netherlands Foreign Investment Agency. And there are certainly many opportunities for partnerships with Dutch companies. What do we have to offer?

We have Rotterdam, the biggest port in Europe. We have Schiphol airport, the hub of a network of European and transatlantic airlines. Add to that our excellent infrastructure – roads, railways and waterways – and you will understand why we are rightly known as the Gateway to Northwest Europe. If you are looking for the most efficient and inexpensive way of gaining access to 400 million customers, you really have only one option.

So the Netherlands is the Gateway to Northwest Europe. And it is also the digital gateway. There is only one country in the world – and that is South Korea – that has more companies and households with broadband connections to the internet. The Amsterdam Internet Exchange is one of the most important internet hubs in the world. Our gaming and mobile industry is also flourishing.

The Netherlands is also renowned for its knowledge of water, offshore industry, high-tech systems, food and flowers – with many thanks to Turkey for the tulip and the hyacinth. To maintain its position at the centre of the world stage, our business community works closely with the government and research institutes.

You will discover that Dutch companies are used to working with foreign partners. And that we have a well-trained workforce, with a good knowledge of languages and IT.

Turkey

For its part, Turkey presents many opportunities for Dutch entrepreneurs – more in fact than in the past. Let me mention a few:
• first, a domestic market of some 70 million;
• second, low wages combined with a high level of education;
• third, a strategic location; it is the gateway to Central Asia and the corridor for the transport of oil from the countries round the Caspian Sea;
• fourth, an economy with dynamic entrepreneurship as its main feature. People here want to run their own businesses. That is an example the Dutch could follow.

At the same time, you have succeeded in cutting red tape and improving the investment climate, influenced partly by the EU accession negotiations. International business has found its way to Turkey. Exports now stand at 64 billion euros, with imports at 104 billion euros. In both cases, that is an increase of one hundred per cent since 2003. Investments have also risen, and are now just short of 15 billion euros.

Turkey is the Netherlands’ fourth biggest trading partner outside the EU and the 15th biggest overall. In 2006, bilateral trade amounted to a total of 5 billion euros. This again represented an increase of one hundred per cent since 2001. The figures for direct investment show a similar pattern. Approximately a quarter of the 15 billion euros invested in Turkey came from Dutch sources, putting us in first place. At this moment, some 400 Dutch companies operate in Turkey.

Steps to create a more level playing field are expected to strengthen that effect and contribute to ongoing economic growth. The accession process will boost reform – of the legal system, competition law, and the economy. It is essential that you push on with the reforms. We will both have to make an active effort to keep the ball rolling in the EU accession process. Without the prospect of EU membership, we will not be able to maintain growth in trade and investments.

Conclusion

I am optimistic about the opportunities for Turkish and Dutch businesses in our two countries. And the fact that relations are growing stronger on all fronts makes me even more optimistic. Contacts have been established between our ministries, universities and cultural institutions. Interest in each other’s cultures is growing. Take the wonderful exhibition on Istanbul, the City and the Sultan, now on show in Amsterdam, or the Turkey Now festival, which is being organised by the Istanbul Foundation for Culture and Arts and Stichting Kulsan, the Turkish cultural organisation in the Netherlands. Or take performances by Tarkan in the Netherlands, and this year’s free gift during our book promotion week – a book by the Dutch author Geert Mak in which residents of Istanbul talk about the history of their city. The book is also being translated into Turkish.

But to turn economic opportunities into commercial successes, we need to nurture our relationship. This mission should be followed by more visits, in both directions. I sincerely hope I will also play a part. If only because I am one of the hundreds of thousands of Dutch people who come to Turkey every year to enjoy your hospitality and your rich culture.

Thank you.