Saturday 17 February 2018

IOD GO FOR TURKEY - WITH A TURKEY

The Institute of Directors is calling for a Turkey style option (HERE) where we have a sort of customs union with the EU. I think we have now had just about every conceivable option covered, perhaps with the exception of a Ukrainian association deal, but no doubt that will come.

Before the vote, back in March 2016, the government published a pamphlet describing the alternatives to membership (HERE) which did indeed describe the Turkey option as one possibility but note what they said about it:

Turkey has partial access to the EU Single Market. The arrangements cover industrial goods and processed agricultural goods, which means that customs checks are not required for these products. However, arrangements do not cover raw agricultural goods or services. In areas where Turkey has access to the EU market, it is required to enforce rules that are equivalent to those in the EU. This includes competition, product, and environmental rules. Turkey is also required to align rules on State Aid (government support to businesses) with EU rules. The Agreement with Turkey provides some limited migration rights for Turkish nationals to reside in the EU.

While Turkey can agree trade agreements with countries outside the EU, as part of the Customs Union, Turkey’s external tariffs must be aligned with EU tariffs. This limits the trade deals that Turkey can agree. When the EU signs a trade agreement with a third country, such as South Korea, Turkey must give that country access to its own market on the same terms. But this obligation is not reciprocal. The third country is not required to open its market on the same terms to Turkish exports. Instead, Turkey has to negotiate separate trade deals with these countries.

This is what InFacts has to say about it (HERE):

On the main crossing point for lorries going from Turkey to the EU, a town called Kapikule, drivers can wait up to 30 hours before they can bring their goods into the European market. They have to carry customs carnets – thick documents with pages of details of the goods. They also need entry visas for any EU countries they may pass through. In contrast, freedom of movement rules allow British truckers to go into Europe on a British passport.

Does anybody believe that any section of the British public or the Brexiteers would be happy with that?  And bear in mind if the EU did offer us something along the lines of Turkey plus, plus, plus what do we think Turkey will demand?