Following the deaths from Coronavirus in Iran, which is among the 20 countries to which Turkey exports the most, the closure of the border created uneasiness in the business world. While it remains unclear when transitions will return to normal, many sectors are expected to be negatively affected by this situation.
While the developments in China, where the coronavirus emerged, continue to deal a blow to world trade, the spread of the virus to Iran as well as Europe led to a re-calculation in Turkey. Although bilateral trade with Iran has declined in recent years due to the embargo of the USA and the UN, Iran is among the 20 countries to which Turkey exports the most. It is expected that the developments in Iran will have the greatest impact on tourism. Drawing attention to the fact that the virus coincided with the Nevruz period, when Iranian tourists come intensively, Turkish Hoteliers Association (TÜROB) President Müberra Eresin stated that the closure of Iranian entrances will also stop the tourism movements of the Nevruz period, which is expected to be the end of the stagnant winter season.
Agencies made the payment
Pointing out that agencies will have serious losses, Travel Agencies Association (TÜRSAB) Board Member Hamit Kuk emphasized that advance payments have been made to many agencies, flights and hotels for Nevruz, which is about 15 days later, and said: “We have many agencies working for the Iranian market. It can cause serious harm to agencies. “The Ministry of Tourism must take urgent measures to eliminate the grievances of travel agencies,” he said.
“Serious problem for Van”
DEIK/Turkey – Iran Business Council President Osman Aksoy stated that a large number of Iranian tourists may come to Van on Newroz, which is considered as New Year’s Eve according to the Celali Calendar used in Iran this year, as every year, and falls on March 20 this year. “Iranian tourists do a lot of shopping in shopping malls in Van. “If a solution is not found by March 20, Van will suffer a serious loss of income,” he said. Stating that they are worried about the closure of the border, Van Chamber of Commerce and Industry (VANTSO) President Necdet Takva said that it will negatively affect the shopping festival held every year in Van between March 15 and April 5 for Nevruz. Takva stated that sales will decrease by 50 percent, especially during the Nevruz period, when Iranian tourists come to Van and its surroundings intensively. Takva said, “200 – 250 thousand Iranian tourists came only during Nevruz period. These tourists spent an average of 1,500 dollars. “Van and its surroundings will have a loss of almost 300 million dollars,” he said. Stating that there can be solutions other than closing the borders in the fight against the virus, Takva noted that this would negatively affect relations with neighboring Iran.
Action plan is awaited
Emphasizing that the negative effects of the coronavirus on the accommodation sector are increasing, TÜROB President Eresin said, “The fact that the virus has also emerged in European countries makes our efforts to close the gap arising from China with European tourists increasingly difficult. An emergency action plan should be prepared for the sector before these effects grow and become irreversible. We will meet with the relevant ministries as soon as possible. “We think that the Tourism Promotion Agency is creating an emergency action plan at this point,” he said.
Transporter created a crisis desk
The International Transporters Association (UND) created a crisis desk to clearly see the latest situation regarding trucks entering and exiting the border gates, which were closed due to the rapidly spreading Coronavirus in Iran. UND sent a letter to all members, requesting that companies carrying out bilateral transportation to Iran or transit through Iran fill out the form sent to determine their location and submit it to the association. UND officials said that they are following the developments on the issue closely and will make a statement shortly. Iran is one of the most important countries in road export transportation. According to UND’s data, nearly 520 thousand truck trips were made from Turkey to Iran in 2019. On the other hand, after a circular was sent to the governorships in 81 provinces, Provincial Police Departments, Provincial Gendarmerie Commands, Provincial Immigration Directorates and border border gates with the signature of the Minister of Internal Affairs Süleyman Soylu, Covid-19 measures were also taken at the Gürbulak Border Gate. was raised to the highest level. In this context, as of 17.00 the previous day, Iranians and other foreigners were not allowed to enter the country through the border gate in question, while transitions from Turkey to Iran continue in a controlled manner.
THY suspended flights to Iran until February 27
Taking action due to the coronavirus outbreak that emerged in Iran, the Ministry of Health initially decided to stop the arrival of Iranians to Turkey on planes coming from Iran to Turkey. THY also canceled its flights to Isfahan, Mashhad, Shiraz and Tabriz until February 27. The number of daily flights to Tehran was reduced to 2, and it was informed that the situation arising from ‘coronavirus’ would be evaluated with national and international authorities in this process.
The spread of the coronavirus epidemic increased the fear of a global epidemic, leading to very sharp sales in the markets. While risk appetite weakened, the tendency towards safe havens increased. The outflows experienced in the stock markets last week continued on the first trading day of the new week, gold prices and the dollar index continued to rise, and oil prices retreated sharply. The ounce price of gold increased by 3 percent during the day yesterday, reaching $1691, and tested the peak of the last 7 years. With the effect of the increase in the ounce price of gold, a gram of gold broke a record with 334 lira in the Grand Bazaar. While the US ten-year bond interest rate fell below 1.40 percent, after approaching the 100 limit, the dollar, which retreated after the PMI data announced in the USA on Friday pointed out weakness, rose again and reached the level of 6.16 TL. Oil prices continued their downward trend, triggered by global growth concerns. The barrel of Brent oil lost nearly 4 percent yesterday, falling to 55.7 dollars. West Texas crude oil fell to 50.7 dollars a barrel.
“The retailer had sold Newroz last month”
Furkan Atakan, Chairman of Yeni İnci, one of the underwear brands that exports 20 percent of its exports to Iran, stated that retailers will not be affected much by the latest developments in Iran and said, “It coincided with a period when purchasing had already stopped due to the Nevruz Holiday. Iranian companies completed their purchases 1 month ago and will not make any purchases in the next 1 month. At the same time, I think this situation will recover within 1.5 months. Turkey will emerge very strong from this situation. Because there is a very strong commercial relationship between China and Iran. In our meetings with our customers in Iran, we receive responses such as “We are afraid to go to China and Turkey is our homeland.” “Our relations with Iran may increase further in the future,” he said.
2.1 million Iranian tourists came
Iran was one of the 5 countries that sent the most tourists to Turkey in 2019. The number of tourists coming to Turkey from Iran reached 2.1 million people. In January this year, 120 thousand 527 Iranian tourists came to Turkey, with an increase of 24.77 percent. 99 percent of the tourists who have visited Van in the last two years are Iranian tourists. According to Global Blue’s data, the average expenditure of Iranian tourists on tax-free shopping in Turkey grew by 21 percent in 2019, reaching 873 dollars.
2.3 billion dollars of exports are made
Last year, Turkey exported 2 billion 315 million dollars and imported 3 billion 270 million dollars from Iran. Approximately 25 percent of Turkey’s exports to Iran in 2019 were chemicals group with 532 million dollars. Emphasizing that the closure of the Turkey-Iran border gates will definitely affect trade, Istanbul Chemicals and Products Exporters Association (İKMİB) President Adil Pelister said, “We can say that our exports will slow down, but it will not stop. It is partially affected. Especially in trade with Iran, exports from Turkey are carried out in a controlled manner. Imports will be more affected. In fact, Turkey’s imports from Iran have been decreasing day by day for 1-2 years due to the US sanctions on Iran and the financial problems that Iran is experiencing. There are alternatives to Iran. “As the situation continues, our trade volume will decline significantly,” he said.
Source: https://www.dunya.com/ihracat/komsuya-kadar-gelen-virus-en-cok-turizmciyi-vuracak-haberi-463371
