With this new strategy, export intensive measures consisting of various supportive components, arrangements directed to the foreign trade liberalization.

In addition to liberal arrangements made to improve exports, some support programs came into effect. The main facilities provided for the exporters were as follows: corporation tax exemption, tax refund, premium to the Resource Utilization and Support Fund, subsidies obtained from the Support and Price Stabilization Fund. However, the above mentioned supports have been gradually eliminated in accordance with our international commitments since the second half of 1980s.

On the other hand, with the establishment of the Turk Eximbank in 1987, supporting exports gained a new dimension. In this respect, in order to increase the competitive strength of the Turkish exporters in foreign markets, some credits and guarantee programs under the international commitments began to be applied to the sectors with high export potentials.

Related to particularly support of exports, policies of the foreign trade strategy that was set up under the conditions of 1980s have been reviewed and modified in view of the developments taken place in the world and Turkey in the 1990s. In this respect, State Aids prepared in compliance chiefly with the World Trade Organization and our international commitments were put into practice as of 01.06.1995.

The most significant phenomenon in Turkey’s foreign trade policy is the Customs Union established between the EU and Turkey as of 01.01.1996. This development initiated the duration needed for the legal infrastructural consistency of foreign trade strategy with the EU’s norms, and thus both import and export regimes have been made consistent with the regulations of the EU. The Free Trade Agreements signed with the Central and Eastern European Countries and Israel must be regarded as the factors directly affecting our trade in the consistency framework of the Community’s Common Trade Policy.

Within the framework of the modifications made in the laws, the Export Support Regime applied until 1.1.1996 was modified in compliance with the Customs Code of the Community.

In place of the Export Support Regime applied in the framework of the Export Support Decision No. 94/5782 based on obtaining raw materials at world market prices, the Inward Processing Regime numbered 95/7615, published in the Official Gazette 31.12.1995,the newly Inward Processing Regime numbered 99/13819 published in the Official Gazette 31/12/1999 and prepared as being parallel to the provisions of the Community Customs Code, entered into force as of 1.1.1996.

According to the modifications in the Export Regime, (article 4(e) of the Export Regulation), "an exporter" is defined as a person who is a member of the related Exporters’ Association,

- a natural or legal person having a single tax number,

- tradesmen and craftsmen dealing with production and is registered to the Chambers of Tradesmen and Craftsmen

- joint- venture,

- consortium.

Export is the "de facto" exportation of goods or their value in compliance with the current Export Regulations, Customs Regulations and bringing the value of the goods back to the country through Turkish Currency Legislations or other ways of leaving country which can be accepted as an export by the Undersecretariat for Foreign Trade.

Types of exports are as follows:

(a) Exports having no special nature

(b) Exports on registration

(c) Exports on credit

(d) Exports by means of consignment

(e) Exportation of imported goods

(f) Exportation to free zones

(g) Exportation made through counter purchase or barter trade

(h) Exports through leasing

(i) Transit trade

(j) Exports without returns

All goods, other than those whose exportation is prohibited by laws, decrees and international agreements, can be freely exported within the framework of the Export Regime Decree.

However, within the framework of WTO rules, restrictions and prohibitions on exports may be imposed in case of market turmoil, scarcity of exported goods, in order to protect public safety, morals, health; flora and fauna, environment, as well as, articles bearing artistic, historical and archeological value.

The goods whose exportation is prohibited and subject to permit are listed in the Communique numbered 96/31.

Last Update : March, 25,2002