Trade with Turkey – NFU welcomes updated trade deal talks

On Thursday 14 March, the UK launches talks with Turkey on a new, modernised trade deal. The date of the first round of negotiation it yet to be announced.

NFU President Tom Bradshaw said: “A new and updated trade deal with Turkey could present opportunities for UK farmers to sell more high quality, climate-friendly British food overseas, especially products such as lamb, dairy and malting barley.

“There is also the potential to give a boost to our poultry and horticulture sectors through increasing trade in seed potatoes and poultry genetics.

“This is a chance for the government to put its trade principles, recently outlined by the Prime Minister, into action. These principles include the government upholding its values on high production standards and its commitment on fair competition for UK farmers, and fully considering the impacts and opportunities for our domestic agricultural sector.”

NFU President Minette Batters said: “A new and updated trade deal with Turkey could present opportunities for UK farmers to sell more quality, sustainable British food overseas, especially for products such as our lamb and dairy.”

Speaking on the prospects for UK produce in the Turkish market, she said “If we are granted greater access to the Turkish market, I am confident that our traceability, food production and safety standards would be very well received by consumers there and we could see the value of our exports grow.”

Drawing on the trade principles that were set out in the Prime Minister's recent letter to farmers, Minette commented that the forthcoming talks offer a chance for the government to “uphold its values on high production standards, its commitment on fair competition for UK farmers, and to consider the full impacts and opportunities for our domestic agricultural sector.”

Turkey is a major producer of wheat, sugar beets, milk, poultry & cotton. It is also the fourth largest global producer of tomatoes as well as a top producer of dried grapes (raisins & sultanas) and apricots. 

The country is also the world’s 14th largest poultry meat exporter, exporting 26% of total production in 2021. Imports of agri-food from Turkey have risen significantly in recent years, from just over £350 million in 2016 to over £548 million in 2021. 

Increased market access

Market access is already good in some sectors, but there is scope to liberalise tariffs on certain products such as lamb where the UK could hope to increase exports.

The existing FTA between the UK and Turkey does not include preferential treatment for the export of UK lamb to Turkey, with exporters facing 100% duty on carcasses and half carcasses and 225% for specific cuts.

Turkey is an Islamic country, therefore has halal requirements on beef & sheep meat. Neither UK beef or sheep exports have access to an active or workable EHC (export heath certificate), which prevents any exports. Removal of technical barriers should be a priority.

Whilst cheese exports are included in the current FTA, with a TRQ (Tariff-rate quota) allowing duty free access up to 333 metric tonnes, this has been significantly surpassed, with exports averaging 460t 2019 and 2021.

Currently, the UK market is not available to Turkish exporters of poultry meat, with no veterinary certification available.

The UK is a significant supplier of poultry genetics to Turkey, through hatchlings, day old chicks, and fertilised eggs. Though fertilised eggs are fully liberalised, we would like to see the 49% tariff on day-old chicks to be removed or reduced.

The UK and Turkish governments have announced plans to begin talks on an updated FTA broadening and deepening the trade relationship between the two countries. 

This will replace the current FTA which has rolled over since the UK left the European Union. 

A consultation period is expected to open shortly, which will allow businesses, organisations and individuals to help shape the UK's negotiation aims before talks begin next year. The NFU will call for member feedback in due course to shape its response.

Read: GOV.UK | UK and Turkey to negotiate new trade deal