Category: Business

  • Why Turkey cannot break into EU despite economic crisis

    By Kevin Connolly
    BBC News, Istanbul

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    blue mosque

    The eurozone crisis seems to show no sign of stopping, but for some countries outside the European Union, like Turkey, the appeal of membership remains strong.

    If you put your mind to it, you can write popular music lyrics about pretty much anything – as the lyricist behind the unwarranted bravado of “we’re going to hang out the washing on the Siegfried line” could tell you.

    When British forces recaptured the strategically important town of al-Burdi on the coast of Libya during World War II the event was swiftly celebrated with the breezy toe-tapper: “Where do we go from ‘ere, Now that we’ve captured Bardia.”

    The Anglicised pronunciation made it rhyme of course, but it also celebrated a sort of high-handed genius for making those foreign place names sit more comfortably on the colonialist tongue.

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    start quote rb At the core of the difficulties is a European ambivalence over what Turkey is and indeed where it is end quote rb

    But surely the most improbable source of musical inspiration of all time is the shifting historical identity of the great Turkish city of Istanbul which straddles the Bosphorus and links Europe to Asia.

    In the late 1920s one of America’s best-known jazz orchestras recorded a song commemorating the city’s old name – “Constantinople”.

    It has not dated well – you sing the name out in full and then the rest of the chorus consists of spelling it out at dizzying speed: “C-o-n-s-t-a-n-t-i-n-o-p-l-e.”

    It probably was not written with any real political intent but it did commemorate the fact that before the city was conquered by the Muslim Ottoman Turks, it had served as the capital of the Byzantine Empire, that wobbly Christian edifice built on the ruins of Rome.

    A few years later a sort of musical rebuttal was produced which became a much bigger hit.

    It was called “Istanbul, not Constantinople” and contains the immortal line “Why did Constantinople get the works, that’s nobody’s business but the Turks.”

    It was written incidentally by a Northern Irish songwriter called Jimmy Kennedy who was a bottomless font of eccentric inventiveness.

    He was responsible for hanging out the washing on the “Siegfried Line” but he also wrote “The Teddy Bear’s Picnic” and the “Hokey Cokey”.

    He captured, with surprising deftness, an ambiguity in the Turkish identity.

    On a fault line between the worlds of Christianity and Islam and between Europe and Asia, it feels as though it does not quite belong anywhere.

    That might be the reason why negotiations over Turkey’s membership of the European Union have now dragged on for a startling 52 years and are still nowhere near any kind of conclusion.

    A Turkish flag and a European Union flag next to each other

    Despite the current economic problems in the EU, Turkey is still keen to join

    People who were still in primary school when the process began now qualify for free public transport.

    Some of the obstacles are problems that Turkey could have fixed for itself – like its penchant for locking up inconvenient or recalcitrant journalists.

    But there is no doubt that at the core of the difficulties is a European ambivalence over what Turkey is and indeed where it is.

    There is a revealing video clip of President Sarkozy of France, which you can find on the internet, where he is asked why he does not think Turkey should be allowed into the EU. He pauses before replying, “Because it’s not in Europe.”

    A lot of Turks find that kind of talk both irritating and insulting.

    After all no such reservations were raised during the Cold War when Turkey which bordered both Communist Bulgaria and the Soviet Union was very firmly in Nato, that other club of wealthy democratic nations.

    There is a feeling that Turkey is being asked to guard the camp, without being allowed to enter the tent.

    Over the course of the 52 years of talks a few things have changed in and around the European continent.

    A map of Turkey

    Turkey back then was desperately poor and underdeveloped and saw the EU as a source of aid more than trade.

    Now, it is booming and it has a sound banking system run on old-fashioned principles.

    From the Turkish perspective you can see how the European Union might be parodied as a rather odd club in which the thrifty hard-working north ends up bailing out the sun-bathing south. A club no-one would want to join.

    And if Turkey ends up negotiating membership through the years of plenty and finds itself ultimately joining the EU in leaner times you can see why it might feel its being invited to a restaurant so late that it misses the feast but arrives in time to pick up the bill.

    And yet Turkey is still desperately keen to join the European Union – in common with quite a list of other countries in south-eastern Europe.

    That might conjure an image of swimmers striking out desperately towards a sinking ship in choppy waters but to lots of people in Turkey it still makes perfect sense.

    They argue that the rules of the European Union amount to a kind of instruction manual for running an economy and a modern democratic state.

    They realise that some of the current members have been ignoring the instructions of course – with consequences that may ultimately be disastrous. But, runs the argument, the rules themselves are still valid and are the best blueprint of their kind available anywhere.

    Turkey does occasionally toy with the idea of becoming a kind of regional super-power in the Middle East – reviving influence in the turbulent lands where it once exercised imperial power.

    But no amount of talk about the rise of a new Ottoman identity will displace that old itch to be invited into the European Union.

    It is hard to be sure exactly what drives this Turkish ambition – a desire to be recognised as the equal of France or Germany, a hunger for global recognition of its growing wealth and modernity, perhaps a feeling that a country of Muslims should be allowed to join what has been an essentially Christian club.

    And if at this troubled moment in European history those ambitions are a little harder to understand, well, as our songwriter put it all those years ago: “That’s nobody’s business but the Turks.”

  • Turkish Airlines now operates most diverse hub in Europe; 172 destinations served non-stop from Istanbul

    Turkish Airlines now operates most diverse hub in Europe; 172 destinations served non-stop from Istanbul

    To be part of THY’s expansion come and meet and listen to Orhan Sivrikaya, Turkish Airlines’ EVP Commercial, at anna.aero’s Network Planning Conference – “Maximising Your Airport’s Case For Securing New Air Services” – jointly staged with ACI EUROPE and ACI Asia Pacific, and hosted by Abu Dhabi Airports Company, November 28-30 2011. Learn more.

    We have decided to go ahead and publish this article, despite today’s news of the tragic earthquake, in recognition of Turkey’s great strides in the face of adversity.

    It may not be the biggest carrier in Europe in terms of passenger numbers, fleet size or seat capacity but in one respect Turkish Airlines leads the way. No other carrier in Europe offers as many non-stop destinations from a single airport as Turkish Airlines now does from its Istanbul Atatürk base. This winter, the Turkish national carrier and Star Alliance member will offer non-stop service to 172 destinations, well clear of its nearest rivals Lufthansa (158 destinations non-stop from Frankfurt) and Air France (149 from Paris CDG). Turkish Airlines first passed Lufthansa back in the summer of 2010, but Lufthansa regained the lead in this measure this summer. However, with a recent surge of new route activity, it seems that Turkish Airlines has taken the lead once and for all, unless the opening of the fourth runway at Frankfurt encourages Lufthansa to start adding many more new routes.

    CHT TK v Others

    Turkish Airlines’ network coverage Comparison with Europe’s biggest flag carriers Destinations served non-stop from main hub airport

    Source: OAG Max Online for first week in February and August of each year.

    Among Europe’s LCCs, Ryanair’s biggest base at London Stansted offers 94 destinations this winter, easyJet’s London Gatwick base connects non-stop with 68 destinations, and Norwegian’s Oslo base offers 57 non-stop destinations. However, all three of these carriers offer rather more destinations during the peak summer season.

    Over 30 million passengers in 2011

    Turkish Airlines is well on target to easily pass 30 million passengers in 2011. This represents a trebling of its passenger numbers in just seven years. Since 2003, passenger numbers have grown by at least 10% every year. In the first three quarters of 2011, passenger numbers are up 9.6%, suggesting that double-digit growth is once again possible in 2011, especially given the new routes started this year.

    Turkish Airlines 2002-2010 Annual scheduled passengers (millions)

    Source: AEA

    Statistics published on the airline’s website reveal that in the first nine months of 2011 traffic (as measured by RPKs – Revenue Passenger Kilometres) is up 20%, although there are significant regional variations. Domestic traffic is up just 5% and now represents only 15% of the airline’s total RPKs, but domestic passengers still represent 46% of the airline’s total. Traffic growth has been fastest to North America (+60%) and the Far East (+33%), while European traffic is up just 11%.

    20 new destinations added in 2011; London Gatwick is latest addition

    Is THY fast becoming the national airline of Iraq?

    Is THY fast becoming the national airline of Iraq? THY has cleverly seized the feed opportunities to next-door Iraq. Last week’s latest THY launch, to Mosul in Northern Iraq, is the airline’s sixth Iraqi destination which puts it exactly level with Iraqi Airways itself.

    At the beginning of this year, anna.aero examined Turkish Airlines’ network growth in 2009 and 2010. By the end of 2011, some 20 new routes will have been added from Istanbul, the latest to be announced being London Gatwick, which is scheduled to start a few days before Christmas.

    Launch date Destination (Code) Country WF* (Aircraft)

    6 January Agri (AJI) Turkey 7 (B734)

    30 January Guangzhou (CAN) China 3 (B773ER)

    3 March Los Angeles (LAX) USA 4 (B773ER)

    14 March Shiraz (SYZ) Iran 4 (B738)

    27 March Valencia (VLC) Spain 4 (A319)

    14 April Erbil (EBL) Iraq 2 (B738)

    18 April Toulouse (TLS) France 3 (B738)

    27 April Malaga (AGP) Spain 3 (A320)

    27 May Thessaloniki (SKG) Greece 4 (A320)

    8 June Genoa (GOA) Italy 4 (A319)

    28 June Basra (BSR) Iraq 3 (eqv)

    28 June Naples (NAP) Italy 5 (A319)

    5 July Najaf (NJF) Iraq 3 (B738)

    10 July Kabul (KBL) Afghanistan 3 (B738)

    18 July Sulaymaniyah (ISU) Iraq 4 (A321)

    21 July Islamabad (ISB) Pakistan 3 (B738)

    2 August Turin (TRN) Italy 3 (A319)

    17 October Dammam (DMM) Saudi Arabia 3 (A319)

    3 November Mosul (OSM) Iraq 4 (B738)

    20 December London Gatwick (LGW) UK 7 (eqv)

    Source: anna.aero new route database

    *WF: Weekly Frequency when route was launched

    All of these new routes will continue to create ever more connecting possibilities. According to the airline’s latest quarterly presentation, connecting traffic now accounts for 38.5% of the airline’s total traffic, and almost half of all connecting passengers are transferring from one international flight to another. While total transfer traffic in the first nine months of 2011 grew by 15.1%, international to international transfer traffic grew by 18.5%.

    via Turkish Airlines now operates most diverse hub in Europe; 172 destinations served non-stop from Istanbul | anna.aero.

  • Liverpool FC agrees deal with Turkish Tourism

    Liverpool FC agrees deal with Turkish Tourism

    Liverpool fc

    Liverpool Football Club has announced a new two-year partnership with Turkish Tourism.

    The deal, the first of its kind in the UK for the tourism body, includes advertising rights and other benefits.

    The club’s managing director Ian Ayre said: “Turkey is a great country and we all have fantastic memories of our European Cup win in Istanbul in 2005.

    “Through this partnership the club can provide Turkish Tourism with significant brand visibility and access to our supporter base to help raise awareness of their tourism opportunities.”

    Tolga Tuyluoglu, director of the Turkish Culture and Tourism Office in London, said: “I am delighted that Turkey will be an official partner to such a historic club. I am sure that all Liverpool fans will have positive associations with Turkey already, following their dramatic Champions League win in Istanbul back in 2005. We hope to build on this to create a dynamic partnership.

    “The city of Liverpool is known for its music and culture; its world-class galleries, museums and landmarks, which of course provides a body of shared values for us to work with. Over one quarter of those taking package-holidays to Turkey do so from the North West of England so this area is very important to Turkey. Of course, the fact that Liverpool FC plays in red and white is a bonus too!”

    The deal was unveiled at the World Travel Market in London.

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  • Turkish Roma make way for property developers in historic Istanbul district

    Turkish Roma make way for property developers in historic Istanbul district

    Sulukule ‘urban regeneration’ programme sees new townhouses advertised at 10 times the price paid to evictees

    Constanze Letsch in Istanbul
    guardian.co.uk

    Turkish Roma have seen their houses demolished in their former settlement of Sulukule in Istanbul. Photograph: Jonathan Lewis
    Turkish Roma have seen their houses demolished in their former settlement of Sulukule in Istanbul. Photograph: Jonathan Lewis

    As property deals go, it leaves a lot to be desired. But then the hundreds of Roma families living in the heart of Istanbul don’t have a lot of choice in the matter.

    An “urban regeneration” scheme that turfed thousands of Roma out of their historic settlement in Sulukule is now advertising new townhouses in the district at almost 10 times the price paid to the evictees. The Turkish authorities are being accused of deliberately driving out the Roma in the name of town planning.

    The saga began in 2005 when the ruling AKP authorities decided that Sulukule, one of the oldest permanent Roma settlements in the world, and situated in the Istanbul district of Fatih, was to become an Urban Renewal Zone. It was part of a drive to expropriate property in dilapidated areas to boost modernisation – in part for safety reasons, in what is an earthquake-prone part of the world.

    The 3,400 Roma living in Sulukule were forced to sell their homes for 500 Turkisl Lira (£175) per sq metre to private investors and the Fatih municipality. Despite worldwide protests, a Unesco warning and court cases to halt the project, forced evictions and demolitions started in 2008. Now surrounded by construction fences, 640 “Ottoman-style” townhouses and offices are springing up on the 22-acre (nine-hectare) site that had housed the local Roma population for over a millennium. The price of the new properties? From TL3,500 to TL 4,500 per sq metre.

    “It is clear that none of the former residents will be able to afford a flat here,” said Sükrü Pündük, President of the Sulukule Roma Cultural Development and Solidarity Association, adding that one in four Sulukule residents lives on TL300 per month. “Most people do not have a fixed income, and live from day to day. This was never meant to be a regeneration project, but a project to generate profit, and to force Roma away from the city centre.”

    Just outside the construction area Sami Zogun, a former Sulukule resident of more than 40 years, waits for the bus to take him on the one-and-a-half-hour trip to a new development in Tasogluk, a high-rise satellite city constructed on behalf of the public housing development administration, TOKI, roughly 30 miles from the city centre. A single ticket costs TL2.40.

    Zogun says that when his friend and landlord sold the 30 sq metre three-storey listed house that he and his wife had inhabited at a modest rent, they moved to Tasogluk, where they must pay TL550 to cover the rent, bills and the commute. His son had to sell his own apartment for the family to afford it.

    “If I would have owned that house, I would not have sold them a single needle in it,” he says. “To me, our little wooden house was paradise. The new TOKI houses feel like a golden cage. There is no life there; nothing to do.”

    Lorry driver Metin Ates says that he and his family moved back from Tasogluk a year after they left Sulukule. “It was too expensive for us. We just couldn’t make ends meet there.” Once a house owner, Ates was unable to buy another property in the area with the money he received for selling his Sulukule house and now lives in a small flat in a neighbouring district with his wife and three children, paying TL500 a month. “They ruined us. They destroyed our community.”

    Like Ates, all but six of the 300 families that moved to Tasogluk in 2008 came back to Sulukule because they were unable to pay the monthly rates, the bills for gas, water and electricity, and the fares for the journey back to Istanbul in order to secure what is a very modest income – Tasogluk did not offer any jobs at all.

    Andrew Gardner, Amnesty International’s Turkey researcher, told the Guardian: “Although on paper there is provision for alternative housing in the form of these TOKI houses, we see that the houses which are – on paper – are available to the people displaced from Sulukule are not appropriate, they’re not affordable.”

    He added: “The right to housing does not preclude urban regeneration. But it has to be done respecting [the rights] and wishes of the people living in these areas.”

    Mücella Yapici of the Istanbul Chamber of Architects says all of Turkey’s urban regeneration schemes are centred on house ownership. “Tenants are never even taken into account, despite them being the most vulnerable,” she said. While the Istanbul average for renting stands between 20% and 30% of households, the number of tenants in Sulukule topped 50%; many residents were simply too poor to afford their own property.

    “Homelessness never used to be a serious issue in Istanbul. But the demolitions and evictions led to a dramatic increase of people with nowhere to go. They are not safer, but more vulnerable in the case of a natural disaster,” says Yapici.

    “In a way these urban renewal projects which were presented as a remedy to earthquakes cause the same economic and social damage: the forced loss of a person’s home, work, and social ties in a neighbourhood.”

    via Turkish Roma make way for property developers in historic Istanbul district | World news | The Guardian.

  • NXP chip powers Istanbul’s contactless fare system

    NXP chip powers Istanbul’s contactless fare system

    The city of Istanbul, Turkey has chose NXP Semiconductor’s MIFARE DESFire EV1 contactless microcontroller to power the city’s new contactless fare payments system for public transit.

    The “Istanbulkart” project, developed by systems integrator Belbim, enables commuters to pay for fares using a contactless travel card on buses, ferry boats, metro, light metro, trams and overground trains. According to NXP, 4.5 million Istanbulkarts have already been deployed over the past few months.

    In addition to fare payment, NXP’s MIFARE DESFire EV1 solution enables multiple applications on a single microcontroller, allowing cities to expand the capabilities of their travel card.

    According to Harun Maden, General Manager of Belbim, the Istanbukart will eventually be used to pay for parking, taxis and even movie tickets.

    Istanbul now joins more than 650 cities around the world that have adopted NXP MIFARE technology for public transit, including London, St. Petersburg and Rio de Janeiro.

    “The key aim of the Istanbulkart project is to make it easier for all of Istanbul’s residents to travel across the city, regardless of what mode of transport they use,” added Maden. “After a successful pilot, the scheme is now available to all of the city’s residents.”

    via ContactlessNews | NXP chip powers Istanbul’s contactless fare system.

  • Trade to Europe delays due to border gate queue

    Trade to Europe delays due to border gate queue

    EDIRNE – Anatolia News Agency

    trade to europe delays due to border gate queue 2011 11 06 l

    Turkey’s trade to Europe has slowed down due to fewer border gate officials working on the Bulgarian border gate as a long queue of trucks spends days to pass the border from Turkey to European markets.

    Nearly 700 trucks formed a queue of 7 km on Turkey’s Bulgarian border, according to border gate officials, Anatolia news agency reported. Bulgarian officials decreased the number of shifts on the Bulgarian border gate, which slowed traffic between Turkey and Europe, said Turkish border gate officials speaking on the condition of anonymity.

    “We waited for almost two days in Halkalı district of Istanbul and now have been waiting for another two days by the border gate,” said Mustafa Güdücü, a Turkish truck driver. Transporting automotive spare parts from Turkey’s northern province of Düzce to Germany, Güdücü said, “Due to traffic juncture it took us 30 hours from Istanbul to the border gate.”

    ”I have not slept for nearly 24 hours and all our desire is to pass the border gate,” truck driver Ali Çelikbaş said.

    Fazlı Şisa, the driver of a loaded truck, said: “We are celebrating a sad Feast of the Sacrifice as we are not with our families, but waiting here for days.”

    Long waits in border gate increase transportation costs

    Long queues at the border gates of the country increased transportation costs and caused delays in the deliveries of export materials, Engin Özmen, chairman of the Association of International Transporters (UND) said yesterday.

    In Halkalı and Erenköy customs houses, Turkish exporters are having serious problems, Özmen said. “Long queues of trucks and cars waiting for many hours increase transportation costs and prevent products from reaching destinations on time.”

    Özmen said the Turkish government should regulate the borders in a more efficient way as the recent cases demonstrate that two customs houses in Istanbul have already exceeded their capacities. Lack of efficiency in customs houses causes slower deliveries of orders, Özmen said.

    via Trade to Europe delays due to border gate queue – Hurriyet Daily News.