Introduction

India and Turkiye share a long-standing trade relationship with significant potential for expansion. During a recent meeting, Mustafa Kemalettin Eruygur, the Consul General of Turkiye, highlighted the opportunities and challenges in strengthening bilateral trade ties.

Strategic Importance

• Gateway to Market: Turkiye serves as a strategic gateway for India to access a $27 trillion market due to its geographical location.
• Cultural and Historical Ties: Strong socio-economic and cultural connections provide a solid foundation for business collaborations.

Current Trade Volumes

Metric	Value
Total Bilateral Trade (Current)	Approximately $8.5 billion
India’s Exports to Turkiye	Approximately $7 billion
Turkiye’s Exports to India	Approximately $1.5 billion
Total Trade Volume (India)	Approximately $800 billion
Total Trade Volume (Turkiye)	Approximately $600 billion
Trade Ranking	Turkiye is India’s 28th largest trading partner; India is Turkiye’s 18th largest trading partner.

Trade Composition

• India’s Exports to Turkiye: Petroleum-based oils, automotive spare parts, processed aluminum, and other raw/intermediate materials.
• Turkiye’s Exports to India: Marble, minerals, fruits, dry fruits, and semi-finished products.

Growth Potential and Future Targets

• Potential for Growth: The aim is to double trade to $20 billion within the next five years.
• Future Projections: Trade between the two countries reached approximately $10.4 billion in FY 2024, indicating steady growth.

Economic Context

• Turkiye’s Economic Position: 11th largest economy by GDP (PPP), with a projected growth rate of 3.2%, exceeding the OECD average.
• Trade Volume Comparison: India’s total trade volume stands at $800 billion, while Turkiye’s is approximately $600 billion.

Need for Comprehensive Agreements

• Existing agreements do not fully facilitate deeper business engagements.
• A comprehensive trade agreement could further boost economic cooperation.

Conclusion

The India-Turkiye trade relationship presents untapped opportunities for both nations. By fostering deeper trade agreements and reducing trade barriers, bilateral trade could see substantial growth, benefiting multiple industries and sectors.