Exporting to Turkey

Read about exporting to Turkey below

The bridge between Europe and Asia, Turkey has experienced plenty of growth across both continents in recent years, leading to its economy becoming one of the top twenty largest in the world. Currently a member of the EU Customs Union, it has been in negotiations to become a fully-fledged EU member for a while now. This means exporting to Turkey possesses a few differences to EU nations at the minute, but could change in the near future.

Turkey Fact File

  • Currency: Turkish Lira
  • Capital City: Ankara
  • Official Language: Turkish
  • Central Bank: Central Bank of the Republic of Turkey (CBRT)
  • Population: 77 million
  • GDP: $832 billion

Exporting Business Opportunities

The UK signed a Strategic Partnership initiative in 2010 for bilateral trade to reach £12 billion by 2015 with Turkey, and there are plenty of exporting opportunities for UK based businesses and entrepreneurs. Many start-ups and SMEs in the business management and consultancy sector are already finding plenty of opportunities to provide their services in Turkey.

The most popular UK exports to Turkey include machinery, pharmaceuticals, vehicles and more. All of these offer a great opportunity to start an exporting company or work as an individual sending out goods to the country. Healthcare, airports and energy are three growing sectors which present numerous opportunities for UK exporters.

VAT and Duty

VAT is a tax on goods sent within the EU, but seeing as Turkey is not yet an EU member the same rules apply to VAT and duty as when exporting to any non-EU country.

Zero Rating

In most cases, when exporting to the country you will not have to pay VAT on goods as they can often be zero-rated. It is important you keep a record of the export, that a transaction happened and that the goods leave the UK within three months of the sale taking place. It is a good idea to get the customer or receiving company’s Turkish VAT number to prove it is a business transaction and ensure the zero-rating goes smoothly.

Commodity Codes

Using the correct commodity code is essential when exporting all sorts of goods to Turkey. Without this, HMRC have the power to seize or delay products being exported to the country if the wrong or no code is used. This classifies the goods for the right duty, tax rates and regulations.

Customs

The European Union has a customs union with Turkey so that many goods can be moved without customs restrictions, as with exporting items from one EU country to another. The Turkish Customs and Commerce Ministry regulates all goods imported into the country.

VAT and Duty

VAT is a tax on goods sent within the EU, but seeing as Turkey is not yet an EU member the same rules apply to VAT and duty as when exporting to any non-EU country.

Zero Rating

In most cases, when exporting to the country you will not have to pay VAT on goods as they can often be zero-rated. It is important you keep a record of the export, that a transaction happened and that the goods leave the UK within three months of the sale taking place. It is a good idea to get the customer or receiving company’s Turkish VAT number to prove it is a business transaction and ensure the zero-rating goes smoothly.

Commodity Codes

Using the correct commodity code is essential when exporting all sorts of goods to Turkey. Without this, HMRC have the power to seize or delay products being exported to the country if the wrong or no code is used. This classifies the goods for the right duty, tax rates and regulations.

Customs

The European Union has a customs union with Turkey so that many goods can be moved without customs restrictions, as with exporting items from one EU country to another. The Turkish Customs and Commerce Ministry regulates all goods imported into the country.

Regulatory Institutions

Exporting particular goods into Turkey involves them passing through various regulatory institutions. For example the Tobacco, Tobacco Products and Alcoholic Beverages Market Regulation Board regulate and supervise all such goods entering the country and sets up supervisory systems. There are regulatory institutions for energy, IT, privatisation and other goods to. It is advisable to check their regulations before exporting such goods and more to Turkey.

Exporting particular goods into Turkey involves them passing through various regulatory institutions. For example the Tobacco, Tobacco Products and Alcoholic Beverages Market Regulation Board regulate and supervise all such goods entering the country and sets up supervisory systems. There are regulatory institutions for energy, IT, privatisation and other goods to. It is advisable to check their regulations before exporting such goods and more to Turkey.

Declarations

All goods being exported to Turkey need to be declared, which can be done quickly online. Register for an Economic Operator Registration and Identification (EORI) number and also with the Customs Handling of Import and Export Freight (CHIEF) system over at the HMRC website. Fill in an export declaration form and submit via the CHIEF system.

Restricted and Prohibited Items

Turkey has placed restrictions on certain goods entering the country and outright banned others, so it is vital you check what you want to send to customers and clients in the country is legally allowed.

Restricted

Permission from Turkey’s Monopoly is required for sending alcohol and tobacco to private individuals. Maximum quantities for sending business paraphernalia, books and brochures are in force. Computer components need to have the CE logo while old electronic equipment needs special permission from the importer’s Ministry of Industry to be cleared for export into Turkey.

Prohibited

Along with all the common items banned from being exported to many countries, such as firearms, military equipment and illegal drugs, there are some specifically prohibited from being imported into Turkey which, amongst others, include:

  • Antiques and jewellery
  • Electronic cigarettes
  • Furs
  • Gambling devices
  • Pornography
  • Precious metals and stones

Alternatively avoid a lot of the hassle by taking a look at TNT’s international export services and start shipping your parcels to Turkey.