Imports from Turkey reach record figures, trade deficit deepens
After the entry into force of the Free Trade Agreement with Turkey, Kosovo has multiplied the import of goods from this country, while our country’s exports to Turkey are in extremely minimal values.
Turkey is the country from which Kosovo imported the most goods in recent years, where in 2024 alone the value of imports of goods from Turkey reached 912 million euros, while exports remained at only 27.5 million euros or with a further deepened trade deficit of 884.5 million euros, reports. KosovaPress.
The imbalance in the trade balance with this country has worsened after the entry into force of the Free Trade Agreement in September 2019.
In just six years after this agreement entered into force, imports have doubled from Turkey, while Kosovo’s export figures still remain minimal.
Trade with Turkey, although important, remains unbalanced for Kosovo. The Free Trade Agreement has failed to bring visible benefits in increasing exports, while it has facilitated the entry of Turkish products into the Kosovo market.
Imports from Turkey have increased over the last decade, but not in a balanced way. Official data from the Kosovo Agency of Statistics for the period 2011–2023 show a significant increase in imports from Turkey, alongside a much more modest increase in exports from Kosovo, reports KosovaPress.
The agreement, which came into force in 2019, was intended to eliminate customs barriers and facilitate the movement of goods in both directions. However, data shows that Turkish companies have benefited the most from this agreement.
See the chart: Import – export, Kosovo – Turkey
In 2011, Kosovo imported goods from Turkey worth 184.4 million euros, while the country exported only 7.8 million euros, marking a trade deficit of over 176 million euros. This disparity has been continuously widening. While in 2012, exports increased to 11.3 million euros, but imports reached 199.8 million euros, deepening the deficit to 188.5 million euros. Meanwhile, in 2013, there was a decrease in exports to 7.3 million euros, while imports increased to over 204 million euros. The negative trade balance marked around 197.5 million euros, writes KosovaPress.
In 2014, exports increased to 10.3 million euros, but imports increased even more to 238.2 million euros. Meanwhile, in 2015, exports marked 9.2 million euros, while imports 252.2 million euros, keeping the deficit at high levels. In 2016, 7.6 million euros of exports and 288.4 million euros of imports, about 281 million euros more imports than exports. While in 2017 a similar situation occurred, 7.1 million euros of exports, 292.6 million euros of imports. In 2018, exports reached 8.3 million euros, while imports went to 336.5 million euros.
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Meanwhile, in 2019, the year the Free Trade Agreement was signed, exports reached 7.9 million euros, while imports reached 431.4 million euros. Despite the agreement, exports remained low. While in 2020, there was a very small increase, exports reached 11 million euros, while imports decreased to 409.3 million euros, also due to the pandemic.
In 2021, imports reached 587.5 million euros, while exports were 17.5 million euros. In 2022, imports from Turkey almost doubled from 2020, reaching around 843 million euros, while exports remained at only 23.4 million euros.
While in 2023 exports marked a decline of 20.2 million euros, while imports reached a record of 877.1 million euros. The trade gap is over 856 million euros. Likewise, last year, 2024 imports with Turkey increased again, reaching 912 million, while exports were 27.5 million, or a trade deficit of 884.5 million euros, reports KosovaPress.
While other countries protect their products, Kosovo does not, so it has not made an agreement to protect its products. For example, Kosovo has the right to export only 24 tons of fish to Kosovo and the EU, even though it is a free trade agreement, it is not unlimited.
Based on the increasing trade deficit with Turkey, Kosovo needs to reconsider the renegotiation of free trade agreements, so that our country can protect domestic products.
/Kosovapress/