Global Trade Alert

On 15 February 2015, the Turkish Government announced in the official gazette (resmi gazete) the regulation of the industrial cooperation programme relating to public procurement.
Through this regulation all foreign contractors in public tenders exceeding 10,000,000 USD in value are required to cooperate with local companies. The cooperation shall increase the local content in public procurement and provide possibilities for technology transfer. Especially energy, telecommunications, transport and health sectors shall be affected hereby. The responsible ministries are ordered to issue a detailed prescription for the industrial cooperation programme within their domain.
 
There are four different kinds of cooperation suggested whereof the foreign contractor may choose: 
a) contribution to local production: the foreign contractor uses the existing facilities to produce the product or its part in Turkey;
b) investment: the foreign contractor uses new facility to produce the product or its part in turkey;
c) technological cooperation: the foreign contractor transfers skills to local industry;
d) export: the foreign contractor ensures exports from turkey.
 
Combinations of a and b with c or d are encouraged.