ANNOUNCEMENT 01 Dec 2008In December 2008, the government of Turkey announced a change in the price advantage granted to domestic producers in certain public tenders.
NUMBER OF INTERVENTIONS
Fifth report on potentially trade restrictive measures in the context of the global economic crisis for the 133 Committee November 2009. The EC Trade. Available from < http://trade.ec.europa.eu/doclib/docs/2009/november/tradoc_145270.pdf >
Turkey's public procurement legislation allows for a 15% price preference in favor of domestic suppliers when participating in tenders as well as for set asides for Turkish goods and suppliers. A Prime Minister circular of December 2008 encouraged Turkish contracting authorities to apply more rigorously those provisions.
The procedure was used in a total of 1285 tenders in 2008, a volume which constitutes about 10% of all tenders and 14.8% of tenders open to foreign bid (12.6% and 20.17% respectively in 2007). In 2008, about 68.2% of all tenders were open to foreign bid. Following the above Decree, a big increase is observed in the first quarter of 2009 for using the 15% price advantage. The procedure is used in 336 tenders with a volume EUR1 billion whereas the numbers were EUR47 million and EUR188 million respectively in the same quarter in 2008.