Marketing of most foreign products in Turkey is through foreign supplier agents or distributors. Depending on the location of the products consumers/end-users, most distributors have a dealer network throughout the country or in areas where the product is most used.
Unless a firm’s interests are large enough to warrant opening an office in the country, the most effective means of selling in Turkey is through a local representative. When dealing with government tenders, an agent is an absolute barrier. Under Turkish Law Agency Agreements private contracts between two parties and their stipulation vary according to whole country or for specifically designed areas or types of business.
The Turkish National Franchising Association-Ulusal Franchising Dernegi-(UFRAD) which is a member of international Franchising Association (IFA) act as a meeting point for franchisers and franchisees. In legal framework, franchising is considered in the same category as foreign investment. The government agency responsible for reviewing foreign franchise transactions is the Undersecretariat of Treasury. Foreign franchise proposals are generally favorably received in view of their potential for employment opportunities, transfer of technology and know-how, and the positive effects of their competition/role modeling on local quality standards.
Public and private sector institutions apply to the General Directorate of Foreign Investment for the registration of license, technical support, management, know-how agreements made with foreign companies. Work permits for foreign administrative and technical personnel to be employed by private sector organizations, with the condition of possessing the sufficient administrative and technical skills, are issued by General Directorate of Foreign Investment.
Especially for those firms whose sales potential is large enough to warrant it a local affiliate is the best possible way selling to the market without an agent or distributor.
The government authority in charge of joint ventures/licensing is the Undersecretariat of Treasury, General Directorate of Foreign Investment. Especially in large urban centers a highly sophisticated infrastructure exists in terms of legal support as well as financial or consultancy services which may be required by potential foreign investors or joint venture partners.
Under the Foreign Investment Law, foreigners may invest in Turkey, engage in commercial activities, participate in partnerships, purchase shares, open branch offices and establish liaison offices. The General Directorate of Foreign Investment (GDFI) of the Undersecretariat of Treasury is responsible for implementing foreign investment regulations. A foreign company is free to choose between a joint-stock company (Anonim Sirket - A.S.), private limited company (limited liability company), or branch office in Turkey. The A.S. form is more suitable for larger projects since corporations can attract a large number of shareholders and are preferred by banks for convenient for sales and distribution enterprises. Both types of the companies are easily set up in one or two days.
Once a firm appoints an agent, the agent or distributor expects and should receive full support with regard to literature, technical information and advertisement material. Possible government buyers and potential private sector buyers should receive catalogues and other literature clearly indicating the name and address of local agent/ distributors. Both agents and, if possible their principals, should periodically visit existing customers.
Especially in larger Turkish cities international trade promotional events such as fairs, exhibitions and seminars are a common method of sales promotion. These fairs are also opportunities for companies to observe the competition since all major foreign and local suppliers participate in such events.
Chambers of Commerce and Industry, various associations, and specific sectoral publications serve as potential channels for advertisement. TV commercials or ads in major newspapers are also highly effective.
Local agents/distributors should have the required service and maintenance ability. Through personal contact the potential customer should be convinced about this ability. It is a further advantage if the firm has established its own office in Turkey and has servicing facilities through the country’s major centers. Establishment of a minimum number of service centers is a legal obligation for some of the industrial and consumer products.
For the adoption and harmonization with the EU acquis and the norms of the WTO a new law has been prepared by the Ministry of Public Works and Resettlement, the Ministry of Finance and related institutes and institutions. The new law on Public Procurement (No. 4734) is published in Official Journal on 22.01.2002 with a Public Procurement Contracts Law (No. 4735).
The purpose of Public Procurement law is to establish the principles and procedures to be applied in procurements held by all public entities and institutions governed by public law or under public control or using public funds. Any procurement of goods, services and works, the cost of which is covered by any kind of resources that are at the disposal of the contracting entities shall be executed in accordance with the provisions of this Law.
English speaking attorneys specialized in commercial law, investment legislation, joint ventures, corporate law, tax law, bankruptcy law, public finance, banking corporations, criminal law, civil law, patent and trade mark applications and in other areas are available for consultation by business people.
Make your visa application in person and one month before you proceed to Turkey to avoid any inconvenience. The information about visa requirements for tourists can be obtained from Ministry of Foreign Affairs.
The term "official passports" covers diplomatic, service, special and official passports.
If you are going to study or work in Turkey, you must obtain appropriate visa from Turkish diplomatic/consular missions, prior to proceeding to Turkey.
Visa regime for truck drivers of a country may differ from the overall visa regime effective for citizens of that particular country. For further information, please contact the nearest Turkish mission.
Despite the visa regime applied towards the citizens of a country, the travel document holders of that country need to obtain visa from Turkish missions beforehand.
All foreigners, except for those exempt from visa requirement, should obtain their visas at the Turkish missions. Those foreigners, who can obtain sticker type visas at the Turkish border gates, may also have their visas at the Turkish missions, alternatively.
Foreigners, who will shoot a documentary film, conduct a research or an archeological excavation should get a special permission from the Turkish authorities in advance.
If you have a valid visa, you do not need a residence permit up to 90 days. On the other hand, foreigners who shall reside, work or study in Turkey, should register themselves at the nearest local police department upon their arrival in Turkey, regardless of the validity of their visa.
To work in Turkey, you must apply to the nearest Turkish mission to obtain work permit and visa. Your passport, visa application form and a letter from your employer are just needed for your application. Other documents should be submitted to the Turkish Ministry of Labor and Social Security (MLSS) by your employer within three working days after your application.
You may find the list of those documents in the MLSS’s website (http://www.csgb.gov.tr). Applications are finalized by the MLSS within ninety days at the latest. Right after your arrival in Turkey (before starting to work), you should be registered at the local police department within one month to obtain the necessary residence permit.
a. Importation of Turkish currency and instruments denominated in Turkish currency shall be free, while their exportation is free under the following principles:
i. Residents in Turkey and non-residents shall be free to transfer Turkish currency abroad via banks.
ii. Travelers may freely take Turkish currency abroad on their person, up to the equivalent of USD 5.000.
iii. Exportation of instruments denominated in Turkish currency shall be free.
b. Non-residents may freely make payments, collect money and make deposits in Turkish currency in Turkey.
c. Banks shall inform the authorities to be determined by the Ministry about Turkish lira transfers abroad, excluding payments for exports, imports and invisible transactions that are above the equivalent of USD 50,000.-, within a 30 day-period starting from the date of transfer.
a. Importation of foreign exchange to Turkey is free.
b. Residents in Turkey may freely keep foreign exchange; purchase foreign exchange from banks, authorized establishments, PTT and precious metal brokerage institutions; hold foreign exchange in their foreign exchange accounts with banks; use foreign currency banknotes and make deposits in banks in Turkey and abroad.
c. Residents in Turkey are allowed to accept payment in foreign currency from non-residents for the transactions that they conduct in Turkey in favor of such non-residents.
d. Non-residents are allowed to purchase foreign exchange from banks, authorized establishments, PTT, precious metals brokerage institutions and intermediary institutions.
e. Residents in Turkey and non-residents may freely transfer foreign exchange abroad through banks.
Banks shall inform the authorities to be determined by the Ministry about foreign exchange transfers abroad (including transfers made from foreign exchange deposit accounts), excluding payments for exports, imports and invisible transactions that are above USD 50.000 or its equivalent in another foreign currency within a 30 day-period starting from the date of transfer.
f. Travelers may freely take foreign currency banknotes with them abroad up to USD 5.000 or its equivalent.
Non-residents and Turkish citizens working abroad who are also considered as residents in Turkey may freely take foreign currency banknotes abroad on their person in an amount exceeding USD 5.000,- or an equivalent amount in another currency, provided that a declaration is made upon entry to Turkey. Meanwhile, the same is valid also for residents in Turkey, in case they prove that the foreign currency banknotes have been purchased from banks within the framework of invisible transactions.
Traveler means Turks and foreigners who live in a foreign country and arrive in the Turkish Customs Territory either by road, sea or air having any purpose, or Turks and foreigners returning either permanently or temporarily from a foreign country to which they went for any purpose, and Turks and foreigners leaving Turkey and going to a foreign country for the same purposes and via the same ways.
The following are not deemed as travelers: captains, crew and servants of ships; servants of railways and sleeping and buffet cars; and people in charge for the transportation and management of automobiles, buses, trucks, planes and other road and sea vehicles and aircraft, and for services in relation to travelers and goods
Travelers may bring into the Turkish Customs Territory and may take out of the Turkish Customs Territory jewelry of non-commercial nature crafted with precious metals and the gems the value of which does not exceed USD. 15.000. Such goods having a value more than USD.15.000 may be taken abroad only if they have been declared at the entry or it is certified that these goods were purchased in Turkey.
Whether used or not, personal effects of non-commercial nature that are brought with travelers or brought in a period of two months before or six months after their entrance, are relief from customs duties.
Undersecretariat of Customs is authorized to determine the qualities, features, amount and value of the goods that can be imported as personal effects and to conduct and to conclude enquires into special and obligatory cases.
Goods that have been brought by a person into the Turkish Customs Territory by post, in a parcel or by express cargo service and that have a total value of maximum € 100 for each consignment are relief from the customs duties if the goods do not have a commercial quantity and nature.
Goods that have been consigned by a natural person residing outside the Turkish Customs Territory to a natural person who is resident in the Turkish Customs Territory by means of postal and express cargo services are relief from customs duties.
This relief can apply to the goods mentioned below;
This relief is applied to the goods that have a real value of EURO 300. Where the goods contain more than one item, the total value of the items must not exceed € 300.
Where the value of the consignment containing two or more items, exceeds 300 €, the relief of the customs duties will be applied only to the value mentioned above.
The goods of non-commercial nature that are brought by the travelers (except for the transit travelers) and imported are relief from customs duties.
This relief will apply to the goods mentioned below:
a. Goods of no commercial quantity and nature,
b. Goods for the personal use of the importer or his family use,
c. Goods that are brought as a gift.
The Undersecretariat of Customs has the authority to determine the quality and specifications and the quantities and values; to examine and resolve the special situations and to restrict the relief of the imported gifts with the aim to prevent the exploitation of the right of relief.
This relief is limited with the quantity of the goods below for each traveler.
a) Tobacco products:
Cigarette
200 pieces and
Cigarillos (cigars not exceeding 3 gr. per each
50 pieces and
Cigar
10 pieces and
Minced tobacco (with 200 leaves of cigarette paper
200 gr. or
Pipe tobacco
200 gr. or
Chewing tobacco
200 gr. or
Water-pipe tobacco
200 gr.
snuff
50 gr.
b) Alcohol and alcoholic drinks:
100 cc
1 bottle or
70 or 75 cc
2 bottles
c) Eau de cologne, lavender water, perfume and lotion (max. 120 ml)
5 pieces
d) Coffee
1 kg.
Soluble instant coffee
1 kg.
Tea
500 gr.
Chocolate
1 kg.
Candy
1 kg.
e) Medicine and medical equipment for personal use only.
The relief mentioned in paragraphs (a) and (b) will not be applied to the travelers under 18.
Without prejudice to the goods total real value of which does not exceed EURO 300 and which are to be imported relief from customs duties; the goods of no commercial quantity and nature that have been consigned by post or express cargo service or brought by travelers (at the age of 18 or over) or brought two months before or six months after the arrival of these travelers and that have a maximum value of € 1500 per traveler in each consignment, are subject to a fixed rate duty. This fixed rate duty is 10% of the value of the goods. The goods that have been brought within the limit mentioned above;
a. should be consigned to the Turkish residents by post or express cargo service,
b. should be brought by travelers,
c. should be brought or consigned as a gift,
d. should be for the travelers own or his/her family use,
e. should not be subject to any payment made by the receiver,
f. Should be of no commercial nature and quantity.
Where the total value of the goods imported within this framework exceeds € 1500 the customs duties paid at the importation of the goods are assessed and collected in accordance with the regulations in force.
Where the value of the imported goods exceeds € 1500 the customs duties of these goods are assessed and collected in accordance with the rates determined by the Import Regime Decree.
The declarant may demand that the goods be subject to import duties before any fixed rate duty is assessed. In this case, the importation of the goods is allowed only if the import duties are collected.
The value of the goods brought as above, which will be taken as a basis in the determination of the tax base, is calculated according to the invoice or sale receipt. Where such documents cannot be submitted or the value declared on the document submitted is considered as a low value by the customs officers, the value is determined by the customs administration.
A-) Goods Used for Clothing and Traveling
B-) Electronic Appliances
C-) Musical Instruments
E-) Health Equipment
F-) Kitchen Utensils
Such kitchen utensils as plate, saucepan, fork, spoon and knife which may be used during the journey,
G-) Consumers’ Goods
1- Either domestic or foreign;b) If the goods are bought from Duty-free shops, traveler can bring 200 cigarettes (1 carton), 100 cigars and 500 gr. pipe tobacco,
2- 1.5 kg. Of coffee, 1.5 kg. Of instant coffee, 500 gr. Of tea, 1 kg. Of chocolate, 1 kg. Of candy,
3- A bottle of 100 cl or 2 bottles of 75 or 70 cl of alcoholic drinks
4- 5 bottles of eau de cologne, lavender, perfume, essence and lotion kept in bottles of maximum 120 ml,
H-) Miscellaneous
Other goods which can be included in personal effects by the Undersecretariat of Customs according to the traveler,
A passenger can bring along the following pets on condition that they are kept under control: one cat or one dog or one bird or ten aquarium fish. (They must have veterinary health certificate, origin and vaccine documents and also identification card if any.)
The travelers may, without paying any customs duties, import the goods listed on the List of Personal Effects for Which Relief is Granted that they bought from the ex-customs line sale stores at the entrance and customs barriers, and the goods brought by the travelers as a gift. On condition that they pay a tax of 10% of the total value of the goods, travelers may import the goods of no commercial quantity and nature the value of which do not exceed 1500 Euro per traveler and which have been brought by passengers after their duties were paid. Where either the total value of the goods or the value of the goods that are subject to importation exceeds 1500 EURO, the customs duties of these goods are assessed and collected according to the rates of duties specified in Decree on Importation Regime. Where the travelers import goods within the framework of the List of Personal Effects for which Relief is Granted and within the framework of the Goods brought by travelers, it is not possible for them to buy the same good from the stores which are located on the customs house. It is possible to purchase goods from those stores by paying in Turkish Liras or any convertible foreign exchange. Undersecretariat for Customs is authorized to grant the permission to open stores on customs houses, to determine the list of goods that can be sold in these stores, the people that may purchase goods from these stores and the period within which shopping is possible, to arrange the principles of the establishment and operation of the stores, and the collection of sales taxes and customs duties.
A banderole fee is collected and transferred only once by Customs administrations to TRT for color television, black-white television, radio, video, television satellite receivers, combined devices to be brought from abroad for non-commercial importation purposes and all kinds of devices for receiving broadcasting signals, in accordance with Council of Ministers Decree of 20.12.1999 No.99/13768.
The amount of banderole fees will be determined by Council of Ministers Decree annually.
The following items are forbidden to export from Turkey