Namibia’s exports to Türkiye dropped significantly despite trade between the two countries amounting to about N$299 million between January and September 2024.
This is compared to N$312.85 million in 2023.
This was said by Ministry of Industrialisation and Trade spokesperson Elijah Mukubonda in a statement on Friday, in which he noted that the two countries enjoy a stable economic relationship.
He said trade between the two countries had peaked at N$1.06 billion in 2020, mainly driven by the export of ores, slag and ash, which accounted for 82.3% of the trade volumes.
According to the statement, overall trade, however, continued to drop, mostly as a result of declining import levels.
A 49.1% decrease in overall trade occurred in 2023, dropping to N$312.85 million from N$466.37 million in 2022.
“A significant drop in the import of mineral fuels, oils and related products – which previously made up 77.1% of Namibia’s total imports from Türkiye in 2022 – was the main cause of this dip,” said Mukubonda.
When the decline in import quantities levelled out, total trade dropped by 4.5% by September 2024 to N$299.48 million, the spokesperson said.
In 2024, Namibia’s exports to Türkiye were N$35.10 million, compared to N$48.69 million the year before, a 38.7% decrease mainly caused by a significant drop in wood and charcoal exports from N$49.09 million in 2023 to N$26.49 million in 2024.
The production of charcoal for export has grown into a lucrative economic sector in Namibia, using encroacher bush that has affected large parts of the country.
“The slow export growth underscored Namibia’s difficulties in growing its market share in Türkiye,” reads the statement.
On the other hand, Namibia imported N$264.37 million worth of goods from Türkiye, almost equal to the N$264.16 million imports recorded in 2023.
“Despite a decline from the high levels observed in previous years, imports are still significant and contribute to Namibia’s continuous trade imbalance with Türkiye,” said Mukubonda.
He said despite the imbalance in trade, efforts have been made to advance commercial engagement through strengthening bilateral ties between the two countries.
Namibia and Türkiye signed a trade and economic cooperation agreement on 5 November 2014 to promote investment, energy and mineral resources, agriculture and livestock development, education, health and science and technology.
“A joint trade and economic cooperation was established under the Trade and Economic Cooperation Agreement, and bilateral investment promotion efforts were realised through the establishment of the Türkiye-Namibia Business Council through an agreement signed between the then Namibia Investment Centre and the Foreign Economic Relations Board of Turkey, in 2016,” Mukubonda said.
The aim of the council is to promote trade and investments, contribute to the industrial and technological collaboration, as well as facilitate participation in trade fairs and exhibitions, Mukubonda added.
The countries will share information on potential investments with Türkiye, providing investors information about Namibia’s investment climate and investment incentives.
Türkiye also offered to train government officials on trade policy, trade remedies, and World Trade Organisation processes.
The two countries will work together in science and technology, small and medium business development and industrial cooperation.
“They will also cooperate in other industries, including forestry and agriculture, tourism, culture, education, health, and mining and energy, as well as youth programmes,” said Mukubonda.
– email: matthew@namibian.com.na
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