Investors waiting for new incentive system

ISTANBUL - Hürriyet Daily News

Turkish incentive system is the most generous one across the world, Economy Minister Zafer Çağlayan says. The renewed system is valid starting from today. AA photo

Many local and foreign investors are awaiting for Turkey’s new incentive system, which is valid starting from today, Economy Minister Zafer Çağlayan said yesterday.

There is not such a generous incentive system across the world, the minister said during an Istanbul meeting where he unveiled new details on the matter.

Çağlayan said investors planning to produce at least 100,000 cars a year, or planning a capacity increase of a similar amount, would be entitled to import goods free of customs tax for 15 percent of their capacity in some cases.

If the plan involves producing engines, investors will receive an additional allowance to import goods free of custom tax for a further 15 percent of capacity.

Prime Minister Recep Tayyip Erdoğan unveiled plans in April to encourage investment in Turkey’s aerospace, defense and automotive sectors in a bid to reduce reliance on imports.