CHALLENGES AND PROSPECTS OF BILATERAL TRADE RELATIONS BETWEEN TURKEY AND THE PHILIPPINES

Abstract

The bilateral trade relations of the Philippines and Turkey are not wont to attract much attention due to the low volume of their commercial exchanges. But some questions regarding its sluggish growth beg to be asked given their long-standing relationship. This thesis looks into their bilateral trade relations specifically to know what ails and what lies ahead for it. It is an exploratory study seeking answers to these questions by probing into the nature and origins of their bilateral relations as the overarching backdrop of their specific trade relationship. It seeks to identify and describe those issues and challenges that have and continue to beleaguer the relationship in general and on both sides. Such description can provide a clearer understanding to better know what really lies ahead for both countries as it seeks to grow trade and consolidate this relationship. It examines the state of this relationship through a historically-grounded and conceptual approach as its main rudder in identifying its challenges and prospects. It incorporates a few elements of international relations perspectives to augment the overall context at that time and not as its focal analytical frame. It adopts a general environmental analysis focusing on the global, economic and political components to explore the subject with varying levels of depth. The patterns that emerge help point to the types of challenges that plague their relations. Primary and secondary sources of data were gathered and used in this thesis. Primary data include interviews of key informants from both countries whose positions, knowledge and experiences were relevant to the topic. Secondary data include books, journal articles, news and magazine articles, and other reference materials with specific or related information to the topic. Statistical trade data were reviewed and described for a quantitative qualification of the relationship’s character. This study shows that their bilateral trade relationship has evolved from a routine yet cordial status to one that is dynamic and more cognizant of the frailties surrounding it. Currently, it still remains underexplored and prone to the erratic tendencies that characterized it in its earlier development. The more recent declines in trade volume are temporary and can be expected to rebound as it has always done previously. There is promise but a more consistent and predictable growth rests on how and when the challenges can be resolutely addressed. More than ten challenges have been identified. Some of these challenges are general and related to common critical factors affecting international trade with their effects spilling over to these countries’ trade relations. Some are specific and unique to each country. Some are inherent in weak institutions, others are systemic, others are bred by the internal and external events that unfold, and some are independent of it. Singularly or collectively, they corrode the bilateral and trade relations of these countries. They are constraints that should not be taken lightly as the enduring nature of their trade relationship is not enough of a guarantee. Both countries can’t afford to be complacent and must confront these challenges that warrant thoughtful solutions for trade to truly expand and strategically cement the relationship.