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16FACTORS DETERMINING THE AZERBAIJANI-TURKISH COOPERATION IN THE FIELD OF ECONOMIC SECURITY AND ITS INSTITUTIONAL BASE
Ishik Omur K. M., post-graduate student
Baku Slavic University
33 Suleyman Rustam St., Baku, AZ1014, Azerbaijan
E-mail: omurkerimishik@gmail.com
The article is about the factors determining the Azerbaijani-Turkish cooperation in the field of economic security and its institutional base. The article is important in terms of studying the main directions of international cooperation in ensuring economic and energy security. It is a fact that Turkey has been in need of natural gas supply through the Trans-Caspian gas pipeline since the beginning of the 20th century, part of which goes to Europe. As a result, Turkey's economic interests depend on Azerbaijan's natural resources. It can be concluded that Turkey has a direct interest in protecting this part of the planet and maintaining long-term security and stability here.The main purpose of the article is a comprehensive scientific and political analysis of Azerbaijani-Turkish cooperation in the field of economic and energy security in modern times.The article examines the issues of economic and energy security of regional cooperation between Azerbaijan and Turkey, the establishment and dynamics, form and characteristics of Azerbaijani-Turkish cooperation in the field of economic and energy security, the place and role of regional and international energy security.
Keywords: Azerbaijani-Turkish cooperation, economic and energy security, institutional base, oil and gas exports, geopolitical factors
ФАКТОРЫ, ОПРЕДЕЛЯЮЩИЕ АЗЕРБАЙДЖАНСКО-ТУРЕЦКОЕ СОТРУДНИЧЕСТВО В СФЕРЕ ЭКОНОМИЧЕСКОЙ БЕЗОПАСНОСТИ И ЕГО ИНСТИТУЦИОНАЛЬНАЯ БАЗА
Ишык Омур Керим Мехметшах, аспирант Бакинский славянский университет Азербайджан, AZ1014, г. Баку, ул. Сулеймана Рустама, 33 E-mail: omurkerimishik@gmail.com
Статья посвящена факторам, определяющим азербайджано-турецкое сотрудничество в области экономической безопасности, и его институциональной базе. Статья важна с точки зрения изучения основных направлений международного сотрудничества в обеспечении экономической и энергетической безопасности. Это факт, что Турция с начала ХХ века нуждалась в поставках природного газа по Транскаспийскому газопроводу, часть которого идет в Европу. В результате экономические интересы Турции зависят от природных ресурсов Азербайджана. Можно сделать вывод, что Турция напрямую заинтересована в защите этой части планеты и поддержании здесь долгосрочной безопасности и стабильности.Основная цель статьи - всесторонний научный и политический анализ азербайджано-турецкого сотрудничества в области экономической и энергетической безопасности в современное время. В статье рассматриваются вопросы экономической и энергетической безопасности регионального сотрудничества между Азербайджаном и Турцией, становление и динамика, формы и особенности азербайджано-турецкого сотрудничества в области экономической и энергетической безопасности, место и роль региональной и международной энергетической безопасности.
Ключевые слова: азербайджано-турецкое сотрудничество, экономическая и энергетическая безопасность, институциональная база, экспорт нефти и газа, геополитические факторы
The collapse of the USSR, the discovery of the rich energy resources of Central Asia and the Caspian Basin, and the serious interest of foreign countries and multinational companies in the region have created a new geopolitical and geoeconomic situation in the region. After regaining its independence, the Azerbaijani government has created a favorable international environment for the effective production and sale of energy resources in the Azerbaijani sector of the Caspian Sea, ensuring regional security of oil and gas exports, and ensuring the international scientific and technological achievements of foreign countries. It has ensured its energy security by providing agile scientific, technical and innovative activities in the energy sector, turning the country into a space for cooperation rather than competition between major powers. Methods. General and special methods adopted in political science, including comparative-historical, political analysis, empirical and theoretical-conceptual approach, comparative and systematic analysis of the study of materials, functional and chronological approach, generalization, forecasting methods were used in writing the article.
Results. The following results were obtained while researching the article: factors necessitating cooperation between the two countries in the fields of economic and energy security are revealed; on the basis of scientific and political analysis with factual materials, it is proved that Azerbaijan-Turkey cooperation in the field of economic and energy security is of great importance at the national, regional and international levels; the importance of the brotherly republic in the economic interests and energy strategy of Turkey and, conversely, the partner country in the economic interests and energy strategy of Azerbaijan is substantiated.
Discussion.Examining the economic aspects of the national security concepts of the Republic of Azerbaijan and Turkey, it can be concluded that economic security is the backbone of national security. The main threats to economic security are the growing dependence on imports and the structural deformation of the economy, the transformation of developed countries into raw materials, the destruction of scientific and
technological potential, declining investment and innovation activity, increasing property stratification, increasing foreign debt, criminalization of economic relations.
A prominent modern Russian political scientist, economist and culturologist M. Urnov writes: "The 21st century, apparently, may turn out to be a time of very deep cultural and geopolitical changes for mankind, perhaps comparable to the great era ofmigration of peoples" [1].
The structure of the Azerbaijani economy inherited from the former Soviet Union, in some cases the inefficiency of the public administration system, the state of war, the sharp clash of interests of the world's "giant" states in relation to Azerbaijan, in many cases hindered the effective integration of the country's economy, the country's economic security [2].
After regaining its independence, Turkey became the first country in the Republic of Azerbaijan to establish extensive economic relations. In this sense, one of the most important and significant areas of Azerbaijani-Turkish relations has been economic relations, cooperation in the field of economic security. Speaking about the economic and trade relations between the two countries, the official website of the Ministry of Foreign Affairs of the Republic of Turkey states that the country is one of the main trade partners of Azerbaijan [3].
The official websites of the Ministry of Foreign Affairs of Azerbaijan and the Embassy of the Republic of Azerbaijan in the Republic of Turkey pay special attention to economic relations: "Today, there are a number of joint mechanisms established between Azerbaijan and Turkey in various fields. In particular, such mechanisms as the Azerbaijan-Turkey High-Level Strategic Cooperation Council, the Azerbaijan-Turkey Intergovernmental Joint Economic Commission, the Executive Committee for Agriculture, the Joint Commission on Land Transport, the Joint Committee on Customs" [4].
Historical, ethno-political, common language and lineage, geopolitical, geographical, security and other important factors have a significant impact on the development of Azerbaijan-Turkey economic relations. Azerbaijan-Turkey cooperation in the field of economic security is also conditioned by national, regional and international security factors. That is, economic, trade and energy relations play an important role in ensuring the national, regional and international security of both countries.
First of all, it should be noted that the establishment and development of economic relations stemmed from the national and geostrategic interests of both countries and served the geo-economic security of both sides. Economic cooperation with Turkey, the 7th largest economy in Europe and the 12th largest in the world, has played an important role in ensuring the economic security of the young Republic of Azerbaijan, which has regained its independence. For Azerbaijan, as an energy exporter, Turkey is both a market and a transit country for gas and oil.
It is obvious that the development of economic relations with Azerbaijan is one of the most effective ways to strengthen Turkey's economic role both in Azerbaijan and in the region as a whole, allowing Turkish goods to successfully compete with products from China and other countries. Azerbaijan plays the role of the "Golden Bridge" in economic and trade relations between Turkey and Central Asia. At a time of fierce competition in the "common market", Turkey's access to the Central Asian republics, Afghanistan and Pakistan, members of the Economic Cooperation Organization, through Azerbaijan, is hampered by Turkey's poorly supplied natural and raw materials, especially energy and Turkish goods.
Economist R.Atakishiyev draws attention to the geoeconomic and global importance of cooperation, emphasizing that the economic relations between the parties, along with interstate interests, also contribute to effective international cooperation at the regional and global levels in terms of geoeconomic existence. For Turkey, Azerbaijan is a sustainable source of energy, a gateway to the region for the expansion of economic ties with Central Asia, trade opportunities with the countries along the Silk Road, the provision of large raw material resources, etc. plays a role. For Azerbaijan, Turkey is a transit country, a stable partner in regional and international strategic projects in the export of energy resources to world markets and the deepening of economic ties with the European Union [5, p. 51].
Researchers rightly point out that Turkey is interested in establishing peace and stability in the region. Not only because the South Caucasus is in its neighborhood, but also because of Turkey's economic interests. Indeed, the energy blocks, transport, communication and trade and economic ties between Ankara and Baku in 2015-2019 are developing along an "ascending line". The most important project in recent years has been the implementation of the Baku-Tbilisi-Ceyhan project. On July 13, 2006, the official opening of this oil pipeline took place in Turkey. Yu.M. Solovyov called this project "a guiding thread in the further economic development of Turkey and Azerbaijan" [6, p. 97]. Thus, by ensuring peace and stability in the region, Turkey, as a NATO country, has paved the way for the implementation of the Baku-Tbilisi-Ceyhan oil pipeline, Baku-Erzurum gas pipeline, the Silk Road project and other economically viable projects and continues to work in this direction [7, p. 128].
How exactly can Turkey's experience in trade and energy be useful to Azerbaijan? And the international affairs specialist S. I. Chernyavsky answers this question in his next monograph in chronology. He points out: "The most important component of Turkish-Azerbaijani cooperation is trade and economic relations and ties in the field of energy. By the year 2000, Turkey has taken the leading positions among trade partners from Azerbaijan. Trade turnover is increasing (over $ 350 million with foreign countries). And in 2001, trade between Turkey and Azerbaijan reached $ 215.55 million. The negative balance also sharply increased" [8, p. 236].
We see here that Azerbaijani-Turkish economic cooperation is at the heart of peace, tranquility and economic progress in the South Caucasus.
From the above analysis, it can be concluded that the development of Azerbaijani-Turkish economic relations played an important role in strengthening the national, regional and international security of both countries, and the strengthening of regional and international security in turn had a positive impact on economic and trade relations.
The Civil Society Forum, which includes the Joint Intergovernmental Commission on Economic Cooperation, the High-Level Strategic Cooperation Council, the Joint Strategic Planning Group and the business community, forms the institutional basis of economic and trade relations between the two countries.
The Agreement on Long-Term Economic and Trade Cooperation between the Government of the Republic of Azerbaijan and the Government of the Republic of Turkey was signed on April 13, 2004 in Ankara and entered into force on June 29 of the same year (№ 708-IIQ) [9]. The article 12 agreement covers cooperation between the two countries in trade, industry, agriculture, energy, minerals, transport, communications, finance, banking, contracting, tourism and other sectors of the economy, as well as labor and social security and health. It was envisaged to be implemented within the framework of the "Long-Term Economic Cooperation Program and Implementation Plan between the Republic of Azerbaijan and the Republic of Turkey". The article 5 of the Agreement provides for the exchange of Monitoring and Evaluation Reports by the Coordinating Organizations on the work carried out by the relevant departments and organizations of their countries on a six-month basis [9].
Thus, the long-term economic and trade cooperation between the two countries entered the stage of organizational and systemic regulation after this agreement, rising to the level of strategic partnership.
Thus, the meetings of the Joint Intergovernmental Commission once again demonstrated the great potential for the development of economic relations between the two countries, and important decisions were made to develop cooperation.
This became clear at the subsequent meetings of the Joint Economic Commission. Thus, the 3rd (April 1214, 2005), 4th (July 27-28, 2006), 5th (April 11, 2008), 6th (January 22, 2011), 7th (June 10-11, 2014)of the Joint Economic Commission, and other meetings, along with progress in important areas of cooperation, problems were highlighted and new projects were discussed. These include the establishment of a joint chamber of commerce, the simplification of visa requirements for Azerbaijan to Turkey, the solution of problems related to the transportation of Turkish trucks, renewable alternative energy sources (solar, wind, biomass and hydraulic energy), the Turkish Petroleum Corporation (TPAO). Particular attention is paid to the initiatives to strengthen multifaceted cooperation between TPIC and SOCAR, to further revitalize the activities of the Azerbaijan-Turkey business forum.
The protocol signed by Deputy Prime Minister Abid Sharifov and Turkish Energy and Natural Resources Minister Taner Yildiz at the 6th meeting of the Joint Economic Commission on January 22, 2011 in Baku also stressed the importance of concluding an agreement on strategic cooperation and establishing a Joint Energy Commission. At the same time, an agreement is expected to be signed between the Turkish Export Development Center and the Export and Investment Promotion Fund under the Ministry of Economic Development of Azerbaijan to develop cooperation. The issue of visas, which is a topic of great importance for the Azerbaijani and Turkish communities, was also highlighted in this protocol. The protocol states that necessary steps will be taken to facilitate the right of citizens of the two countries to live, work and buy property in another country.
The 7th meeting of the Turkey-Azerbaijan Joint Economic Commission held in Ankara on July 10-11, 2014 was chaired by Turkish Deputy Prime Minister Bashir Atalay and Azerbaijani Deputy Prime Minister Abid Sharifov. The minutes of the meeting included the topics of cooperation with the Union of Azerbaijani Businessmen in Turkey proposed by Turkish-Azerbaijani Business Council, Sumgayit Chemical Industrial Park's "acquaintance" program in Turkey, organization of the second conference on cooperation in agriculture by the end of this year [10, p. 20].
At the same time, another important step was taken after the signing of the Agreement on Strategic Cooperation and Mutual Assistance in 2010. On September 15-16, 2010, Turkish Prime Minister Recep Tayyip Erdogan and Azerbaijani President Ilham Aliyev signed an agreement on the establishment of a High-Level Strategic Cooperation Council within the framework of the 10th Summit of Turkic-speaking countries in Istanbul on September 15-16, 2010 [11]. On October 25, 2011, the first meeting of the High-Level Strategic Cooperation Council was held with the participation of the leaders and Defense Ministers of both countries [12]. Numerous important decisions were made at this meeting, including "On the sale of natural gas to the Republic of Turkey and the transit of natural gas from the Republic of Azerbaijan through the territory of the Republic of Turkey and the construction of an independent pipeline for the transportation of natural gas from the Republic of Turkey" [13]. There was an agreement (the first agreement on TANAP) [14, p. 14]. In the following period, the meetings of the Azerbaijan-Turkey High-Level Strategic Cooperation Council were held almost continuously every year. The second meeting of the Council was held on October 11, 2012 in Gabala, the third meeting was held on November 13, 2013 in Ankara, and the fourth meeting was held on January 15, 2015 in Ankara. The fifth meeting of the Turkish-Azerbaijani High-Level Strategic Cooperation Council scheduled for Baku has been canceled twice. In this context, Turkish President Recep Tayyip Erdogan's public visits to Azerbaijan, first on
February 18, 2016 and then on March 15, 2016, were canceled as a result of the terrorist attacks in Ankara on February 17, 2016 and March 13, 2016. When the visit was canceled for the second time, President of Azerbaijan Ilham Aliyev announced his intention to visit Ankara, and thus the 5th meeting of the Turkish-Azerbaijani High-Level Strategic Cooperation Council was held in Ankara [10, p. 21].
The 6th meeting of the Azerbaijan-Turkey High-Level Strategic Cooperation Council was held on October 31, 2017. At the meeting held after the opening of the Baku-Tbilisi-Kars railway with the participation of the presidents, the presidents signed the "Protocol of the sixth meeting of the High-Level Strategic Cooperation Council between the Republic of Azerbaijan and the Republic of Turkey". Then "Memorandum of Understanding on signing a preferential trade agreement between the Government of the Republic of Azerbaijan and the Government of the Republic of Turkey", "Agreement between the Government of the Republic of Azerbaijan and the Government of the Republic of Turkey on cooperation in defense industry", "Production of fodder crop seeds and an agreement on cooperation in the field of certification ", energy transport issues were traditionally discussed [15].
In general, the opening of the Baku-Tbilisi-Kars railway, the issues discussed at the meeting and the signed agreements and contracts, the TANAP project, etc. It shows how is strong the economic and energy security ties between Turkey and Azerbaijan.
Following the 7th meeting of the Azerbaijan-Turkey High-Level Strategic Cooperation Council in Ankara on April 25, 2018, Presidents Ilham Aliyev and Recep Tayyip Erdogan signed the "Minutes of the seventh meeting of the High-Level Strategic Cooperation Council between the Republic of Azerbaijan and the Republic of Turkey". In addition, the "Biennial (2018-2019) Work Program on the implementation of the Agreement between the Government of the Republic of Azerbaijan and the Government of the Republic of Turkey on cooperation in the field of environmental protection", "Ministry of Transport, Communications and High Technologies of the Republic of Turkey and Transport, Maritime Affairs and Communications" are signed. The Ministry signed a Memorandum of Understanding on cooperation in the field of electronic signatures, a Memorandum of Understanding between the Government of the Republic of Azerbaijan and the Government of the Republic of Turkey on discussions on a preferential trade agreement [16].
Organizations that unite businessmen in Azerbaijan and Turkey also contribute to bilateral relations through their economic activities.
The Azerbaiian-Turkey Businessmen's Union is the legal successor of the Turkish Businessmen's Association, established in 2002. At its General Meeting on April 17, 2004, it was decided to change the name of the organization and rename it the Azerbaijan-Turkey Businessmen's Union.
The Azerbaijan-Turkey Businessmen's Union (ATBU), as a public association representing the interests of the business community, has made many achievements since its establishment. ATBU is one of the most influential associations uniting businessmen of Azerbaijan and foreign countries operating in Azerbaijan. ATBU was established to bring together Turkish and Azerbaijani businessmen for a new development that will revive the Azerbaijani economy, to share the economic potential of Azerbaijan and to create a SYNERGY [17]. The businessmen who are members of ATBU and its governing bodies are doing a lot to unite the efforts of the business community around the interests of the country and the people. The Azerbaijan-Turkey Businessmen's Union, which has been operating since 2004, works to create new business opportunities for member companies and provides all possible support to companies to succeed in business. As a result of this work, the number of companies willing to cooperate with the organization and see themselves as a member of the association is growing.
The Turkish Cooperation and Coordination Agency (TCCA) has a special place in Azerbaijani-Turkish economic relations. Thus, with the end of the Cold War in 1991 and the collapse of the USSR, significant geopolitical changes took place in the world. These new Turkic-speaking countries, which have entered the stage of history and share common historical and cultural values, had great expectations from Turkey. In this regard, the Turkish Cooperation and Coordination Agency was established in 1992 to establish strong cooperation and assistance with the Turkic republics of the post-Soviet space, the geography of which is associated with historical and cultural ties. The Turkish Cooperation and Coordination Agency, established by Decree No. 480 under the Ministry of Foreign Affairs, has been a government office of the Turkish Prime Ministry since 1999. Since 2011, Dr. Sardar Cham leads the organization [18].
The Baku Program Coordination Office of the Turkish Cooperation and Coordination Agency has been operating since 1994. The office has been headed by Adam Urfa since August 2016 [19].
• TCCA has implemented various projects in Azerbaijan in the following areas:
• Corporate and administrative management development programs,
• Programs for research and development of agricultural systems in Eurasian countries;
• Small and medium-sized industry development programs in Eurasian countries;
• Tourism and service sector development programs;
• Social Cooperation Programs.
TCCA is implementing important projects in Azerbaijan, especially in the agricultural sector: Thus, an Azerbaijani-Turkish joint seed center has been established in the Khachmaz region. The organization, which produced barley and wheat seeds until 2005, began testing it in 2005 to grow corn, sunflowers, soybeans and other crops. An enterprise worth $ 120,000 has been set up in Samukh and Astara to identify and destroy
harmful plants. As part of its social assistance activities, TCCA is repairing various buildings for orphans in Ganja and for disabled children in Sheki. TCCA, which also funded the first internet access project in Azerbaijan, organized training courses in tourism, insurance and taxation in 2004 [20].
On April 23, 2019, on the occasion of National Sovereignty and Children's Day, Azerbaijani writers from Azerbaijan and Turkey participated in the "Let there be light in the book" project implemented by TCCA in order to bring Azerbaijani children together in different cultural activities and improve children's reading skills. Distributed 30,000 books. The Ministry of Culture and Tourism of the Republic of Azerbaijan organized a joint event with the Children's Library named after F. Kocharli, the Youth Aid Foundation, Rashid Behbudov Theater, children's writers and children invited from Azerbaijan and Turkey [21].
In order to develop cooperation in the commercial, economic and technical spheres of Azerbaijani or Azerbaijani businessmen operating in the Republic of Turkey in 2012, to benefit from information, views and mutual technologies in these areas and to contribute to the economic, social and cultural development of the country. The Union of Azerbaijani Businessmen in Turkey (UABT) has been established.
Wanting to continue its activities to become one of the cornerstones of the indivisible brotherhood between the two countries by contributing to the development and strengthening of the Azerbaijani and Turkish economies, UABT is committed to supporting and developing economic and social solidarity among its members. , plans to provide technical and other necessary support. At the same time, the Union aims to organize meetings with Azerbaijani businessmen, cooperate with universities and research organizations by organizing courses, seminars, conferences and exhibitions, to help Azerbaijani students studying in Turkey and Turkish students studying in Azerbaijan gain experience in member companies.
Mehdi Nagiyev, Chairman of the Board of UABT, Rovshan Shahbazov, Vugar Abdullah and Asif Gurbani, members of the Board. The general coordinator of the union is Aygun Aliyeva[22].
The Food Safety Agency of the Republic of Azerbaijan, which participates in food security relations between the two countries, regulates food safety, veterinary and phytosanitary control, registration of food safety entities, issuance of food safety, phytosanitary and veterinary certificates, initial production, supply and production of food products, state control over the safety of food at all stages of the food chain, including processing, packaging, storage, transportation, circulation (including import-export operations), as well as the protection of the rights of consumers of food products, goods under state veterinary and phytosanitary control, as well as hereinafter - the central executive body implementing state policy and regulation in the relevant field) [23].
Conclusion. Research suggests that investment flows between our countries have already become reciprocal. If in the 1990s and early 2000s, Turkey was talking about large investments in Azerbaijan, Azerbaijan has already begun to make large investments in Turkey. Even in terms of total volume, Azerbaijan has surpassed Turkey.
Research shows that the number of Turkish-invested companies operating in Azerbaijan has reached 3,400. There are 2,400 Azerbaijani companies in Turkey.
Turkey maintains Azerbaijan's leadership in terms of investment in the non-oil and gas sector. Turkish businessmen with extensive experience in the light and food industries have invested more in Azerbaijan, mainly in the light and food industries, construction. It should be noted that investments are below the potential between the two sides.
Thus, Turkish companies maintain a leading position in cooperation in the non-oil sector of Azerbaijan, especially in the field of food and food security.
From the analysis of factual materials, it can be concluded that the development of Azerbaijani-Turkish economic relations plays an important role in strengthening the national, regional and international security of both countries, and the strengthening of regional and international security has a positive impact on economic and trade relations.
Thus, the long-term economic and trade cooperation between the two countries has entered the stage of organizational and systemic regulation, and has risen to the level of strategic partnership.
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