As India prepares for Turkiye, Azerbaijan trade downgrade; these imports, exports may be hit

New Delhi (PTI): India’s trade relations with Türkiye and Azerbaijan are expected to come under strain due to Ankara and Baku backing Islamabad and condemning India’s recent strikes on terror camps in Pakistan.

Following their support to Pakistan, calls for boycott of Turkish goods and tourism have surfaced across the country, with online travel platforms such as EaseMyTrip and Ixigo issuing advisories against visiting these nations.

In fact, Indian traders too have started boycotting Turkish products such as apples and marble.

Here are a few questions and answers (Q&A) explaining the impact of these developments on India’s trade ties with Türkiye and Azerbaijan.

Why India’s ties with Türkiye and Azerbaijan may come under strain?

The two countries have criticised India’s strike on terror infrastructures in Pakistan and Pakistan-occupied-Kashmir. Islamabad has also used Turkish drones in the conflict.

What kind of trade does India have with Türkiye and Azerbaijan?

India’s exports to Türkiye stood at USD 5.2 billion during Apr-Feb 2024-25 as against USD 6.65 billion in 2023-24. It accounts for only about 1.5 per cent of India’s total exports of USD 437 billion.

India’s exports to Azerbaijan stood at only USD 86.07 million during Apr-Feb 2024-25 as against USD 89.67 million in 2023-24. It accounts for a meagre 0.02 per cent of India’s total outbound shipments.

India’s imports from Türkiye was USD 2.84 billion during Apr-Feb 2024-25 as against USD 3.78 billion in 2023-24. It accounts for only about 0.5 per cent of India’s total imports of USD 720 billion.

Imports from Azerbaijan were USD 1.93 million during Apr-Feb 2024-25 as against USD 0.74 million in 2023-24. It accounts for a meagre 0.0002 per cent of India’s total inbound shipments.

India has a trade surplus with both nations.

What are the major products traded between these countries?

India’s exports to Türkiye include: mineral fuels and oil (USD 960 million in 2023-24); electrical machinery and equipment; auto and its parts; organic chemicals; pharma products; tanning and dyeing items; plastic, rubber; cotton; man-made fibres and filaments, iron and steel.

Imports: Different types of marbles (blocks and slabs); fresh apples (about USD 10 million), gold, vegetables, lime and cement; mineral oil (USD 1.81 billion in 2023-24); chemicals; natural or cultured pearls; iron and steel.

A bilateral trade agreement was signed in 1973, followed by a pact on setting up an India, Turkiye Joint Commission on Economic and Technical Cooperation in 1983.

India’s exports to Azerbaijan : tobacco and its products (USD 28.67 million in 2023-24); tea, coffee; cereals; chemicals; plastic; rubber; paper and paper board; and ceramic products.

Imports include: Animal fodder; organic chemicals; essential oils and perfumery; and raw hides and skins and leather (USD 1.52 million during Apr-Feb 2024-25). In 2023, India was the third-largest destination for Azerbaijan’s crude oil.

What kind of people-to-people ties exist between India and these two nations?

There are currently around 3,000 estimated Indian nationals in Türkiye, including 200 students. Similarly, the Indian community in Azerbaijan comprises more than 1,500 people.