Feb 28 2018

Turkey, Algeria sign $1 billion accord to raise trade

Turkish and Algerian firms have signed a $1 billion accord to establish a polypropylene production plant in Turkey, as part of efforts to triple trade between the two countries.

President Recep Tayyip Erdoğan, on a visit to Algiers as part of a four-country trip to Africa, said the agreement will also help reduce Turkey’s current account deficit significantly by cutting its dependence on raw materials, the Daily Sabah newspaper reported.

The agreement was signed between Algeria's state-run energy and chemicals company Sonatrach and Turkish firms Rönesans and Bayegan. The plant will be built in the Yumurtalık free economic zone in the southern Turkish city Adana and will produce 450,000 tons of polypropylene per year, with raw material imported from Algeria.

Turkey's trade with Algeria totals about $3.5 billion. The two countries are targeting trade volume of $10 billion.

Erdoğan will also visit Mauritania, Senegal and Mali on his five-day tour, accompanied by a group of 200 businesspeople, Daily Sabah said.