Yıl:2021   Cilt: 11   Sayı: 1   Alan: İşletme

  1. Anasayfa
  2. Makale Listesi
  3. ID: 370

Hande EMİN BENLİ, Neslihan TURGUTTOPBAŞ

WTO Dispute Settlement: Turkish Pharmaceuticals Sector

Free international trade has been the main concept for decades for economic growth globally and locally. It is expected that the only barrier for international trade should be tariffs, each nation should treat others equally and all the imported products should be treated same as domestic products when the importation requirements are fulfilled. However, the nature and extend of the goods traded affect the process of international trade, as well as the treatment of recipient countries. The developing countries that generally have balance of payment problems treat especially pharmaceutical products differently as the demand for those have been increasing steadily and the main producers are developed countries. Turkey with its growing population above 80 million has initiated a localization policy since 2016 in order to transfer the substantial part of pharmaceutical production into Turkey. However, EU made a formal complaint against Turkey to the WTO in April 2019 by referring to national treatment rule mainly. Under localization policy, Turkey was accused to apply prioritization measure and also technology transfer requirement. The main exception accepted by WTO for disputes about the deviations from national treatment rule is governmental procurement. Referring to Turkish pharmaceuticals sector, the procurement of imported drugs has been realized for the final use of Turkish patients and the resale pricing procedure is also fixed by regulations so it can be concluded that the resale pricing is not competitive and not creating a profit for the government itself.

Anahtar Kelimeler: complaint, pharmaceuticals sector, international trade


WTO Dispute Settlement: Turkish Pharmaceuticals Sector

Free international trade has been the main concept for decades for economic growth globally and locally. It is expected that the only barrier for international trade should be tariffs, each nation should treat others equally and all the imported products should be treated same as domestic products when the importation requirements are fulfilled. However, the nature and extend of the goods traded affect the process of international trade, as well as the treatment of recipient countries. The developing countries that generally have balance of payment problems treat especially pharmaceutical products differently as the demand for those have been increasing steadily and the main producers are developed countries. Turkey with its growing population above 80 million has initiated a localization policy since 2016 in order to transfer the substantial part of pharmaceutical production into Turkey. However, EU made a formal complaint against Turkey to the WTO in April 2019 by referring to national treatment rule mainly. Under localization policy, Turkey was accused to apply prioritization measure and also technology transfer requirement. The main exception accepted by WTO for disputes about the deviations from national treatment rule is governmental procurement. Referring to Turkish pharmaceuticals sector, the procurement of imported drugs has been realized for the final use of Turkish patients and the resale pricing procedure is also fixed by regulations so it can be concluded that the resale pricing is not competitive and not creating a profit for the government itself.

Keywords: complaint, pharmaceuticals sector, international trade


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