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Nov 13, 2014

BORDER TROUBLES * Turkey / Iran

* Turkey hopes to normalize truck transit fees with Iran

Ankara,Turkey -World Bulletin -11 Nov 2014: -- Turkey retaliated with increasing transit fees for Iranian trucks only when Iran hiked the rates for Turkish trucks, Customs and Trade Minister has said... Iran increased the transit fee formula again to distance in kilometers times 0.32 times 0.80 times 1.60 on October 10. Turkey retaliated by also changing its fee for Iranian trucks using the same formula. For example if an Iranian truck passes from Turkey's eastern customs gate to the country's western customs gate, the distance will be roughly 1200 kilometers. According to the previous formula, this truck would pay $307 as transit fee, but according to the recent hike, each driver would now have to pay $614... Turkey's trucks use Iranian territory to export goods to Central Asia... The Islamic State of Iraq and the Levant’s invasion of Mosul has hampered Turkey’s route to the region... According to Turkish officials, the trade between Turkey and Iran stood at $22 billion in 2012 before dipping to $14.5 billion in the following year due to economic sanctions imposed on Tehran... The trade volume between the two countries stood at $3.2 billion in the first quarter, according to Turkey's official statistics office...

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