The Level and Structure of Turkey's Intra-Industry Trade with Countries of Organization of The Black Sea Economic Cooperation

Abstract

In this study, intra-industry trade (IIT) level and structure betweenTurkey and Organization of the Black Sea Economic Cooperation (BSEC),which is a regional development movement which Turkey led its establishmentand has recently tried to revive, have been analyzed. In the study, Grubel-Lloyd(GL) index, most widely used in the measurement of IIT, is used. According tothe calculations made by using SITC classification foreign trade data for 20072014,it is observed that Turkey's intra-industry trade with this region is lowaccording to GL index. In the specified period, intra-industry trade-intenseindustries are beverages and tobacco, machinery and transport equipment andchemicals industries. Besides, manufactured goods classified chiefly bymaterial and miscellaneous manufactured articles industry have relativelyhigher intra-industry trade. As in other countries of the region, Turkey`sincreasing intra-industry level with this region which is low will be one of theimportant factors in inversion to a more advanced level of regional integration.