Sunflower Import Duty Adjustment Sparks Market Debate
· Google Haberler
The Ministry of Trade's decision to reduce the customs duty on oil sunflower seed imports to 12% after the harvest has ignited a new debate on market regulation and agricultural management authorities.
Customs Duty Adjustment on Sunflowers
The Ministry of Trade has implemented a new regulation on the customs duty application for oil sunflower seed imports, aiming to protect domestic producers during the harvest season and ensure market stability. According to the Ministry's official statement dated August 27, the current 20% customs duty on oil sunflower seed imports will continue to be applied until November 30. After the completion of the harvest period, it has been decided that the customs duty applied to oil sunflower seeds will be gradually reduced to 12%.
Reason for Import Decision Announced
In the information provided by the Ministry of Trade, attention was drawn to the international and regional developments behind the said duty adjustment. The statement indicated that risks of supply security and price increases in oil sunflower seeds could arise due to geopolitical developments in the Black Sea Region and the drought affecting Europe. The decision, which aims to ensure that industrialists have timely access to sufficient and affordable raw materials, was specifically emphasized in the official text as having been made in consensus with the Ministry of Agriculture and Forestry.
Emphasis on Consensus Led to Criticism
The emphasis on inter-institutional consensus in the statement has fueled debates regarding the management structure of the agricultural sector. Agricultural Policy Expert Ergin Kahveci, criticizing the position of the Ministry of Agriculture and Forestry in foreign trade decisions, made the following assessments:
"The answer to the question of why agriculture is a whole and why agriculture should be managed by a single public authority is in this statement... A sector whose door is knocked on forty times at forty different places cannot even see its own feet."
Highlighting the confusion of authority, Agricultural Policy Expert Ergin Kahveci continued his words as follows:
"Everyone talks to the Ministry of Agriculture. What is consensus? It is the Ministry of Agriculture adjusting the regulation. Not reaching an agreement."
Production Planning and Market Conflict
The Ministry of Agriculture and Forestry is carrying out comprehensive production planning in the new period, focusing on which products will be planted in which basins, strategic product support, and water restrictions. However, the producer's final income and production motivation are determined not only by the yield in the field but also by the timing of imports and customs duty rates. While maintaining the duty at 20% during the harvest period protects domestic farmers, reducing the rate to 12% after the harvest aims to lower industrial costs. This situation shows that production planning in the field and the foreign trade regime are an inseparable whole.
Call for a Single Authority in Agriculture
Emphasizing that market regulation cannot be carried out independently of the production plan and that the market order should be linked to the agricultural authority, Agricultural Policy Expert Ergin Kahveci stated the following in his statement on the issue:
"There used to be something called a production plan, what happened to it? Who is the regulatory body? If agriculture is to stand on its own feet as a whole, the public authority must be a single authority. One of the government's most correct actions in this area is to bring together the production/implementation components of the agricultural sector and establish today's structure. The missing leg is the 'market order' leg. As in the whole world, the market order should also be connected to its rightful place, namely the agricultural authority. As the decision-making body. The implementation body can be other public authorities."