THE Turkish Cypriot authorities could move to prevent the movement of all goods across the Green Line if the Cypriot government continues to block the implementation of a direct trade agreement between the north and the EU, a high level official told the Cyprus Mail yesterday.
The source said the breakaway regime feared the total collapse of its economy if consumers and businesses continue to purchase goods and services from the government-controlled areas.
“We struggle to collect taxes and aid from Turkey to pay state employees. And then these state employees go and spend their salaries on the Greek Cypriot side,” the official said, adding: “We have two separate economies here, and we have to protect our economy. If necessary we will close the crossings to trade.”
The source said he believed Turkish Cypriot businessmen selling to Greek Cypriots would have little to lose as “the amount sold across the Green Line amounts to the budget of a single supermarket”. The biggest casualties are more likely to be larger supermarket chains popular among Turkish Cypriots, along with Turkish Cypriot consumers themselves.
Since 2003, when crossings in the Green Line first opened, many Turkish Cypriots have grown used to shopping in south Nicosia. They cite greater product variety and lower prices as the reason for their preference.
The north’s authorities sparked mild protests two weeks ago when they began confiscating meat and dairy products from shoppers crossing from south to north. The move was taken, the authorities said, to protect the livelihood of farmers in the north.
Yesterday’s strong words came as Turkish Cypriot leader Mehmet Ali Talat was in Brussels ahead of renewed efforts by the German presidency of the EU to implement an EU proposal for direct trade between the north and the EU. Implementation of the agreement, first drafted in June 2004, has been repeatedly delayed because of Greek Cypriot objections that its implementation could be seen as recognition of the breakaway state.
Yesterday, another top level Turkish Cypriot official told the Cyprus Mail he still had faith the German presidency could push through an agreement on trade.
“I don’t think the Germans will give in or accept failure on this. They will push for an agreement,” the source said yesterday, adding that he did not believe it possible the EU would forever accept the Greek Cypriot argument that “Turkish Cypriots are EU citizens but they are not allowed to sell their tomatoes”.
Another high-level source told the Mail he was confident the Germans could force an agreement on trade through because of their “quiet and careful approach”.
However, sources in Brussels yesterday dampened Turkish Cypriot hopes of securing a quick deal on trade, after the German presidency was reported to have circulated a document stating it would refrain from preparing a draft agreement with the Turkish Cypriots until it had the approval of all 27 members of the bloc. The document also stated any potential agreement must not be seen to put either side at an advantage, and must not break international law. Turkish Cypriot sources said these stipulations were a reflection of Greek Cypriot demands on the trade issue.
Sources in Brussels also warned that discussions on trade could be overshadowed and ultimately delayed by the German presidency to resuscitate discussions on the controversial EU constitution.
