TRADE AGREEMENT

Waikato Times, Volume 126, Issue 21038, 14 February 1940, Page 9

TRADE AGREEMENT

BRITAIN AND TURKEY RILES FOR PAYMENTS EXPORTS OF PRODUCE (Official Wireless) RUGBY, Feb. 12 The text of the agreement respecting trade and payments between Britain and Turkey has been published. Although abrogating previous agreements between Britain and Turkey the present agreement has had the effect of incorporating them as far as the liquidation of transactions already commenced under them. From February 9, the date upon which the agreement comes into force, mutual exports will become the subject of compensation transactions, in which may be incorporated produce, up to 25 per cent, of the total sum received by the British and Turkish clearing office, exported to Turkey from such territories other than the United Kingdom, as may be agreed upon between the parties. Goods exported by either country to the other must be accompanied by a certificate of origin, issued by a government authorised body, and the f.o.b. value of compensation goods exported to Turkey must not exceed 80 per cent, of the f.o.b. value of goods exported from Turkey. Debts due from persons in Turkey to persons in the United Kingdom in respect of compensation transactions will be deposited in Turkish pounds in a special account at the control of the Bank Republic, Turkey, and debts due from persons in trie United Kingdom to persons in Turkey under reverse transactions, will be deposited in sterling at the Bank of England for the account of the Controller of the Anglo-Turkish clearing office. Arrangements have been made regulating the computation of exchange notes where payment other than Turkish or pounds sterling provide that in London the selling rates of currency on the date of payment shall be the ruling price.