Union of Chambers and Commodity Exchanges of Turkey

TOBB Board Member Cengiz Günay stated that the demands and suggestions from the sector are followed up and that they are always with the sector.

Council President Alp Önder Özpamukçu gave a briefing on the developments since the latest meeting and that positive developments are happening in the retail sector with the decision to open.

Stating that the proportion of organized retail is at 30-35%, the Council President stated that the main mission of the Council is to ensure the growth of the sector by ensuring the development of free trade. Ã–zpamukçu stated that every 1 point development of modern retail has a 1.5-2 times effect on the country's GDP, and pointed out that the issue of how to increase the modern retail rate towards the 60-80% range, which is the rates of developed countries for the development of our country's prosperity, is always the focus of the sector as well as daily problems.

Chain market representatives, who addressed the damages caused to the sector by the restrictions imposed on non-food products by the Circulars issued during the pandemic period, stated that an arrangement is needed on the issue and that the continuation of this decision taken with normalization will make the sector difficult.

Councilors specifically stated that there is a need for regulation on rents, which have been on the agenda of the sector for a long time, and that businesses should be exempted from rent payments during the closed period.

On the other hand, the Members stated that a workgroup should be established by the Council on this issue by giving tenants the right to terminate their leases early without paying any punitive conditions and compensation at any time during the lease period by giving tenants 1 month in advance of one-off roofed workplace rents for the pandemic period.

Councilors said that the demands for an extension of the Short Work Allowance, which expires at the end of June, and the postponement of payments of SSI premium and tax debt payments, including restructuring installments, continued, expressing satisfaction that it was the turn of industry representatives in vaccination.

Stating that advertising investments in this field increased with the increased online trade during the pandemic period, the Members stated that the withholding application that started with the Presidential Decree issued at the end of 2018 and the withholding application that started in digital advertising purchases as of January 2019 created a serious cost in trade, which led to vat burdens and emphasized that it is important to follow up with the relevant Institutions.

Referring to the unacceptable expenses included in the Notification on Corporate Tax Amendments issued on April 29, 2021, members discussed their demands for the removal of financing expense restrictions given the fact that the equity/foreign resource ratio was deteriorated against businesses during the pandemic process.

Members who say that the retail sector has the support and incentives it expects from the public pointed out that their capital has melted due to inflation and rising exchange rates, and that it is important to establish a grant support mechanism, as in overseas examples.

Soner Kaya, deputy director general of internal trade at the Ministry of Commerce, and Çağatay Yasin Karaboğa, head of the Retail Trade Department, who were invited to the meeting regarding the agenda items, answered the questions from the Members.