Turkey’s Talks With Armenia Test Ties With Gas-Supplier Azerbaijan

TURKEY’S TALKS WITH ARMENIA TEST TIES WITH GAS-SUPPLIER AZERBAIJAN
By Yigal Schliefer

Christian Science Monitor
woeu.html
Oct 23 2009

In Azerbaijan, Turkish flags have been taken down and the Azeri
president said his country might stop selling Ankara discounted
natural gas. At issue is Turkey’s move to renew relations with Armenia,
which has a territorial dispute with Azerbaijan.

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Istanbul, Turkey – Bound together by language and culture – and, more
recently, by oil and gas pipelines – officials in Turkey and Azerbaijan
frequently refer to the two countries as "one nation, two states."

But this slogan is being put to the test these days, following Turkey
and Armenia’s recent signing of protocols to restore diplomatic
relations and open up their borders. That’s something Azerbaijan
is strongly opposed to, in the wake of the deal with Armenia that
doesn’t address a territorial dispute between Azberbaijan and Armenia.

The new tension between Ankara and Baku is raising concern that the
Azeris – who sit on top of large reserves of oil and gas – might
scuttle energy deals that involve Turkey, especially the Nabucco
pipeline project, designed to ease Europe’s dependence on Russian
natural gas.

As Turkey tries to deal with one of its historic problems in order
to improve relations with a neighbor, it appears other historic
problems are creating new tension with another neighbor, with possible
consequences for European energy security.

"If those countries which are genuinely interested in the Nabucco
project influence Armenia so that it steps back from the occupied
territories and both Azerbaijan and Turkey will be satisfied, then this
will be remembered as only an episode in Turkey-Azerbaijan relations,"
says Ilgar Mammadov, a political analyst based in Baku.

"If not, then the relationship between Turkey and Azerbaijan will
worsen, and projects like Nabucco will be undermined."

The protocols make no mention of Nagorno-Karabakh, a mountainous Azeri
territory occupied by Armenian forces since 1994. Turkey first closed
its border to Armenia in response to its occupation of the territory
and Azeri officials have said Ankara’s relations with Yerevan should
not be restored until the frozen Nagorno-Karabakh issue is settled.

Baku feels betrayed

The reaction in Baku to the deal signed by Turkey and Armenia – which
must still be ratified by the two countries’ parliaments to take
effect – has been particularly strong. Turkish flags have been taken
down in the city and Azerbaijani President Ilham Aliyev, speaking
at a nationally televised cabinet meeting on Oct. 16, suggested his
country might stop selling Turkey natural gas at a discounted price.

"Azerbaijan is looking at the opening of the Turkey-Armenia border
as a betrayal. We are looking at Turkey as our main partner in the
region and [at] Armenia as our main enemy. The reaction is natural,"
says Vafa Guluzade, former foreign affairs advisor to the previous
Azeri president, Haydar Aliyev.

Turkish officials have been making efforts to appease Baku, making it
clear that they will not move forward on renewing ties with Armenia
until the Nagorno-Karabakh issue is resolved.

"Nothing can change the fact that Turkey will always stand by
Azerbaijan and Turkey’s position on Azerbaijan’s territorial integrity
and its territories under occupation," Turkish Foreign Minister Ahmet
Davutoglu said during a Thursday visit to the Azeri capital.

But Guluzade, the former Azeri foreign affairs adviser, says Baku is
looking for stronger reassurances.

"We need something more real in our hands. Armenia has signed protocols
under the auspices of the United States, Russia, and France.

We only have words. That’s not enough," he says.

However, Huseyin Bagci, a professor of international relations at
Ankara’s Middle East Technical University, says that in the long run,
the opening of the Turkey-Armenia border will actually facilitate
the resolution of the Nagorno-Karabakh issue.

"Azerbaijan has to realize that discussion of the Nagorno-Karabakh
issue can only happen if the Turkey-Armenia border opens," he says.

In the meantime, without a resolution to the conflict between
Azerbaijan and Armenia, Ankara and Baku may find the "one nation-two
states" slogan being further tested, Bagci says.

"It’s a nationalist slogan, it’s nice to hear, but it’s never been
the case," he says. "We have never been one nation."

What are Turkey and Armenia doing to get past decades of hostility?

http://www.csmonitor.com/2009/1023/p06s04-

Armenia To Become A Model Country Of Custom Reforms

ARMENIA TO BECOME A MODEL COUNTRY OF CUSTOM REFORMS
Hasmik Dilanyan

"Radiolur"
23.10.2009 17:01

The Secretary General of the World Custom Organization (WCO) Kunio
Mikuriya, is in Armenia for a two-day working visit. WCO positively
assesses the custom reforms implemented in Armenia. The Secretary
General said they intend to make Armenia a model country of custom
reforms.

There are few countries in the world where the tax and custom bodies
are united into one structure. The World Custom Organization is still
studying Armenia’s experience, and in case it proves to be effective,
it will be applied in other countries, as well.

What should Armenia do to improve the situation in the business
atmosphere, especially the monopoly? Kunio Mikuriya is confident that
first of all it is necessary to review the whole economic policy, but
this is not the task of the customs office. However, it can help by
simplifying the market access. "Thus, the customs office is considered
a central component for raising the national competitiveness," he said.

BAKU: Implementation Of Conditions Of Armenian-Turkish Protocols Is

IMPLEMENTATION OF CONDITIONS OF ARMENIAN-TURKISH PROTOCOLS IS STILL FAR: TURKISH PARLIAMENTARIAN

Today.Az
Oct 22 2009
Azerbaijan

Day.Az interview with Turkish parliament’s International Affairs
Committee Deputy Chairman Mehmet Ceylan.

Day.Az: International Affairs Committee of the Turkish Parliament
headed by Chairman Murad Mercan is going to visit Azerbaijan. Can
you clarify the details of this visit?

Mehmet Ceylan: I do not have accurate information about the purpose and
timing of the visit. Parliamentarians of Turkey and Azerbaijan often
make reciprocal visits. This shows high level of inter-parliamentary
ties between the two countries. We can discuss the issues that serve
interests of both countries and make joint decisions. Recently the
issue of the protocols has led to some concern in both countries. Now
there is a need for frequent meetings and addressing this concern.

Q: Will Turkey-Armenia border open soon?

A: The implementation of items and terms of the Armenian-Turkish
protocols is still far. Following the recommendation of the Cabinet
of Ministers, the International Affairs Committee of Parliament
should adopt the protocol. Then must come the turn of parliamentary
ratification. Under the law, the ratified document must be approved
by the president. Only then that document takes legal effect and
implementation of its items can be launched.

Q: As an MP from the ruling party, how do you explain the willingness
of the Turkish government to open the border? The causes behind the
border closure has not yet been resolved …

A: The current government of Turkey seeks to establish normal
relations with all neighboring countries. Problems can not remain
unsolved forever. There is a need to solve them. Without negotiations,
gradual warming is impossible. When we wanted to improve relations with
Armenia, we did not want deterioration of relations with Azerbaijan. Of
course, for us Azerbaijan’s interests are paramount.

Prime minister and the president of Turkey has repeatedly stated that
Turkey will not take a step contrary to Azerbaijan’s interests. Turkey
wants a speedy resolution to the Karabakh problem. Over these 17
years, while the Turkish-Armenian border has been closed, the Karabakh
problem has not been resolved and the sides have not achieved any
intermediate results. Turkey intends to triple its efforts to return
territories of Azerbaijan.

The Azerbaijani side must understand the positive intention of Turkey.

Today, Turkey is one of the forces accepted by all in the Caucasus
region. Turkey will play an active role in the fate of this region
along with Russia and Iran. I am sure that Azerbaijan will benefit
from intensified Turkish efforts most of all in the region.

Q: Will you vote for the ratification of the protocols?

A: During the discussions, I will propose not to put protocols to vote
without Azerbaijan’s consent and till concrete results are achieved
in solving the Karabakh issue. If protocols are put to the vote before
reaching any concrete results in solving the Karabakh problem, I will
vote against.

Q: Burden of responsibility of the promise and the documents signed
are not equal. What to believe – the promises or documents signed?

A: The adoption of this document does not mean its immediate
execution. At the international level many documents are adopted,
which remain on paper. I’m not saying that this document will not be
executed. We are subject to time and time will show. I assure you
that there is no reason for concern. The Turkish government thinks
primarily about the interests of Azerbaijan.

Q: How do you feel about the "crisis of a flag" which was observed
after a football match in Bursa?

A: During a football match I was abroad. So I do not know the details
of these events. Decision to exclude the Azerbaijani flag at the
stadium came from FIFA.

Q: The Turkish media reported that the decision about the flag
originally did not come from FIFA …

A: This is not true. Armenia appealed to FIFA asking them not to allow
Azerbaijani flag into the stadium. FIFA also warned Turkey. Prefect of
Bursa initially banned flags of third countries in the stadium. But
then rescinded its ban. Then, Armenia once again appealed to FIFA
and they once again intervened. The culprit of this prohibition is
not Turkey, but Armenia and FIFA.

Armenian Genocide Resolution Presented To US Senate

ARMENIAN GENOCIDE RESOLUTION PRESENTED TO US SENATE

ARMENPRESS
OCTOBER 22, 2009
YEREVAN

YEREVAN, OCTOBER 22, ARMENPRESS: Senators Robert Menendez (D-NJ)
and John Ensign (R-NV) presented October 21 the Armenian Genocide
Resolution in the U.S. Senate, Armenian National Committee of America
(ANCA) reported.

The measure is similar to legislation in the U.S. House, H.Res.252,
introduced earlier this year by Representatives Adam Schiff (D-CA),
George Radanovich (R-CA), and Congressional Armenian Caucus Co-Chairs
Frank Pallone (D-NJ) and Mark Kirk (R-IL). This measure already has
over 130 cosponsors.

"Only when history’s darkest hours are acknowledged and understood
can we truly learn from them and build a peaceful future upon those
lessons. One and a half million Armenians experienced Hell on Earth,
and to sweep their plight under the rug is to insult their memories
and their descendants. It is long past time that our nation help
set the historical record straight and provide a foundation of
understanding that helps prevent future atrocities," Sen. Menendez
noted in introducing the measure.

Senator Ensign said it is inconceivable that after so many years
the international community has yet to affirm that the deportation,
expropriation, abduction, torture, massacre and starvation of the
Armenian people was genocide. "By joining together and affirming that
genocide was committed on the Armenian people, we send a strong message
to the international community that we will not turn a blind eye to
the crimes of the past simply because they are in the past," he said.

ProCredit Bank Starts Providing Agricultural Loans In Armenia

PROCREDIT BANK STARTS PROVIDING AGRICULTURAL LOANS IN ARMENIA

ArmInfo
2009-10-22 12:02:00

ArmInfo. ProCredit Bank opened a new branch in Artashat city of Ararat
region on October 1, 2009. "Artashat" branch was registered by Central
bank of RA on September 23, 2009. The branch is located in 93 Ogostos
23 Str.

Thus, ProCredit Bank successfully expanded into a new region. The
opening of the branch in Artashat is not only important because of
becoming more reachable to people in one more region but also
launching a new business line: agricultural lending. Now ProCredit
Bank provides financial services also to agricultural businesses and
farmers.

Bertolt Hertzfeldt, Executive director of "ProCredit Bank" CJSC,
"Agriculture being one of the most important sectors of the Armenian
economy does not have enough sources of financing. Our aim is to
develop also this branch of economy and there is much work to be done
in this field. The opening of the branch in Artashat is tailored to
develop agribusinesses. The new services distinguish themselves in the
market by their favorable conditions for clients, such as flexible
repayment and collateral conditions. We think that we will really
influence the development of agriculture starting from Ararat region
and spreading agro lending in other RA regions".

ProCredit Bank launched its activity in Armenia in February 5, 2008.

ProCredit Bank is a full- fledged bank with a 100% foreign capital,
focused on lending to small and medium sized enterprises and offering
a full scale of banking services to private individuals and legal
entities. Another important area of ProCredit Bank’s focus is to
promote savings culture among the population, by starting even from
small amounts. ProCredit Bank in Armenia is a member of ProCredit
Group, consisting of 22 financial institutions operating in Eastern
Europe, Africa and Latin America, which are governed by ProCredit
Holding AG located in Frankfurt am Main, Germany.

Founders of ProCredit Bank are such well-known international
organizations as: ProCredit Holding AG – 67.49% shares, EBRD – 16.67%
shares and German KfW Ban – 15.84 % shares. Since February 2008 the
Bank is serving around 8200 clients including deposit clients and has
an outstanding loan portfolio of over USD 27 mln and deposit portfolio
about USD 18 mln.

Purchase And Sale Transactions Of 1.7 Million Dollars Carried Out At

PURCHASE AND SALE TRANSACTIONS OF 1.7 MILLION DOLLARS CARRIED OUT AT NASDAQ OEMEX ARMENIA OJSC ON OCTOBER 21

Noyan Tapan
Oct 21, 2009

YEREVAN, OCTOBER 21, NOYAN TAPAN. Purchase and sale transactions of 1.7
million dollars at the weighted average exchange rate of 385.75 drams
per dollar were carried out at Nasdaq Oemex Armenia OJSC on October
21. According to the press service of the Central Bank of Armenia,
the closing price made 385.75 drams.

Sos Sargsyan: Border Between Two Parts Of One Country

SOS SARGSYAN: BORDER BETWEEN TWO PARTS OF ONE COUNTRY

Information-Analytic Agency NEWS.am
Oct 21 2009
Armenia

"Which borders are being opened? Are we allowed to go from one part
of our country to the other part of our country? In other words,
the border was set in the middle of our country not between Turkey
and Armenia. Turks are yet far from being civilized, and they are
impossible to deal with through diplomacy. They can befool many. They
must be talked to in a clear and concrete way: what are you doing
against us now, and what are you teaching in your schools – hating
Armenians or showing tolerance toward them? Why are you passing Young
Turks’ hatred for Armenian down from generation to generation? Are we
going to build up normal relations or do window dressing before the
world?" the famous Armenian actor Sos Sargsyan stated in his interview
with the Public Television of the Nagorno-Karabakh Republic (NKR). He
does not see any prospects for normal Armenian-Turkish relations.

"Our national interests are more important than any other issues. We
should be on our guard. We ourselves must be authors of our destiny,
rather than let other dictate anything to us. We must not lose our
dignity. Why are Turks hating us even more than at that time? Because,
throughout the world, we are witnesses to their atrocities. And they
will never stop hating us," Sos Sargsyan said.

He stressed the importance of taking the Diaspora’s opinion into
account.

Speaking of the Nagorno-Karabakh peace process, particularly the
territorial issue, he pointed out that "things gained with blood are
not to be returned, especially since they are our own. Artsakh is our
sacred land, and the Karabakh struggle is the Armenians’ spiritual
revival," Sos Sargsyan said.

Bako Sahakyan Signs Decrees

BAKO SAHAKYAN SIGNS DECREES

Aysor
Oct 20 2009
Armenia

October 20 President of the Nagorno-Karabagh Republic Bako Sahakyan
signed the bill intended to introduce amendments to the "NKR Law on
Administrative Territorial Division".

On the same day President Sahakyan signed decrees on following
awarding.

For high professionalism and great achievement in arts, the creative
director and chief conductor of the Artsakh State Chamber Orchestra
Gevorg K. Moradyan was awarded the honorary title of the Honored
Artist of the Nagorno-Karabagh Republic.

For substantial philanthropist activity the Gratitude Medal was
awarded to Emanuel Delabarre (posthumously) and to Michel Pazoumyan,
the deputy head of Hayastan All-Armenian Fund in France, specialist
of territorial development.

Gratitude Medal goes to Director of the National Centre of
Oncology, Armenia’s chief oncologist, Prof. Hayrapet M. Galstyan for
outstanding service in the field of medicine and health rendered in
Nagorno-Karabagh Republic.

Presidential Central Informational Department of NKR contributed
reporting.

ANKARA: France courting Turkey for increased trade relations

Sunday’s Zaman , Turkey
Oct 18 2009

France courting Turkey for increased trade relations

`There is a great desire on the French side to reinforce relations
with Turkey including in all economic sectors,’ said a top French
diplomat in Turkey, signaling that Paris is ready to embark on healing
the rift that emerged over opposition to Turkey’s full membership in
the European Union.

Speaking with Sunday’s Zaman on the heels of Turkish President
Abdullah Gül’s official visit to France two weeks ago, during which
Gül and French President Nicolas Sarkozy inaugurated the `Season of
Turkey in France,’ French Ambassador Bernard Emie said the high-level
visit was a golden opportunity to reset strained relations between the
two countries.

He described the visit as `excellent’ and dismissed reports that the
Turkish president was poorly received and treated unfairly.

Concerned that France is on the losing end of a bargain when it comes
to tenders and government contracts in Turkey, not to mention the
rising anti-France sentiment in a 70-million-large consumer market
because of Sarkozy’s stance on Turkey’s EU bid, Paris is eager to
improve relations with its NATO ally. The French ambassador lamented
the fact that so much negativity has been focused on the EU membership
issue while the two countries have been cooperating on a number of
platforms including NATO, the United Nations Security Council and the
G-20.

`Our relations are multidimensional and very much focused on
cooperation albeit behind the doors sometimes,’ he said, conceding
that there have been ups and downs in their relations in the past. The
top French diplomat agrees that they have a real public relations
problem on their hands when it comes to Turkey. `We could do much
better and become proactive in dispelling rumors that have nothing to
do with the facts,’ he underlined.

France is the second-largest investor in Turkey, and many French
companies have been very active in the Turkish market for some time
now. `If you discount the Netherlands, where many companies base their
headquarters because of tax incentives, we are actually the No. 1
foreign investor in Turkey,’ Emie pointed out. The current trade
volume between the two countries stood at about 11 billion euros last
year, favoring neither side.

That did not stop Ankara, however, from imposing an undeclared embargo
on French companies that were shunned from major tenders in Turkey or
vetoed in international contracts for which Turkey was a major
participant. French state-owned nuclear group Areva was barred from
entering its bid into a nuclear reactor tender in Turkey, while Gaz de
France (GDF) was vetoed by Ankara from participating in the
international consortium building the Nabucco pipeline that will
connect Caspian natural gas resources to the European market.

French Ambassador Emie believes that there are strong signals given by
the Turkish side that those strained days are about to be over.
`Turkish President Gül conveyed the message to Sarkozy that French
companies are welcome to attend future nuclear tenders in Turkey,’ he
said, adding that he was convinced Turkey would give a green light for
the GDF to join the Nabucco consortium if the international group
decides to expand membership.

`I think the business environment for French companies in Turkey is
`satisfactory’ at best at this time,’ he said, adding that they will
work harder. He lamented the fact that French small and medium-sized
companies are not very aggressive in the Turkish market as opposed to
other foreign investors.

To repair relations with Turkey and promote Turkey’s image in the
French public opinion, France has launched a Turkish cultural season
lasting nine months and covering 400 events in 80 cities across
France. The iconic Eiffel Tower was lit in the Turkish colors of red
and white every night from Oct. 6 to 11. `This was the first time we
had done it for a foreign country within the context of a cultural
season,’ the French ambassador said, stressing the significance of the
symbolic gesture. `Many people urged the mayor of Paris against
deciding in favor of the light up, but he did not pay attention to
those [people],’ he said. Many French companies are listed as sponsors
for the Season of Turkey in France, and business organization MEDEF
extended red carpet treatment to the visiting Turkish president. Emie
pointed out that there is not enough political dialogue between the
countries, saying the last time the Turkish president visited France
was a decade earlier. The French took longer in paying an official
visit to Ankara.

The French ambassador also said France is closely working with Turkey
in European aircraft manufacturer Airbus’ construction of the future
A350 plane and both countries are involved in the project to build the
European A400M military transport plane.

Hailing Armenia rapprochement

Hailing the rapprochement between Turkey and Armenia as a breakthrough
development, the French diplomat gave assurances that the Armenian
diaspora living in France would not be able to block the normalization
of relations between the two countries. `If it is any measure, just
look at how we acted in the genocide resolution,’ he said, underlining
that French politicians did not cave in to the Armenian diaspora’s
pressure and killed the resolution in the senate. France’s lower house
of parliament infuriated Turks in 2006 by backing a bill that would
make it a crime to deny that mass killings of Armenians by Ottoman
Turks during World War I amounted to genocide. The French Senate never
ratified the bill. `I do not think the diaspora can launch a campaign
against the signing of protocols between Turkey and Armenia,’ the
French ambassador said.

He said France is actively working with renewed dynamism within the
Organization for Security and Cooperation in Europe’s (OSCE) Minsk
Group, which has been working for a decade and a half to mediate the
Nagorno-Karabakh dispute between Armenia and Azerbaijan. Russia and
the United States are other co-chair countries in the Minsk Group.
`The process is going in the right direction, and you have all sides
focused very much on resolving the issue with new dynamism,’ he said,
expressing his hope that both the Turkish and Armenian parliaments
would ratify protocols.

Touching on the activities of the terrorist Kurdistan Workers’ Party
(PKK) in France, Ambassador Emie said French authorities are
cooperating closely with Turkish officials to stem PKK operations.
`France is determined to fight terrorism,’ he said. `Thirty-five
people were condemned to jail for illegally raising funds for the
PKK.’ Emie stressed that there is a lot going on behind the scenes in
the PKK issue, allowing both sides to exchange information and share
intelligence.

Worst timing for France

When the issue of embattled businessman Cem Uzan’s request for
political asylum in France came up during the interview, the French
ambassador said it could not have come at a worst time, as France was
trying to heal the rift with Turkey and attempting to tone down the
anti-France sentiment held by the Turkish public. `I did not even know
him before the press reported about the case,’ he noted, adding that
the case has nothing to do with the French Embassy.

Uzan, a businessman who was in the past active in various branches of
business from banking to media and was later chairman of the Young
Party (GP), left the country in early October, fearing jail time over
a fraud conviction. On Thursday, a Turkish court granted the Savings
Deposit Insurance Fund’s (TMSF) petition for an arrest warrant for
Uzan on the grounds that he is a suspect at large.

Ambassador Emie said Uzan has only been given a three-month residence
permit while France reviews Uzan’s asylum request. He said the agency
reviewing the asylum request is an independent body and that they will
make the decision after reviewing the facts of the case. He further
remarked that the French Office for the Protection of Refugees and
Stateless Persons (OFPRA) may extend Uzan’s temporary residence if it
does not reach a decision in a three-month period.

Uzan and a number of his relatives have been charged with fraud by
Turkish courts over the $6 billion collapse of a family bank. Motorola
and Nokia are seeking $3.4 billion in unpaid debts for equipment,
phones and services provided to Telsim, a Turkish mobile phone company
the Uzan family once owned.

18 October 2009, Sunday
ABDULLAH BOZKURT ANKARA

BAKU: Ilham Aliyev: `The war has not ended yet’

Azerbaijan.az
Oct 18 2009

President of Azerbaijan Ilham Aliyev: `The war has not ended yet’

`Today economy of Azerbaijan is in incomparable level with Armenian
economy and we are leaving them behind in all spheres’, said President
of Azerbaijan Ilham Aliyev.

The president said Azerbaijan had very large political opportunities.
`We have very large political opportunities and economic potential, as
well as strong international position. Regarding the military power, I
would like to stress again that the Azerbaijani Army is a strongest
army in the region. We are strengthening our military power. It
demands great resources, but we have to do that, because we are living
at war. The war has not ended yet. The first round of the war ended
and we must be always ready to liberate our lands from the invaders’.