Lunch with the Chamber of Commerce...

Thursday, October 7th (continued)...

I'm not normally a big fan of long lunches, mostly because they make me want to spend the afternoon asleep. However, given that the Chamber of Commerce were going to so much trouble, I was pleased to join Ros and a small group of Turkish Cypriot business people for a very good lunch indeed.

With the increasing confidence that Turkish support brings, business is beginning to pick up in Northern Cyprus and we returned to the Trade Agreement with the European Union, admittedly not much of a surprise. I wanted to explore the possibilities for trade with the Middle East, especially given the fall from grace of Beirut as a neutral entrepot where deals could be done. It seems that whilst some business is being done, the problems of direct flights rear their ugly head yet again, and you can see their frustration.

The construction industry is significant, as development begins to gather pace, but agriculture is severely limited in terms of profitability - exporting to Turkey, where prices are lower, is never going to be as lucrative as exporting to Britain. Indeed, Cyprus new potatoes, which I remember from my childhood, mostly came from what is now Turkish Cypriot territory. What that means is that investment in the agricultural sector is significantly down on what it might be.

We parted amicably, with a commitment to pursue an update in the progress of the trade agreement, and it was with much to think about that we hit the road back to Kyrenia...