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Turkmenistan Weekly News Analysis
March 6, 2013 - 2:01pm, by Natallia Moore
This week, French delegations descended upon Turkmenistan as President Gurbanguly Berdymukhamedov welcomed France’s Minister of Foreign Affairs Laurent Fabius, who headed a delegation intent on expanding the presence of French companies in Turkmenistan’s markets, particularly in its growing energy sector and in technology, telecommunication, tourism, agriculture, and other sectors.
The delegation left Turkmenistan with several signed documents that included an Agreement on Air Services, an agreement between Turkmenistan’s Chamber of Commerce and Industry and the Chamber of Commerce “France-Turkmenistan,” as well as a Memorandum of Understanding between Turkmenistan’s State Institute of Oil and Gas and France’s Total. This marks a step ahead by Total, whose head, Christophe de Margerie, was in Ashgabat last October to meet with President Berdymukhamedov, courting opportunities to get a piece of the hydrocarbon opportunities in Turkmenistan’s part of the Caspian Sea.
Turkmenistan is France’s second-leading trading partner in Central Asia, with €192 million of trade in 2009. Diplomatic and economic relations between France and Turkmenistan intensified when France’s Nicolas Sarkozy and Berdymukhamedov assumed the presidencies of their respective countries in 2007, with Berdymukhamedov in February 2010 making an official visit to France at Sarkozy’s invitation. The spirit of cooperation continues under France’s leadership under Francois Hollande, who in his congratulatory letter to Berdymukhamedov upon Turkmenistan’s Independence Day last November expressed France’s readiness, “to support the modernization and development of your country.”
The French private construction company Bouygues has dramatically expanded its business in Turkmenistan since President Berdymukhamedov assumed power, according to alleged US Embassy cables published by WikiLeaks in 2011 and reviewed by the French Le Monde. In his book “Turkmenistan”, the former French diplomat Jean-Baptiste Jeangène Vilmer, who had been based in Ashgabat, claims that between 1994 and 2010, Bouygues built about 50 buildings in the city, amounting to over 2 billion euros in contracts.
The Consultancy group CIFAL was the first French company to work with Turkmenistan in 1993, and at the end of last month, its head Gilles Remy came to Ashgabat to meet with President Berdymukhamedov to discuss cooperation in the fuel and energy sector, and on construction and civil aviation. French firm Schneider Electric signed an agreement with the Turkmen government to ensure necessary electrical energy supplies in Ashgabat. The French firm Thales Alenia Space signed a contract with the Turkmen government in late 2011 to build Turkmenistan’s first space communications satellite.
Also, this week, President Berdymukhamedov received Iranian Vice-President for International Affairs Ali Saeedlou heading a delegation to inaugurate Iran's seventh specialized exhibition in Ashgabat, organized by Turkmenistan’s Chamber of Commerce and the Iranian logistics company Pars PegahTejarat. Some 70 Iranian companies producing construction materials, vehicles, textiles, foods, etc., showcased their products during the three-day event. The delegation met with Turkmen officials to discuss cooperation in the transportation, communications, and energy sectors. This delegation also was paving the way for a visit later in the month by Iranian President Mahmoud Ahmadinejad, who plans to participate in Turkmenistan’s Novruz Holiday celebrations.
On the home front, the Turkmen Parliament passed a new Housing Code seeking to guarantee housing to citizens, in accordance with Turkmenistan’s constitution, develop the country’s housing market, and provide citizens with some property rights when it comes to their homes. This is a welcome legislative change in an environment in which citizens routinely find their homes demolished for reasons not entirely clear to them as in a recent incident in an Ashgabat suburb, according to Turkmenistan Initiative for Human Rights, the authorities demolished private homes located near the presidential stables with no explanation given as to why. As a long standing issue many Turkmen have had to face, in 2011, Human Rights Watch wrote an open letter to President Berdymukhamedov decrying that, “expropriation, evictions, and house demolitions have taken place in Ashgabat for more than a decade and on such a scale that clearly violate the government’s obligation to protect the right to private property and the right to adequate housing.”
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