16- SMALL AND MEDIUM SIZED ENTERPRISES
Although there is no compulsory acquis in this field , Small and Medium Sized Enterprises (SMEs), as was emphasised in the first National Programme for the Adoption of the EU Acquis (NPAA), are an essential issue for Turkey in the pre-accession period. SMEs also maintain their key position among the priority areas in the process of financial assistance programming.
Alignment of the definition of SMEs with that of EU is a priority in order to comply with the EU acquis in this NPAA period.
Furthermore, a SME Strategy and Action Plan has been prepared in order to determine measures concerning policies to be followed by Turkey towards harmonizing with EU Policies and the protection of the competitiveness of SMEs.
I- PRIORITY LIST
PRIORITY 16.1 Harmonisation of the SME definition
PRIORITY 16.2 Implementation of SME Strategy and Action Plan
II- MEASURES FOR HARMONISATION WITH THE EU LEGISLATION AND IMPLEMENTATION
PRIORITY 16.1 Harmonisation of the Definition of SMEs
The issue of aligning the definition of SMEs with the EU definition, which was stated in the Council Decision of 19 May 2003 on the Accession Partnership with the Republic of Turkey, is regarded as one of the priority subjects in the SME Strategy and Action Plan.
In Turkey, the definition enforced concerning state aids, within the framework of the Decision of Council of Ministers about state aids for SME investments, No: 2000/1822 dated 1 December 2000, complies with the Commission Recommendation of 3 April 1996 concerning the definition of small and medium-sized enterprises (96/280/EC).
Nonetheless, the Ministry of Industry and Trade has been carrying out studies for the preparation of necessary legislation to enforce a SME definition complying with the EU, to be used in all implementations related to SMEs. During this process, which is foreseen to be completed in the short-term, the European Commission has also been consulted.
PRIORITY 16.2 Implementation of SME Strategy and Action Plan
Within the framework of efforts on the alignment of Turkish Legislation with the EU acquis, the issue of preparing a strategy including an SME action plan is among the short-term priorities in the 2002 Regular Report on Turkey’s Progress Towards Accession, and Council Decision of 19 May 2003 on the Accession Partnership with the Republic of Turkey. In this regard, an “SME Strategy and Action Plan Working Group” was established under the coordination of the Secretariat General for EU Affairs, composed of representatives from the Ministry of Industry and Trade, the State Planning Organization, the Undersecretariat of the Treasury, the Undersecretariat of Foreign Trade, the Small and Medium Industry Development Organisation (KOSGEB), the Union of Chambers of Commerce, Industry, Maritime Trade and Commodity Exchanges of Turkey (TOBB), and the Confederation of Turkish Craftsmen and Tradesmen (TESK). As a result of several meetings, a draft SME Strategy and Action Plan has been prepared within the framework of the principles indicated in the European Charter for Small Enterprises, which Turkey ratified together with other candidate countries at the Maribor Conference in Slovenia in April 2002, and in line with the Government Programmes and Eighth Five-Year Development Plan. In this context, the views and contributions of related public and private institutions were taken into consideration and the draft text of the SME Strategy and Action Plan were aligned with the Urgent Action Plan and the 2003 Annual Programme by the State Planning Organization. Thus, a synergy has been ensured between the goals, principles and policies concerning SMEs defined in Turkey’s main strategy documents and the EU’s main strategic SME documents.
The aforementioned Strategy and Action Plan has been prepared as a medium-term strategy document in order to determine the essential strategies for SMEs to define priority activities in detail within the framework of current policies and programmes. This document reveals the duties of relevant parties for reaching goals and establishing a package of necessary actions and projects. The strategy and action plan includes studies that have been implemented in the field of SMEs since the first NPAA.
The SME Strategy and Action Plan is considered to be the main document for determining related activities of SMEs to be funded under the Pre-accession Financial Cooperation Programme in the next period.
The SME Strategy and Action Plan will be submitted to the European Commission after it becomes official.
17- SCIENCE AND RESEARCH
The decision concerning the approval of the Framework Agreement signed between the Republic of Turkey and the European Community (EC) on the general principles of the participation of the Republic of Turkey in Community Programmes entered into force after its publication in the Official Gazette No. 24863, dated 1 September 2002. The decision concerning the approval of the Memorandum of Understanding on Turkey’s participation in the EC Sixth Framework Programme on Research entered into force on 10 January 2003 after its publication in the Official Gazette No.24988, dated 9 January 2003.
With the completion of the above-mentioned process, Turkey’s full participation in the EC Sixth Framework Programme on Research has been ensured. TÜBİTAK (The Scientific and Technical Research Council of Turkey) is acting as the national contact point of Turkey.
I- PRIORITY LIST
PRIORITY 17.1 Strengthening the effectiveness of Turkish participation in the EC Sixth Framework Programme and to increase the participation of relevant institutions and enterprises in the Programme
II- MEASURES FOR HARMONISATION WITH THE EU LEGISLATION AND IMPLEMENTATION
PRIORITY 17.1 Strengthening the effectiveness of Turkish participation in the Sixth EC Framework Programme on Research and to increase the participation of relevant institutions and enterprises in the Programme
1- Priority Description
The 2002 Regular Report on Turkey’s Progress Towards Accession stipulates that the level of gross domestic expenditure in research and development as a percentage of GDP continues to be low, less than one third of the EU average. The number of researchers corresponds to one tenth of the EU average. Universities and public research institutions remain the main catalysts in scientific and research activities, as the role of the private sector and SME’s continues to be limited
The participation of Turkey in the EC Sixth Framework Programme on Research will make a significant contribution to scientific & research activities of relevant institutions, and R&D activities. To this end, emphasis has to be given to nation-wide promotion activities and studies aimed at awareness raising.
A National Contact Point Office has been established within TÜBİTAK for the Sixth Framework Programme. The National Contact Point Office, which will be responsible for nation-wide promotion activities and studies aiming at raising national awareness, is composed of 11 National Contact Points, one of which is the National Coordinator, and an assistance unit
2- Schedule of Necessary Legislative Changes
The acquis that will be published by the EU during the implementation of the EC Sixth Framework Programme will be adopted and implemented by Turkey, as a result of Turkey’s full participation in the Programme.
Necessary studies have been initiated regarding exemption from Value Added Tax and other legal deductions from EU financial support that will be granted to Turkish institutions and researchers within the context of the Sixth Framework Programme.
3- Schedule of Necessary Institutional Changes
Institutional changes are not foreseen at this stage for this priority.
4- Financing Requirements and Sources of Financing
Table 17.1.1 (Euro)
Requirements -(TÜBİTAK) Year National Budget EU Resources Other Resources Total
2003 34,200,000 13,800,000 48,000,000
2004 45,781,087 12,918,913 58,700,000
2005
2006
Total 260,000,000
18- EDUCATION, TRAINING AND YOUTH
The implementing Regulation regarding the Education of Children of Migrant Workers entered into force after its publication in the Official Gazette No. 24936, dated 14 November 2002. The Implementing Regulation is compatible with Council Directive 77/486/EEC of 25 July 1977 on the education of the children of migrant workers.
“Law No. 4702 amending the Law on Higher Education, Law on Apprenticeship and Vocational Training, Law on Primary Education, Basic Law on National Education, Law on Organization and Tasks of Ministry of National Education, Law on Financial Measures Regarding Several Valuable Papers and Transactions,” entered into force after its publication in the Official Gazette No. 24458, dated 10 July 2001. In particular, amendments regarding the Apprenticeship and Vocational Training Law and the Law on Higher Education are compatible with the Council Decision of 2 April 1963, laying down general principles for implementing a common vocational training policy.
Law No. 4702 is aimed at orienting more students to vocational training and provides the basis for students to progress to 2 year vocational higher education institutions that are in line with the students’ prior education, without taking the university entrance examination. The Law envisages the establishment of vocational and technical education regions consisting of vocational and technical secondary institutions and vocational higher education schools. The Law grants the right to foundations to establish vocational education institutions provided that they will not be profit-seeking organizations, and requires the enterprises, which fall within the context of this Law to employ people who have vocational training relevant with the nature of the business. The Implementing Regulation on Vocational and Technical Education entered into force after its publication in the Official Gazette No. 24804, dated 3 July 2002.
Law No. 4771 Amending Various Laws which was published in the Official Gazette No. 24841, dated 9 August 2002, enables the initiation of special courses on learning of languages and dialects other than Turkish, traditionally spoken by Turkish citizens in their daily lives. The implementing Regulation on Learning of Languages and Dialects Other Than Turkish Traditionally Spoken by Turkish Citizens in Their Daily Lives entered into force after its publication in the Official Gazette No. 24882, dated 20 September 2002.
Decision No 2002/4615 concerning the approval of the framework agreement signed between the Republic of Turkey and the European Community on general principles of the participation of Republic of Turkey in Community Programmes, entered into force after its publication in the Official Gazette No. 24863, dated 1 September 2002. By this Decision the implementation of the following EU acquis in Turkey has been ensured, and the legal process for Turkey’s participation in Community Programmes has been completed.
- Decision No 253/2000/EC of the European Parliament and of the Council of 24 January 2000 establishing the second phase of the 'Socrates' Community action programme in the field of education
- Decision No 1031/2000/EC of the European Parliament and of the Council of 13 April 2000 establishing the 'Youth' Community action programme
- 1999/382/EC: Council Decision of 26 April 1999 establishing the second phase of the 'Leonardo da Vinci' Community vocational training action programme
The Centre for the Education and Youth programmes of the EU (the National Agency) was established by a Decision of Council of Ministers No 2002/3547, dated 29 January 2002, as a department within the State Planning Organization.
I- PRIORITY LIST
PRIORITY 18.1 Harmonisation with EU acquis in the field of education
PRIORITY 18.2 Establishment of the National Agency and full participation in Community Programmes
II- MEASURES FOR HARMONISATION WITH THE EU LEGISLATION AND IMPLEMENTATION
PRIORITY 18.1 Harmonisation with EU acquis in the field of education
1- Priority Description
The 2002 Regular Report on Turkey’s Progress Towards Accession asserts that Turkey should continue to focus its efforts on the transposition of the acquis and its effective implementation. The Ministry of National Education and the Ministry of Labour and Social Security are already participating in studies within the context of the European Training Foundation established by Council Regulation (EEC) 1360/90. Therefore there is no need for harmonisation in this field.
1999/51/EC: Council Decision of 21 December 1998 on the promotion of European pathways in work-linked training, including apprenticeship, is compatible with the relevant Turkish legislation to a great extent. The remaining inconsistencies will be removed, after the Draft Law prepared by the Ministry of Labour and Social Security enters into force.
2- Schedule of Necessary Legislative Changes
Table 18.1.1
No Title and Number of EU Legislation Title of Draft Turkish Legislation Responsible Institution Proposed Date of the Approval of the Minister/Council of Ministers Proposed Date of
1-Adoption by the Parliament
2- Entry into Force
1 63/266/EEC: Council Decision of 2 April 1963 laying down general principles for implementing a common vocational training policy Law establishing the system for mutual recognition of professional qualifications Ministry of Labour and Social Security 2004, IV. Quarter 1. 2005, I. Quarter
2. 2005, I Quarter.
2 85/368/EEC: Council Decision of 16 July 1985 on the comparability of vocational training qualifications between the Member States of the European Community Law establishing the system for mutual recognition of professional qualifications Ministry of Labour and Social Security 2004, IV. Quarter 1. 2005, I. Quarter
2. 2005, I. Quarter
3- Schedule of Necessary Institutional Changes
Table 18.1.2
No Necessary Institutional Changes – (Ministry of Labour and Social Security) Period of Implementation
1 Establishment of a new institution responsible for determination of professional competence 2005
2 Employment of staff in the new institution 2005
3 Training of staff 2005
Table 18.1.3
No Necessary Institutional Changes – (Ministry of National Education) Period of Implementation
1 Training of staff in the fields of EURYDICE, diploma supplement, TTNet (teacher and trainer network) 2003 - 2004
4- Financing Requirements and Sources of Financing
Table 18.1.4 (Euro)
Requirements – (Ministry of National Education) Year National Budget EU Resources Other Resources Total
Establishment Of Eurydice Unit
I- Investment
II- Harmonisation with the EU Legislation and Implementation
Personnel
Training
Consultancy
Translation
Table 18.1.4 (Continued) (Euro)
Requirements – (Ministry of National Education) Year National Budget EU Resources Other Resources Total
Other
(Purchase of Equipment)
Establishment of National Reference Point
I- Investment
II- Harmonisation with the EU Legislation and Implementation
Personnel 2003
Training 2003 60,000 60,000
Consultancy
Translation
Other
(Purchase of Equipment) 2003 35,000 35,000
Establishment Of TTnet (Teacher And Trainer Network)
I- Investment 10,000 10,000 20,000
II- Harmonisation with the EU Legislation and Implementation
Personnel 2003
Training 2003
Table 18.1.4 (Continued) (Euro)
Requirements – (Ministry of National Education) Year National Budget EU Resources Other Resources Total
Consultancy 2003
Translation 2003
Other 2003
Total 105,000 110,000 215,000
PRIORITY 18.2 Establishment of National Agency and Full Participation in the Community Programmes
1- Priority Description
The Council Decision of 19 May 2003 on the Accession Partnership with the Republic of Turkey stresses the fact that there is a need to establish a body which is able to perform the duties of a National Agency as well as all the necessary mechanisms for the implementation and sound financial management of the Socrates, Leonardo da Vinci, and Youth Programmes.
Priorities are Turkey’s full participation in Community Programmes and nation-wide promotion activities regarding the programmes.
2- Schedule of Necessary Legislative Changes
The decision concerning the approval of the framework agreement signed between the Republic of Turkey and the European Community on the general principles of the participation of the Republic of Turkey in Community Programmes entered into force after its publication in the Official Gazette No. 24863, dated 1 September 2002. By this decision, the legal process for Turkey’s participation in the Community Programmes has been completed. It is envisaged that the Memorandum of Understanding regarding Turkey’s participation in education programmes will be signed in September 2003.
The work programmes, including preparatory measures, were finalized in December 2002 after negotiations with the Education and Culture DG of the European Commission. The agreement on Preparatory Measures and the Agreement on Socrates Pilot Actions have been signed and implementation initiated from 1 January 2003.
It is expected that the full participation of Turkey in Community Programmes will take place by 2004.
The Centre for Education and Youth programmes of the EU (National Agency), which will be responsible for the implementation of Community Programmes, was established by a Decision of Council of Ministers dated 29 January 2002, as a department within the State Planning Organization. An adequate number of staff was assigned, the necessary infrastructure was established, and the functioning of the centre was ensured. The draft law providing administrative and financial autonomy to the centre was prepared and sent to the Prime Ministry.
3- Schedule of Necessary Institutional Changes
Table 18.2.1
No Necessary Institutional Changes – (National Agency) Period of Implementation
1 Training of staff in the field of Community Programmes 2003
2 Nation-wide promotion and awareness-raising activities 2003– 2004, I. Quarter
4- Financing Requirements and Sources of Financing
Table 18.2.2 (Euro)
Requirements – (National Agency) Year National Budget EU Resources Other Resources Total
Preparatory measures 2002 - 2003 960,000 3,840,000 4,800,000
2004 - 2006 The budget for this period will be determined after the Memorandum of Understanding is signed.
Total 960,000 3,840,000 4,800,000