Talat warns of ‘psychological’ obstacles for Cypriot trade

"There could be hindrances in the flow of products," Talat said in a statement. "The information that we have shows that the fear of buying Turkish goods has become deeply established. There is a feeling in Greek Cyprus that this is somewhat of a crime."

The EU rules were adopted by the European Commission in July and published on Friday in the European Union’s Official Journal. They provide for trade across the island’s "Green Line", including goods originating in the Turkish Cypriot northern part of Cyprus.

Livestock and related products, however, will not be allowed to be traded through the Green Line.

Turkish Cypriot Chamber of Commerce is authorized to issue documents accompanying products, especially agricultural produce, which certifies that they originated in northern Cyprus. Producers began to apply to the Chamber yesterday, seeking documents.

Chamber authorities said they were not only issuing documents but also providing consultation to producers willing to send their goods to Greek Cyprus.

Talat said the success of trade depends upon Greek Cypriot administration’s attitude. "If they manage to overcome the fear (of buying Turkish Cypriot goods), the Green Line regulations may work," he said.

He said his government had already taken measures for trade through the Green Line to be carried out and added that the Chamber of Commerce would be in charge of overseeing the legal procedures in the future.

The European Union and United Nations tried to reunify Cyprus before it joined the EU on May 1. Greek Cypriots rejected a U.N.-drafted reunification plan in an April referendum, while Turkish Cypriots voted in favor.

The EU’s executive Commission pledged then to offer plans to boost economic development of the much poorer north by granting financial aid and allowing direct trade between Turkish Cyprus and the EU countries.

The direct trade proposal, however, is running into trouble in the implementation phase, as legal authorities of the EU Council, whose approval is needed for the proposal to go into effect, are reportedly in discord with the commission officials over conditions of approval.

The EU Council is expected to take up the trade proposals in mid-September.