India’s Operation Sindoor on its neighbor Pakistan has drawn the interest of two other countries with whom India pursues its trade relations through exports and imports of numerous commodities. In this article, we will discuss how this call arose and how it may impact the economic scenario between these countries.
The situation arose when Islamabad was accused of the mass killing of 26 innocent civilians at Pahalgam, Kashmir. The boycott calls deepened after both nations supported Pakistan during its recent conflict with New Delhi. Additionally, during the conflict, Turkish-made drones were used to attack, and now Turkey and Azerbaijan have given their full support to Pakistan, stating they are their own brother, which has angered Indian citizens.
Trade Insights
As of February 2025, India exported goods worth $5.2 billion to Turkey, marking a decline of 14.83 percent compared to exports of $6.1 billion in the previous year. This accounts for only 1.31 percent of India’s total exports of $395 billion. Notably, exports to Turkey had peaked in December 2022, reaching $1.1 billion in that month alone.
On the import side, India imported goods worth $2.8 billion from Turkey during the same period, reflecting a decline of 17.25 percent from $3.4 billion in the previous year. Imports from Turkey represent just 0.42 percent of India’s total imports of $656 billion. The highest import value was recorded in November 2017, with goods worth $1 billion.
India’s exports to Azerbaijan stood at $86 million in the current year, showing a 4.96 percent increase over $82 million in the previous year. These exports constitute only 0.02 percent of India’s total exports of $395 billion. Export levels had peaked in August 2022, reaching $11 million in that month.
Meanwhile, India imported goods worth $2 million from Azerbaijan this year, a significant increase of 242.77 percent from $1 million the previous year. However, this represents just 0.002 percent of India’s total imports of $656 billion. Imports from Azerbaijan had reached a peak in April 2022, with goods valued at $132 million.
Major products traded between these countries
India’s exports to Turkey consist of a variety of products ranging from mineral fuels and oil (worth $ 960 million in 2023–24), electrical equipment, vehicles and vehicle parts, chemicals, pharmaceuticals, tanning and dyeing products, plastic, rubber, cotton, man-made fibers and filaments, and iron and steel.
Turkish imports to India include marble, fresh apples (approximately $10 million), gold, vegetables, lime, cement, and mineral oil (valued at $ 1.81 billion in 2023–24). The other imports are chemicals, natural or cultured pearls, and iron and steel.
India’s exports to Azerbaijan consist mainly of tobacco and tobacco products ($28.67 million during 2023–24), tea, coffee, cereals, chemicals, plastic, rubber, paper and paperboard, and ceramic products.
Imports from Azerbaijan consist mainly of animal fodder, essential oils, perfumery, skins, and leather, and the total value of imports was $1.52 million during April–February 2024–25.
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Industries that may be impacted
Marble and Stone Industry—Turkey supplies nearly 70 percent of India’s imported marble, totaling 14–18 lakh tonnes annually, valued at Rs 2,500–3,000 crore. Udaipur’s Marble Processors Association, representing Asia’s largest marble export hub, has imposed a ban on Turkish marble imports.
Fruit and Food Imports—Turkish apples, previously in high demand in major Indian cities such as Pune and Mumbai, have vanished from the markets since traders have stopped procuring them. This has boosted demand for apples imported from Iran, the US, New Zealand, and Indian states such as Himachal Pradesh and Uttarakhand. Due to the boycott and other supply chain disruptions, apple prices have gone up by ₹20–30 per kg.
Tourism and Travel—Amidst this row, many travel firms have reported a surge in cancellations in the bookings to Turkey and Azerbaijan. As per estimates, around 3 lakh Indian tourists visited Turkiye and over 2 lakh visited Azerbaijan in 2023, highlighting strong travel interest in these destinations.
Companies having exposure to Turkey
Jubilant FoodWorks has 746 Domino’s stores in Turkey through its subsidiary DP Eurasia, which also runs the COFFY café brand and has 160 outlets there and has 10 Domino’s outlets in Azerbaijan. Together, these brands represent a meaningful international portfolio for the company. With Turkey accounting for a major share of system sales, any upsurge in regional conflict could impact ongoing operations, consumer demand, and the expansion of stores and impact Jubilant’s overall performance.
More than 150 Indian companies, including Mahindra, Tata Motors, and Reliance, have invested around $125 million in Turkey in diverse sectors like manufacturing and services. Increasing geopolitical tensions may negatively impact companies’ operations and supply chains, threatening growth and profitability in the region.
Recent Developments
Leading Indian travel websites such as MakeMyTrip, EaseMyTrip, ixigo, and Cleartrip experienced up to a 260% rise in Turkey trip cancellations. ixigo has canceled all bookings for Turkey, Azerbaijan, and China. Offers for traveling to Turkey have also been canceled.
Indian merchants, spearheaded by CAIT, have suspended imports of Turkish products such as apples and marble. A final decision regarding a complete trade suspension is imminent. The boycott has affected various sectors of the country.
The government of India withdrew the security clearance of Çelebi Aviation on the grounds of national security. The company has operations at nine airports, and all the contracts have been cancelled. Following this, Adani Airport Holdings terminated its ground handling agreement with Turkish company Çelebi when its security clearance was withdrawn.
Turkish firm Celebi then decided to challenge the center’s decision over the termination of the contract in the Delhi High Court. However, the Indian government defended its decision in Delhi High Court to revoke security clearance for Turkish airport ground handler Çelebi, citing national security concerns.
Many national universities, such as IIT Bombay, JNU, Jamia Millia Islamia, Maulana Azad National Urdu University, etc., have either completely severed ties or temporarily halted their engagements with Turkish counterparts.
Conclusion
The escalating boycott against Turkey and Azerbaijan, fueled by geopolitical tensions, is causing disruptions in trade, tourism, and crucial sectors like marble and fruit imports. As companies pull back and governments ramp up security measures, the future looks uncertain. We’ll need to keep an eye on how these developments affect India’s long-term economic relationships with these nations.
Written by Satyajeet Mukherjee
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