Turkey and Iraq will collaborate to set up an organized industry zone in Iraq's second largest city Basra, Turkish state minister for foreign trade said on Friday.

Zafer Caglayan and Turkish Foreign Minister Ahmet Davutoglu are on a visit to Iraq for trade talks with a large group of Turkish businessmen.

Turkey and Iraq have already been working on a project to establish such an industry zone in Nasiriyah, Zafer Caglayan told a joint press conference with Iraq's Minister of Trade Safaa al-Deen al-Safi and Governor Abboud Cltag Mayah of the Iraqi city of Basra.

"A similar one will soon be established here in Basra," Caglayan said.

Turkish and Iraqi officials met in Baghdad two weeks ago for the meeting of Turkey-Iraq High-Level Strategic Cooperation Council and signed 48 memoranda of understanding, Caglayan recalled.

He said those agreements would play a "key" role in Iraq's economic and commercial future.

Caglayan also said that there were six large-scale industrial plants in Basra, which he described as Iraq's commercial capital, and added that these plants had been partially operated especially in chemical industry.

"We will also have talks with Iraqi officials to hand over these plants to Turkish businessmen to be fully operated," he said.

Caglayan said Turkey would also organize a trade fair in Basra.


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