Impact of EU and Border
My mind was wandering last night and I was thinking about Turkey and the EU. If/when Turkey does get into the EU, Armenia is going to have a very large border with the EU.
Companies that do any manufacturing hate working in EU countries. The restrictions in the EU, not to mention the wages that have to be paid, make it unattractive for manufacturing. Asia is much better.
Why can’t Armenia, with its easy access to the EU, be another site for manufacturing? Why wouldn’t Armenians be just as good at manufacturing as people in Asia are? Think of the money saved in exporting the manufactured goods? Sure, it would be more expensive to import the things that you need in order TO manufacture, but the money saved in the export of the finished product may make up for it.
In China and Vietnam it is difficult to find English speakers to communicate with the companies (not in India and Hong Kong) - in Armenia there are certainly enough English speakers.
Armenia could do this easily.
All that would need to happen is:
1. the border with Turkey opened
2. environmental precautions taken
3. the barriers to foreign direct investment lifted
4. the powers that be would have to move out of the way! (easier said than done)
Thoughts?


