Conference on Maximizing the Value of Intellectual Property in Thursday, 29 September 2011 TOBB Headquarters, , Turkey

Summary Report

The International Chamber of Commerce’s BASCAP group, together with ICC Turkey and the Economic Policy Research Foundation of Turkey (TEPAV) hosted a high-level conference designed to maximize the value of intellectual property in Turkey.

The aim of the conference was to bring together high-level government officials from Turkey and the United States along with senior business executives from Turkish and global companies to explore how Turkey government and Turkish firms can significantly benefit by promoting and protecting effectively intellectual property.

Within the context of the Turkish government’s goal to to become one of the world’s leading economies, the conference intended to demonstrate how a key pathway towards achieving this goal is to strengthen Turkey’s IPR laws and regulations, along with better enforcement against counterfeiting and piracy.

The conference featured high-level speakers from both government and business, including BASCAP member companies Universal Music, Proctor & Gamble, Pfizer, Daimler and Hewlett Packard.

Mr. Rifat Hisarcıklıoğlu , President of ICC Turkey delivered the opening speech followed by high-level keynote speakers: Jeffrey P. Hardy, Director of ICC BASCAP, David Benjamin , Senior Vice president, Universal Music and co-chair of BASCA Steering Committee, Saffet Karpat , CEEMEA Region Vice President and Turkey Director of the Broad, Procter & Gamble, Francis J. Ricciardone , U.S Ambassador to Turkey and Hayati Yazici , Minister of Customs and Trade.

The conference introduced two new ICC/BASCAP reports: an economic report on the impacts of IP theft on the Turkish economy and a white paper on policy recommendations designed to highlight areas that could improve Turkey’s IP enforcement regime.

The economic report describes impact on the Turkish economy – and the risks associated with IP theft and through counterfeiting and piracy. The report reveals that the total economic value of counterfeiting and piracy in Turkey is as much as $10.6 billion every year, more than 1% of Turkish GDP. It also deprives the Turkish government of significant revenues for vital public services and dislocates thousands of legitimate jobs. The analysis suggests that the Turkish government loses over US$ 2.4 billion in lower tax revenues and higher welfare spending and counterfeiting and piracy have destroyed over 135,000 jobs.

The second report is a white paper outlining a comprehensive set of policy recommendations that can substantially improve Turkey’s IP protection and enforcement regime. This white paper is an important

1 instrument in developing a robust IP environment and rendering Turkey an innovation leader. This set of recommendations includes a wide range of policies and actions ranging from legal reforms and policy actions to technical assistance and capacity building measures, channels for international cooperation and tools for strengthening enforcement practices.

The conference included three sessions.

1. IP, Innovation and Economic Growth . The moderator Güven Sak, Director of TEPAV stressed that effective IP protection increases research and innovation and that firms can earn substantially more from innovations that are protected by IPR. Speakers participated in this session were Okan Kara, EUREKA High level Representative, Scientific & Technological Research Council of Turkey (TUBITAK), Ahmet Koçer, Turkish Patent Institute, Hasan Mandal, Professor, Director of research and graduate policies, Sabanci University and Arzu İlhan Babaoğlu, General Manager, Hewlett Packard Turkey. Discussions revealed that sectors that rely on IPR protection are substantial contributors to the economy and that IP generates substantial economic activity, employment and growth.

2. IP and Investment. The moderator of the second session was Süreyya Serdengeçti, former of Turkish Central Bank and Founding Director of TEPAV Stability Institute. Discussions were focused on how IPR attracts foreign direct investment (FDI) and promotes R&D and technology transfer in developing countries, driving development and economic growth. Speakers of this session were Göktekin Dinçerler, President, TOBB Venture Capital Assembly, Dr. Cemil İnan, R&D Director, Arcelik Inc, Zergül Özbilgiç, Turkish Ministry of Economy and Prof. Bojan Pretnar, WIPO Politika İstişare Komisyonu Kurucu Üyesi.

3. How IPR improvements can help Turkey become an innovation leader. The moderator of this session was Kaan Dericioğlu, President of Turkish Patent and Trademark Representatives Assembly. Speakers participated in the third session were Tansu Akın, Corporate Secretary and General Counsel, Mercedes-Benz, Hülya Erbay, Turkish Ministry of Customs and Trade, Jeffrey P. Hardy, Director of ICC BASCAP, Saruhan Kızılay, Turkish Ministry of Interior, and Kadri Yavuz Özbay, Turkish Patent Institute. Discussions were focused on the progress Turkey has made in recent years to improve the country’s IPR regime and drew attention to certain remaining IP challenges that need to be addressed. In the session, a comprehensive set of suggested recommendations was introduced intending to help Turkey to address these challenges.

In the conference, it was acknowledged that tackling counterfeiting is a huge challenge which requires a high level of policy coordination among different departments in the government, including the ministries of Culture and Tourism, Justice, Health, the Interior, Economy, Customs and Trade, as well as institutions such as the Turkish Patent Institute and the Scientific and Technical Research Council of Turkey (TUBITAK).

From virtually all corners of government and industry present at the conference, it openly recommended that a working group including representatives from business companies and government officials be formed to follow up on the visions presented during the conference. Specifically, it was suggested that the policy recommendations presented during the conference could serve as a blueprint for evaluating policy suggestions and working together towards implementation.

2 Conference on Maximizing the Value of Intellectual Property in Turkey – 29 September 2011 List of BASCAP companies participating in the conference

1) David Benjamin, Senior Vice president, Universal Music and co-chair of BASCA Steering Committee.

2) Saffet Karpat, CEEMEA Region Vice President and Turkey Director of the Broad, Procter & Gamble.

3) Arzu İlhan Babaoğlu, General Manager, Hewlett Packard Turkey.

4) Tuncay Teksöz, Health Policy Director, Pfizer Turkey.

5) Tansu Akin, Corporate Secretary and General Counsel, Mercedes-Benz Turk A.S Daimler.

List of participants

SALİHA BETÜL AKKAN AKKAN LAW OFFICE

AHMET GÖN MOBAYS FURNITURE

AHMET GÖRGÜLÜ ETİ GROUP OF COMPANIES

AHMET KOÇER TURKISH PATENT INSTITUTE

ALEXANDRA ILIOPOULOU BASCAP

ALİ ŞİMŞEK Ankara Smuggling, Intelligence and Narcotics Directorate of Customs

ALİ YILDIRIMOĞLU DESTEK PATENT A.S

ARZU İLHAN BABAOĞLU HEWLETT PACKARD

ARZU OĞUZ ARZU OĞUZ LAW OFFICE

AYLİN BAŞAK ATA TECHNOLOGY DEVELOPMENT FOUNDATION OF TURKEY

AYŞE AKINCI CANDOĞAN

AYŞE ARICIOĞLU NIKE TURKEY

AYŞE NUR KILINÇ GAZİ UNIVERSITY -FACULTY OF LAW

AYŞE ÖZER MIDDLE EAST TECHNICAL UNIVERSITY

AYŞEGÜL ERSİN ROKETSAN

BAHADIR AZİZ SAKİN TÜRKSAT SATELLITE COMMUNICATION A.S

BARIŞ ZÜHDÜ KALAYCI GÜN LAW OFFICE

BAŞAK DEPREM TÜRKSAT SATELLITE COMMUNICATION A.S

BERRIN BENLI NOVUSENS Innovation & Entrepreneurship Institute

BOJAN PRETNAR WORLD INTELLECTUAL PROPERTY ORGANIZATION

BUKET ÇAĞLAR MINISTRY OF FINANCE Chief Legal Advisory and General Directorate of Proceedings

BURCU DİKMEN THE SCIENTIFIC AND TECHNOLOGICAL RESEARCH COUNCIL OF TURKEY

BÜLENT DEĞERLİ ANKARA DIRECTORATE OF CUSTOMS ENFORCEMENT

BÜLENT ŞEREF SARIOĞLU TÜRKSAT SATELLITE COMMUNICATION A.S

CAN MİNDEK ECONOMIC DEVELOPMENT FOUNDATION

CANAN ÇAKMAKÇI BİLKENT CYBERPARK

3 Conference on Maximizing the Value of Intellectual Property in Turkey – 29 September 2011 CELALETTİN CENGİZ ESFOR Security Consulting GÜMÜŞTÜS CEMİL İNAN ARÇELİK

CENK SEVİNÇ GRUP OFİS PATENTS & TRADEMARKS

ÇİĞDEM SEZER ADANA ÜSAM

DAVID BENJAMIN UNIVERSAL MUSIC

DENİZ ÖNCEL US EMBASSY

DENİZ YAZAR TURKISH STANDARDS INSTITUTION

DİLEK EKER TUKAS Food Industry and Trade Co.

DUYGU SIR ICC TURKEY

EBRU ERKUL

EBRU KANIK

EKİN KARAKUŞ ANKARA PATENT

ELİF EROL

ELİF SARIOĞLU ABBOTT LABORATORIES

EMRAH ASLAN Republic of Turkey Ministry of Customs and Trade

ERCAN KAZLI ESENBOGA CUSTOMS ENFORCEMENT OFFICE

ERKAN TUNCER REPUBLIC OF TURKEY SMALL AND MEDIUM -SIZED ENTERPRISES DEVELOPMENT ORGANIZATION ERTUĞRUL ONUR COCA COLA

ESİN ÇINAR AYGAZ A.S.

ESRA ZEYNEP CEHİZ ANKARA PATENT

FİLİZ CANKAT GRUP OFİS PATENTS & TRADEMARKS

FİLİZ KARASOY ETİ GROUP OF COMPANIES

FİLİZ SAYAR

FRANCIS RICCIARDONE US AM BA SS AD OR

FÜSUN GÜNER Petkim Petrochemical Holding Inc.

GONCA ATALAY

GÖKTEKİN DİNÇERLER

GÜLBEN CİRAV ICC TURKEY

GÜNER BAŞARSLAN PUMA

GÜROL MEHMET GÜR PHILLIP MORRIS

GÜVEN SAK ECONOMIC POLICY RESEARCH FOUNDATION OF TURKEY

HACER SELİN ALPAT ROKETSAN

HALİL YILDIRIM GOLDART HOLDING

HASAN MANDAL SABANCI UNIVERSITY

HASİBE IŞIKLI MINISTRY OF DEVELOPMENT

HAŞİM BÜYÜKBALCI TETSIAD

HATİCE TOKSOY ABU -GHAZALEH INTELLECTUAL PROPERTY TMP AGENTS (AGIP)

HAYATİ YAZICI

4 Conference on Maximizing the Value of Intellectual Property in Turkey – 29 September 2011 HÜLYA ATAK REPUBLIC OF TURKEY PRIME MINISTRY UNDERSECRETARIAT OF TREASURY

HÜLYA ÇAYLI PARAGON CONSULTING AND REPRESENTATION

HÜLYA ÇETİN MINISTRY OF JUSTICE

HÜLYA ERBAY GENERAL DIRECTORATE OF CUSTOMS

IRMAK YALÇINER

İBRAHİM EKDİAL

İBRAHİM ÖZTÜRK ICC TURKEY

İLGEN ERCAN NIKE B.V. TURKEY BRANCH

İLKNUR ÇALIŞKAN ALTINOLUK ÇALIŞKAN LAW OFFICE ALTINOLUK İRFAN ELMACI REPUBLIC OF TURKEY MINISTRY OF SCIENCE, INDUSTRY AND TECHNOLOGY

İSKENDER ELVERDİ THE UNION OF CHAMBERS AND COMMODITY EXCHANGES OF TURKEY

İSMAİL BAŞ TURKISH NATIONAL POLICE

İSMAİL TOKSÖZ BARTIN CHAMBER OF COMMERCE AND INDUSTRY

JEFFREY P.HARDY ICC BASC AP

JOHN LATHERS US Embassy

KAAN DERİCİOĞLU ANKARA PATENT

KADRİ YAVUZ ÖZBAY TURKISH PATENT INSTITUTE

KIVANÇ ÇINAR INFORMASCOPE

KORAY SEÇKİN SEÇKİN BOOK PUBLISHING A.S.

KORCAN DERİCİOĞLU

LAIRD TREIBER US EMBASSY

LEVENT DURUKAN SWISS EMBASSY

MAHMUT KARYAĞDI INTRA TOURISM A.S.

MATTHEW DREW HEWLETT PACKARD

MEHMET ATEŞ NOVARTİS

MEHMET FUAT MORGÜL KORDSA GLOBAL

MEHMET GÜN GÜN LAW OFFICE

MEHMET YAYLIOĞLU KÜTAHYA CHAMBER OF COMMERCE AND INDUSTRY

MİNE ACAR ENGİN AYGAZ A.S.

MURAT ASIK MSD

MURAT L. AKMAN BOGAZICI UNIVERSTIY

MURAT PİŞKİN CANAKKALE PATENT AND TRADEMARK OFFICE

MURAT ÜZÜMCÜ ÜZÜMCÜ A.S

MUSTAFA İHSAN KIZILTAŞ ORTADOĞU TEKNOPARK A.S

MUSTAFA SARAÇÖZ THE UNION OF CHAMBERS AND COMMODITY EXCHANGES OF TURKEY

MUSTAFA TÜRKER YILDIRIM

MUSTAFA YÜCEEL

NESLİHAN BÜYÜKDİLLAN KONYA CHAMBER OF COMMERCE

NEZAHAT ULUSOY

5 Conference on Maximizing the Value of Intellectual Property in Turkey – 29 September 2011 NİHAL ZEMHERİ

NUR ÇENETOĞLU ICC TURKEY

NURCAN BÖGE ROKETSAN

OKAN KARA THE SCIENTIFIC AND TECHNOLOGICAL RESEARCH COUNCIL OF TURKEY

ONUR MUTLU SANOVEL PHARMACEUTICAL

ÖMER FARUK ÖZEROĞLU UFUK UNIVERSITY

ÖZCAN BULGEN EMBASSY OF THE FEDERAL REPUBLIC OF GERMANY

ÖZEN PERVAN BİLKENT CYBERPARK

RAMAZAN KAYGUSUZ ICC TURKEY

REMZİ CAN DIYARBAKIR CHAMBER OF COMMERCE AND INDUSTRY

SAFFET KARPAT PROCTER & GAMBLE

SALİH NAFİ ALIÇ

SARUHAN KIZILAY TURKISH NATIONAL POLICE

SEDA SUSAL SAATCİ PHILLIP MORRIS

SERDAR SAKA PHILLIP MORRIS

SERDAR TANER DEMİR KORDSA GLOBAL

SERHAT İDAL IDAL PATENT MANAGEMENT

SERTAÇ KÖKSALDI ARÇELİK

SEYFULLAH ATÇI OPET PETROLIUM

SHINJI HIRAI EMBASSY OF JAPAN

SİNEM ARMAĞAN EMBASSY OF JAPAN

SUNA BİLGEN POLATKAN TÜRKSAT SATELLITE COMMUNICATION A.S

SÜREYYA SERDENGEÇTİ ECONOMIC POLICY RESEARCH FOUNDATION OF TURKEY

ŞAFAK ÇOLAK

ŞEHNAZ ÖZER REPUBLIC OF TURKEY PRIME MINISTRY UNDERSECRETARIAT OF TREASURY

ŞEREF CAN ARAT TÜREGÜN & ARAT & ARI. Attorney Partnership

TAMER ASMAN HALKBANKASI A.S.

TANSU AKIN MERCEDES BENZ TURKEY

TAYFUN BAYSAL ELSEVIER BV

TAYLAN ARIHAN ARIHAN LAW OFFICE

TOLUN BENÖN Kocaeli Chamber of Industry

TOM COLEMAN US EMBASS Y

TUBA ÖZSEZEN YASED INTERNATIONAL ASSOCIATION OF INVESTORS

TUBA SÖZERİ NOVARTİS

TUNCAY TEKSÖZ PFIZER PHARMACEUTICALS

UFUK CIPLAK KOC HOLDING

UĞUR GURDAD YALÇINER YALCINER PATENT AND CONSULTING

UMUT İLKAY KAVLAK EUROPEAN UNION DELEGATION OF TURKEY

URS WÜEST SWISS EMBASSY

6 Conference on Maximizing the Value of Intellectual Property in Turkey – 29 September 2011 ÜMİT PAMUKÇU MINISTRY OF FINANCE Chief Legal Advisory and General Directorate of Proceedings

ÜNER KARABIYIK ÜNER PUBLISING A.S

YAŞAR TOZAR MARPATAŞ PATENT OFFICE

YELİZ GERİŞ ICC TURKEY

YİĞİT ULUSOY

YUSUF KURTOĞLU REPUBLIC OF TURKEY PRIME MINISTRY UNDERSECRETARIAT OF TREASURY

ZERGÜL ÖZBİLGİÇ

7 Conference on Maximizing the Value of Intellectual Property in Turkey – 29 September 2011