Abstract: In this study, Turkish economy and importance of agriculture in the economy on the way of accession negotiations to the European Union (EU) are discussed. Compliance with EU norms based on macroeconomic indicators is evaluated. Turkish economy exhibits the characteristics of a developing economy based on per capita income, economic growth, employment, income distribution, foreign trade volume and economic structure. Long-term economic growth rate of Turkey is quite low and it is negatively affected by economic crises. Income distribution among the households and the regions (both of the geographical and rural-urban regions) is imbalanced. Income per capita is about ¼ of an average developed country and the economy is still characterized by a high degree of dualism in the economic sectors, regions as well as social segments. Economy suffers from trade deficit and the level of agricultural import has almost reached to agricultural export’s level in 2004. From the point of view of all socio-economic indicators, the contribution of agricultural production to domestic economy is essential in terms of employment, contributing to national income and export earnings. The enterprise size is relatively small, duality in socio-economic structure is common, population is high, productivity level is low, costs are high and competition power of some sub-sectors is low in Turkish agricultural sector. Small family farms are the main unit of crops and livestock production and household members provide most of the labor requirements of the farms. Turkey launched a radical change in agricultural policy instead of unsustainable and costly system of support policies including input subsidies and support prices and issued a policy paper for 2006-2010 in line with the Common Agricultural Policy of the EU. Reevaluation of the agricultural policies is needed in order to minimize the regional development differences and to control the migration from rural areas to cities.