Last month's EU-Turkey deal on tackling the migrant flow has begun to produce results, a top EU official has said.
"We have seen a sharp reduction of the illegal migration flows," European Council President Donald Tusk said.
In Turkey, he praised Ankara as "the best example in the world on how to treat refugees", despite criticism by rights groups of the agreement.
Turkish PM Ahmed Davutoglu reiterated the EU should now implement visa-free travel for Turks as part of the deal.
Mr Davutoglu said his country had fulfilled its part of the agreement and "the issue of the visa waiver is vital for Turkey".
The goal of the March deal is to deter migrants, mainly Syrians and Iraqis, from making illegal crossings - mainly by sea - between Turkey and Greece, an EU member.
The UN refugee agency and other rights organisations have voiced concerns about the agreement under which such illegal migrants are transported to centres in Turkey.
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- More on the migrant crisis
- Satire row stirs free speech fears
'Sanitised' visit
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"No-one has a right to lecture Turkey on what it should be doing," he added.
"Not a single Syrian refugee has been returned from Turkey unless it is of their free will," the Turkish prime minister said.
Meanwhile, Ms Merkel called for the establishment of special security zones on the Syrian side of the border, where refugees could find shelter.
"The more secure people can feel the less likely it is that they'll have to leave their homeland. So this is why we attach great importance to that," she said.
Human rights groups criticised the visit as "sanitised".
Under the agreement, migrants who have arrived illegally in Greece since 20 March are expected to be sent back to Turkey if they do not apply for asylum or if their claim is rejected.
Opponents question its legality and argue that Turkey is not a safe place to return people to.
Satire row
Saturday's visit to the Nizip camp reflects an anxiety to see improvements in living conditions there.'Not everyone is convinced': Selin Girit, BBC News, Gaziantep
It has been over a month now since the migrant deal between the EU and Turkey was struck, but not everyone is convinced that it is working smoothly.Although the number of migrants reaching Greece from Turkey has dropped by around 80%, few of staff promised by the EU to help enforce the deal have arrived, and many EU nations are dragging their feet to accept more migrants.
Angela Merkel said the aim of the visit was to see the living conditions of migrants in Turkey.
But more will be on the table, such as the promise of visa-free travel for Turkish citizens willing to go to Europe, which seems to be one of the most contentious issues.
However, Human Rights Watch (HRW) said the EU officials had chosen to visit a "sanitised refugee camp".
Judith Sunderland, HRW acting deputy director for Europe and Central Asia, said the delegation should instead visit camps for the displaced on the other side of the border "to see the tens of thousands of war-weary Syrian refugees blocked" by Turkey from entering.
Security has been stepped up for the visit. Overnight, six foreigners suspected of links to so-called Islamic State were arrested in the central city of Konya.
Officials there said those arrested "wanted to attack dignitaries of the state and strategic targets".
Deal's first month
Under the EU-Turkey deal, for each Syrian migrant returned to Turkey, the EU is due to take in another Syrian who has made a legitimate request.However, the International Organization of Migration said unofficial data for arrivals in Greece in recent days suggested the numbers were picking up again.
Migrant arrivals to Greece
154,227
in 2016, up to 20 April-
376 died on Turkey-Greece route
-
37% of 2016 arrivals are children
-
853,650 arrivals in 2015
- Have EU promises been kept?
The EU has pledged up to $6.8bn (£4.5bn) in aid to Turkey over the next four years and the main focus of this latest visit is on how to begin spending that.
Ankara, however, expects more, and has warned the EU deal may collapse if travel restrictions for its citizens are not eased as agreed.
The deal says Turkey must meet 72 conditions by 4 May to earn access to the EU's visa-free Schengen area, but diplomats say only half of those points have been met so far.
Turkey already hosts some 2.7 million Syrian refugees, at a cost of over $10bn (£7bn), the government says.
Mrs Merkel's trip comes as she faces additional pressure for agreeing to the prosecution of German comedian Jan Boehmermann, who is accused of insulting Turkish President Recep Tayyip Erdogan by reading out a satirical poem.
Advocates of freedom of speech in both Turkey and Germany have called on her to send out a strong message on the issue during her visit.
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