Officials expected in Sanaa in July Free trade with Egypt coming [Archives:2002/20/Business & Economy]

BY MAHYOUB AL-KAMALI
YEMEN TIMES STAFF
A new free trade agreement between Yemen and Egypt is expected to boost trade between the two countries.
The joint supreme committee is expected to establish the deal when officials from the two countries meet in Sanaa in July.
The agreement will aim to increase the volume of trade which has already reached to an estimated US $60 million.
Preliminary meetings have included committees of the Yemeni Commerce and Industry Minister and the Egyptian Foreign Trade Minister.
Its believed that trade can be boosted by making better use of strategic Yemeni coastal locations. Both Yemen and Egypt share two strategic water passageways, that is, Almandab and Swiss strait.
Meanwhile, the Economic Union Council of the Arab League is to establish a free Arab zone. A preliminary sketch is to be drawn by its preparatory committee to increase bilateral trade cooperation not only between Yemen and Egypt but other countries in the Red Sea region.
Economic statistics indicate that Yemen consumes different Egyptians products such as, medicines (40%), electrical equipment (30%) and garments (25%).
Statistics indicate that the volume of the Yemeni investment has reached to EGP 70 million. No accurate statistics in the field of the Egyptian investment in Yemen has been mentioned.
There are available investment opportunities in Yemen to be invested by the private Egyptian sector in the field of fish canning, medicines, making shoes, and marketing local products.
Yemeni merchants see the possibilities of establishing trade relations between Yemen and Egypt so as to increase trade exchange and to facilitate the flow of products and services to the markets of the two countries.
Yemen and Egypt are doing their best in an attempt to promote and increase their trade imports through not only their free trade line, but by canceling double taxation, offering facilities for merchants, and reducing the custom tariffs between the two countries,
Yemen possesses agricultural, industrial, and livestock wealth which enables it to increase the volume of imports to the Egyptian markets.
Its hoped the new trade cooperation may eventually extend to African and European markets.

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