UAE Minister of Foreign Trade H.E. Sheikha Lubna Al Qasimi has today (Tuesday, October 21, 2008) received a French delegation headed by French Minister of State Anne-Marie Idrac to discuss the strengthening of strategic and economic ties which, among others, would help surpass the USD 6.3 billion bilateral trade engaged in by the UAE in France in 2007 and expedite the signing of a vital Free Trade Agreement between the Gulf Cooperation Council (GCC) and the European Union (EU).
The visit is part of a four-day tour of key GCC countries that started October 19, 2008 and wrapping up on October 22, 2008, which will cover the Kingdom of Saudi Arabia, Qatar, the UAE and Oman. France will capitalize on its current presidency of the EU to broker a faster conclusion to the round of talks that will lead to the eventual signing of a GCC-EU FTA. Minister Idrac has already met the Secretary General of the GCC and will discuss matters related to this goal with the Foreign and Trade Ministers of all four countries. The FTA is of prime importance as trade volumes between both economic blocs have doubled in the past five years and currently amount to more than USD 141 billion. The GCC is Europe’s sixth largest export market, while the EU is the GCC’s first trading partner.
“As one of the world’s top import and export destinations, France is a vital ally in our quest for sustainable growth. The visit of H.E. Idrac is a welcome affirmation of our mutual commitment to higher levels of collaboration in areas which we believe are crucial to national development. It also reflects the Ministry’s eagerness to expand its international economic relations, with France and with the broader European Union with which we as a primary member of the Gulf Cooperation Council hope to secure a crucial Free Trade Agreement with in the near future,” said H.E. Sheikha Lubna.
Minister Idrac will be accompanied by Philippe Favre, Ambassador-at-large for international investments and President of the Invest in France Agency (IFA), who will promote France as a favourable investment destination for Gulf countries. Other officials forming the French delegation include Mr. Jean-Louis Bernard, Member of the French Parliament and Deputy Chairman of the UAE-France Friendship Committee; Mr. Alain Cousin, Member of the French Parliament and Chairman of Ubifrance; and Mr. Nicolas Wawreski, Economic Counselor of the Cabinet of the Minster of State for Foreign Trade.
The French Minister will also formally launch the regional IFA office which began operations in September 1, 2008. The office will focus on enhancing coordination between institutional French executives receiving request from Gulf clients; developing a privileged relation with local investors to orient their investments towards France; and promoting investment opportunities in France complementing the specific needs and expectations of Gulf organizations.
The French delegation will meet officials overseeing major infrastructural projects, including the President of the Abu Dhabi Transport Department and the Chairman of the Roads and Transport Authority in Dubai. They will also interact with leading local businessmen and discuss key developments such as the UAE electronuclear project, the inter-Emirates railway, and Dubai’s new underground railway. A high-ranking commercial team from the French group was able to meet with H.E. Sheikha Lubna on the sidelines of today’s meeting during which the UAE official provided an overview of the national economy and the local opportunities available to French investors.
“We are overwhelmed by the warm reception extended by H.E. Sheikha Lubna and the genuine interest expressed by UAE investors in France’s own business prospects, especially in the real estate field. We hope that UAE officials, investors and business interests can come and visit our country soon as well, so that we can return the gesture. This has truly been a productive movement towards our enhanced relations,” concluded Minister Idrac.
UAE imports from France rose 11 per cent between 2003 and 2007, while re-exports from the European nation also grew 31 per cent during the same period. Almost 80 per cent of the UAE’s French trade was imports, while 21 per cent was exports and re-exports. Last January 2008, both countries signed several agreements to further expand economic relations, a highlight of which was a framework for cooperation on the evaluation and potential use of nuclear energy for peaceful purposes. Among the other areas covered by the accords are basic and applied research, water desalination, agronomy, medicine, earth sciences and industry.
France and the UAE have inked several Memoranda of Understanding ranging from intellectual property rights to transport and education. The two nations share similarities in their economic structure, as they are both dependent on the services and industries sectors. They are also strong performers in the World Trade Organization’s latest list of top 30 trading companies in the world. France’s recent assumption of the EU Presidency is perceived by many quarters as an opportunity for the UAE to collaborate with France on the former’s enhanced presence in the European trade and economic arena.
