On Tuesday, Israel signed a free trade deal with the UAE, its first with an Arab country and a step aimed at increasing commerce between the 2 Middle Eastern countries.
After months of discussions, the agreement was completed in Dubai.
“Done,” Israel’s Ambassador to the UAE, Amir Hayek, tweeted, responding to a previous tweet in which he stated that “the UAE and Israel would sign FTA in the next hour.”
Mohamed Al Khaja, the UAE’s ambassador to Israel, described the accord as an “exceptional success.” “As our countries work together to grow trade, create employment, encourage new skills, and deepen collaboration, businesses in both nations will benefit from speedier access to trade and cheaper tariffs,” he said.
Dorian Barak, president of the UAE-Israel Business Council, said the trade deal established tax rates, imports, and intellectual property, encouraging more Israeli firms to establish offices in the UAE, especially in Dubai.
By the end of the year, the council estimates that about 1,000 Israeli businesses will be conducting business with South Asia, the Far East, and the Middle East in or via the UAE.
“The domestic market isn’t the only place where you may make money. Many firms have opened up shop in Dubai to target the larger area, and this is a great opportunity for them “By phone, Barak told Reuters.
Israel’s economics ministry stated ahead of the signing that the agreement will eliminate tariffs on food, cosmetics, agriculture, medical equipment, and pharmaceuticals.
“Together, we will break down barriers and encourage comprehensive commerce and technological advances, which will establish a firm basis for our common road, contribute to citizens’ well-being, and make doing business simpler,” Israel’s Economy and Industry Minister Orna Barbivai said on Monday.
The deal was made in the midst of growing Israeli-Palestinian hostilities.
The UAE foreign ministry denounced the takeover of the Al Aqsa complex in Jerusalem by “extremist settlers protected by Israeli police” on Monday.
In a written statement, the foreign ministry also urged “Israeli officials to take responsibility for decreasing escalation and terminating any acts and activities that contribute to the continuance of tensions, while emphasising the need for greatest caution to avoid additional instability.”
The next day, invited reporters were informed that they would be unable to attend the signing. The abrupt shift was not explained.
Al Aqsa is the third holiest location in Islam and is known as the Temple Mount in Judaism, a remnant of their faith’s 2 ancient temples.
On Tuesday, Israeli radio reported that Barbivai had heard “nothing out of the norm” regarding the Al Aqsa violence during her visit to the UAE.