Korea, Israel to push for FTA: Israeli minister
Korea Herald
18 January 2005
Korea, Israel to push for FTA: Israeli minister
By Choi Soung-ah
South Korea and Israel are set to hold formal discussions on a Free Trade Agreement in a joint committee meeting next year, Israel’s Vice Prime Minister Ehud Olmert said yesterday.
Olmert, who also doubles as Minister of Industry, Trade and Labor, said in an interview with a group of reporters that free trade for the two countries will be mutually beneficial and he had discussed the issue with Korea’s Minister for Trade Kim Hyun-chong.
"We have raised this idea with the minister and we decided, and it was part of minutes in the discussions that was signed by both of us, that we would have a discussion between the experts of both sides on the issue of the Free Trade Agreement between Korea and Israel.
"So that, in the next meeting of the joint committee in 2006, we will be able to have this (Free Trade Agreement) subject in a more formal manner in the agenda of discussions.
"I believe that the Free Trade Agreement between Korea and Israel is something that can benefit both sides."
Olmert also said his government conducted a survey on free trade between Israel and Korea and presented it to Kim, including the conclusion that such an agreement would be "useful and effective."
"Now, the implementation of this can be gradual. It can start in a modest way and then we can broaden it and reach through stages for free trade," he said.
"And I hope that this is something that will come along. It takes time to diffuse the idea to examine all the possibilities for both countries to decide how to start which items will be exempted from customs mutually and how to move ahead with it."
While providing no specifics on what goods either side may want to trade, Olmert gave high marks to the success and advancement of South Korea’s manufacturing sector, describing cars made by Hyundai as "excellent" vehicles he himself would want to buy.
"South Korean automobiles are number two sellers in Israel," he said, adding that cars and electronic items from Hyundai and Samsung are in high demand by Israelis.
South Korea has lagged in setting up FTAs and so far has only negotiated two - with Chile last year and most recently with Singapore. It is also pressing to complete an FTA with Japan this year and has started looking into similar pacts with ASEAN in general.
During his four-day visit here in Seoul which ends today, Olmert met various business related ministers as well as Unification Minister Chung Dong-young.
During the meeting with the unification minister, Olmert said he and Chung covered a wide range of subjects, "one of which was regional cooperation in the Middle East as a potential pattern for dealing with some of the issues you have with North Korea."
In talks with the Israeli minister, Commerce, Industry and Energy Minister Lee Hee-beom called for fostering closer ties in next-generation IT fields, including digital multimedia broadcasting (DMB) and South Korea’s home-grown Wibro (wireless broadband) Internet network. He also suggested joint entry into such fields in third countries.
On Monday, the two sides agreed to generate funds of $9 million over the next three years as part of their efforts to work more closely in research and development (R&D) in the private sector.
Olmert stressed the importance of stronger bonds and cooperative efforts between South Korean and Israeli firms, which have secured leading technologies in information protection, biotechnology and nanotechnology, according to Yonhap news.
The Israeli minister also held talks with Information and Communication Minister Chin Dae-jae and discussed ways to enhance cooperation in the information technology sector.
