GCC needs Fair Trade Agreements
Khaleej Times
GCC needs Fair Trade Agreements
18 December 2005
DUBAI- The GCC does not need Free Trade Agreements (FTAs), what it needs is Fair Trade agreements, said Mishal Hamed Kanoo, Deputy Chairman, the Kanoo Group, at the 4th GCC Economic Forum.
Local industry and brands will suffer greatly at the hands of the FTAs due to their advantages in economies of scales, tax breaks and other major factors, explained Kanoo at the forum.
The forum, which began yesterday, is meant to address major regional and global economic issues and features economists and experts presenting their views on the challenges involved for the GCC economy with FTAs. The summit focussed on how FTAs could contribute to economic growth within the GCC and the strengthening of its economic ties with other countries.
The opening keynote of the forum was presented by Maasouma Al Mubarak, Minister of the Ministry of Planning in Kuwait. She discussed the importance of being prepared for the FTA and having internal policies that allow the GCC to take advantage of the opportunities posed by the agreement. She also talked about the inefficiency and bureaucracy faced in the GCC and the necessity of flexibility and the removal of obstacles to allow for development as well as the important of the dissemination of information in the decision making process and in the field of education.
Essa Al Ghurair, Director of ETA Ascon Group, gave an overview of the GCC economic climate saying that the GCC leaders are committed to the growth and development of the region. He cited the GCC common currency coming in 2010 as a turning point for the GCC as it would be a primary factor in reducing costs and eliminating third party currencies and the exchange process, he added it that it would be something the GCC would like to see earlier than 2010.
Kanoo spoke on the risks the GCC faced with the coming of the FTA using examples such as Penske and Walmart to illustrate the type of competition and their advantages such as the ease of purchasing property in the region, the tax breaks they receive, the economies of scale in which they operate as well as the advantage of being based in the hometowns of the producers.
Dr. Khalid M. Al- Ageel, Economic Consultant, Kingdom Representative in OAPEC Executive Bureau, Ministry of Petroleum & Mineral Resources presented a keynote on the topic ’The Future Prospects of GCC Oil In The Open Market’. In his presentation he dealt with the future of OPEC and the GCC oil industry after the GCC free trade agreement and the Future Role of the Oil Sector in the GCC Economy even after signing the FTA.
Dr. Ali Nasser Al-Ghafis, Governor, General Organization of Technological Education & Vocational Training, Saudi Arabia, presented a case study from his organization on ’Free Trade and Human Resources Development’.
The final keynote of the day was presented by Hessa Bint Abdul Rahman Al Oun, Chairman, Al Badaya Trading and Industry, Saudi Arabia on ’Women - Empowerment for women in a Free Trade Market’. In her presentation, she discussed whether the GCC is really moving towards greater economic empowerment for women, what the government is doing to generate employment opportunities for women and How GCC Businesswomen will succeed under Free Trade Markets.
The GCC National Branding Strategies Summit, part of the Economic Forum, featured discussions designed to help GCC corporate leaders create and execute winning strategies for their brand. The opening keynote on ’Where will GCC brands be after 10 years ?’ was addressed by James R. Gregory, Founder and CEO, CoreBrand who spoke on building a brand that endures. He discussed issues such as advancing the GCC corporate brand vision, staying relevant, differentiated and consistent with a brand and the impact of different national cultures on global brand management. He also dealt with why the GCC has very few truly global brands and new strategies for global branding.
Other presentations discussed issues such as the changing marketing landscape because of the European Union, marketing-communication, distribution mix, media policy, what organizations in the GCC have to know before coming to EU, Five Star Standards for creating an image that shines, top 10 tactics for successful image and visibility campaigns, the current role of media, PR and cyber-branding, the latest new trends to spark the image on global e-commerce, building the GCC corporate brand through customer insights, understanding the buying decisions of GCC customers and creating powerful campaigns for the GCC audience.
