Free trade accord ’marks a new era in US-Bahrain ties’
Gulf Daily News, Bahrain
23 September 2004
Free trade accord ’marks a new era in US-Bahrain ties’
MANAMA: Finance and National Economy Minister Abdulla Saif hosted a luncheon reception at the New York Palace Hotel yesterday, to celebrate the historic signing of the US-Bahrain Free Trade Agreement (USBFTA).
Deputy Prime Minister and Foreign Minister Shaikh Mohammed bin Mubarak Al Khalifa attended the reception.
Envoys from the US Trade Representative office, dignitaries from Bahrain, top executives of several Fortune 100 corporations and members of the media also attended the luncheon at the hotel’s Villard Ballroom on 455 Madison Avenue.
The deal is the result of a strong commitment by the political leadership in both countries to further develop the two nations’ close relations, said Mr Saif.
He added that this agreement, "will benefit the people of America and Bahrain."
The history of Bahraini-US friendship extends back more than 100 years, said Mr Saif.
Americans founded the first hospital in Bahrain in 1893 and established the first American school in 1911.
Today, the two countries co-operate closely in economic, financial, political, defence and security matters.
Bahrain is widely known as the "Gateway to the Gulf" due to its strategic location and status as the financial centre of the Middle East, said Mr Saif.
The FTA comes three years after the September 11 attack on the US and will help "promote President George W Bush’s initiative to advance economic reforms and openness in the Middle East," said US Trade Representative Robert Zoellick, who signed the agreement with Mr Saif at a formal ceremony earlier this week in Washington.
"We are moving closer to the creation of a Middle East Free Trade Area," he said.
The celebratory day was an opportunity for corporations from both countries to solidify - or, in some cases, establish - their presence as leaders of a new era of business between Bahrain and the US, said Bahrain Economic Represen-tative to the US Dr Naser Al Belooshi.
The private sector has also shown its support for this agreement with Citigroup, Alcoa, HP, ExxonMobil and others sponsoring the luncheon event.
The US Bahrain Free Trade Agreement, upon ratification by Congress, will result in an immediate lifting of duties on 100 per cent of US consumer and industrial products and 81pc of US agricultural exports.
US exports to Bahrain totalled more than half a billion dollars last year.
Bahrain will receive duty-free access for 96pc of its industrial and agricultural exports to the US and will enjoy "Most Favoured Nation" treatment. The total US-Bahrain trade was $887 million last year.
The agreement will result in the creation of new jobs and will expand opportunities for US exports of "aircraft, machinery, vehicles, pharmaceutical and agricultural products."
It also covers key service and financial sectors as well as intellectual property rights protections.
Notably, Bahrain will open its services market wider than any previous FTA partner.
