AMMAN (JT) - Jordan and Turkey on Tuesday signed a partnership agreement to set up a joint free trade zone.
During official talks, His Majesty King Abdullah and visiting Turkish President Abdullah Gul highlighted the significance of the agreement, which seeks to enhance commercial cooperation and increase Turkish investments in the Kingdom.
The two countries also signed an agreement on the reciprocal cancellation of visa fees and another agreement on customs cooperation.
Commenting on the agreements signed yesterday, Minister of Industry and Trade Amer Hadidi said the free trade agreement stipulates the establishment of a free trade zone by 2011 while after 12 years customs fees will be fully eliminated.
The minister also said that the agreement to cancel visa fees will facilitate travel between the two countries, while the agreement on customs cooperation will ease the flow of trade.
Jordan and Turkey are members of the Euro-Med Agreement and they also have trade agreements with other Arab countries, so the free trade agreement (FTA) will open the way for the flow of Turkish investments into the Kingdom, he added.
Turkish Minister of Trade and Industry Nihad Ergun, who signed the FTA on behalf of the Turkish government, said the deal will increase the volume of commercial exchange between the Kingdom and Turkey. It will also encourage Jordanian and Turkish businessmen to establish new business ventures and joint investments, the Turkish official added.
In their talks, King Abdullah and Gul tackled means to boost cooperation and coordination between Jordan and Turkey, especially in the economic field.
The talks between the two leaders, attended by senior Jordanian and Turkish officials, also focused on current regional issues, especially means to achieve comprehensive and viable peace in the Middle East.
The Turkish president, accompanied by his wife, began a three-day official visit to the Kingdom yesterday.
Underscoring the importance of Jordanian-Turkish relations, King Abdullah, who and Her Majesty Queen Rania received the Turkish leader and first lady, emphasised the need for tangible steps to pave the way for new cooperation prospects within an institutional framework for 2010.
The two leaders discussed various fields of cooperation related to regional infrastructure projects, mainly in the areas of roads, rail, energy, transport and gas, stressing the need to work out mechanisms for regional cooperation that can reflect positively on the nations of the region.
On regional and international issues of mutual interest, the two leaders reviewed efforts being exerted to overcome the obstacles hindering the resumption of Palestinian-Israeli negotiations to achieve peace within a comprehensive regional context on the basis of the two-state solution and relevant international resolutions.
Prime Minister Nader Dahabi also held talks with the Turkish president yesterday, during which he stressed Jordan's commitment to increasing joint commercial exchange. He also welcomed Turkish investments in strategic projects in the Kingdom.
During the meeting, the premier and Gul also reviewed the latest regional developments.
Emphasising the importance of his visit, in a statement to Jordan Radio and Television Corporation, the Turkish president said: "My visit to Jordan strengthens the friendship between Jordan and Turkey and it is a very important visit."
Business forum
Dahabi and the Turkish president also participated in the Jordanian-Turkish Business Forum, which convened yesterday.
The Turkish president is accompanied on his visit by a business delegation representing various sectors, including construction, finance, technology, tourism, textiles, transport, consultancy and engineering, and logistic services.
At the forum, Dahabi stressed Jordan's belief in the importance of involving the private sector in the decision-making process and its participation in drawing up economic programmes and plans.
He said the free trade agreement will reflect positively on the Jordanian economy, increasing Jordan's ability to export goods to European markets, especially products such as olive oil, garments, furniture, footwear and electrical equipment.
Gul urged Jordanian and Turkish businessmen to view the agreement with optimism, rather than as a means for speedy commercial profit, stressing the possibility of building commercial partnerships with other countries in the region, especially Iraq, relying on the agreement.
He also encouraged Jordanian businessmen to invest in Turkey, noting that his country is considered the Middle East's gateway to Europe, Central Asia and Russia.
He also said the cancellation of visa fees will foster the brotherly relationship between the two countries and increase tourism exchange, expressing his country's readiness to invest in the Jordanian tourism sector.
Dahabi said the forum seeks to highlight added-value investment opportunities in various areas of the Kingdom and the incentives provided by the Jordanian investment environment. It also aims to clarify the advantages and competitiveness of various investment sectors in Jordan such as energy, infrastructure, mining and transport.
During the first half of this year, Jordan's imports from Turkey totalled around $143.6 million whereas its exports, mainly phosphates and fertilisers, were valued at around $9.8 million. Moreover, Turkish investments in Jordan currently stand at around $90 million.
© Jordan Times 2009
