Jerusalem, 5 December 1996
INDUSTRY AND TRADE MINISTER SHARANSKY SIGNS AGREEMENT WITH JORDANIAN COUNTERPART
(Communicated by Industry and Trade Ministry Spokeswoman)
Industry and Trade Minister Natan Sharansky met yesterday (Wednesday),
04.12.96, at the Dead Sea Radisson-Moriah Hotel, with his Jordanian
counterpart, Ali Abu Ragheb, in order to improve trade relations between
Israel and Jordan. To this end, the two ministers signed a Memorandum of
Understanding designed to improve the Israeli-Jordanian Trade Agreement,
which was signed and came into force on 24 April 1996.
The MOU includes improvements in the method for calculating the duty
reductions in the agreement, an additional list of new products (which
were not included in the original agreement) and reductions in duties on
various products. The MOU will lead to substantial improvements in
commerce between Israel and Jordan.
Israel's exports to Jordan have reached $2.5 million monthly and imports
from Jordan are approximately $1.5 million monthly.
A long list of products will receive full duty reductions within the
framework of the improved agreement. These include pumps, automobile
filters, pharmaceutical goods, roofing tiles, bakery equipment, glass
lenses, toys, etc. Another 50 products will have their duties reduced by
approximately 50%. These include: sweets, plastic pipes, and glass lenses.
Close to 40 products will have duties reduced by 30%. These include
clothing and textiles, refrigerators, electric wire, etc.
During deliberations prior to the signing, the two ministers discussed
matters related to advancing trade relations and cooperation between the
two countries. They welcomed the security annex to the transportation
agreement, which will enable the main problem regarding trade the
transfer procedures at the bridges between the two countries to be
resolved.
In a joint statement, it was agreed that following discussions by Israeli
and Jordanian experts on the issue of transferring goods to the
Palestinian Authority, discussions will take place on implementing the new
procedures, with the participation of Palestinian representatives.
The ministers also discussed joint cooperation between industries on both
sides, and reviewed investments and the ways of encouraging more joint
initiatives. They also spoke about the "Tride" fund the trilateral fund
between Israel, Jordan, and the United States which has already
approved two Israeli, American, and Jordanian pilot projects.
FOLLOWING IS THE ISRAELI-JORDANIAN JOINT STATEMENT WHICH WAS ISSUED AFTER
THE MEETING BETWEEN INDUSTRY AND TRADE MINISTER NATAN SHARANSKY AND HIS
JORDANIAN COUNTERPART, ALI ABU AGHEB:
1. Wishing to further the development of trade and economic relations
between the two countries, the Ministers of Industry and Trade of both
countries met to explore ways and means to promote trade and cooperation
between the business communities of their countries.
2. The Ministers of Industry and Trade of Jordan and Israel have reached
an understanding on the expansion of trade concessions on goods exported
from Jordan. Both ministers expressed confidence that this understanding,
coupled with new transportation arrangements, will extend the benefits of
peace between the two countries and pave the way for [the] mutual
liberalization of bilateral trade.
3. The Ministers of Industry and Trade of Israel and Jordan welcome the
new transportation arrangements that will enable the delivery of Jordanian
goods to Israel and from Israel to Jordan through the "door to door"
transport system.
4. Israel and Jordan attach great importance to facilitating the passage
of goods between Jordan and the Palestinian Authority. An early meeting of
experts of Jordan and Israel will be convened to discuss transport
arrangements under the provisions of the Jordan-Israel Transportation
Agreement applicable to trade between Jordan and the PA, to supplement
those already reached on cement and fuel.
Upon the conclusion of these discussions, a forum composed of Israel,
Jordan, and PA experts will discuss the implementation of appropriate
trade arrangements taking into consideration the framework of the existing
agreements between Israel and the Palestinians.
5. The Ministers of Industry and Trade of Israel and Jordan appreciate
that a properly prepared trilateral meeting among Israel, Jordan, and the
PA representatives would contribute to the alleviation of the difficulties
in trade between Jordan and the PA and would be a sensible way to discuss
pending trade issues among the three parties.
6. Israel and Jordan have agreed to join efforts vis-a-vis their
international trading partners in order to obtain recognition of their
cumulative origin. This would facilitate trade and encourage the
establishment of joint Israeli and Jordanian projects.
7. The Ministers of Jordan and Israel have agreed to cooperate in the
promotion of joint ventures between Jordanians and Israeli partners.
8. Both ministers expressed their satisfaction with the first round of
grants awarded under the new program of TRIDE established by the
governments of Jordan, Israel, and the U.S. for the encouragement of
cooperation among private companies of the three countries.