Egypt and the Eurasian Economic Union (EAEU) are going to hold the first round of negotiations on trade agreement in mid- January in Cairo.
They had signed a framework document for negotiations on the free trade agreement.
The document was signed by Egypts Minister of Trade and Industry Amr Nassar and Minister for Trade of the Eurasian Economic Commission Veronika Nikishina.
The Egyptian minister noted that this agreement came as a result of President Abdel Fatah al-Sisis visit to Russia in October, where he agreed with Chairman of the Eurasian Economic Commission Tigran Sargsyan on speeding up the negotiations related to the free trade between both sides.
According to Nassar, both sides agreed to hold a joint business forum during the first half of 2019 to boost the economic and trade partnership between businessmen of both sides and stressed on the necessity to complete a free trade agreement between Egypt and the Unions countries in 2019.
Nassar said that the document targets to generate continued talks and negotiations about the bilateral economic and international cooperation between both sides and to enhance the economic and trade relationship as well as the liberalization of trade between them through the establishment of a long-term and stable institutional legal framework.
He explained that agreement will contribute to the enhancement and development of the joint relations between Egypt and the Eurasian countries, including Russia, Belarus, Kazakhstan, Armenia and Kyrgyzstan.
The minister pointed out that Egypt is a major hub for the Unions exports to various African and Arab markets and other economic blocs,with which Egypt has free trade agreements.
The Eurasian countries also represent a distinct window for Egyptian exports in North and Central Asia as well as Europe.
Trade exchange between Egypt and Eurasian Union countries hit $6.78 billion in 2017, in which $6.24 billion represented Egypts imports and $544.7 million went for exports, according to the minister.
Nassar said that this agreement is expected to raise the trade volume between both sides to reach $15.7 billion, and to upgrade Egypts exports to the Unions countries to $1.9 billion.
The minister referred that the most important Egyptian exports to Eurasian countries are agricultural commodities, machinery, equipment and pharmaceutical products, while the main imports to Egypt include wheat, minerals, chemical products, plastic products, cars and tractors.
He reiterated the need to encourage the business community and industrial companies from the Eurasian countries to increase their investments in Egypt during the coming period, especially in light of the Egyptian governments adoption of a number of mega projects, including the New Administrative Capital project,the development project of the Suez Canal and the Russian industrial zone in Egypt.
Nassar also emphasized the importance of the role played by the private sector in enhancing trade and investment relations between Egypt and the unions countries.
For her part, Nikishina said that Egypt is one of the most important markets in the Middle East and Africa, and is a focal point for the transit of the products of the union countries to African countries.
She pointed out that the next phase will witness more cooperation between the two sides, especially after the signing of the Free Trade Agreement, which will make a quantum leap in the level of trade and economic relations Between Egypt and the Eurasian Union.
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Source: NAN