Tunisia - Egypt Summit boosts economic, trade cooperation

"Beefing up economic and commercial cooperation is one of the goals expected from Mubarak-Ben-Ali Summit on Monday in Tunis," economic experts expected on the eve of the visit.

"Egypt-Tunisia Free Trade Agreement, concluded in Cairo in 1998, crowned bilateral cooperation as it would help free the trade of some commodities according to annexed lists of commodities without any customs," the economic sources said.

"Although the Free Trade Agreement has taken effect since, 1998, it is not fully used," the economic sources said. These sources suggest that the list of commodities exempted from customs duties be amended and that more commodities be added in light of standing agreements concluded by both Egypt and Tunisia with other states.

According to statistics, trade swaps between Egypt and Tunisia witnessed a remarkable increase from $ 57.3 million in 1995 to $ 81.2 million in 1999. Egyptian exports to Tunisia hit $ 54.7 million while Tunisian exports to Egypt stand at $ 26.5 million.

On commercial and economic agreements between the two sides, Trade Representation Agency Chief Hamdy Metwalli said that there are many agreements and protocols to boost Egypt-Tunisia cooperation, atop of which comes the free trade area agreement.

"Also, Egypt and Tunisia signed a five-year economic cooperation agreement back in December 1989 to encourage joint investment companies in agriculture, land reclamation, industry, tourism and urbanization," he said.

The agreement is automatically renewed until one party sends a cancellation notice to the other side 12 months prior to the termination of its five-year period.

There are also accords to avoid dual taxation, increase the volume of air and maritime passengers' transportation, and raise tourism inflow from and to Tunisia and Egypt.