São Paulo – Argentinean businessmen hope for lower trade taxes to be discussed during the 2nd Summit of Arab-South American Countries (Aspa), to take place late this month, in Doha, Qatar. The secretary general of the Argentine-Arab Chamber of Commerce, Sattam Al Kaddour, stated that import and export taxes between Argentina and the Arab nations are very high. The South American country exports mainly commodities to the Arab world and for this purpose pays rates of between 20% and 35%. Al Kaddour suggests a reduction to less than 5% or, if possible, to zero.
The secretary general should participate in the meeting in Doha representing the Argentine-Arab Chamber of Commerce. According to him, up to now the forecast is that five businessmen from the country should participate in the business forum, to take place on March 29th and 30th, before the meeting of government leaders. According to Al Kaddour, the Argentineans also hope for discussion of questions for simplification of trade, like the creation of South-American banks in the Arab world and Arab banks in the South American countries.
But, according to Al Kaddour, the main result should be the closer ties between Arab and South American businessmen. "That they should get to know each other better. We know that ‘face to face’ relations are very important for the Arabs," said the secretary general. For this purpose there should be a business forum, to put in contact businessmen from both regions, with space for discussion and roundtables.
Ever since the promotion of the last meeting of heads of state, in Brasília in 2005, exports from Argentina to the Arab world have grown threefold. Around 75% of the products are commodities, like soy, wheat and maize, as well as sorghum, popcorn and olive oil. Al Kaddour said that another factor helping increment trade was the growth of the population of the Arab world. "It generated greater demand for food," said Al Kaddour.
Diplomacy
The North Africa and Middle East director at the Argentine Foreign Ministry, José Pedro Pico, also stated that trade and cooperation between Argentina and the Arab countries expanded after the last summit. There was greater contact among governments, with meetings of ministers and high-level employees. "This influences the growth of trade relations," said Pico. In November, the president of Argentina, Cristina Kirchner, went to Algeria, Libya, Tunisia and Egypt.
According to Pico, one of the points of interest of Argentina, included in the final declaration of the Aspa, is the support to the Argentineans in the dispute regarding the Falkland Islands (aka Malvinas), an archipelago that has returned to dispute between Argentina and Great Britain. Argentina has been asking Great Britain to return to talks regarding the archipelago.
*Translated by Mark Ament
