Egypt Qiz Agreement

For more information on activities under the QIZ agreement, please contact the Middle East Department of the Ministry of Industry, Trade and Labor: the concept behind a qualified industrial zone is attributed to Omar Salah, a Jordanian businessman. [4] In 1993, pending the Israeli-Jordanian peace treaty, Salah traveled to Israel with the intention of doing business with Israeli businessmen. He was also interested in trade projects that could use the eight-year-old U.S.-Israel Free Trade Agreement, which allowed Israeli goods to enter U.S. markets duty-free. After the contract was signed in 1994, a commercial enterprise was established between Salah and Delta Galil, where labour was relocated to Irbid, in northern Jordan, to take advantage of the low cost of labour, which was 40 to 70 per cent lower than in Israel. Salah had imagined that exploiting Israeli resources, such as labor, finance and contacts, and their subsequent use to produce value-added goods, would benefit the Jordanian economy. He also said that economic cooperation between the two nations will help promote peace in the region. [4] [5] Thanks to the additional benefits of trade agreements with other markets, Egypt is ideal for offering countless economic benefits to the industries established in these areas. So far, the positive economic impact of the QIZ has been such that foreign investors and Egyptian companies are constantly trying to establish and qualify their companies in these areas in order to increase their competitiveness and profitability.

Under the sharing agreements, the Jordanian producer must contribute at least 11.7% of the finished products and the Israeli producer must contribute 8% (7% for high-tech products). Under the Israeli-Egyptian agreement, 11.7 percent of applications must be made in Israel. [1] The protocol signed between the two nations is a non-reciprocal agreement and should be a step towards the creation of a free trade agreement (FTA) between the two countries. [3] However, negotiations for a free trade agreement between the United States and Egypt have recently been suspended due to human rights issues. [1] The agreement was concluded on 24 Signed in Cairo on 1 December 2004 and entered into force in February 2005. Salah created a public limited company, Century Investments. Many Jordanian organizations criticized Salah for his business with Israel and boycotted the purchase of production from Jordan. Despite the sharp criticism, Salah nevertheless received tacit support from King Abdullah of Jordan. [5] To fight the boycott, Salah began cooperating with multinationals with a larger international share. He then actively engaged with the Jordanian government to negotiate a free trade agreement with the United States, along the model of the 1985 Law on the Free Movement of U.S.-Israel Trade Zones. Faced with the low enthusiasm of the Jordanian government, Salah investigated the presidential proclamation (no.