JEDDAH, 10 June — The first Islamic trade fair attracting more than 40 countries opened yesterday in Jeddah with a call from Crown Prince Abdullah, deputy premier and commander of the National Guard, on Muslim states to forge economic unity among themselves to meet the challenges of globalization and free trade.
“The significant attendance at this event reflects the importance that Muslim peoples attach to economic development and the need for a broader economic unity among the Muslim states. In the age of globalization where competition is very fierce, survival will be for the fittest. Those who unite in economic blocs and prepare for the challenges will prevail,” Prince Abdullah said in an opening speech read out on his behalf by Makkah Governor Prince Abdul Majeed.
He said developing countries would face many obstacles in the near and medium terms trying to open new markets for their products or having their goods reach the industrialized countries. Muslim countries are bound by a common destiny and interest, which call on them to take immediate steps to increase trade exchanges by removing trade barriers and develop their markets. “It is our duty to stand united before the challenges that we all face.”
The organizers said the event has ushered in a new era of inter-Islamic trade. The exhibition at Jeddah International Exhibition and Convention Center is a joint effort between the Islamic Development Bank and Jeddah Chamber of Commerce and Industry. Businessmen, investors and government officials from countries as far as the former Soviet republics and West Africa were brought together.
It is the first time that an economic event of such magnitude has been staged by the 55-nation Organization of the Islamic Conference since its formation 30 years ago. Countries like Tajikistan, Mozambique, the Comoro Islands, Bangladesh and Uganda which have never had the chance to exhibit their products and services in fellow Muslim states were yesterday able to display a variety of products and services side by side with regional giants like Saudi Arabia, Egypt and Morocco. The event, said one delegate from the Karachi-based Islamic Chamber of Commerce and Industry, could serve as a first step toward a greater Islamic trade bloc leading to the creation of a common market.
Ismail Abu Daoud, chairman of the Karachi-based Islamic Chamber of Commerce and Industry set up by the OIC to promote trade exchange among its members, told the delegates that inter-Islamic trade remains very weak. According to available statistics, trade dealings among OIC member states with a population of more than 1.1 billion do not exceed $39 billion or 10 percent of overall OIC trade with the rest of the world. Abu Daoud attributed this to lack of information and data on raw materials and intermediate and finished goods.
IDB President Dr. Ahmad Muhammad Ali said the bank has embarked on a three-year plan to boost trade among its members by one percent annually.
The IDB will this year allocate $2 billion to finance trade operations among its member states. “The exhibition is one avenue through which OIC members can seek to increase the volume of trade among themselves. It will allow them an opportunity to introduce their products to new markets, exchange expertise and enter into trade deals,” Dr. Ali said.
Speaking on behalf of the delegates, Dr. Abdul Aziz Al-Khuwaiter, minister of state and acting minister of finance and national economy, said the Kingdom encourages joint Islamic action. Majed Al-Qasabi, JCCI secretary-general, said the exhibition offers the Islamic countries an opportunity to raise the level of their trade.
