RIYADH, 31 May 2005 — The six-nation Gulf Cooperation Council (GCC) signed a framework agreement with Turkey yesterday, which will eventually pave the way for a free trade accord.
“This framework economic agreement will pave the way for negotiations for setting up a free trade zone between the Gulf states and Turkey,” said the Turkish Ambassador Ugur Dogan in Riyadh yesterday.
The negotiations to sign the free trade agreement will begin in July this year and the agreement is expected to be finalized within a year. The agreement was signed by Turkish Foreign Minister Abdullah Gul and GCC Secretary-General Abdulrahman Al-Attiyah. Turkey and GCC annual trade stands at $3 billion.
A statement released by the Riyadh-based GCC General Secretariat said, “This accord will also bring Ankara close to member states of the GCC especially in the field of trade and commerce.” On the commercial front, Saudi Arabia and Turkey have already forged closer relations. Turkish companies primarily working in construction in Saudi Arabia won $283 million worth of contracts in 2004 alone.