Malaysia Gulf Cooperation Council Sign Mou To Begin Fta Talks


 This is the first time that Malaysia is negotiating a free trade deal with the Gulf states as a bloc.
The Asean-Gulf Cooperation Council ministerial meeting held at the Kuala Lumpur Convention Centre on Sunday. (Bernama pic)KUALA LUMPUR: Malaysia and the Gulf Cooperation Council (GCC) have signed a memorandum of understanding to kick off formal negotiations for a free trade agreement
Investment, trade and industry minister Tengku Zafrul Aziz said this marks the first time that Malaysia is engaging with the GCC as a single economic bloc.
“We see this as a positive development. Previously, we signed and finalised a Comprehensive Economic Partnership Agreement with the UAE. This time, we are engaging all six countries within the GCC.
“God willing, this FTA will help our companies gain better access to the GCC market,” he told reporters on the sidelines of the 46th Asean Summit and related summits here today.
Without providing further details, Tengku Zafrul said the negotiations will cover several key sectors, including electrical and electronics (E&E), semiconductors, halal products, palm oil, and chemicals.
He also said the outlook was promising, given that bilateral trade between Malaysia and the GCC currently stands at US$22 billion (RM103.4 billion).
The GCC consists of Saudi Arabia, the UAE, Qatar, Kuwait, Bahrain and Oman – a bloc known for its massive energy reserves, robust investment power, and growing appetite for advanced technology partnerships.
Tengku Zafrul was previously reported as saying that both sides were aiming to conclude the FTA within a year, drawing motivation from Malaysia’s swift completion of the Comprehensive Economic Partnership Agreement with the UAE in just 10 months. - FMT


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