Colombia and Chile seeking stronger economic ties with the UAE

Uribe and Abdullah (WAM Photo)

Latin American countries looking to expand trade with Middle Eastern countries seem to be the norm these days. However, the most recent news of proposed agreements between countries in these regions are considerably less controversial than usual.

During a meeting on Saturday between Colombian President Alvaro Uribe and United Arab Emirates (UAE) Foreign Minister Shaikh Abdullah Bin Zayed Al Nahyan, they and their representatives discussed ways to establish trade and business contacts between companies of the two countries.

According to GulfNews.com, The UAE minister said such a meeting underscores the commitment of the two countries, their private sectors and businessmen to find appropriate trade mechanisms. Shaikh Abdullah also called for the signing of a cooperation agreement between the two sides to boost trade through the prevention of double-taxation and protection of investments.

Unlike Colombia, which is seeking to establish new economic ties, Chile wants to expand existing trade with the UAE. According to The National, trade between the two countries surpassed US$113 million last year, almost all of it in Chilean exports of food and beverages. In return, the UAE invests in Chile.

Chile has also selected the UAE capital of Abu Dhabi as the site for its first embassy in the region.

“We opened first a commercial office here, and because of its great success we decided to upgrade it into an embassy,” said Mariano Fernandez Amunategui, Chile’s minister of foreign affairs.

Sheikh Abdullah visited the Chilean president, Michelle Bachelet, last week to discuss opportunities between the countries.

“We already have very good economic and commercial relations with the UAE, and now with the opening of the embassy and the visit of Sheikh Abdullah, we will be enhancing our political relations and coordinating foreign affairs for us to be more present in the Gulf area,” Mr Fernandez said.

Other Latin American countries—including Venezuela, Bolivia, Cuba, and Ecuador—have established or expanded economic ties with Iran and Syria in the last few years. These agreements have caused concern among U.S. observers because of the two countries’ ties to terrorism.