Israel is to sign a free trade agreement with the United Arab Emirates this week in Dubai.
It’s the first free trade agreement to be signed by Israel with an Arab state.
The agreement, to be signed Tuesday, will end customs duties on 96 percent of products moving between the two countries. Regulation, customs, services and government procurement are among the areas where prices will be slashed.
Prices will drop significantly in the agricultural sector, for cosmetics, food, medical equipment and medicine.
The United Arab Emirates has also made a similar deal with Egypt and Jordan for a $10 billion industrial partnership investment fund to be managed by ADQ Holding, Gulf Business reported.
The agreement was signed Sunday in Abu Dhabi and is aimed at enhancing economic growth in the three countries.
The three countries are set to cooperate in five key sectors: food, agriculture and fertilizer, pharmaceuticals, textiles, minerals and metals, and petrochemicals.
The combined industrial capacity of the UAE, Egypt and Jordan represents about 26 percent of the total industrial capacity of the Middle East region, according to news agency WAM.
