• establish clear rules for the future to promote the development of reciprocal trade and investment between Egypt and the four Mercosur countries of Argentina, Brazil, Paraguay and Uruguay. The free trade agreement with Mercosur gives Egypt many privileges: it is seen as an instrument allowing Egyptian exports greater access to Mercosur markets. There will be trade liberalization between the two sides over a ten-year period, taking into account that about 47% of Egyptian exports to Mercosur countries will be duty-free after the agreement enters into force. The main export products are chemicals, mechanical engineering and textiles. About Mercosur It was created in 1991 by the Treaty of Asunción, which was later amended and updated by the Treaty of Ouro Preto of 1994. Its purpose is to promote free trade and the smooth movement of goods, people and money. São Paulo – A webinar on Sunday (20) looked at the Egypt-Mercosur Free Trade Agreement, which provides for a gradual easing of import duties on a large number of items and is currently entering its fourth year. At the event organized by the Federation of Egyptian Chambers of Commerce and the Department of Agreements and Foreign Trade of the Egyptian Ministry of Trade and Industry, Brazilian and Arab experts discussed the progress made by the treaty. The agreement also provides for the establishment of a joint commission between Egypt and Mercosur to assess the process of trade liberalization, which has been set up and conducted the investigation into the evolution of trade between the two sides. The annual meetings of the Committee are seen as an important mechanism for consultation between the two sides in order to resolve problems that their trade may face. The secretary-general of the Arab-Brazilian Chamber of Commerce (ABCC), Tamer Mansour, said tariffs on products such as plants, mineral oils, lime and cement had been removed as a result of the treaty. He continued to discuss trade figures between Egypt and Brazil.
Mansour said that at some point, 38 percent bought Arab goods, including food, textiles and decorative items. With this agreement, the Egyptian government intends to promote foreign trade and diversify export markets. It is also planned to double the volume of trade between Egypt and the Mercosur countries, which currently stands at $7.2 billion. The volume of trade between Egypt and Mercosur increased by 58.7% between 2004 and 2009 to $2.1 billion and Egypt looks forward to strengthening its cooperation with Mercosur in different economic sectors such as industry, technology and tourism. It is remarkable that the signing of the free trade agreement between Egypt and the Mercosur countries took place after six rounds of negotiations in which Egypt wanted to cooperate actively with Latin American countries in order to guarantee access to important privileges on the lists of raw materials. . . .