4 July, 2008 - European producers of confectionery, chocolate, pasta and bakery products received a boost today when it was announced duties on their exports to Egypt would be cut by 50% as a result of a preliminary agreement reached between the EU and the Middle Eastern country.
The European Commission said duties of these products would be cut to, on average, 12.5% thanks to the ‘trade liberalisation’ deal announced today.
However, wines and spirits were exempted from the pact, the EC announced, along with tobacco and pig meat.
While the reciprocal deal will also give Egyptian producers freer access to the lucrative European market, a number of “sensitive” products were exempted. The protected European products will be tomatoes, cucumbers, artichokes, courgettes, table grapes, garlic strawberries, rice, sugar, processed products with a high sugar content, as well as processed tuna and sardines.
Current rules will continue to apply for these exempted goods which, said the EC “should allow the integration of Egyptian exports to the EU market while encouraging complementarities between the two production systems. “
The European Commission welcomed the economic deal that it said would “further liberalise trade” between the region and Egypt, which it described as the “most significant market in the Middle East”.
It said the agreement would also give the EU “free and immediate access” to the Egyptian market for about 90% of agricultural and fisheries exports. Between 2005-2007, EU exports to Egypt were EUR 600 million, compared to Egyptian exports into the EU zone of EUR 540 million.
Mariann Fischer Boel, Commissioner for Agriculture and Rural Development, said: "I am delighted that we have been able to negotiate this deal, which will strengthen the position of European exporters on what is our most significant market in the Middle East region. This is the latest success in our Rabat roadmap for bilateral farm trade with our Mediterranean neighbours."