Yemen achieves great efforts to join WTO

By: Abdulsalam Adduais

Translated and edited by: Mahmoud Assamiee

Chairman of Communication Office with World Trade Organization
(COWTO) Hamoud Annagar said signing mutual agreement with European
Union is a real document to Yemen to complete requirements to join
World Trade Organization this year.

Annajar made it clear that signing such document means Yemen has
become ready to join the WTO late this year and gives a message to
investors that the country will abide by international regulations
and principles approved by the union. It also implies that Yemen is
opened to big investments according international regulations.

"The second message is directed to local investors who have to
improve his products and to comply with international quality
regulations because the door is opened before exporting. Abiding by
international regulations is a must to improve local product and
updating national industry," he said.

He indicated that keeping Yemen out of the organization makes the
country isolated and away of international trade's improvements so
that its economy will remain unable to integrate with international
economy and multi- party trade system that organizes more than 95
percent of international trade exchange.

He affirmed that Yemeni market will not be affected by joining the
organization because the market is based on economic openness before
foreign products and exports. Because Yemen adopts free market
policy, this means the contest will be strong and the best only who
will remain.

He indicated that Ministry of Industry and Trade has presented law
project to protect national products, aiming absorbing effects could
result by dumping.

"I personally think we will not see dumping of foreign companies'
goods in Yemeni markets with prices lesser than the cost of
manufacturing. Chinese goods, produced with lower costs, are not in
need of dumping policy. However, it is necessary to take legal
precautionary actions to protect national products," said Annajar.

Joining WTO does not mean absence of protecting national products
but this protection is reasonable and not absolute because such
protection approved to be unprofitable to economy, he added. Most
producers who depend on absolute protection could not promote
quality of their production nor competition in local or foreign
markets and are forced to invest outside Yemen.

Annajar indicated that joining to organization will create a chance
to export local production to foreign markets without paying custom
fees as well as benefiting of technology to increase quality of
local product to be able to compete abroad. He affirmed that quality
is needed to consumer who must not pay the price of protection.

He made it clear that Yemen's long negotiation with European Union
lasted for four years emanated from the country' keenness to enjoy
as much as privileges of joining to the organization and avoiding
negatives could result because of this project.

He affirmed that joining World Trade Organization will add more
openness and vitality and will ensure it joining to multi-party
trade system and protecting power pushing economic development.

The chairman of COWTO mentioned many benefits would be reflected on
ordinary citizen of Yemen's joining to WTO. Most important of these
benefits are eradicating monopoly, giving chance to consumer to
choose goods and services existing in local markets, reducing trade
cheating and playing with prices.

He indicated that effect of Yemen's joining to the organization is
generally positive. The treaty opens the door before competition
which result improvement in services and increasing choices before
consumer.

Annajar highlighted importance of improving national industries and
improving their quality to remain in markets and be able to compete
because competence will be strong and there is no chance to
imitation.

"We realize there are interior fears, especially from private
sector, on the process of joining World Trade Organization. These
fears are fair considering that Yemeni private sector still growing,
especially industrial sector.