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Arabia
Bahrain, Kuwait to mend Israeli ties
2005-09-24
MANAMA — Bahrain has repealed its economic boycott of Israel to comply with its free trade agreement with the United States, the Gulf state’s foreign minister was quoted as saying yesterday. The move makes Bahrain the first of the six Arab states of the Gulf to abolish its trade boycott of Israel, although others, such as Qatar and Oman, have taken limited steps in that direction.
Free trade agreement paying all sorts of dividends.
Kuwait is to lift the boycott and both Kuwait and Bahrain are said to begin normalisation of diplomatic relations with Israel, diplomatic sources said in Bahrain yesterday.

The United States is reportedly set to begin talks with four other Gulf states, excluding Saudi Arabia which opposes such bilateral treaties.
'cause they don't want to trade with the Joooos.
These other countries are also in the process of closing the boycott offices and preparing to normalise diplomatic relations with Israel, the diplomatic sources said.

The Bahraini repeal coincides with signs of a thaw in relations between Israel and Arab and Muslim states following its withdrawal from the Gaza Strip. Earlier this month, Pakistani President Pervez Musharraf met Israeli Prime Minister Ariel Sharon in New York, and the Israeli foreign minister held talks with his Qatari and Tunisian counterparts on the margins of the UN summit there.

“Bahrain took the decision to end the boycott of Israeli goods because this is one of the conditions of the free trade agreement” with the United States, Bahrain’s foreign minister, Shaikh Mohammed bin Mubarak Al Khalifa, told the independent Arabic newspaper, Al Wasat, in an interview in New York.

Bahrain, which hosts the base of the US Navy’s 5th Fleet, signed the free trade deal with the United States last year, becoming the first Gulf state to do so. Its parliament and king have endorsed the agreement, but it has not yet been ratified by the US Congress. The agreement calls for trade relations with all members of the World Trade Organisation, which includes Israel.

Alwasat asked the foreign minister if Bahrain would forge diplomatic ties with Israel. “That will depend on the general consensus of the Arab League,” Shaikh Mohammed was quoted as replying. The League’s peace plan offers Israel full diplomatic relations in exchange for its withdrawal from all territories captured in the 1967 and 1973 Arab-Israeli wars, the establishment of a Palestinian state and a solution for Palestinian refugees.

The practical effects of the minister’s statement remain to be seen. Up to now, Bahrain has refused to admit Israeli goods. A consignment of Israeli-made fuel filters and automotive parts were confiscated and destroyed in 2003.

It is also unclear whether Israeli business executives would be allowed to enter the kingdom. Officially, Israeli passport holders cannot pass through immigration at the island’s airport. Moreover, there have been many anti-Israeli demonstrations in Bahrain since its political system was liberalised in 2002.
Posted by:Steve White

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