UK Chief Negotiator for the UK-Gulf Cooperation Council Free Trade Agreement (FTA) Tom Wintle revealed that they have completed a “very productive two-week round of negotiations.”
In an interview to Asharq Al-Awsat on the sidelines of his visit to the Gulf, he added: “Our next milestone is Round 5, which will be held in Riyadh later this year.”
Asked about the expected timeline to sign the FTA between the UK and the Gulf, he replied: “This is the question I get asked most often! Businesses and investors naturally want to access the benefits of the FTA as soon as possible.”
“However, it’s important that we get the deal right to get maximum benefits for everyone. So, whilst negotiations are progressing well, and we want to progress at pace, we have to be clear that there is no set deadline, and we cannot rush the process.”
Historic ties
“The UK and the GCC share strong historic ties and we are among each other's top trading partners. Trade between the UK and GCC has bounced back strongly since Covid and is now at record levels, worth £61.3 billion last year,” continued Wintle.
“We also have a strong investment partnership. The UK is a top six investor in the GCC with £31 billion invested in new projects over the last 20 years.”
Joint objectives
“As the UK’s Chief Negotiator, I am seeking to negotiate a UK-GCC free trade agreement that strengthens our trade and investment partnership. This would be a significant moment in the UK-GCC relationship,” he stressed.
“A free trade agreement will be mutually beneficial for the UK and GCC. UK Government analysis shows that a deal could boost UK-GCC trade by 16%, growing all of our economies and supporting jobs,” he remarked.
“The more ambitious the trade deal, the greater the gains for both the UK and GCC. It really is a win-win scenario.”
Business leaders and investors
Assessing his visit to the Gulf and where the FTA talks have reached, Wintle said: “Throughout the course of negotiations, I have had the pleasure of working with your excellent trade negotiators and have had some fantastic experiences visiting Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE.”
“I have also had the pleasure of meeting many business leaders and investors to talk about how a trade deal could benefit them.”
“Our Business and Trade Secretary Kemi Badenoch, and Minister for Investment Lord Dominic Johnson – have also visited the region this year to support progressing the deal and meeting with their counterparts across the GCC,” he went on to say.
“I have been encouraged by the huge energy and optimism across the region. I see big opportunities for UK and GCC governments and businesses to work together to achieve our shared ambition,” he stressed.
Moreover, he noted that the fourth round of UK-GCC trade negotiations had just finished in London. “It was a pleasure to host more than 100 GCC negotiators. Talks are progressing very well,” he stated.
Added value
On the added value both sides can gain from the FTA, Wintle said: “The UK and GCC have genuinely complementary economies and a trade deal will strengthen supply chains between our businesses, helping to grow the industries that we are each specialized in.”
“A deal will help to form new commercial partnerships, supporting the GCC countries’ vision plans to drive private sector growth and achieve economic diversification. We see opportunities across a wide range of sectors including education, manufacturing, tech, financial services, life sciences and the creative industries.”
“By removing barriers and making it easier to do business with one another, the deal could add at least £2.8 billion to the combined UK and GCC economies in the long run,” revealed Wintle.
Helpful factors
On the factors that could help the agreement achieve the UK and Gulf's goals, he explained: “We have to be collaborative, open-minded, and ambitious in negotiations. The negotiation teams know each other well now and I know the GCC Chief Negotiator, Dr. Raja bin Manahi Al Marzouqi, shares this approach.”
“The UK and GCC teams have worked very closely together, and we share the same ambition. We want a win-win FTA that delivers for all our economies.”
‘A lot in common’
“The UK and GCC have a lot in common and we both want to strike an ambitious trade deal that increases trade and supports our businesses,” he noted.
“On some areas, it will always be difficult for six countries to agree a single approach. Our negotiation teams need to remain open-minded and work together to find solutions. There are many different ways to achieve our desired outcome and we’re working together to do that.”
Scope of the FTA
Asked about the scope of the FTA and if it includes all types of trade and services, Wintle replied: “We’re committed to negotiating a modern, comprehensive, and ambitious agreement that is fit for the 21st century. This would cover goods and services trade, as well as investment.”
“A deal would cut import tariffs, minimize the administrative burden on businesses, simplify regulations, provide greater access for services firms, and make it easier to invest in each other’s economies,” he said.
“Some of the world’s newest and most ambitious FTAs also help to foster innovation, promote digital trade, help SMEs, and support the clean energy transition. We’re also looking at areas such as these as part of a UK-GCC FTA.”
“The UK is committed to negotiating an FTA with the whole of the GCC and our priority is securing an ambitious agreement with all six GCC countries,” stressed Wintle.
Gulf role
Asked to assess the role played by Gulf countries in the world economy, he replied: “Within the global economy, the pace of the GCC countries’ economic transformation stands out. All the GCC member states have ambitious vision plans and the pace of change is remarkable.”
“The GCC is already one of the UK’s top trade and investment partners, and we see huge opportunities to strengthen this partnership even further through a UK-GCC FTA. I’m excited to see how these opportunities can become reality.”
